Anika Therapeutics Q4 net income declines to $1.09m

Anika Therapeutics, a developer and marketer of therapeutic products for tissue protection, healing and repair, has reported net income of $1.09m or $0.10 per diluted share for the fourth quarter of 2008, compared with $1.67m, or $0.15 per diluted share, for the same period of 2007.

Net income for the year ended December 31, 2008 was $3.63m, or $0.32 per diluted share, compared with $6.04 m, or $0.53 per diluted share in 2007. The decrease in net income in both the fourth quarter and full year periods was due to higher operating expenses, as well as lower interest income.

Total revenue for the fourth quarter of 2008 was $8.96m, compared with $9.63m in the fourth quarter of 2007. Revenue for the fourth quarter of 2007 included $1.2m in revenue related to the company’s termination settlement with Galderma. For the year ended December 31, 2008, total revenue was $35.8m, compared with $30.83m in 2007.

Charles Sherwood, president and CEO of Anika, said: We achieved record US sales in the fourth quarter for our Orthovisc product line and achieved our highest-ever annual product gross margin at 60% for the year. We also expanded the geographic reach of our joint-health franchise with distributors in Europe, the Middle East and Southeast Asia.

We are continuing to gain market share for our joint health products and expect this trend to continue both domestically and abroad. In addition to continuing to grow sales of Orthovisc, we also plan to increase the market penetration of Monovisc and Orthovisc mini in Europe, and file for marketing approval for Monovisc in the US. Finally, by the end of 2009 we expect to begin manufacturing at our new facility. We look forward to 2009 with confidence in our product portfolio and expect good revenue growth and improved profitability.