Swine flu drug-maker Roche sees profits dive

PRE-TAX profits at the Irish subsidiary of Swiss-owned pharmaceutical giant and swine flu drug producer, Roche, plunged to €8.8 million last year from €26.6m a year earlier.

The accounts for Co Clare-based Roche Ireland Ltd show turnover fell from €102.3m to €92.5m in 2008.

The parent company of Roche recently produced first-half results showing a huge surge in sales of swine flu drug, Tamiflu. They helped the Swiss group increase underlying operating profits by 13% to €7.54 billion.

Accounts just filed for the Irish operation show that the principal risks its faces include the identification of replacement products for existing group products that come off patent in the coming years.

“Various options for new products are being assessed by local management in conjunction with the Roche Pharma Technical Group for a €6.4m capital expansion project to manufacture the Xeloda intermediate, methyl furanoside, from 2010. Capital expansion will commence in 2009 and manufacturing will commence during 2010,” the accounts read.

The directors proposed and paid a dividend in the financial year of €20m compared with €30m in 2007.

There were 242 people employed by the company at the end of last year, the same as in 2007. Staff costs fell from €21.3m to €19.4m.