U.S. Diversified Products’ revenue trends
In 1Q18, Valeant Pharmaceuticals’ (VRX) U.S. Diversified Products segment reported net revenues of $299.0 million compared to $346.0 million in 1Q17. This trend represents an ~14.0% decline on a year-over-year (or YoY) basis and an ~11.0% decline quarter-over-quarter. In 1Q18, Valeant Pharmaceuticals’ U.S. Diversified Products segment reported a gross profit and gross margin of $250.0 million and 84.0%, respectively, compared to $297.0 million and 86.0% in 1Q17.
In 1Q18, Valeant Pharmaceuticals’ U.S. Diversified Products reported non-GAAP (generally accepted accounting principles) EBITA (earnings before interest, taxes, and amortization) and EBITA margin of $225.0 million and 75.0%, respectively, compared to $266.0 million and 77.0% in 1Q17.
Segment revenue trends
In 1Q18, Valeant’s U.S. Diversified Products’ Neurology and Generics units reported revenues of $209.0 million and $90.0 million, respectively, compared to $243.0 million and $85.0 million in 1Q17 for an ~14.0% YoY decline and 6.0% YoY growth.
Performance of top products
In 1Q18, Wellbutrin, Syprine, and Isuprel reported revenues of $62.0 million, $18.0 million, and $17.0 million, respectively, which reflected ~27.0% growth, an ~10.0% decline, and an ~55.0% decline on a YoY basis.
Sales team expansion and the introduction of a telesales program pushed the revenue growth of Wellbutrin in 1Q18. In the marketplace, Wellbutrin faces competition from Allergan’s (AGN) Viibryd, Pfizer’s (PFE) Effexor, and Novartis’ (NVS) Ritalin.
In 1Q18, Valeant Pharmaceuticals’ U.S. Diversified Products Cuprimine, Mephyton, and Xenazine reported revenues of $16.0 million, $14.0 million, and $14.0 million, respectively, compared to $20.0 million, $17.0 million, and $29.0 million in 1Q17. These metrics represented respective declines of ~20.0%, ~18.0%, and ~52.0% on a YoY basis.