36 hours after completing the acquisition of Actavis Generis for nearly $40 billion, Teva Pharmaceutical Industries Ltd. (NYSE: TEVA; TASE: TEVA) reported a slight rise in revenue and flat non-GAAP profit for the second quarter of 2016. The results beat the analysts' predictions. In an otherwise unremarkable financial statement, Teva reported rising sales of its flagship product Copaxone, for the treatment of multiple sclerosis.
Teva's revenues in the second quarter of 2016 amounted to $5.0 billion, up 1% compared with the second quarter of 2015. Excluding the impact of foreign exchange fluctuations, revenue increased 4%.
Non-GAAP net profit was $1.2 billion ($1.25 per share) compared with $1.2 billion ($1.43 per share) in the second quarter of 2015. Non-GAAP EPS adjusted to exclude the December 2015 equity offerings was $1.43.
Teva was kept on an even keel by 9% rise in revenue from branded drugs - $2.27 billion compared with $2.09 billion in the corresponding quarter of 2015. Despite generic competition and the availability of oral treatment for Multiple Sclerosis, sales of Copaxone in the second quarter rose 8% to $1.14 billion from $1.05 billion in the corresponding quarter.
Teva CEO Erez Vigodman said, “We are pleased with our performance this quarter and the steps we are taking to transform our business, notably the recent completion of our acquisition of Actavis Generics and the proposed purchase of Anda Inc. We have brought together two leading businesses with complementary strengths, R&D capabilities, product pipelines and portfolios, geographical footprints, operational networks and cultures. The result is a stronger, more competitive Teva, well positioned to thrive in an evolving global marketplace."
He added, “Going forward we are focused on the integration of Actavis Generics, delivering on our operational and financial targets and on the ongoing development and commercialization of the more than 35 innovative products in our pipeline. We plan to use our strong cash flow to pay down debt and continue to invest in attractive specialty products. We are excited about our future and our ongoing pursuit to increase access to important medicines for patients around the world."
Published by Globes [online], Israel business news - www.globes-online.com - on August 4, 2016
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