Massachusetts-based Sepracor Inc. reported a sharp decrease in its third quarter profits compared to the same period last year, due in part to a decline in sales of its insomnia drug Lunesta, and lower reimbursement rates from Medicare for asthma treatment Xopenex.

Net income fell to $ 19.4 million dollars, or 17 cents a share, from $ 39.7 million dollars, or 34 cents a share, a year ago.

Revenue rose 9.6 percent to $ 307.7 million dollars. Sales of its insomnia drug Lunesta slipped nearly 4 percent to $ 154.7 million dollars, and combined sales of its Xopenex drugs fell 11 percent to $ 96.4 million dollars.

Sepracor has been hurt over the past year by of a reduction in the level of government reimbursement for Xopenex and increased competition to Lunesta.

The company forecast full-year earnings per share, excluding items, of $ 1.27 to $1.47 on revenue of $ 1.275 billion to $1.325 billion dollars.