Copaxone. Source: Seeking Alpha
Teva (TEVA) reports Q3 earnings Thursday. Analysts expect revenue of $5.62 billion and EPS of $1.04. The revenue estimate implies a 1% decline sequentially. Investors should focus on the following key items:
Earnings Guidance
The revenue expectations imply a slight decline Q/Q, but Teva's revenue and earnings in Q4 and the first half of 2018 are likely to fall hard. Last month Mylan (MYL) received approval to offer a generic version of Copaxone, Teva's blockbuster multiple sclerosis drug. Copaxone represents about 18% of Teva's total revenue. Copaxone's EBITDA margins are assumed to be north of 80%, making its contribution to total EBITDA 45% - 50%.
