Mylan's (MYL) net profit rose 11% to $180.2M as double-digit growth at the company's specialty segment and in its foreign generics business counter-balanced a 45% drop in revenue from new products following approval delays.
Gross margin increased to 44% from 43.1%.
Projects 2014 EPS of $3.25-3.60 vs consensus of $3.38 and revenue of $7.8-8.2B vs $7.75B.
Mylan expects to make another "substantial transaction" this year, although the company didn't provide details.
Mylan (MYL -1.7%) is suffering through a rough session, underperforming both the broad market and the NASDAQ Biotech Index.
Earlier, Morgan Stanley downgraded the shares to Equalweight from Overweight and removed a $41 price target.
Although analyst David Risinger believes the "long-term growth outlook remains robust [thanks in part to] a compelling pipeline of high-value, limited competition opportunities in the U.S.," he steps to the sidelines, saying the "market now better appreciates the strength and durability of Mylan's global platform."
Mylan (MYL +4.6%) hits another fresh high as the FDA's guidance regarding generic versions of Glaxo's (GSK) Advair strikes optimism that the generic-drug maker will one day get clearance to sell its own soon.
Up to now, no generic competitor to Advair has emerged because it's been unclear what would be required by regulators in order to win approval.
The FDA’s new guidelines now make it possible for Advair rivals to hit the market by 2016 or 2017.
MYL is considered one of the most viable companies to develop an Advair competitor.
Mylan (MYL +1.3%) says its proposed acquisition of the Agila injectables businesses from Strides Arcolab has received approval from India's Foreign Investment Promotion Board.
The deal also received approval from the Cabinet Committee on Economic Affairs.
The approval comes as a relief for MYL, as India had frozen the deal earlier this year, and was considering a change to its foreign investment laws to protect the country's supply of cheap, lifesaving drugs.
More on Mylan (MYL): Q1 misses on top line estimates as net earnings fell 17% Y/Y amid acquisition-related expenses and other items. The generic-drug maker reported modest growth for the quarter, thanks to its specialty business which posted revenue growth of 22% to $226.6M. Generics revenue was flat at $1.41B, as growth in its EMEA segment and its Asia Pacific business was offset by declines in North America. Gross margin rose slightly to 42.5% from 42.3%. Shares -3.4% AH.
The FDA approves Raptor Pharmaceuticals' (RPTP +11%) Procysbi, a delayed-release version of Mylan's (MYL -0.1%) Cystagon. The drugs treat nephropathic cystinosis. RPTP could see revenues of $77M in 2015 from the drug, Bloomberg says.
Mylan (MYL) acquires Agila Specialties, a developer, manufacturer and marketer of high-quality generic injectable products, from Strides Arcolab for $1.6B in cash. The acquisition significantly expands MYL's global injectables platform and will provide entry into new high-growth geographic markets. The acquisition is expected to close in Q4 of 2013 should be immediately accretive to earnings. Shares +1.8% AH.
Mylan (MYL +1.5%) says it's board has approved a buyback of up to $500M in common stock. The news follows an earlier report that Moody's had upgraded the company's credit ratings to Baa3 from Ba1 and that S&P raised its credit rating to BBB- from BB+.