Actavis and Valeant report first quarter 2013 results

US generics drug major Actavis (NYSE: ACT) and Canada’s Valeant Pharmaceuticals (TSX: VRX) both presented first-quarter 2013 financial results on May 2, but made no mention of a rumored merger (The Pharma Letter May 1), although a Valeant spokesperson said the company does not comment on recent deal speculation.

For its part, Actavis reported net revenue increased 24% to $1.90 billion for the first quarter 2013. On a non-GAAP basis, diluted earnings per share for the first quarter 2013 were $1.99, an increase of 21%. On that basis, the company beat average analysts’ estimates of $1.86, but miss average revenue estimates of $1.97 billion.

GAAP earnings (loss) per share for the first quarter 2013 was ($0.79), compared to $0.43 per diluted share in the prior year period. The current quarter loss for GAAP purposes includes $270 million, or $1.77 per share, of charges related to the acquisitions of the legacy Actavis Group in November of 2012 and Uteron Pharma SA in January of 2013. Adjusted EBITDA was $463.6 million, compared to $367.3 million for the first quarter 2012. Cash and marketable securities were $337.4 million as of March 31, 2013. Actavis is the name of the former Watson Pharmaceuticals, which acquired Actavis last year.