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Teva Pharmaceutical sees weaker than expected 2019

Reuters  |  TEL AVIV 

(Reuters) - Pharmaceutical Industries forecast lower revenue and profit for 2019 on Wednesday, missing analysts' expectations, as it faces generic competition for two key branded drugs.

Israel-based Teva, the world's largest generic drugmaker, has been counting on its new treatment to revive its fortunes after it was forced to restructure to tackle a debt crisis.

Sales from its drug have been declining due to generic competition.

"Looking ahead, we continue to expect that 2019 will be the trough for our business, a year in which we will experience similar challenges to those of 2018 including the continued erosion of in the U.S. and as well as the introduction of generics in the ProAir (inhaler) market," said.

shares were down 10 percent to $17.20 in premarket trade in

For 2019 the company forecast adjusted EPS of $2.20-$2.50 and revenue of $17.0-$17.4 billion. Analysts were forecasting EPS of $2.81 on revenue of $17.9 billion for this year.

earned 53 cents per share excluding one-time items in the fourth quarter of 2018, down from 93 cents a year earlier.

Revenue fell 16 percent to $4.6 billion due to generic competition to Copaxone, a decline in revenue from U.S. generic drugs and a loss of revenue following the divestment of some products and discontinuation of certain activities.

Analysts had forecast Teva would earn 54 cents a share ex-items on revenue of $4.5 billion, according to I/B/E/S data from Refinitiv.

North American sales of tumbled 44 percent in the quarter to $356 million while generic product sales in fell 10 percent.

Sales of Ajovy, which won approval from the in September, were just $3 million in 2018 but are expected to grow to $150 million this year.

(Reporting by and Steven Scheer; Editing by Jan Harvey)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Wed, February 13 2019. 18:16 IST