Dublin, Ireland-based Allergan plc AGN is engaged in the development, manufacturing, marketing, sale and distribution of branded, biosimilar and over-the-counter (OTC) pharmaceutical products.
Allergan has been actively pursuing deals to expand its portfolio especially its branded products offering. Having completed the acquisition of companies like Durata and Forest, Allergan acquired Botox maker, Allergan Inc., in Mar 2015. With this acquisition, Allergan, which was previously known for its strong presence in the generics market, finds itself in the company of the top 10 pharmaceutical companies across the world based on sales.
Allergan has been in the news with the company confirming early discussions with Pfizer regarding a potential business combination.
Allergan’s earnings track record is strong with the company delivering positive earnings surprises in three of the last four quarters with an average surprise of 4.98%. Estimate revisions are positive with analysts upping their estimates for 2015 and 2016. Allergan, which has entered into a deal to sell its generics business to Teva, is reporting the generics segment as discontinued operations from the third quarter.
Currently, AGN has a Zacks Rank #4 (Sell), but that could definitely change following the company’s earnings report which was just released. We have highlighted some of the key stats from this just-revealed announcement below:
Earnings Beat: AGN’s third quarter earnings of $3.48 per share were well above our consensus estimate of $3.20 per share.
Revenues Fall Short: Allergan posted revenues of $4.088 billion, just shy of consensus estimates of $4.092 billion.
Key Stats: Branded products like Botox, Restasis and Namenda XR brought in sales of $604.5 million, $328.3 million and $214.5 million, respectively.
The company announced a licensing agreement with Mimetogen for the treatment of dry eye disease and an agreement to acquire Northwood Medical Innovation Ltd, the developer of earFold, a medical device for the correction of prominent ears, with or without asymmetry, in patients aged 7 years and above.
Meanwhile, Allergan said that it will not be issuing any guidance considering the preliminary friendly discussions with Pfizer regarding a potential business combination transaction.
Pre-Market Trading: Allergan’s shares were up 1.44% in pre-market trading.
Check back later for our full write up on this AGN earnings report later!
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