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Eisai quarterly profit seen down 22 pct-Nikkei

Reuters - Thursday, July 17

NEW YORK, July 16 - Japanese drugmaker Eisai Co<4523.T> is expected to report a 22 percent percent fall in profit for its April-through-June quarter due to costs related to the acquisition of U.S.-based MGI Pharma Inc, the Nikkei business daily reported.

Sales grew an estimated 11 percent to 195 billion yen on robust demand for Eisai's Aricept Alzheimer's disease treatment and contributions from MGI, Nikkei said.

Operating profit for the quarter is estimated to have fallen about 10 percent to less than 24 billion yen, the report said.

Eisai plans this year to book some 30 billion yen in costs related to the acquisition with some 7 billion to 8 billion in write-off expenses recorded in the first quarter alone, Nikkei said.

Pretax profit dropped more steeply than operating profit due to higher interest payments on money borrowed to finance the roughly 410 billion yen MGI deal, with interest payments in the quarter of close to 2 billion yen, the report said.

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