The Generics segment
As we’ve already seen, Mylan’s (MYL) 3Q16 revenues were mainly driven by a 17.0% rise in sales for its Generics segment. The segment reported $2.6 billion in 3Q16 compared to $2.2 billion in 3Q15.
Mylan’s Generics segment develops, manufactures, and distributes generic products across the United States, Canada, Europe, India, and other emerging markets. The company reports revenues for generic products based on the region of sales. Let’s take a look at those regions.
North America region
Since January 2016, Mylan has included operations in Brazil in its North America region. It has classified its revenues from third-party sales in the United States, Canada, and Brazil collectively as revenues from the North America region.
In 3Q16, the company reported net sales of $1.1 billion from its North America region. That was a 1.0% rise compared to 3Q15.
The rise in revenues for 3Q16 was driven by new products launched over the last 12 months. Revenues were partially offset by lower prices and lower sales of Mylan’s established products.
In 3Q16, Mylan reported net sales of $842.0 million from European markets. That a 34.0% rise compared to 3Q15. Revenue growth in 3Q16 was driven by an increase in volumes of new products and established products. To an extent, growth was also driven the favorable impact of foreign currency.
Rest of the world
Mylan has classified its revenues from third-party sales in India, Japan, New Zealand, Japan, and other emerging markets as “rest of the world.” It reported net sales of $670.0 million from this region in 3Q16, a 25.0% rise over 3Q15.
The rise in revenues was mainly due to the acquisition of Meda in August 2016 and increased sales of new products. Revenues were partially offset by lower prices and sales volumes for emerging markets.
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