Excellent third quarter for Valeant
Monday, November 3 2014 | 00 h 00 min | Financial News
Quebec-based Valeant Pharmaceuticals, owner of Bausch + Lomb, among others, recorded its second best quarterly results since it was founded in 1960.
The company reported C$2.36 billion in revenue for its third quarter in 2014, compared with C$1.69 billion for the same period in 2013. But profits were even more dramatic: net income was C$309.5 million in the third quarter of 2014, compared with a loss of C$1.09 billion a year earlier.
Valeant’s revenues in contact lenses rose by 82% in a year. In total, Bausch + Lomb organic growth was 12%.
Valeant directly alluded to Allergan’s attacks, saying that these outstanding results illustrate the strength of its business model. Since Valeant first started trying to acquire Allergan, the latter has continually publicly criticized Valeant’s business model. Prior to Valeant releasing its results, Allergan even posted online a 30-page document, describing the points on which investors should evaluate the pharmaceutical company’s performance. The document has since been withdrawn.
Valeant CEO Michael Pearson stated in a conference call that they “have shown through performance that all the allegations made by Allergan are just wrong,” according to La Presse. In the same breath, he said he was ready to sit down with Allergan executives and increase the hostile bid offer, presently evaluated at about C$50 billion.
