Covance Revenue Up 8% in ‘09, Plans for 10% Growth in ‘10
Covance reported fourth-quarter revenue growth of 11% to $507 million, largely due to the positive impact of foreign exchange.
The CRO’s revenues grew 8% in 2009. Year-end revenues were $1.96 billion in 2009 compared with $1.83 billion in 2008. Operating margin was 11.3%. Earnings per share were $2.73 for the year and $0.64 per diluted share for the fourth quarter.
Covance expects full-year revenue growth in 2010 to be 10% over 2009, and earnings per share to be in the range of $2.50 to $2.75.
Covance’s late-stage business, including central laboratory, phase II and III clinical development and commercialization services, jumped 26% in the fourth quarter to $282 million. Full-year net revenues grew 22% to $1.1 billion compared to $883.3 million in 2008.
The company’s early-development segment did not fare as well, with revenues down 5% to $203 million from the fourth quarter last year. Full year net revenues in this segment declined 6% to $792 million compared with $845 million in 2008.