Pharmacia Profit Down on Charges

Pharmacia Corp. reported sharply lower fourth-quarter profit on rising costs and charges for the planned spin-off of its Monsanto agricultural unit offset strong drug sales.

Net income fell 45% to $86 million, or 6 cents a share. The results were slammed by special items totaling 30 cents a share, including the firm’s acquisition of Monsanto Co. two years ago, restructuring and a loss of $111 million from the spin-off planned for the fourth quarter of 2002.

Excluding a 2-cent-per-share profit contribution from the Monsanto unit, which Pharmacia partially spun off last year, the drug maker earned 36 cents a share, matching estimates.

Sales grew 10% to $3.68 billion, as global revenue from prescription drugs jumped 12% in the quarter to $3.22 billion.

Pharmacia shares closed down 27 cents to $39.13 on the NYSE.

Other earnings reports, excluding one-time items unless noted:

* CVS Corp. said earnings in its fiscal second quarter fell 53% to $98.2 million, or 24 cents a share, excluding hefty charges to close unprofitable stores, as sales rose 8.4% to $6 billion. The drugstore operator’s results matched Wall Street expectations.

* Colgate-Palmolive Co.’s said fourth-quarter profit edged up 3% to $295.3 million, or 49 cents a share, as revenue stayed flat at $2.41 billion.

* Emerson Electric Co. said fiscal first-quarter net income fell 29% to $254.7 million, or 61 cents a share, as sales for network-power equipment tumbled. Net income fell to $254.7 million, or 61 cents a share, as sales fell 16% to $3.29 billion.

* HCA Inc. the nation’s largest for-profit hospital chain, said fourth-quarter operating profit rose 17% to $232 million, or 44 cents a share, two cents better than analysts’ expectations, as revenue rose 8.7% to $4.5 billion.