AmerisourceBergen fares well in Q4, FY2010

VALLEY FORGE, Pa. Earnings per share for AmerisourceBergen rose nearly 14% during the fourth quarter ended Sept. 30, thanks to key growth in two sectors, the pharmaceutical services company said.

Diluted earnings per share were 50 cents for the quarter, a 13.6% increase compared with the year-ago period. Revenue also increased to a record $19.7 billion, a 5.3% gain for the company.

AmerisourceBergen also disclosed its fiscal-year results, noting that revenue for 2010 was up to $78 billion, or 8.6%. Diluted earnings per share from continuing operations totaled $2.22 — which included a net after tax benefit of $15.5 million from litigation gains — a 31.4% increase.

The company attributed its gains to key growth in two sectors: generic pharmaceuticals and specialty distribution and services.

"Even without generic introductions, our extraordinary results this year would  have been solid, demonstrating the power of our business model. This is the fifth consecutive year we have expanded our pharmaceutical distribution operating margin, reflecting our operating leverage, cost control initiatives, and attractive customer and product mix. We continue to generate excellent cash flow, and our balance sheet remains strong. We have great financial flexibility," said David Yost, AmerisourceBergen's president and CEO.

AmerisourceBergen also raised its outlook for fiscal 2011 with a diluted earnings per share range of $2.31 to $2.41, a 7% to 12%  increase over a base of $2.16.