UCB says Q1 meets its expectations, revenue down

BRUSSELS (Reuters) - Belgian pharmaceutical group UCB (UCB.BR) said on Thursday its first-quarter financial results were in line with its expectations, including a single digit percentage drop in revenue and net sales.

Excluding the impact of currency fluctuations, UCB said the decrease was marginal compared to the first quarter of 2007.

The company repeated that the recall from the U.S. market of its Neupro patches to treat Parkinson's disease had placed its 2008 financial outlook under review and that it expected to provide an update when it reports half-year figures on August 1.

UCB had previously forecast revenue would fall to about 3.4 billion euros ($5.26 billion) in 2008 from 3.6 billion last year. Recurring core profit (EBITDA) would be about 650 million euros and net profit was expected to exceed 100 million.

The recall, announced at the end of March, had a limited impact in the first three months.

Net sales of epilepsy drug Keppra grew by a double-digit percentage as did revenues of allergy drug Xyzal and cough medicine Tussionex. U.S. sales of hayfever drug Zyrtec dropped sharply after its patent expiry in December 2007.

UCB said its progress on synergies from integrating German peer Schwarz Pharma, bought last year, was progressing well. It added that EBITDA (earnings before interest, tax, depreciation and amortisation) and net profit levels were "satisfying."

(Reporting by Philip Blenkinsop, editing by Darren Ennis and Sue Thomas)