Mylan Profit Tops Estimates, Sees Full Year Revenue Above View

(RTTNews) - Generic drug maker Mylan Inc. (MYL) Thursday reported higher profit for the fourth quarter, helped by growth in revenues in its Generics as well as Specialty businesses. Adjusted earnings topped wall Street estimates and revenues met expectations. The company guided full year earnings per share in line with analysts' view, while its revenue outlook came above Street projection.

Net earnings attributable to the company's common shareholders increased to $180.23 million from $161.96 million. Earnings per share advanced to $0.45 from $0.39. Adjusted earnings per share was $0.78 while it totaled $0.65 last year. On average, 17 analysts polled by Thomson Reuters expected earnings of $0.75 per share for the quarter. Analysts' estimates typically exclude special items.

Total revenues advanced to $1.808 billion from $1.723 billion in the prior year. Wall Street expected revenues of $1.81 billion.

The effect of foreign currency translation had an adverse impact of 2 percent on total revenues. The contribution from new product launches declined 45 percent to $126 million. Mylan said the North American generics business accounted for majority of the decline as a result of the significant level of new products launched during 2012.

Revenues in the Generics business was 4 percent higher at $1.627 billion. Total third party net sales grew 4 percent with a 7 percent growth each in North America and Europe Middle East and Africa or EMEA. Specialty total revenues advanced to $184.8 million from $172.6 million in the previous year, with strong contribution from the EpiPen Auto-Injector, which increased sales due to favorable pricing and volume.

For 2014, the company expects adjusted earnings of $3.25 to $3.60 per share and revenues in the range of $7.8 billion to $8.2 billion. Analysts look for earnings of $3.38 on revenues of $7.74 billion.

John Sheehan, Mylan's CFO, said, ''As we move into 2014, we expect that our financial flexibility will provide further opportunities to expand our business in strategic areas and create additional value for our shareholders.''

The firm has a target of adjusted earnings per share of at least $6.00 by the end of 2018.

MYL closed up 0.2 percent on Thursday. The stock is up 2.2 percent in pre-market activity.