A Patheon technician at work
Patheon Inc. says there's strong evidence that the drug manufacturing industry is showing signs of improvement, the Toronto-based company said Friday as it posted a $10.9-million (U.S.) profit for its latest quarter.
Revenue was $175.4-million, about five per cent higher than the year-earlier comparable figure, while profit amounted to 8.4 cents per share.
A year earlier, Patheon had a loss of $3.2-million or 3.5 cents per share with $167.4-million of revenue.
"We are seeing strong evidence of an improving pharmaceutical contract services business climate for Patheon," said Wes Wheeler, Patheon's chief executive officer and president.
On Thursday, Patheon announced it had signed an expanded contract manufacturing agreement with U.S. pharma giant Merck & Co. Inc.
Financial terms or manufacturing specifics of the deal weren't revealed.
Patheon, a Mississauga company now based in Research Triangle Park, N.C., said it will produce drugs and provide service from eight of its global manufacturing plants.
The company employs more than 4,500 people and has 11 manufacturing plans and eight development centres in Canada, the United States and Europe.
New Jersey-based Merck, which employs 100,000 people, develops and sells medicines, vaccines, biologic therapies, and consumer and animal products around the world.