Elan sales stronger than expected
Elan net loss narrowed to $91m, or 26 cents a share, from $996.4m, or $2.85. Revenue shrank to $174.7m from $331.7m as a result of sell-offs, but the former stock market high-flier posted a 31% jump in revenue from retained products to $119.5m in the third quarter, compared with $91.1m. Elan shares gained 15 cents, 3.37%. Chief executive Kelly Martin said he expects the company to break even mid-2005 and become profitable after that.
He expects gross margins to improve to around “70%-plus” after it has had a full year of its simplified business plan. This would be from about mid-2004, he said.
