TEL AVIV, Israel--(BUSINESS WIRE)--November 8, 2023--Teva Pharmaceutical Industries Ltd (TEVA, Financial) announced its financial results for the third quarter ended September 30, 2023. The company has reported a robust increase in global revenues, marking a 7% rise to $3.9 billion compared to the same quarter in the previous year. This growth is attributed to the strong performance of AUSTEDO®, AJOVY®, and the global generics business. TEVA's President and CEO, Mr. Richard Francis, emphasized the company's resilience and commitment to delivering medicines globally despite the challenges posed by the recent terror attacks in Israel.
Financial Performance Overview
TEVA's third-quarter results reflect a solid financial performance, with a notable increase in revenue and a revised upward outlook for the year. The company's GAAP diluted earnings per share (EPS) was $0.07, while the non-GAAP diluted EPS was significantly higher at $0.60. The operating cash flow stood at $5 million, and the company achieved a free cash flow of $229 million.
Strategic Developments and Growth Drivers
TEVA's growth has been driven by its strategic "Pivot to Growth" strategy, focusing on key pillars such as growth engines, innovation, sustaining generics, and business focus. The company has made significant progress in executing this strategy, including an exclusive collaboration with Sanofi on Anti TL1-A (TEV-‘574) and accelerated Phase 3 results for Olanzapine LAI (TEV-‘749). Additionally, TEVA has announced a new CEO and management team for Teva api.
Segment Performance
The North America segment reported an 11% increase in revenues, while the Europe segment saw a 7% increase. The International Markets segment experienced a 2% rise in revenues. The growth in these segments was primarily driven by the strong performance of AUSTEDO and AJOVY, as well as stable and sustainable generics business.
Financial Health and Debt Management
As of September 30, 2023, TEVA's debt was $19,974 million, a decrease from $21,212 million as of December 31, 2022. This reduction is mainly due to the repayment of senior notes at maturity and exchange rate fluctuations, partially offset by outstanding amounts under a revolving credit facility.
Outlook for 2023
TEVA has revised its 2023 revenue outlook to $15.1-$15.5 billion, up from the previous estimate of $15.0-$15.4 billion. The company reaffirms its non-GAAP operating income of $4.0 - $4.4 billion, adjusted EBITDA of $4.5 - $4.9 billion, non-GAAP diluted EPS of $2.25 - $2.55, and free cash flow of $1.7 - $2.1 billion.
Conference Call and Additional Information
TEVA will host a conference call and live webcast on November 8, 2023, to discuss the third-quarter results and business environment. The company remains a global leader in generic and innovative medicines, with a portfolio of over 3,500 products across various therapeutic areas.
For more detailed information on TEVA's financial results, including reconciliations of GAAP to non-GAAP figures, please visit www.tevapharm.com.
Explore the complete 8-K earnings release (here) from Teva Pharmaceutical Industries Ltd for further details.
