Mayne Pharma’s revenue has slipped nine per cent this financial year, but the pharmaceutical group’s earnings are better thanks to lower costs.

Mayne chief executive Scott Richards told the company’s annual general meeting on Tuesday that revenue to the end of October was $140 million.

The revenue drop on the same period last year was due to a stronger Aussie dollar and weaker sales of generic products.

Mayne receives 90 per cent of its revenue from the US.

Yet the sales slip has been offset by a 20 per cent reduction in operating expenses following a restructure last financial year.

This meant underlying earnings before interest, tax, depreciation, interest and amortisation were marginally better than the same period last year, according to Mr Richards.

Sales revenue from generic products fell 10 per cent for the period to $US55 million ($A75.2 million). Mayne has been unable to introduce new products this financial year, but has five ready for the second half.

Specialty brands revenue was down three per cent to $US17 million ($A23.2 million).

Contract services revenue was steady at $US17 million ($A23.2 million), while international sales gained 11 per cent to $A15 million.

Looking ahead, Mr Richards was hopeful the US will approve Mayne’s oral contraceptive, Nextstellis, by about April.

The product contains estrogen and, if approved, would be the first new estrogen in the US for contraceptive use in 50 years.

The business has a sales target of $US200 million ($273.4 million) in the US for Nextstellis.

Regulators in Australia, Canada and Europe are also assessing the contraceptive.

Earlier, chairman Roger Corbett started his address on a sombre note.

“I would like to express my disappointment in the performance of Mayne Pharma and in the share price, which has fallen significantly over the last four years,” he said.

Shares briefly fetched more than $2 per share in 2016, but have traded at about 40 cents per share in 2020.

Mr Corbett said the board and management were significant shareholders and were highly motivated to turnaround performance.

He reiterated his intention to retire from the board after almost 10 years in the top job.

Mr Corbett, who held top roles with Woolworths, Fairfax Media and other organisations, will retire within 12 months.

The company will appoint a US-based chair to replace him.

Fellow director Bruce Mathieson will also depart.

Mr Richards is based in the US due to its importance to the company.

Mayne will also appoint a deputy chair, who will be based in Australia.

Shares were higher by 0.5 per cent to 36 cents at 1501 AEDT.