Valeant Pharmaceuticals International, Inc. Reaffirms Earnings Guidance for the Fourth Quarter and Full Year of 2013; Provides Earnings Guidance for the Year 2014
The company also reiterates 2013 earnings guidance. The company expected revenue to be in the range of $5.7 billion to $5.9 billion for 2013. This is an increase of greater than 60% year-over-year, despite losing more than $300 million in revenue due to the generic entrants for Zovirax, Retin-A Micro and BenzaClin. Cash EPS performance is expected to increase approximately 35% year-over-year, and adjusted cash flow from operations should increase about 50% in total.
The company also provided earnings guidance for the year 2014. Revenue expected for 2014 will be in the range of $8.2 billion to $8.6 billion, an increase of approximately 40% from 2013. Cash EPS guidance for 2014 is in the range of $8.25 to $8.75 per share or an increase of approximately 40% over 2013. Adjusted cash flow from operations is expected to be in the range of $2.4 billion to $2.6 billion in 2014, an increase of approximately 40% over 2013, and targeting at least a 90% net income conversion ratio. In addition, capital expenditures will be about $200 million for the year; depreciation will be approximately $150 million for the year; and stock-based compensation will be around $75 million for the year. Cash tax rate is expected to be less than 5% in 2014.