Teva profit up on demand for generic, brand drugs
WASHINGTON (AP) — Teva Pharmaceuticals said Thursday its second-quarter profit grew 13 percent on stronger demand for generic and branded medicines in the U.S, where sales increased nearly 50 percent.
The company, the world's largest generic drugmaker, benefited from the launch of four new generic medicines in the quarter, as well as branded drugs recently acquired with the purchase of drugmaker Cephalon. Revenue grew 19 percent to $5 billion.
"The U.S. generics business continued to recover with a positive trend, our global branded division experienced strong growth, and our European generics business, while down from last year's second-quarter results due to macroeconomic conditions, showed solid sequential growth from the first quarter of this year," said Teva CEO Jeremy Levin, in a statement.
The Israeli drugmaker's net income rose to $863 million, or 99 cents per share, from April through Junetar, from $576 million, or 64 cents per share, in the prior year period.
Excluding one-time events and charges the company would have earned $1.28 per share in the latest quarter from $1.10 a year ago.
Analysts polled by FactSet predicted earnings per share of $1.28 on revenue of $5.09 billion.
Sales of generic medicines increased 9 percent to $2.6 billion in the quarter, driven by launches of generic versions of the psychiatric drugs Seroquel, Zyprexa and other medications. Sales of the company's branded medications grew 37 percent to $1.9 billion, led by multiple sclerosis drug Copaxone, which contributed $982 million in sales.
The company kept its adjusted profit guidance for the year of between $5.30 and $5.40 per share, which brackets analysts' estimate of $5.39 per share.
Company shares fell $1.11, or 2.7 percent, to $39.76 in midday trading.