Mylan Turns To Profit In Q1; Reaffirms 2020 Revenues Outlook

(RTTNews) - Mylan N.V. (MYL) reported that its first-quarter net earnings were $20.8 million or $0.04 per share, compared to a loss of $25.0 million or $0.05 per share for the prior year period.

The company recognized a U.S. GAAP income tax provision of $9.9 million, compared to a U.S. GAAP income tax benefit of $89.5 million for the comparable prior year period.

During the first-quarter ended March 31, 2019, primarily due to the expiration of federal and foreign statutes of limitations, the company reduced its net liability for unrecognized tax benefits by approximately $83.8 million.

Adjusted net earnings increased to $467.2 million from $421.9 million last year.

Total revenues for the quarter grew to $2.62 billion, from $2.50 billion last year. Total revenues include both net sales and other revenues from third parties.

Net sales for the quarter were $2.59 billion, compared to $2.46 billion for the comparable prior year period, representing an increase of $127.6 million, or 5%. The increase in net sales was primarily the result of an increase in net sales in the Europe segment of 14% and an increase in net sales in the North America segment of 4%, which were partially offset by a decrease in net sales in the Rest of World segment of 5%.

The company estimates that overall volume growth in the first quarter of 2020 was favorably impacted by increased customer buying patterns and patient prescription trends resulting from the COVID-19 pandemic, primarily in our Europe segment.

Analysts polled by Thomson Reuters expected the company to report earnings of $0.86 per share and revenues of $2.65 billion for the quarter. Analysts' estimates typically exclude special items.

Mylan reaffirmed its 2020 guidance with total revenues expected to be in the range of $11.5 billion to $12.5 billion, absorbing about $200 million of negative foreign currency exchange impacts versus its previous expectations. Analysts expect revenues of $11.74 billion for fiscal year 2020.

In Monday pre-Market, MYL is trading at $18.04 or up $0.47 or 2.68 percent.