Merck profit tops estimates as Keytruda sales surge

[July 28, 2017] (Reuters) - Merck & Co Inc's quarterly profit blew past analysts' estimates on Friday as sales of its key immuno-oncology drug Keytruda nearly tripled.

Sales of Keytruda, which works by taking the brakes off the immune system, rose to $881 million in the second quarter, handily beating consensus estimates of $777 million, according to Barclays.

Merck's position as the market leader in previously untreated lung cancer was bolstered on Thursday after AstraZeneca Plc <AZN.L> said its combination of two injectable immunotherapies failed to help patients as hoped in a closely watched advanced lung cancer trial.

Net income attributable to Merck rose to $1.95 billion, or 71 cents per share, in the second quarter, from $1.21 billion, or 43 cents per share, a year earlier.

Excluding items, Merck earned $1.01 per share, above analysts' average estimate of 87 cents, according to Thomson Reuters I/B/E/S.

Sales rose to $9.93 billion from $9.84 billion. Analysts on average had expected $9.75 billion.

The drugmaker, which entered into a $8.5 billion oncology collaboration agreement with AstraZeneca on Thursday, narrowed its full-year revenue forecast to a range of $39.4 billion to $40.4 billion.

(Reporting by Divya Grover in Bengaluru; Editing by Sriraj Kalluvila)

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