Teva Pharmaceuticals (NYSE: TEVA) reported its fourth quarter financial results on Thursday and missed estimates for both revenue and earnings. Teva shares were trading 11% lower at the opening bell.
For the fourth quarter, Teva reported earnings of USD 53 per share on revenue of USD 4.55 Billion. FactSet analysts expected earnings of USD 55 cents per share on revenue of USD 4.57 Billion.
Teva’s revenue fell by 16% year-over-year, mainly due to its generic competition to COPAXONE. The pharmaceutical company said that it witnessed a decline in revenue for its generic business in the U.S. as well as a loss of revenues following the divestment of certain products and discontinuation of certain activities.
Quarterly sales for COPAXONE fell by 44% to USD 356 Million from USD 641 Million a year ago. ProAir sales fell by 56% to USD 45 Million from USD 102 Million. QVAR sales by 81% to USD 9 Million from USD 48 Million.
Teva did see strong growth its AUSTEDO and Anda sales. AUSTEDO reported sales of USD 68 Million, which increased by 314% from USD 17 Million a year earlier. Anda sales grew by 26% to USD 363 Million from USD 289 Million.
In the recent years, Teva has been struggling with its debt, competition, and weaker prices for generic drugs. The Company decided to restructure itself by laying off employees and divesting segments and products.
"Looking ahead, we continue to expect that 2019 will be the trough for our business, a year in which we will experience similar challenges to those of 2018 including the continued erosion of COPAXONE in the U.S. and Europe as well as the introduction of generics in the ProAir® market. Throughout the year, we will continue to execute against our restructuring plan goals, including the optimization of our global portfolio and network, as we focus our efforts on generating cash to reduce the company's debt." said Kåre Schultz, Teva’s President and Chief Executive Officer.
For fiscal 2019, Teva is forecasting earnings between USD 2.20 to USD 2.50 per share on revenue in the range of USD 17 Billion to USD 17.4 Billion. FactSet consensus forecasts earnings of USD 2.84 per share on revenue of USD 18.06 Billion.