2nd May 2018 08:59
LONDON (Alliance News) - Drugmaker Indivior PLC on Wednesday said net revenue and operating profit fell in the first quarter of the year, though it retained its full-year guidance in the absence of a new generic competitor.
The stock was up 1.6% at 468.20 pence early Wednesday in London.
"Indivior's performance in the first quarter of 2018 was in-line with our expectations and puts us on track to deliver our full year financial guidance," said Chief Executive Shaun Thaxter.
"As we highlighted in February, this year's performance is likely to be weighted towards the second half as a result of prior year comparisons and the expected timing of uptake of SUBLOCADE," Thaxter added.
The company said net revenue for the quarter ended March 31 fell 4% to USD255.0 million, down 6% at constant exchange rates, with operating profit dropping 9% to USD116.0 million, or 11% at constant currencies. Pretax profit fell to USD111.0 million from USD117.0 million.
Net income, however, rose 18% both at actual exchange rates and constant currencies to USD93 million.
Adjusted operating profit fell 23% at actual rates to USD99 million from USD128 million, down 24% at constant currencies, as adjusted net income declined 3% to USD78 million from USD80 million, 5% lower at constant rates.
The decrease in net revenue reflected a "continuation of US market dynamics" for SUBOXONE Film, with "solid market growth and price improvement" offset by generic tablet competition and unfavorable channel mix.
This decline in revenue knocked profit, which also was hit by the planned increase in investments for the launch of SUBLOCADE and the anticipated launch of RBP-7000.
"These items were partly offset by lower administrative expenses and the phasing of R&D expenditures to the second half of 2018," Indivior said.
SUBLOCADE - a once-monthly buprenorphine extended release injection delivery system for the treatment of moderate to severe opioid use disorder - was launched in the US during the final week of February, Indivior said, and is progressing well with positive patient and physician feedback and strong initial payor coverage.
Indivior reaffirmed its full-year guidance of net revenue between USD1.13 billion and USD1.17 billion and net income between USD290 million to USD320 million.
"Guidance assumes no material changes in market conditions in the US, chiefly that an 'at risk' launch of a generic buprenorphine/naloxone film product will not take place during the year," Indivior said.
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