Valeant Pharmaceuticals Shares Skyrocket After Earnings Beat

10:42 11/07/2017

A multinational pharmaceutical company VRX  shares skyrocket after 2017 Q3 results were announced. Valeant develops and manufactures a broad range of pharmaceutical products in the areas of dermatology, neurology and branded generics.

The highlight of the Third Quarter results was that Valeant significantly reduced their total debt by approximately $6 billion which added up since 2016 Q1. The debt was holding Valeant back from making internal and external investments to better their company.

Revenue for VRX  increased by 1% since 2016 Q3 in the U.S and revenue for the foreign exchange grew by 6%. Revenue grew in the Global Vision Care business by 5% from this time last year. Full-Year revenues increased from $8.65 to $8.80 billion.

More top news that hit the spotlight was the approval from the U.S FDA for a new treatment option for glaucoma, VYZULTA. Other medications like XIFAXAN and APRISO revenue sales grew by 5% and 7% respectively from this time last year.

VRX  looks to strengthen the balance sheet to end the year strong and head into 2018 Q1 stronger than ever before. Valeant recorded GAAP net income of $1,301 million and Adjusted EBITDA (non-GAAP) of $951 million.

Joseph C. Papa, chairman and CEO of Valeant said, “Our strong third-quarter performance demonstrates our continued progress in the turnaround of Valeant. Driven by solid execution and delivering strong organic revenue growth across approximately 77% of our business in the quarter.”

“Valeant is a very different company today that it was a year ago. Under a new management team, we have strengthened our balance sheet and stabilized the Company by simplifying our business and allocating resources more efficiently,” Papa added.

This article has been provided by a Chasing Markets contributor. All content submitted by this author represent their personal opinions, and should be considered as such for entertainment purpose only. All opinions expressed are those of the writer, and may not necessarily represent fact, opinions, or bias of Chasing Markets.
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