UPDATE 2-United Drug says Q1 trading on track for 2010
* Irish medicine price fall to hit revenue
* First quarter trading good across group
* Shares flat (Updates with analyst, share price)
DUBLIN, Feb 9 (Reuters) - Irish healthcare services company United Drug said trading had been good in the quarter to Dec. 31, and the parts of its business that performed below expectations in 2009 were now in line with budget.
The company repeated that it expected full-year profit before tax for the year ending September 2010 would be broadly in line with 2009 on a constant currency basis.
The company's share price was flat at 2.20 euros by 1021 GMT, broadly in line with the main market index .ISEQ.
The supplier of drugs and medical equipment to pharmacies, hospitals and dentists said a 40 percent reduction in the price of off-patent drugs under a new agreement on medicine in Ireland would impact revenues this year.
It said the drop in prices, together with investment in the new UK-based joint venture with U.S. pharmacy benefit manager Medco Health Solution Inc (MHS.N), would see profits for the year to Sept. 30 broadly in line with the prior year.
The Dublin-based group reported profit before tax of 53.1 million euros ($72.54 million) for 2009. Four analysts surveyed by Thomson Reuters I/B/E/S forecast full-year profits for 2010 of 57.8 million euros.
"Profits across its non-Irish speciality service units are growing and will partly offset the impact of the manufacturer price reductions on the Irish wholesale business," Davy Research said in a note. (Reporting by Padraic Halpin and Barbara Lewis; editing by Will Waterman and Hans Peters) ($1=.7320 Euro)
