Indivior PLC (INDV) operates as a speciality pharmaceutical company. It is engaged in discovering and developing medications and treatment for alcohol addiction, opioid overdose, cocaine intoxication and co-occurring conditions, such as schizophrenia. The Company markets and promotes SUBOXONE (buprenorphine and naloxone) Sublingual Film, SUBOXONE (buprenorphine and naloxone) Sublingual Tablet, and SUBUTEX (buprenorphine) Sublingual Tablet, each buprenorphine-based treatment for opioid.
In Q1 FY 2019, the company’s net revenue declined by 6 per cent (AER basis) to $238 million as compared to $255 million in Q1 FY2018 and decreased by 5 per cent on a constant currency basis.
U.S. net revenue surged by 2 per cent as SUBOXONE Film share loss was more than offset by underlying market growth, strong initial sell-in of the Group’s authorized generic film product. Net sales accounted from SUBLOCADE stood at $11 million. Net Revenue from the rest of the world decreased by 34 per cent
against the same period the previous year, reflecting the one-time net revenue profits in Canada. Reported operating profit stood at $75 million. Adjusted operating profit increased by 3 per cent
to $102 million, as compared with the Q1 2018 figure of $99 million, due to the decline in SG&A and R&D expenses. Reported net income was $66 million and adjusted net income surged by 14 per cent to $89 million against the $78 million in Q1 FY18, due to an increase in net financing income and operating profit.
The London-listed drug maker, Indivior PLC’s net revenue declined by 5 per cent in Q1 FY 2019.
As per the United States justice department, the company used the fake marketing scheme to boost the prescription of its flagship opioid addiction treatments. The group lost almost three-quarters of its market value last month after a federal grand jury in Virginia indicated it on a range of charges related to the alleged scheme, including conspiracy to commit wire fraud, mail fraud and healthcare fraud.
The company’s shareholders face uncertainty from the DOJ’s action. External legal counsel had advised the board of directors that it has solid defences to the DOJ’s allegations”.
Daily Chart as at May-03-19, before the market closed (Source: Thomson Reuters)
On May 03, 2019, at the time of writing (before the market closed, at 1:15 pm GMT), INDV shares were trading at GBX 41.90, up by 3.08 per cent against its previous day closing price. Stock's 52 weeks High and Low is GBX 504.60/GBX 20.98.
At the time of writing, the share was trading 91.70 per cent lower than the 52w High and 99.71 per cent higher than the 52w low. The company's stock beta was 1.16, reflecting higher volatility as compared to the benchmark index. The outstanding market capitalisation was around £297.10 million.
In FY2019, the company’s net revenue is predicted to be in the range of $525-$575 million, net loss/profit in the range of ($40 million) - $10 million. Net revenue guidance assumes share erosion of SUBOXONE Film and the authorized generic film product at rates of observed analogues for the remainder of 2019. Prior-stated guidance elements maintained, namely SUBLOCADE net revenue in between $50-$70 million and operating expense in the range of $440-$460 million.