Valeant Says Specialty Pharmas Accounted For 7.2% Of Year-to-date Revenue

Valeant Pharmaceuticals International Inc. said specialty pharmacies accounted for 7.2% of its net revenue in the year to date. In a slide presentation released as part of an investor call to address questions about its accounting practices following allegations of revenue-recognition improprieties, the company said Philidor, a specialty pharmacy company at the heart of the allegations, accounted for 5.9% of its year-to-date net revenue. Philidor is a separate limited liability legal entity and is fully independent of Valeant, although the two have had a collaboration since 2013, the company said. "We do not own or control Philidor," it said. But the company has an option to acquire Philidor for an upfront payment of about $100 million and milestone payments of up to $133 million, which it acquired to ensure that the company remain focused on its business.