Teva Pharmaceutical Industries Earnings: Here’s Why Investors Don’t Like These Results

Teva Pharmaceutical Industries Limited (NASDAQ:TEVA) delivered a profit and met Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 1.39%.

Teva Pharmaceutical Industries Limited Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 6.25% to $1.2 in the quarter versus EPS of $1.28 in the year-earlier quarter.

Revenue: Decreased 1.4% to $4.92 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Teva Pharmaceutical Industries Limited reported adjusted EPS income of $1.2 per share. By that measure, the company missed the mean analyst estimate of $1.2. It missed the average revenue estimate of $4.94 billion.

Quoting Management: “Net revenue of $4.9 billion was in-line with the previous quarter, and we are pleased with increased sales in our Specialty franchise, as well as in our OTC business,” said Jeremy Levin, Teva’s President and Chief Executive Officer. “In the short to mid-term, we are especially excited by the positive momentum of our U.S. Generics business, progression in our R&D portfolio, especially in the NTE franchise, and by the expected launches of key generic and specialty medicines.”

Key Stats (on next page)…

Revenue increased 0.47% from $4.9 billion in the previous quarter. EPS increased 7.14% from $1.12 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $1.29 to a profit $1.28. For the current year, the average estimate has moved down from a profit of $5.04 to a profit of $5.01 over the last ninety days.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]