Breaking down Allergan’s Business Segments in 3Q17



Allergan’s segments

Allergan (AGN) has restructured its business over the past few years, and its business is now classified into the following three business segments:

  • US Specialized therapeutics
  • US General medicine
  • International
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US Specialized Therapeutics

AGN’s US Specialized Therapeutics segment includes revenues from the US sales of eye care, medical aesthetics, medical dermatology, neuroscience, and urology products.

The segment’s revenues rose 18.7% YoY (year-over-year) to $1.72 billion in 3Q17, compared with $1.45 billion in 3Q16. This growth was driven by new acquisitions and the increased sales of key brands.

US General Medicines

This segment includes revenues from the US sales of central nervous system, anti-infectives, women’s health, gastroenterology, diversified brands, and other products.

The segment’s revenues rose 0.6% YoY to $1.50 billion in 3Q17, compared with $1.49 billion in 3Q16. This growth was driven by the increased sales of Linzess, Lo Loestrin, and Vraylar.


This segment includes revenues from sales outside of US markets, including eye care, medical aesthetics, Botox therapeutics, and other products. This segment’s revenues rose 15.8% YoY to $808 million in 3Q17, compared with $698 million in 3Q16. This included a 13.7% rise in revenues at constant exchange rates and a 2.1% positive impact of foreign exchange during 3Q17.

Notably, the iShares US Pharmaceuticals ETF (IHE) has 4.4% of its total investments in Allergan (AGN). IHE also has 9.0% in Pfizer (PFE), 7.0% in Merck (MRK), and 6.3% in Eli Lilly (LLY).


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