Indivior H1 2017 Financial Results07.27.2017 | PDF Version
Strong H1 2017 Financial Results and FY 2017 Guidance Raised
- H1 2017 net revenue of $553m (H1 2016: $531m) increased 4% on a reported basis (5% at constant FX) primarily due to continued strong market growth in the US that was partially offset by generic competition in more price sensitive payors in the US (Managed Medicaid).
- H1 2017 operating profit of $244m (H1 2016: $198m) increased 23% reflecting higher net revenues and lower expenses (primarily legal and R&D). On an adjusted basis, excluding $25m of exceptional items in the current period and $14m in the year-ago period, H1 2017 adjusted operating profit increased 27% to $269m (Adj. H1 2016: $212m).
- H1 2017 net income was $153m (H1 2016: $107m). On an adjusted basis (excluding exceptional items in both periods), H1 2017 net income increased 25% to $169m (H1 2016: $135m).
- $25m exceptional item booked in Q2/H1 2017 reflecting a legal settlement of antitrust litigation with Amneal Pharmaceuticals LLC (Amneal).
- H1 2017 cash balance of $792m (FY 2016: $692); net cash of $295m (FY 2016: $131m).
- FY 2017 guidance raised, reflecting strong US market conditions, market share resilience of Suboxone® Film and lower expenses (primarily legal and R&D). FY 2017 net revenue now expected to be in a range of $1,090m to $1,120m (previously $1,050m – $1,080m) and adjusted net income of $265m to $285m (previously $200m-$220m) assuming no material changes to current market conditions, excluding exceptional items and at constant FX.
- Raised guidance includes $40m to $60m of previously announced pre-launch investments for late stage pipeline assets that are largely phased to H2 2017.
H1 2017 Operating Highlights
- US market growth in H1 2017 continued at low double-digit percentage levels.
- Suboxone® Film market share averaged 59% in H1 2017 (H1 2016: 61%), exiting Q2 2017 at 57% primarily due to ongoing generic competition in more price sensitive US payors (Managed Medicaid).
- New drug application (NDA) submitted for RBP-6000 buprenorphine monthly depot for the treatment of opioid use disorder (OUD) on May 30th (priority review being sought).
- Development on RBP-8000 (Cocaine Esterase for Cocaine Intoxication) was terminated due to clinical complexity on this relatively small commercial opportunity; R&D efforts on broader stimulant use disorder treatments continue.
- The Group continues in discussions with the Department of Justice about a possible resolution to its investigation. Please see pages five to seven for a complete Litigation Update.
Shaun Thaxter, CEO of Indivior commented:
“We have maintained good business momentum and executed well throughout H1 2017, as underlying market growth in our largest market remains strong. This, combined with lower expenses, has allowed us to generate strong overall H1 2017 results and to raise our FY 2017 revenue and net income guidance. We are also pleased in the quarter to have conclusively resolved outstanding litigation with Amneal, which we believe is in the best interest of shareholders and is another step in resolving the legal risks to our business. More importantly, we achieved a major landmark in securing the long-term future of Indivior: the submission of the NDA for RBP-6000 takes us a critical step closer to making this potentially transformational treatment option available to US patients with moderate-to-severe opioid use disorder.”
To view the full Press Release – Indivior H1 2017 Financial Results
Access the Live Webcast for Indivior’s Half Year 2017 Results Presentation
A live webcast of the half year 2017 results presentation also will take place. The webcast event and materials will be available on the “Investors” section of the company’s website at www.indivior.com shortly before the event begins on July 27th at noon London time (7:00 a.m. U.S. EDT). The webcast link is http://edge.media-server.com/m/p/3hzfgb5o. Participants also may access the half year 2017 results telephonically: US participants 1-646-254-3365; international participants 44(0)20-3427-1916. Please reference confirmation number 5143659. A replay of the presentation will be available at www.indivior.com.
To view the presentation click here.