Cubist 3Q profit rises, but weighed down by taxes

Cubist Pharmaceuticals' 3rd-quarter profit rises, but weighed down by higher income taxes

• On 5:02 pm EDT, Thursday October 15, 2009

LEXINGTON, Mass. (AP) -- Cubist Pharmaceuticals Inc. said Thursday its third-quarter profit rose slightly, as higher income taxes offset a boost in Cubicin sales.

The company earned $25.4 million, or 42 cents per share, up slightly from profit of $25 million, or 44 cents per share, during the same period a year prior. Revenue rose 28 percent to $143.5 million from $112.4 million.

Cubicin, an antibiotic-resistant infection drug, is the company's only marketed product.

Analysts surveyed by Thomson Reuters expected profit of 33 cents per share and $142.1 million in revenue.

During the quarter, the company had a $15.9 million provision for income taxes, which cut into profit.

Shares of Cubist rose 39 cents, or 2 percent, to $20.28 in after-hours trading after rising 50 cents to close at $19.89 during the regular trading session.