SAN DIEGO, Sept. 23 /PRNewswire/ -- Dura Pharmaceuticals, Inc.
(Nasdaq: DURA) today announced revised earnings expectations for the third and
fourth quarters of 1998. Based on recent sales results, the Company expects
to generate earnings per share in the range of $0.05 to $0.07 for the third
quarter and $0.16 to $0.19 in the fourth quarter, resulting in estimated 1998
annual earnings per share of $0.53 - $0.58. Dura has grown its sales force
from about 260 representatives to over 400 since April of this year, in
preparation for the launch of Albuterol Spiros(TM) in 1999, pending successful
FDA review and approval. The disruption associated with the addition and
realignment of sales districts and territories, as well as hiring and training
activities, has had a significant near-term effect on the expected growth of
existing products in 1998 and early 1999. While recent trends in market share
growth are positive, the benefits of Dura's investment in its sales force
expansion are likely to be realized later in 1999 as, over time, the
effectiveness of newly trained representatives is realized. The expectation
for 1999 is to grow revenues and earnings by 30-35% over 1998.
In support of the sales force expansion, Dura has made a number of
significant management changes in its commercial organization since late June.
Cam L. Garner, Dura's Chairman and CEO stated, "While we're not pleased with
the revised outlook for 1998, we are excited about the experience and
enthusiasm the new commercial management team contributes to Dura. Within a
short time, the members of this team, namely Robert S. Whitehead, President,
commercial operations, Mark Calabrese, Vice President-Marketing, Bob Keith,
Vice President-Sales, and Peter Schineller, Vice President-Managed Care, have
effected significant change in the sales and marketing organization that I
believe will have a substantial impact on market penetration of Ceclor(R)
CD (cefaclor extended release tablets) and Nasarel(R) (flunisolide) Nasal
Solution 0.025% and ensure our readiness for the commercialization of
Albuterol Spiros(TM). Their experience will be invaluable as we approach,
subject to FDA approval, the most important product launch in the company's
history."
"Part of our change process has been to take a critical look at the market
and brand metrics, especially as they apply to the existing proprietary
products, Ceclor(R) CD and Nasarel(R)," said Mr. Whitehead. "We have now
fully trained all newly hired sales professionals and re-trained our
established representatives, and we are just beginning to see measurable
impact on share growth. Ceclor(R) CD has achieved an all-time market-share
high in both the oral solid cefaclor market of over 28% and the 2nd-3rd
generation cephalosporin market of 5.6%. While we expect prescription demand
to be strong in fourth quarter, current trade inventory levels, as well as the
time required to ramp newly staffed territories to full effectiveness, has
tempered our 1998 sales expectations considerably. Most of these effects
should completely wash through by early 1999 so that real demand and Dura
revenues will align."
Dura Pharmaceuticals, Inc. is a San Diego-based developer and marketer of
prescription pharmaceutical products for the treatment of allergies, asthma,
and related respiratory conditions. Dura has focused on the U.S. respiratory
market because of its size and growth opportunities through two major
strategies: (1) acquiring respiratory prescription pharmaceuticals and/or
businesses developing or marketing such pharmaceuticals targeted at
high-prescribing respiratory physicians, and (2) developing Spiros(R), a
proprietary pulmonary drug delivery system.
Except for the historical and factual information contained herein, the
matters discussed in this press release may contain forward-looking statements
which involve risks and uncertainties, including market conditions,
competitive products and pricing, seasonality, Dura's ability to add
additional people to support activities, the timely development of the
Spiros(R) system, the timely receipt of FDA approval, if at all, Dura's
limited manufacturing experience, dependency upon third parties and their
successful development efforts and other risks detailed from time to time in
the Company's filings with the SEC. Actual results may differ materially from
those projected. Forward-looking statements represent the Company's judgment
as of the date of this release. Dura disclaims, however, any intent or
obligation to update any forward-looking statements.
SOURCE Dura Pharmaceuticals, Inc.
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Company News On-Call: http://www.prnewswire.com or
fax, 800-758-5804, ext. 197051
CONTACT:
Cam Garner, Chairman and Chief Executive
Officer of Dura Pharmaceuticals, Inc., 619-457-2553
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