ERT’s income falls in Q2

By Nick Taylor

- Last updated on GMT

Related tags: Ert, Contract research organisations, Revenue, Contract research organization, Epro

eResearch Technologies (ERT) posted a Q2 operating income of $4.8m (€3.4m), down from $10.8m last year, and attributed the decline to companies delaying thorough QT trials.

Regulatory guidance means that thorough QT trials must still be conducted but companies are delaying them until later in the drug’s development.

This, and delayed decision making by pharmas and contract research organisations (CRO), has impacted upon the cardiology and eClinical company’s operations.

Despite net revenues falling from $35.5m in Q2 2008 to $24.2m in its latest results Michael McKelvey, CEO of ERT, remains optimistic and believes the fundamentals of the industry remain strong.

He explained that ERT has had productive “discussions with key pharmaceutical and biotechnology companies on strategic outsourcing relationships​” but there is still uncertainty about clients’ spending.

Bookings are still down on 2008 and although ERT believes the second half of this year will be better the company has a cautious outlook.

Strategic shift

ERT sold its electronic data capture (EDC) business to OmniComm Systems in June. The business generated revenues of $2.5m in the first six months of 2009.

In a conference call with investors McKelvey explained that the company exited the EDC market because “it is clear that a more significant and focused investment is required to be successful​”.

This has freed up resources to focus on its cardiac services and electronic patient reported outcomes (ePRO) businesses. ERT believes that there are opportunities for growth in the ePRO market, in particular as a tool to asses the suicide risk of a new drug.

Phase Forward is among the other companies that have recognised the potential of the ePRO market and recently bought Maaguzi to increase its presence in the sector.

Related news

Show more

Related products

show more

The APAC Advantages

The APAC Advantages

Catalent Pharma Solutions | 18-Jan-2022 | Insight Guide

Over recent years, the Asia-Pacific (APAC) region has become an emerging market for pharmaceutical and biotech innovation, including clinical studies.

CellCarta - Mapping Precision Medicine

CellCarta - Mapping Precision Medicine

CellCarta | 17-Jan-2022 | Product Presentation

At CellCarta, we’re dedicated to working with our partners to further the limitless potential of precision medicine. Our broad technology offering is designed...

How a Clinical MDR Helps with Data Quality

How a Clinical MDR Helps with Data Quality

Formedix | 17-Jan-2022 | Technical / White Paper

This article covers the many ways a clinical metadata repository helps with data quality in the clinical trial process, and how it ultimately helps to...

Planning Your Preclinical Assessment

Planning Your Preclinical Assessment

Altasciences | 17-Jan-2022 | Technical / White Paper

There are many challenges associated with early drug discovery and development. Advancing your best candidate for regulatory submissions requires a careful...

Related suppliers

Follow us


View more