Mylan Inc declared its results for the quarter ended December 2011. Results have been better than analyst’s expectations and this has resulted in the surge in price of the stock.
Mylan reported a quarterly profit of $129.5 million, or 30 cents a share, up from $2.59 million, or one cent a share, in the same period a year earlier. Excluding items such as amortization, litigation settlements and restructuring costs, per-share earnings rose to 53 cents from 45 cents. Revenue jumped 6.7% to $1.53 billion. Gross Profit stood at 41 percent as compared to 40 percent over the previous quarter.
Commenting on the results CEO Heather Bresch stated that “We ended the year very strong,”, “We believe that the strategies we’ve employed in the relentless pursuit of our mission of providing access to high quality medicine to the world’s 7 billion people have left us uniquely positioned to deliver robust sustainable growth to our shareholders over the long term.”
The company is also very positive on the future earnings. Sales will be between $6.8 billion to $7.2 billion. Mylan also said it still expects a profit of $2.75 per share in 2013, although it cut its revenue estimate to $7.5 billion from $8.5 billion. The company is one of the world’s largest makers of generic drugs. The company is looking at launching a marketing plan to launch around 600 generic drugs which includes around 100 products in the US.
We maintain a buy on the stock as the company is well in the pharmaceutical space to improve its topline over in 2012. This makes is a strong buy in our list. Mylan stock rose 76 cents, or 3.4 percent, to $23.46 in afternoon trading. The shares have traded between $15.49 and $25.46 over the past year.