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Rx firms post strong gains
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July 25, 2000: 11:30 a.m. ET
Schering-Plough and Pharmacia report double-digit profit growth in 2Q
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NEW YORK (CNNfn) - Pharmaceutical companies Schering-Plough Corp. and Pharmacia Corp. both posted double-digit earnings gains for the second quarter Tuesday, matching Wall Street's forecasts.
Schering-Plough (SGP: Research, Estimates), maker of the blockbuster allergy medication Claritin, earned $634 million, or 43 cents per diluted share, up 16 percent from $547 million, or 37 cents per share, in the 1999 second quarter.
Sales of the Madison, N.J.-based company rose 8 percent to $2.64 billion. Claritin sales grew 8 percent to $897 million.
 In morning trading, Schering-Plough shares slipped 1-1/2 to 43-3/4.
For the first half of the year, net income grew to $1.26 billion, or 85 cents per diluted share, up 16 percent from $1.09 billion, or 73 cents per share, in the first six months of 1999. First-half sales rose 9 percent to $5.05 billion.
Pharmacia fueled by Celebrex sales
Pharmacia (PHA: Research, Estimates) -- the new company formed by the merger of Pharmacia & Upjohn and Monsanto Co. earlier this year -- reported a 20 percent increase in profit.
The Peapack, N.J.-based company earned $622 million, or 47 cents per share, on an adjusted basis, compared with $518 million, or 40 cents per share, in the year-earlier quarter.
Including merger and restructuring costs and other one-time items, net income fell to $379 million, or 29 cents per diluted share, down 29 percent from $536 million, or 42 cents per share, in the year-earlier period. The merger was completed in March.
 Total sales jumped 16 percent to $5 billion. Pharmaceutical sales rose 18 percent to $3.2 billion. Sales of the fast-selling painkiller Celebrex soared 103 percent to $630 million.
The company's agricultural unit reported a 13 percent increase in sales to $1.8 billion. During the quarter, Pharmacia filed a registration statement with federal regulators to partially spin off the unit.
In early trading, Pharmacia shares jumped 4 to 57.
For the first six months of the year, net income, including one-time merger costs, totaled $477 million, or 36 cents per diluted share, down from $860 million, or 67 cents per share, in the prior period. First-half sales rose 10 percent to $9.32 billion. 
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