Controversial drugs firm Valeant Pharmaceuticals Intl Inc (NYSE:VRX, TSE:VRX) saw its revenue fall for the third quarter in a row at the end of 2016.
The company, which has shed four-fifths of its market value over the last year after a string of profit warnings and earnings restatements, saw its shares slide 5.2% to US$15.84 in pre-market trading after its fourth quarter results were revealed.
Fourth quarter revenues fell to US$2.40bn from US$2.76bn in the same quarter of last year.
A fall in product sales were largely responsible for the decline, while a 3% fall in prices did not help either.
Adjusted underlying earnings (EBITDA) clocked in at US$1.05bn, down from US$1.37bn in the final quarter of 2015.
Adjusted net income of US$441mln, was down from US$542mln the previous year. Adjusted earnings per share slipped to US$1.26 from US$1.55 the previous year, but were ahead of the US$1.19 the market had been expecting.
“We announced financial results that delivered on expectations and demonstrated our commitment to creating the new Valeant,” said Joseph Papa, who is not only chairman but also chief executive officer of Valeant.
“We paid all 2017 amortizations and reduced debt by US$519 million in the fourth quarter. We agreed to divest a number of assets, including several skincare brands, our Dendreon business and smaller international interests. The US Food and Drug Administration (FDA) approved our new psoriasis treatment, SILIQ, and we resubmitted our glaucoma treatment, latanoprostene bunod in February 2017,” Papa said.
“We are well poised for a turnaround in 2017; we have a lot to look forward to and are excited about the future,” he claimed.
Story by ProactiveInvestors