Newport Pharmaceuticals International Inc. said it had a fiscal 1987 third-quarter loss of $536,000, compared with net income of $116,000 a year earlier. Revenue for the period ended Jan. 31 was $2.1 million, down 33% from $3.1 million in sales a year earlier.
Sales in last year's fiscal third quarter were inflated by an inventory buildup by Newport's Mexican licensee, a spokeswoman for the company said.
For the first nine months of its fiscal 1987, the company reported a net loss of $790,000, compared with nine-month losses of $377,000 a year earlier. Revenue for the first three quarters of $7.1 million was down 6.6% from $7.6 million in the first nine months of fiscal 1986.
The Newport spokeswoman said the company's losses were caused by a drop in sales and an increase in general and administrative expenses--primarily because of changes in senior management that resulted in overlapping salary and benefit costs, and increases in outside consulting expenses.