Cialis’ loss smaller than expected

SEATTLE — Icos, the Bothell biotech company, and partner Eli Lilly said yesterday the erectile dysfunction drug Cialis had $137 million in worldwide sales in the second quarter.
The sales breakdown showed it had $51 million in U.S. sales in its second full quarter on the market, and $45 million in sales in Europe, where it has been available for more than a year. Cialis has reached $245 million in worldwide sales through the first half of the year, and the companies say it is on track to reach their forecast of $500 million to $600 million in worldwide sales this year.

Spending for selling, general and administrative purposes was $158 million, down from $195 million in the first quarter, when Cialis TV commercials debuted. Overall, the Lilly Icos joint venture’s net loss narrowed to $70 million in the quarter, from $139 million in the previous quarter. The companies said the net loss was smaller than expected because they are strategically shifting some spending to later in the year.

Analysts at Credit Suisse First Boston, Lehman Brothers and Merrill Lynch said the sales beat their expectations. Paul Latta, an analyst with McAdams Wright Ragen in Seattle, said in a note to clients that the results were mixed. He reduced his forecast of worldwide Cialis sales this year from $600 million to $575 million.