Celgene Lifts FY13 Outlook - Update

(RTTNews) - Drug maker Celgene Corp. (CELG), Monday lifted its adjusted earnings and revenue outlook for fiscal year 2013, but expectations for the following year appear somewhat weak. The company is upbeat on its long-term guidance as it mainly seeks to benefit from sales of its key mantle cell lymphoma drug Revlimid.

Nonetheless, investors were cautious with the announcement, letting Celgene shares slip about 4 percent in afternoon trade on the Nasdaq.

For fiscal year 2013, Celgene now expect net earnings in the range of $3.37 to $3.39 per share and adjusted earnings of about $5.96 per share. Total revenue is estimated at $6.5 billion, with product sales of $6.4 billion.

Earlier, the company estimated 2013 net earnings of $3.77 to $3.90 per share, adjusted earnings of $5.90 to $5.95 per share and product sales of $6.2 billion plus.

Analysts currently expect earning of $6 per share on revenue of $6.43 billion for 2013. Analysts estimates typically exclude one-time gains or losses.

Revlimid sales in 2013 are estimated to be $4.28 billion, almost in line with prior guidance.

For the fourth quarter of 2013, Celgene expect net earnings in the range of $0.50 to $0.52 per share and adjusted earnings of about $1.51 per share. Analysts currently expect earnings of $1.55 per share for the quarter.

For fiscal 2014, Celgene expects net earnings of $5.54 to $5.92 per share and adjusted earnings of $7.00 to $7.20 per share. Total revenues for 2014 are projected at about $7.5 billion and product sales of $7.3 billion to $7.4 billion, with Revlimid sales of $4.9 billion to $5 billion.

Analysts currently expect earnings of $7.29 per share on revenue of $7.43 billion for 2014.

The company also lifted its outlook for the long term. For fiscal 2015, Celgene now expect adjusted earnings in the range of $9.00 to $9.50 per share and product sales of $8.5 billion to $9.5 billion. Earlier, adjusted earnings were estimated at $8 to $9 per share with product sales of $8 billion to $9 billion.

For fiscal year 2017, the company now estimates adjusted earnings of about $15 per share and product sales of $13 billion to $14 billion, with Revlimid sales of $7 billion.

Earlier, adjusted earnings for 2017 was anticipated in the range of $13 to $14 per share, sales of over $12 billion, with Revlimid sales of $6 billion.

Celgene shares are currently trading at $163.35, down $6.46 or 3.80%, on a volume of 4.8 million shares on the Nasdaq.