INCLINE VILLAGE, Nev. (AP) — PDL BioPharma expects fourth quarter revenue to fall about 5 percent, the drug developer said Monday, due mainly to reduced royalty payments for the cancer drugs Avastin and Herceptin.
For the full year, PDL BioPharma expects revenue to climb nearly 5 percent to $361 million. Analysts expect $371.8 million.
The company helped develop the cancer drugs Avastin and Herceptin, the macular degeneration drug Lucentis, and asthma treatment Xolair, which are marketed by Switzerland's Roche, and the multiple sclerosis drug Tysabri, which is marketed by Elan Corp., which is based in Dublin.
It said Avastin and Herceptin royalties declined in the third quarter, but an increase in royalties for Lucentis and Tysabri partially offset that.
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The Incline Village, Nev., company expects revenue of about $72 million in the quarter that ends Dec. 31. That compares to $76 million in last year's fourth quarter.
Analysts surveyed by FactSet expect, on average, $78 million in revenue.
PDL BioPharma Inc. also said last week that Chief Financial Officer Christine Larson had resigned, and it would immediately start looking for her replacement. Larson had joined the company in December 2008.
Company shares fell 9 cents, or nearly 2 percent, to $5.92 in late-morning trading, a deeper drop than broader trading indexes that were down less than 1 percent. The company's stock is down about 5 percent in 2011.