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 NEW YORK, April 18 /PRNewswire/ -- At its annual press conference, Sandoz Ltd today presented its 1993 results and reviewed the outlook for the current year. Sales in the first quarter 1994 exceeded the record figures of recent years.
 The Group posted a double-digit increase in net income in 1993 for the third consecutive year. Chairman and CEO Dr. Marc Moret said Sandoz was truly robust. "The 1994 business year had a slow start. Our enterprise is in good shape, however, and we are convinced that 1994 will be another successful year for Sandoz despite the many challenges facing us."
 CEO-designate Dr. Rolf W. Schweizer said three aspects were decisive for the Group's dynamics and responsiveness -- the primacy of innovation, minimized backwards integration and a consistent policy of decentralization. As examples of innovation he pointed to research successes such as Sandimmun Neoral(R), the much improved form of the transplantation drug, the cholesterol-lowering agent Lescol(R), the corn and soybean herbicide Frontier(R) and a new polymer coating developed by the Construction & Environment division.
 Research expenditure in the Group was increased by 17% in 1993, in Pharmaceuticals by 19% to 18.1% of divisional sales. By reducing the production of intermediate products in the last five years, Sandoz minimized backwards integration and concentrated on higher-value production. The policy of globalization during the past decade has led to around 80% of production capacity being sited at strategically optimal locations, Dr. Schweizer said.
 Chief Operating Officer Daniel C. Wagniere said the current rationalization program in the Basel region formed part of the continuous decentralization process. Following relocations out of the Basel site, infrastructure and personnel levels will be adapted to the new situation. The aim is to redefine the function of the regional site within Sandoz' global location policy.
 Group Finance Head Dr. Raymund Breu reviewed the 1993 results. Sales increased by 5% to Sfr. 15.1 billion and net income grew by 14% to Sfr. 1.7 billion. The Board of Directors will propose to the Annual General Meeting on May 5, 1994 an increase in dividend of 23%, as well as a simplification of the capital structure. Participation certificates will be swapped for registered shares, and all shares split 1:5.
 At Sfr. 4,269 million, sales in the first quarter of 1994 improved 1% over last year's record figure, or 7% in local currencies.
 in local
 3 months 1994 3 months 1993 Sfr currencies
 Sfr. millions Sfr. millions % %
 Total Group 4,269 4,208 1 7
 Pharmaceuticals 1,803 1,862 -3 2
 Nutrition 558 448 25 34
 Seeds 488 490 0 7
 Life Sciences 2,849 2,800 2 8
 Chemicals 609 639 -5 1
 Agro 537 508 6 10
 Construction &
 Environment 274 261 5 6
 Chemicals &
 Environment 1,420 1,408 1 5
 In his comments, Dr. Schweizer said growth in the first quarter had been good, as seen in the increases in local currencies. Nutrition profited additionally from acquisitions. Chemicals' figures were affected by the divestment of Alphen. Government measures depressed Pharmaceuticals' sales in Italy and Japan. Worldwide, the division's growth generators Sandimmun(R), Clozaril/Leponex(R), Sandoglobulin(R), Sandostatin(R) and Lamisil(R) showed high sales increases.
 Dr. Schweizer stressed that Pharmaceuticals expected sales to accelerate for the remainder of the year and that the Group foresees positive overall developments. This estimate is based on the dynamics of the key products in Pharmaceuticals and Agro, and expected upturn in customer industries, further progress in the Far East as well as effects from acquisitions.
 -0- 4/18/94
 /CONTACT: James R. Simpson of Sandoz Corporation, 212-307-1122 or fax, 212-957-8058/

CO: Sandoz Ltd ST: New York IN: MTC SU: ERN

CK-MP -- NY062 -- 7677 04/18/94 12:20 EDT
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Publication:PR Newswire
Date:Apr 18, 1994

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