Teva Pharmaceutical Industries Ltd. (Nasdaq: TEVA; TASE: TEVA) today reported record quarterly revenue as Copaxone sales rose 29% over the corresponding quarter of 2007.
Teva published its results for the second quarter, which showed record net sales of $2.82 billion, an increase of 18% compared with $2.39 billion in the second quarter of 2007. The average analyst expectation had been around $2.68 billion.
Net profit for the second quarter of 2008 totaled $539 million, an increase of 5% over the $515 million for the same period of 2007, while diluted earnings per share increased 3% to $0.65 from $0.63.
The earnings per share figure beat the average analyst estimate of $0.64.
Teva president and CEO Shlomo Yanai said, “Our strong financial results were driven by our product launches in the US, robust sales in the fast-growing international markets, and Copaxone’s continued leadership of the global MS market.”
Global in-market sales of Copaxone reached a record $563 million in the second quarter of 2008, an increase of 29% over the second quarter of 2007. In the US, in-market sales increased by 17% to reach $332 million, while in-market sales outside the US increased by 53% to $231 million.
Psagot investment house analyst Limor Gruber told "Globes", "Copaxone is set to surpass the market share of Biogen Idec's Avonex in the next quarter. We are still waiting for results from Bayer to get a complete picture of the multiple sclerosis drug market."
In North America, Teva now records 100% of the sales of Copaxone. This follows the March 31st termination of a sharing agreement with Sanofi-Aventis. For two years, though, Teva will continue to pay Sanofi 25% of sales.
Global in-market sales of Azilect reached $42 million in the quarter, a 50% increase over the comparable period in 2007. On June 16, 2008, Teva announced top line results from ADAGIO, the phase III study designed to demonstrate that Azilect 1 mg tablets can slow the progression of Parkinson's disease. In the trial, the currently marketed Azilect 1 mg tablets met all three primary end points with statistical significance, and as such, may be the first Parkinson's disease treatment to slow the progression of the disease.
Pharmaceutical sales in North America (including Copaxone) for the second quarter reached $1.505 billion, an increase of 12% over the corresponding quarter of 2007. North American sales accounted for 56% of Teva's total pharmaceutical sales.
Sales in the quarter benefited primarily from the launches of generic Wellbutrin XL and Risperdal during the quarter, as well as sales of other generic products launched in the previous two quarters, coupled both with strong sales of Copaxone.
As of July 23, 2008, Teva had 149 product applications awaiting final FDA approval, including 41 tentative approvals. Collectively, the brand products covered by these applications had annual US sales of approximately $93 billion.
Pharmaceutical sales in Europe, including Copaxone, in the second quarter of 2008 totaled $762 million, accounting for 29% of Teva's global pharmaceutical sales. The sales figure was up 25% compared with the second quarter of 2007. The increase in sales was attributable to strong generic sales in France, Hungary, Poland, and the Czech Republic, increased sales of Copaxone and Azilect, and the weakening of the dollar against European currencies.
Since the beginning of 2008, Teva received in Europe 512 generic approvals relating to 90 compounds in 173 formulations, including 1 EMEA approval which applies to all EU member states. In addition, as of June 30, 2008, Teva had approximately 3,156 marketing authorization applications pending approval in 30 European countries, relating to 220 compounds in 454 formulations, including 3 pending applications with the EMEA.
Pharmaceutical sales, including Copaxone, outside of North America and the EU, including Norway and Switzerland, totaled $400 million in the second quarter. Sales rose 37% compared to the $292 million recorded in the second quarter of 2007. Growth was driven by sales in Russia as well as across Latin America. Approximately 7% of Teva’s total pharmaceutical sales were generated in Latin America (46% of international pharmaceutical sales), while Israel contributed 4% of total pharmaceutical sales (29% of international pharmaceutical sales).
Published by Globes [online], Israel business news - www.globes-online.com - on July 29, 2008
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