MORGANTOWN — Mylan saw its second quarter 2020 revenue fall 4% compared to the same period last year. North American sale rose by 2% but were offset by declined in its Europe and Rest of World markets, it said in its earnings report released Thursday.
For the full first six months of the year, through June 30, overall revenue rose slightly. Mylan said.
Mylan CEO Heather Bresch commented on the performance in light of the COVID-19 pandemic, adding optimism about the forthcoming union with Upjohn into the new company Viatris, expected to close during the fourth quarter of this year.
“Mylan’s strong results from the first half of the year demonstrate the resilience of our underlying business, even amidst the current environment,” she said. “Mylan also continues to progress toward a successful deal close with Pfizer’s Upjohn business in the fourth quarter of this year, and I’m proud of all that we continue to achieve as Mylan in order to set up the new company for success in 2021 and beyond.”
Mylan President Rajiv Malik commented, “The commitment of our employees, especially our front-line workers, has enabled us to maintain supply continuity and strong customer service levels without any meaningful disruption during the first half of 2020. Through leveraging new technologies and virtual tools, our sales force has provided continual support to meet the needs of healthcare professionals and the patients they serve.”
Mylan’s overall second quarter earnings — for April 1-June 30 — were $2.73 billion, done 4% compared to the same period in 2019. North American sales were $1.04 billion, up 2% from Q1 2019’s $1.02 billion.
Eurpose net sales were $935 million, down 6% from $989.6 million last year. And Rest of World sales were $721.9 million, down 10% from 2019’s $805.2 million.
For the first six months of the year, overall sales were $5.35 billion, up just slightly from 2019′ $5.347 billion. North American sales rose 2%, from $1.946 billion in 2019 to $1.995 billion in 2020.
Despite the second-quarter decline in Europe, six-month revenues remained positive, rising 4%, form $1.885 billion in 2019 to $1.957 billion in 2020. Rest of World sales were down 8%, from $1.448 billion to $1.333 billion.
For the full year 2020, Mylan has lowered the top end of its revenue projections, estimated last quarter to fall in the $11.5 to $12.5 billion range. Now the figure is $11.5 to $12 billion.
“We now expect the overall COVID-19 recovery efforts will occur slower than anticipated and may continue throughout the rest of the year,” Mylan said. “As a result, we expect total revenues, which absorbed a 2% net decline related to COVID-19 in the first half of the year, to have an overall similar negative impact for the second half of the year.”
Mylan partners with another Pfizer subsidiary, Meridian, to manufacture its EpiPen. Mylan said in its report that Mylan, Upjohn and Pfizer had agreed to review and negotiate a transfer Meridian Medical Technologies business to Upjohn, as the current Meridian arrangement expires Dec. 31.
But that has changed. After June 30, Pfizer and Mylan agreed to extend the EpiPen Supply Agreement for an additional four-years, through December 31, 2024, with an option for Mylan or Upjohn to further extend the term for an additional one-year period thereafter.
In Mylan leadership news, Mylan CFO Ken Parks previously announced he would depart Mylan upon closing of the Viatris transaction. Mylan said Thursday that following his completion of the work required under his transition and succession agreement, and his acceptance of a CFO role at another publicly traded company, Parks will depart effective September 1.
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