Viatris forecasts strong 2024 sales on higher demand for branded drugs

Idorsia

28/02/2024 13:19

Feb 28 (Reuters) - Drugmaker Viatris  VTRS.O  forecast
annual revenue above Wall Street estimates on Wednesday, banking
on strong demand for its branded drugs such as Yupelri for lung
disease and Breyna for asthma.
    The company said it expects 2024 revenue to be in the range
of $15.25 billion to $15.75 billion, the midpoint of which is
above analysts' average expectation of $15.30 billion, according
to LSEG data.
    Viatris was formed with the merger of Mylan and Pfizer's
 PFE.N  Upjohn business and has generic and key branded drugs in
its portfolio, including erectile dysfunction drug Viagra,
anti-anxiety medication Xanax, epilepsy treatment Lyrica and
arthritis treatment Celebrex.
    CEO Scott Smith said Viatris would focus on growing its base
business, which consists of its generic and branded drugs
portfolio, this year, including through research partnerships
such as its deal with Switzerland-based biotech Idorsia  IDIA.S 
that was announced earlier on Wednesday.
    Under the deal, Viatris would gain access to Idorsia's
experimental treatments for an autoimmune disease and a heart
disease, both of which are in late-stage development.
    Last year, Viatris had agreed to divest some of its units —
over-the-counter (OTC) drugs, active pharmaceutical ingredients
and women's health businesses.
    The divestitures are expected to be completed in the first
half of this year and Viatris would retain the rights to Viagra,
nasal spray Dymista and some other OTC products in certain
markets under the agreements.
    "We await more color as the company deploys capital over the
coming quarters," said J.P.Morgan analyst Chris Schott.
    Viatris posted a net loss of 64 cents per share for the
fourth quarter, compared with a profit of 83 cents a year ago.
    The Canonsburg, Pennsylvania-based company reported revenue
of $3.83 billion for the quarter, compared with analysts'
estimate of $3.87 billion.
    

 (Reporting by Sneha  S K; Editing by Shilpi Majumdar)
 ((Sneha.SK@thomsonreuters.com;))