NASDAQ$VTRS

Viatris Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Announced robust financial results, driven by positive momentum across all three strategic pillars.

Viatris reported strong Q3 2024 results with total revenues of $3.8 billion, including $133 million from new products. The company repaid approximately $1.9 billion in debt and expanded its innovative portfolio through an exclusive licensing agreement for sotagliflozin. Adjusted EBITDA grew by ~4% to $1.3 billion on a divestiture-adjusted basis, and adjusted EPS grew by ~6% to $0.75 per share on a divestiture-adjusted basis. The company reaffirms its 2024 full-year outlook, expecting revenue growth of ~2% on a divestiture-adjusted operational basis.

  • Total revenues reached $3.8 billion, with operational revenue growth of approximately 3% on a divestiture-adjusted basis, demonstrating the strength of the company's base business.
  • New product revenues were strong at $133 million, driving growth across segments.
  • U.S. GAAP net earnings were $95 million, with adjusted EBITDA growing approximately 4% to $1.3 billion on a divestiture-adjusted basis. U.S. GAAP diluted EPS was $0.08 per share, and adjusted EPS grew approximately 6% to $0.75 per share on a divestiture-adjusted basis.
  • Approximately $1.9 billion of debt was repaid, and the company expects to achieve its long-term gross leverage target of approximately 3.0x by the end of the year.

Headline financials

Total Revenue

$3.75B

Previous: $3.94B-4.8%
EPS

$0.08

Previous: $0.79-89.9%
GAAP Gross Margin

38.9%

Previous: 42.9%-9.3%
Adjusted Gross Margin

58.5%

No prior period
Adjusted Net Earnings

$898M

No prior period
EBITDA

$906M

No prior period
Adjusted EBITDA

$1.28B

No prior period
Capital Expenditures

-$186M

Previous: -$212M+12.2%
Free Cash Flow

-$99.4M

Previous: $120M-182.8%
Net Income

$86.2M

Previous: $332M-74.0%
Operating Income

$226M

Previous: $452M-50.0%
Gross Profit

$1.46B

Previous: $1.69B-13.7%
Cash & Equivalents

$1.88B

Previous: $1.31B+43.5%
Total Assets

$44.8B

Previous: $48.7B-8.2%
R&D Expense

$198M

Previous: $211M-6.5%
Stock-Based Comp

$32.4M

Previous: $43.1M-24.8%

Revenue & EPS history

Viatris · Revenue · Quarterly

$3.75B

Q3 2024-4.8%vs Q3 2023
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

Viatris · $2.44B total across 1 segment · Q2 2023

  • Brands
    $2.44B-1.5%

Forward guidance

The company reaffirms its 2024 full-year outlook and expects to be at the midpoint of the November 7, 2024, guidance ranges.

Tailwinds

  • Total Revenues: $14.60 billion - $15.10 billion
  • Adjusted EBITDA: $4.575 billion - $4.845 billion
  • Free Cash Flow: $2.170 billion - $2.570 billion
  • Adjusted EPS: $2.56 - $2.71
  • U.S. GAAP Net Cash provided by Operating Activities: $2.62 billion and $2.92 billion

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

+0.3%

Avg return

Earnings day

+0.5%

Avg return

5 days after

-1.2%

Avg return

30 days after

52%

26 / 50 earnings

Positive

+14.4%

Q3 2022

Best reaction

-30.2%

Q4 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+11.3%+9.1%+3.0%
Q4 2025-4.3%-7.4%-18.8%
Q3 2025-6.5%+4.2%+1.7%
Q1 2025+5.8%+2.2%+1.3%
Q4 2024-15.2%-16.6%-22.8%
Q3 2024+11.6%+11.4%+9.6%
Q2 2024+3.7%+1.8%-0.8%
Q1 2024-5.5%-5.7%-11.3%
Q4 2023-6.5%-6.6%-9.8%
Q3 2023+0.1%-0.1%+6.0%
Q2 2023+5.3%+7.2%-4.4%
Q1 2023+5.0%+0.0%+4.6%
Q4 2022-1.0%-3.3%-17.2%
Q3 2022+14.4%+17.9%+12.4%
Q2 2022+7.5%+14.4%-0.1%
Q1 2022+5.1%+11.4%+19.2%
Q4 2021-30.2%-29.8%-24.4%
Q3 2021+6.1%+2.8%-9.5%
Q2 2021+6.0%+4.9%+2.1%
Q1 2021+7.5%+13.6%+9.7%
Q4 2018-3.8%-6.3%-5.9%
Q4 2020-3.8%-18.5%-23.1%
Q3 2020+3.8%+2.8%+17.0%
Q2 2020-3.0%-2.3%-7.9%
Q1 2020+4.2%-3.7%+4.8%
Q4 2019+4.2%-3.7%+4.8%
Q3 2019+2.5%-2.0%+1.6%
Q2 2019+2.1%+3.4%+9.1%
Q1 2019+0.5%-3.2%-3.8%
Q3 2018-0.3%-1.6%-14.8%
Q2 2018+0.8%-1.0%-0.3%
Q1 2018-4.0%-0.9%-4.4%
Q4 2017+1.9%+4.7%+8.7%
Q3 2017+5.0%+22.5%+24.3%
Q2 2017-0.6%-0.7%-0.8%
Q1 2017-3.4%-4.1%-7.4%
Q4 2016+4.6%+6.0%-1.9%
Q3 2016-5.2%-5.6%-7.5%
Q2 2016+1.0%+1.5%+9.3%
Q1 2016-1.4%
Q4 2015-2.2%
Q3 2015-1.5%
Q2 2015-1.7%
Q1 2015-3.7%
Q4 2014-2.3%
Q3 2014-1.7%
Q2 2014+0.1%
Q1 2014+0.0%
Q4 2013+1.4%
Q3 2013-0.4%

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