Yesterday, Celgene Corporation (CELG) announced preliminary (unaudited) results for the fourth quarter of fiscal 2009 (ended December 31). The company earned 62 cents per share, beating the Zacks Consensus Estimate by 5 cents. Celgene earned 43 cents in the year-ago quarter. The preliminary results indicate that the company earned $2.08 in fiscal 2009, up 33%. This is above the Zacks Consensus Estimate by 23 cents. The company will report full year results on January 28, 2010.
 
The results revealed that revenues have jumped in excess of 20% to about $755 million. Sales of Revlimid, marketed as a treatment for multiple myeloma and myelodysplastic syndrome, increased nearly 35% in the quarter to about $495 million. Celgene is seeking to expand the Revlimid label. Fourth-quarter sales of Celgene’s cancer drug, Vidaza, registered a 65 % year-over-year increase to about $115 million. Net sales of its other product Thalomid were around $105 million for the quarter.
 
The preliminary results also indicate that the company’s 2009 revenues will increase by about 20% to approximately $2.67 billion. Revlimid, Vidaza and Thalomid should register annual sales of $1.7 billion, $385 million and $435 million, respectively.
 
Celgene also provided guidance for 2010. The company expects to earn between $2.55 and $2.60 a share in 2010, up approximately 25% above the Zacks Consensus Estimate of $2.46. The expectation for improved earnings is based on strong performance from Revlimid, which is expected to post sales of $2.1 billion to $2.2 billion. Riding on Revlimid’s expected strong showing, Celgene’s 2010 revenues are forecasted between $3.2 billion to $3.3 billion, up approximately 20%.
 
Currently, we are Neutral on Celgene.
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