Cubist income rises on better sales, lower taxes
Cubist Pharmaceuticals Inc. said Thursday that its net income rose 66 percent in the third quarter on greater sales of its antibiotic Cubicin and other products, and lower tax costs.
Cubist said U.S. sales of Cubicin, its main product, rose 12 percent to $208 million. It also posted $10 million in revenue from the constipation drug Entereg, which it acquired by buying Adolor in December.
The company said its net income grew to $40.3 million, or 55 cents per share, in the three months through Sept. 30, from $24.2 million, or 33 cents per share, a year ago. Revenue increased 18 percent, to $238.2 million from $201.7 million.
Analysts expected Cubist to report profit of 47 cents per share and $241.7 million in revenue, according to FactSet.
The company said its provision for income taxes dropped by almost half to $19.9 million.
Shares of Cubist, which is based in Lexington, Mass., lost 66 cents to close at $47.25 on Thursday and were unchanged in aftermarket trading.