Allergan Reports Flat Sales in Second Quarter, But Raises Forecasts for Full Year 2019

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DUBLIN—Allergan plc (NYSE: AGN) reported Tuesday that second quarter GAAP revenue totaled $4.09 billion, a 0.8 percent decline from the year-ago period, but after excluding the impact of currency exchange impact revenues rose 1.2 percent in the quarter. The company also reported a GAAP operating loss in the second quarter of $1.26 billion, including the impact of impairments. This compares with an operating loss of $467 million in the year-ago period.Allergan is in the midst of being acquired by AbbVie Inc. in a deal valued at $63 billion, as VMAIL reported.

The company raised its guidance for full-year 2019 revenue (GAAP basis) to a range of $15.4 billion to $15.6 billion, while reaffirming previous guidance for 2019 net income.

Allergan said sales in the second quarter were driven by the “growth in top promoted products,” including Botox, Vraylar, Juvederm Collection, Lo Loestrin and Ozurdex.

“In the second quarter of 2019, Allergan delivered steady growth in our key products,” chairman and chief executive officer Brent Saunders said in the announcement, noting that the medication Bimatoprost SR for glaucoma continues to advance through the regulatory process. “Our second quarter results demonstrate the continued momentum in our business and our focus on customers.”

In the U.S. market, Allergan said dry eye treatment Restasis recorded net revenue in the second quarter of $310.9 million, a decrease of 2.3 percent, whiles sales of Alphagan/Combigan totaled $91.6 million in the quarter, a decline of 6.6 percent versus the year-ago quarter. Net revenue for Ozurdex were $29.9 million, an increase of 8.3 percent.

While Restasis overall worldwide sales of $322.8 million represented a 3.4 decline in the second quarter, the total was significantly higher than the analysts’ estimates of $211.75 million, according to a report. Restasis faces impending competition from cheaper generic versions, but delays in launching these dry eye drugs have benefited Restasis over the past few quarters.