Mylan's Stock Surges After Profit And Sales Beat Expectations

By Tomi Kilgore Markets MarketWatch Pulse

Shares of Mylan N.V. shot up 7.2% in premarket trade Wednesday, after the drug maker reported fourth-quarter profit and sales that beat expectations. Net earnings rose to $417.5 million, or 78 cents a share, from $194.6 million, or 38 cents a share, in the same period a year ago. Excluding non-recurring items, such as one-time tax adjustments and litigation settlements, adjusted earnings per share came to $1.57, above the FactSet consensus of $1.42. Total revenue grew 31% to $3.27 billion from $2.49 billion, beating the FactSet consensus of $3.17 billion, as North America sales rose 22% and Europe sales increased 50%. For 2017, Mylan expects adjusted EPS of $5.15 to $5.55, surrounding the FactSet consensus of $5.33. "With regard to the pricing environment, we continued to see erosion both globally and in U.S. generics in the mid-single digits which was in line with our expectations, and we continue to expect a comparable environment in 2017 given the breadth and make-up of our global portfolio," said President Rajiv Malik. The stock has rallied 16% over the past three months through Tuesday, while the S&P 500 has gained 7.9%.

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