Wyeth pleased investors yesterday when it raised its 2005 full year earnings guidance to between $2.80 to $2.90 per share – up from earlier forecasts of earnings per share in the $2.70 to $2.80 range [[01/02/05a]].
The US firm, which reported disappointing 2004 financials as a result of charges relating to lawsuits concerning its withdrawn diet drugs, Redux (dexfenfluramine) and Pondimin (fenfluramine) [[01/02/05a]], saw its share price edge ever-closer to a new year high, climbing more than 4% during trading on the New York Stock Exchange yesterday.
Wyeth said that the improved outlook came as a result of “high single digit revenue growth, lower than expected growth in several expense items, and favorable tax developments.” The estimates, which are as much as 9% higher than the $2.65 per share recorded in 2004, exclude any potential one-time costs, which could arise from the repatriation of foreign earnings or any potential restructuring charges.
