Teva Pharma's 4th-qtr financials just misses forecasts

Israel-based Teva Pharmaceutical Industries (NYSE: TEVA) reported results for the fourth quarter 2012, posting non-GAAP operating income of $1.3 billion, down 22% compared to the fourth quarter of 2011. GAAP operating income was $330 million compared to $610 million in the fourth quarter of 2011.

Non-GAAP net income was $1.1 billion and earnings per share of $1.32 in the quarter compared to $1.4 billion and $1.59 in the fourth quarter of 2011, missing by 1 cent consensus analysts’ forecasts. GAAP net income and GAAP EPS were $320 million and $0.37 in the quarter compared to $506 million and $0.57 in the fourth quarter of 2011.  Revenue fell 8% to $5.25 billion, also just short of analysts’ $5.26 billion forecasts.

The decrease is primarily the result of emerging generic competition for Provigil (modafinil), for excess daytime sleepiness, which was acquired along with US biotech firm Cephalon for $6.8 billion (The Pharma Letter May 3, 2011), coupled with lower revenues from new generic launches in the USA in the fourth quarter of 2012, and was partially offset by higher sales of multiple sclerosis drug Copaxone (glatiramer acetate).