Roche’s Irish arm shows losses of €3m

THE Irish subsidiary of Swiss-owned pharmaceutical giant and swine flu drug producer Roche, made pre-tax losses of just over €3 million last year.

The company said the €12m reduction in profit was due to a 22% reduction in production output.

It said production and cost levels for 2010 are forecasted to be similar to 2009.

The company said the principal risks and uncertainties facing the company include the Roche Group’s identification of replacement products for existing group products that have come off patent.

It said various options for new products are being assessed by local management in conjunction with the Roche Pharma Small Molecules Group.

Last year the company started a €6.4m capital expansion project for one such replacement product, the Xeloda intermediate, methyl furanoside. The company said it plans to begin manufacturing this product in the first half of 2010.

In 2008 pre-tax profits plunged to €8.9m from €26.6m in 2008.

The accounts just filed for Co Clare-based Roche Ireland Ltd show turnover fell almost 22% to €74.5m.

The directors did not propose a dividend in 2009 whereas in 2008 they proposed a dividend of €20m and €30m in 2007.

According to the accounts, staff costs at the company increased from €19.4m to €21.5m last year but employee numbers fell from 242 to 239.