Health and Healthcare
Mylan Crashes to Multiyear Low on Missed Earnings
Published:
Last Updated:
Mylan N.V. (NASDAQ: MYL) released its most recent quarterly earnings report before the markets opened on Wednesday. Unfortunately, the earnings and guidance weren’t strong enough to hold up the firm and as a result shares hit a multiyear low in early trading on Wednesday.
The company said that it had $1.10 in earnings per share (EPS) and $2.96 billion in revenue, compared with consensus estimates from Thomson Reuters that called for EPS of $1.16 and $3.04 billion in revenue. The same period of last year reportedly had $1.16 in EPS and revenue of $2.56 billion.
For its business segments, Mylan reported:
- Third party net sales from North America were $1.28 billion for the quarter, a decrease of 9% from last year.
- Third party net sales from Europe were $954.3 million for the quarter, an increase of 59%.
- Third party net sales from Rest of World were $692.6 million for the quarter, an increase of 29%.
In terms of guidance for the 2017 full year, Mylan expects to see EPS in the range of $4.30 to $4.70 and between $11.5 billion to $12.5 billion in revenue. The consensus estimates are $5.12 in EPS and $12.46 billion in revenue for the year.
On the books, Mylan cash and cash equivalents totaled $612.8 million at the end of the quarter, down from $998.8 million at the end of the previous fiscal year.
Heather Bresch, Mylan CEO, commented:
Our industry, along with the entire healthcare sector, is at an inflection point. This is providing investors an opportunity to differentiate between pharmaceutical companies focused solely on generics and/or specialty medicines and those capable of delivering a broad and diverse portfolio across multiple channels in various geographies, which remains Mylan’s strategy.
Shares of Mylan closed Tuesday at $31.79, with a consensus analyst price target of $46.76 and a 52-week range of $31.28 to $49.91. Following the release of the earnings report, the stock was down over 9% at $28.80 in early trading indications Wednesday.
Is Your Money Earning the Best Possible Rate? (Sponsor)
Let’s face it: If your money is just sitting in a checking account, you’re losing value every single day. With most checking accounts offering little to no interest, the cash you worked so hard to save is gradually being eroded by inflation.
However, by moving that money into a high-yield savings account, you can put your cash to work, growing steadily with little to no effort on your part. In just a few clicks, you can set up a high-yield savings account and start earning interest immediately.
There are plenty of reputable banks and online platforms that offer competitive rates, and many of them come with zero fees and no minimum balance requirements. Click here to see if you’re earning the best possible rate on your money!
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
