The drop was attributed to clients who cut spend and a number of new drugs that received non-approvals from the Food and Drug Administration (FDA), the company said February 26. Terrell Herring, president of InVentiv Health, noted in a conference call that the communications unit's performance has been impacted by clients' spending reductions in the fourth quarter.
“Approval rates have affected nearly everyone,” said Blane Walter, CEO of Somerset, NJ-based InVentiv Health, in the call. “We are seeing areas in public relations and in digital marketing that are representing new areas and new ways to connect with our customer's customers.”
InVentiv Communications, which includes Chamberlain Healthcare Public Relations and Chandler Chicco Agency, reported $341.9 million in total revenues for 2008.
InVentiv Health had a 6% increase in revenue for Q4, from $283.3 million in the fourth quarter of 2008, compared to $268 million for same quarter in 2007. Total revenues for the year increased 15% to $1.12 billion, compared to $977.3 million for the previous year.
Net revenues for the company rose 16% in Q4 to $247.7 million.
Walter noted in the call that the company expects a soft first quarter but will ramp up over the course of the year.