Teva Pharmaceutical Industries Ltd. (NYSE: TEVA; TASE: TEVA) today reported its results for the second quarter of 2020 with earnings per share higher than the analysts' consensus and revenue as forecast.
Revenue in the second quarter of 2020 was $3.870 billion, down 7%, or 5% in local currency terms, compared with the second quarter of 2019. Tev said the decrease was mainly due to lower revenue from generics, OTC and Copaxone in all regions and lower revenues from Qvar and Bendeka/Treanda in North America, as well as reduced demand for certain products due to the Covid-19 pandemic. These declines were partially offset by higher revenue from Austedo, Anda and Ajovy in the US.
North American sales of migraine treatment Ajovy climbed 50% to $34 million and sales of Huntington's treatment Austedo rose 67% to $161 million. But North American sales of multiple sclerosis drug Copaxone were down 13% to $238 million.
GAAP net profit in the second quarter was $140 million ($0.13 per share) compared with GAAP net loss of $689 million ($0.63 per share) in the corresponding quarter of 2019. Non-GAAP net profit in the second quarter of 2020 was $605 million ($0.55 per share) compared with $653 million ($0.60 per share) in the second quarter of 2019.
Teva reiterated its full year 2020 outlook of non-GAAP earnings per share of $2.30-$2.55 and revenue of $16.6-$17 billion. Analysts expect earnings per share of $2.50 and $16.8 billion revenue.
Teva president and CEO Kåre Schultz said, "As the Covid-19 pandemic continues to impact the globe, Teva remains focused on our patients and communities while continuing to take robust measures to safeguard the health and well-being of our employees. During the quarter, we experienced lower sales of our generic and OTC products in all regions. The lower generics and OTC sales in Europe and international markets were in line with our expectations, after the unusually high demand seen in the prior quarter due to the initial response to the pandemic. Our performance in the first half of the year, however, matched or exceeded that of the similar period last year. Our profitability - and in particular our free cash flow - were strong, allowing us to continue to reduce our net debt to $23.9 billion and to reaffirm our 2020 outlook."
Published by Globes, Israel business news - en.globes.co.il - on August 5, 2020 © Copyright of Globes Publisher Itonut (1983) Ltd. 2020