Endo International (ENDP) Tops Q4 EPS by 17c, Revenues Beat; Provides FY20 EPS/Revenue Outlook
Endo International (NASDAQ: ENDP) reported Q4 EPS of $0.74, $0.17 better than the analyst estimate of $0.57. Revenue for the quarter came in at $764.8 million versus the consensus estimate of $731.43 million.
- Total revenues during the fourth quarter of 2019 were $765 million, a decrease of 3% compared to fourth-quarter 2018 revenues of $786 million.
- Revenues of the Specialty Products portfolio of Branded Pharmaceuticals segment increased 15% in the fourth quarter of 2019 to $149 million compared to fourth-quarter 2018 revenues of $130 million.
- Revenues of the Sterile Injectables segment increased 10% in the fourth quarter of 2019 to $285 million compared to fourth-quarter 2018 revenues of $259 million.
"In 2019, Endo delivered stronger than expected performance during the fourth quarter and for the full year, driven by continued double-digit percentage revenue growth in our Sterile Injectables segment and in the Specialty Products Portfolio of our Branded Pharmaceuticals segment, and as a result of our dedication to operational execution," said Paul Campanelli, Chairman, President and Chief Executive Officer at Endo. "For the full year, our Sterile Injectables segment exceeded $1 billion in revenue and our Specialty Products Portfolio exceeded $500 million in revenue, demonstrating progress on our strategic priority of expanding and investing in these businesses. Additionally, during the fourth quarter, the U.S. FDA accepted our original Biologics License Application for our CCH for Cellulite product and we launched five products."
"Looking ahead to 2020, Endo intends to build upon the success of the past year. We are focused on continuing to invest in our core areas of growth as part of our multi-year strategic plan, while being responsive to the current external environment under the leadership of Blaise Coleman, Endo\'s new President and Chief Executive Officer."
GUIDANCE:
Endo International sees FY2020 EPS of $2.15-$2.40, versus the consensus of $2.25. Endo International sees FY2020 revenue of $2.72-2.92 billion, versus the consensus of $2.9 billion.
Endo is providing guidance for the 12 months ending December 31, 2020, at current exchange rates, for revenue, adjusted diluted net income per share from continuing operations and adjusted EBITDA. The Company estimates:
- Total revenues to be between $2.72 billion and $2.92 billion;
- Adjusted diluted net income per share from continuing operations to be between $2.15 and $2.40; and
- Adjusted EBITDA to be between $1.22 billion and $1.32 billion.
The Company's 2020 non-GAAP financial guidance is based on the following assumptions:
- Adjusted gross margin of approximately 66.0% to 67.0%;
- Adjusted operating expenses as a percentage of revenue to be approximately 25.0% to 25.5%;
- Adjusted interest expense of approximately $535 to $545 million;
- Adjusted effective tax rate of approximately 13.5% to 14.5%; and
- Adjusted diluted weighted average shares outstanding of approximately 236 million.
For earnings history and earnings-related data on Endo International (ENDP) click here.