Viatris raises annual profit forecast on branded drug strength

Viatris

06/08/2026 12:54

Aug 6 (Reuters) - Viatris VTRS.O raised its annual adjusted profit forecast on Thursday after beating Wall Street estimates for second-quarter revenue and profit, helped by strong branded drug sales and growth in China, sending its shares up nearly 2% in premarket trading.
The drugmaker, which makes both generic and branded drugs, posted total revenue of $3.76 billion, up 5% from a year earlier and above estimates of $3.66 billion.

Here are the details:
Revenue for its branded drugs unit, the company's main revenue driver, rose 6% to $2.42 billion during the quarter.
Sales at its Greater China business rose 21% to $713.8 million, compared with $588.9 million a year earlier. 
The company manufactures both generic and branded drugs, including popular medicines such as erectile dysfunction treatment Viagra, anti-anxiety drug Xanax, epilepsy medication Lyrica and arthritis treatment Celebrex.
It posted an adjusted profit of 69 cents per share for the quarter ended June 30, compared with the estimate of 60 cents.
Viatris now expects annual revenue of $14.55 billion to $14.95 billion, compared with its previous expectation of $14.45 billion to $14.95 billion.
The company now expects adjusted annual earnings in the range of $2.45 to $2.59 per share, compared with its previous projection of $2.33 to $2.47 per share.
The drugmaker faces manufacturing setbacks at its India operations, including a fire at its Nashik, Western India plant, and mounting competition in generics, which have fueled concerns over growth and the resilience of its core business.
The company said it currently anticipates the impact of Nashik product supply disruptions to be between $100 million and $150 million on total revenues in the second half of 2026.
Viatris said it has sold global product rights to its dry-eye treatment Tyrvaya to Harrow HROW.O. Viatris will receive $30 million and an additional $70 million tied to milestones.


 (Reporting by Padmanabhan Ananthan in Bengaluru; Editing by Tasim Zahid)
 ((Padmanabhan.Ananthan@thomsonreuters.com;))