High costs and low revenue hit Elan in Q2

Irish pharmaceutical giant Elan has reported increased costs and decreased revenues for the second quarter of 2004.

Elan said total revenue for the period was down 45% to $116.2m (€96.3m).

Shane Cooke, executive vice president and chief financial officer, said, “We are pleased to report continuing positive trends with solid demand for our hospital products and declining operating costs.

"The income statement, however, continues to be impacted by the execution of our plans to reposition the company, streamline the balance sheet and simplify the capital structure."

Of the $118m (€97.8m) net loss for the second quarter, $24m (€19.8m) is attributed to the sale of businesses, the ongoing divestment of the investment portfolio and the fluctuating value of this portfolio.

Kelly Martin, Elan's president and chief executive officer, said: “We continue to focus and align resources against the commercialisation of Antegren for multiple sclerosis and Crohn's disease, working with our partner Biogen Idec."