As Teva grapples with competitive pressures and currency exchange woes, the company posted a sizable sales decline in the first quarter.
The Israeli generics giant reaped revenues of $3.66 billion, down 8% from $3.98 billion during the same period last year. After the performance, the drugmaker cut its revenue guidance for the full year.
“While easing of COVID-19 related restrictions has led to positive momentum in our European business, we are seeing fluctuations of foreign exchange rates,” President and CEO Kåre Schultz said on a Tuesday conference call.
Generic products garnered $899 million, a 15% decrease versus the same period last year. Teva attributed the decrease to increased competition but said its generic version of Bristol Myers Squibb's myeloma multiple product Revlimid has started to contribute toward sales.
In all, the company's first-quarter haul missed Jefferies analysis predictions by approximately $80 million.
Copaxone, used to treat multiple sclerosis, delivered $168 million in global sales, with its revenues falling sharply on both sides of the Atlantic thanks to rival products and generics.
With the first-quarter results in hand, Teva cut its full-year revenue guidance to $15.4 billion to $16 billion from a prior range of $15.6 billion to $16.2 billion. The company trimmed $100 million from its Copaxone outlook and is now expecting $750 million from the drug.
As for Austedo, the company's tardive dyskinesia treatment, that drug delivered $154 million in North American sales during the first three months of the year. Teva expects $1 billion from the drug this year, but Jefferies analysts think the guidance "feels aggressive."
Meanwhile, Teva is still embroiled in sprawling opioid litigation. Last month, the company settled with attorneys general in Rhode Island and Florida. West Virginia and San Francisco are pursuing their own claims, with bench trials expected to wrap up in late May and July, respectively.
Teva expects to spend around $2.6 billion in cash and overdose drugs to resolve the complex web of litigation, Reuters reports.
And while Teva is working to cut debt, execs said that burden still stands at $20.7 billion.