DUBLIN, Feb. 8, 2017 /PRNewswire/ -- Allergan plc
(NYSE: AGN) today reported its fourth quarter and full year 2016
continuing operations performance.
Fourth Quarter and Full-Year 2016 Continuing
Operations
(unaudited; $ in
millions, except per share amounts)
|
|
Q4
'16
|
|
Q4
'15
|
|
Q3
'16
|
|
Q4 '16 v Q4
'15
|
|
Q4 '16 v Q3
'16
|
|
Twelve
Months
Ended
December 31,
2016
|
|
Twelve
Months
Ended
December 31,
2015
|
2016
v
2015
|
Total net
revenues**
|
|
$
3,864.3
|
|
$
3,606.9
|
|
$
3,622.2
|
|
7.1%
|
|
6.7%
|
|
$
14,570.6
|
|
$
12,688.1
|
14.8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
(Loss)
|
|
$
(900.0)
|
|
$
(569.5)
|
|
$
(266.4)
|
|
58.0%
|
|
237.8%
|
|
$
(1,825.5)
|
|
$
(3,131.0)
|
(41.7)%
|
Diluted EPS -
Continuing Operations
|
|
$
(0.31)
|
|
$
(2.18)
|
|
$
(1.15)
|
|
(85.8)%
|
|
(73.0)%
|
|
$
(3.17)
|
|
$
(8.64)
|
(63.3)%
|
SG&A
Expense
|
|
$
1,276.8
|
|
$
1,276.3
|
|
$
1,157.2
|
|
0.0%
|
|
10.3%
|
|
$
4,740.3
|
|
$
4,481.5
|
5.8%
|
R&D
Expense
|
|
$
913.3
|
|
$
430.6
|
|
$
622.8
|
|
112.1%
|
|
46.6%
|
|
$
2,575.7
|
|
$
2,358.5
|
9.2%
|
Continuing Operations
Tax Rate
|
|
96.4%
|
|
12.7%
|
|
29.5%
|
|
83.7%
|
|
66.9%
|
|
67.0%
|
|
35.3%
|
31.7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Adjusted
Operating Income
|
|
$
1,868.7
|
|
$
1,867.3
|
|
$
1,784.4
|
|
0.1%
|
|
4.7%
|
|
$
7,245.3
|
|
$
6,781.4
|
6.8%
|
Non-GAAP Performance
Net Income Per Share *
|
|
$
3.90
|
|
$
3.36
|
|
$
3.32
|
|
16.1%
|
|
17.5%
|
|
$
13.51
|
|
$
13.20
|
2.3%
|
Non-GAAP Adjusted
EBITDA
|
|
$
1,975.7
|
|
$
1,951.8
|
|
$
1,902.2
|
|
1.2%
|
|
3.9%
|
|
$
7,628.7
|
|
$
7,086.7
|
7.6%
|
Non-GAAP SG&A
Expense
|
|
$
1,067.0
|
|
$
997.0
|
|
$
1,006.9
|
|
7.0%
|
|
6.0%
|
|
$
4,081.7
|
|
$
3,324.0
|
22.8%
|
Non-GAAP R&D
Expense
|
|
$
425.9
|
|
$
338.1
|
|
$
386.4
|
|
26.0%
|
|
10.2%
|
|
$
1,433.8
|
|
$
1,116.8
|
28.4%
|
Non-GAAP Continuing
Operations Tax Rate
|
|
10.4%
|
|
7.6%
|
|
8.2%
|
|
2.8%
|
|
2.2%
|
|
8.9%
|
|
7.7%
|
1.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* New nomenclature
for non-GAAP earnings per share. Metrics and
calculations for this measure have not changed. Refer to
table 3 for additional definition of non-GAAP performance net
income per share.
|
|
|
|
|
** Excludes the
reclassification of revenues of ($43.6) million in Q4 2015 and
($23.7) million in Q3 2016 related to the portion of Allergan
product revenues sold by our former Anda Distribution Business into
discontinued operations. Excludes the reclassification of revenues
of ($80.0) million in the twelve months ended December 31, 2016 and
($157.4) million in the twelve months ended December 31, 2015
related to the portion of Allergan product revenues sold by our
former Anda Distribution Business into discontinued
operations.
|
|
|
|
|
Total net revenues of $3.9
billion, a seven percent increase versus the prior year
quarter, were driven by strong performance from higher revenues in
Facial Aesthetics, BOTOX® Therapeutic, Eye Care,
LINZESS® and new product launches across therapeutic
areas, partially offset by lower revenues from Namenda
XR® and loss of exclusivity of ASACOL® HD.
For the full year 2016, Allergan reported total net revenues
of $14.57 billion, a 15 percent
increase versus the prior year, driven by continued strong growth
across key therapeutic areas and products, and a full year impact
of acquired Allergan brands.
"2016 was a year of transformation for Allergan. We are now a
branded biopharmaceutical leader, focused on delivering sustainable
revenue growth, advancing our pipeline, maintaining industry
leading margins and allocating capital to maximize shareholder
return. In the fourth quarter of 2016, we delivered against these
priorities. Our top global products and new launches powered
revenue growth, including, but not limited to,
BOTOX®, RESTASIS®, OZURDEX®,
Fillers, LINZESS®, VRAYLAR™, VIBERZI®,
KYBELLA® and Lo LOESTRIN®. Our R&D team
continued to advance key programs and deliver FDA approvals
for new products that change lives. And we made fast progress in
our capital deployment program, enhancing short- and long-term
value for our shareholders," said Brent
Saunders, Chairman and CEO of Allergan.
"2017 is a pivotal year for Allergan and we are well-positioned
to deliver growth through excellent execution. We have growing
products and franchises, with nine product launches planned in
2017. Our Open Science pipeline is advancing innovative, high-value
treatments for patients, including our six 'stars' entering or
currently in phase 3 development. And our operational excellence
and capital deployment initiatives will support our continued
growth and enhance shareholder value," added Saunders.
"I thank our 16,000 global colleagues who continue to Be Bold.
They are delivering new ideas that allow us to build strong bridges
with customers, act fast, and drive results for Allergan. And they
are focused on advancing innovative new treatments across our
therapeutic areas that can make a profound impact on global health
and patient care," added Saunders.
Fourth-Quarter 2016 Performance
GAAP operating loss
from continuing operations in the fourth quarter 2016 was
$900 million an increase in losses of
58.0 percent versus prior year primarily due to research and
development (R&D)-related charges and impairments. Non-GAAP
adjusted operating income from continuing operations in the fourth
quarter of 2016 was $1.87 billion.
Non-GAAP adjusted operating income was impacted by higher operating
expenses.
Full Year 2016 Performance
GAAP operating loss from
continuing operations for the full year 2016 was $1.8 billion, a decrease in losses of 41.7
percent versus prior year primarily due to the fact that 2015
included the impact of selling through acquired inventory, higher
acquisition related stock compensation expense and higher
restructuring costs all in connection with the Allergan
acquisition. Non-GAAP adjusted operating income from continuing
operations for the full year 2016 was $7.25
billion, an increase of 7 percent versus prior year. Cash
flow from operations of approximately $1.4
billion for the full year, a decrease of 68.5 percent versus
prior year, was due primarily to reduced revenues from the Global
Generics business, tax payments related to the Global Generics and
Anda Distribution divestitures to Teva and increased R&D
investment.
Operating Expenses
Total GAAP Selling, General and
Administrative (SG&A) Expense was $1.28
billion for the fourth quarter 2016 unchanged from
$1.28 billion in the prior year
period. Total non-GAAP SG&A Expense increased to $1.07 billion for the fourth quarter 2016 from
$997 million in the prior year
quarter, primarily due to additional selling and promotional
expenses for key products and new product launches. GAAP R&D
investment for the fourth quarter 2016 was $913 million, compared to $431 million in the fourth quarter of 2015.
Non-GAAP R&D investment for the fourth quarter 2016 was
$426 million, an increase of 26
percent over prior year, due to increased costs associated with
clinical programs which were weighted toward the back-half of
2016.
Amortization, Tax and Capitalization
Amortization
expense from continuing operations for the fourth quarter 2016 was
$1.64 billion, compared to
$1.58 billion in the fourth quarter
of 2015. The Company's GAAP continuing operations tax rate was 96.4
percent in the fourth quarter 2016. The Company's non-GAAP adjusted
continuing operations tax rate was 10.4 percent in the fourth
quarter 2016. As of December 31,
2016, Allergan had cash and marketable securities of
$13.2 billion and outstanding
indebtedness of $32.8 billion.
Discontinued Operations and Continuing Operations
As a
result of the divestiture of the Company's Anda Distribution
business to Teva on October 3, 2016,
financial results of this business are being reported as
discontinued operations in the condensed consolidated statements of
operations up through the date of divestiture. Included in segment
revenues are product sales that were sold by the Anda Distribution
business once the Anda Distribution business had sold the product
to a third-party customer. These sales are included in segment
results and are excluded from total continuing operations revenues
through a reduction to Corporate revenues. Cost of sales for these
products in discontinued operations is equal to our average
third-party cost of sales for third-party branded products
distributed by Anda Distribution.
Fourth Quarter
2016 Business Segment Results
|
|
|
|
|
|
|
|
|
|
US Specialized
Therapeutics
|
|
|
|
|
|
Segment
Information
|
|
|
|
|
|
|
|
|
|
(Unaudited; $ in
millions)
|
|
Three Months Ended
December 31,
|
|
|
|
2016
|
|
2015
(1)
|
|
|
|
|
|
|
|
Eye
Care
|
|
$
660.1
|
|
$
618.1
|
|
Total Medical
Aesthetics
|
|
440.3
|
|
383.6
|
|
Facial
Aesthetics
|
|
333.0
|
|
269.9
|
|
Plastic
Surgery
|
|
57.3
|
|
64.9
|
|
Skin Care
|
|
50.0
|
|
48.8
|
|
Medical
Dermatology
|
|
114.3
|
|
106.5
|
|
Neuroscience &
Urology
|
|
342.5
|
|
301.7
|
|
Other
Revenues
|
|
13.7
|
|
10.3
|
|
Net
revenues
|
|
$
1,570.9
|
|
$
1,420.2
|
|
Operating
expenses:
|
|
|
|
|
|
Cost of
sales(2)
|
|
75.9
|
|
75.6
|
|
Selling and
marketing
|
|
292.2
|
|
247.8
|
|
General and
administrative
|
|
47.8
|
|
22.2
|
|
Segment
contribution
|
|
$
1,155.0
|
|
$
1,074.6
|
|
Segment
margin
|
|
73.5%
|
|
75.7%
|
|
Segment gross
margin(3)
|
|
95.2%
|
|
94.7%
|
|
|
|
|
|
|
|
(1) Includes
revenues earned that were distributed through our former Anda
Distribution business to third party customers.
|
(2) Excludes
amortization and impairment of acquired intangibles including
product rights.
|
|
|
|
(3) Defined as
net revenues less segment related cost of sales as a percentage of
net revenues.
|
|
|
|
U.S. Specialized Therapeutics net revenues grew 11 percent
driven by growth in Eye Care, Facial Aesthetics and Neuroscience
& Urology.
Eye Care
- Allergan's Eye Care franchise experienced strong results versus
prior year.
- RESTASIS® net revenues of $393.1 million in the fourth quarter of 2016, up
13 percent driven by demand and pricing.
- The Glaucoma franchise experienced a modest decline, with
ALPHAGAN®/COMBIGAN® net revenues in the
fourth quarter of 2016 of $102.3 million, up 2 percent versus
prior year quarter offset by LUMIGAN® net revenues
declining 9 percent driven primarily by trade buying patterns.
- OZURDEX® net revenues in the fourth quarter of 2016
were strong at $22.6 million, up 18
percent versus prior year quarter driven by continued strong demand
from the diabetic macular edema indication.
Medical Aesthetics
- The Facial Aesthetics franchise continues to deliver strong
double-digit growth.
- BOTOX® Cosmetic net revenues in the fourth quarter
of 2016 were $199.4 million, up 18
percent versus prior year quarter reflecting continued strong
volume growth.
- Fillers net revenues in the fourth quarter of 2016 were
$121.6 million, up 25 percent versus
prior year quarter driven by continued strong demand for Voluma and
market share gains following the launch of Volbella.
- KYBELLA® net revenues in the fourth quarter of 2016
were $12 million. Demand and consumer
interest is increasing following DTC launch in mid-August.
- Plastic Surgery
- Breast implant net revenues in the fourth quarter of 2016 were
$56.8 million, a decline of 9
percent, in-line with overall market declines.
- Skin Care
- SkinMedica® net revenues in the fourth quarter of
2016 were $26.8 million, up 7 percent
versus prior year quarter driven primarily by the launch of
HA5.
Medical Dermatology
- ACZONE® net revenues in the fourth quarter of 2016
were $61.2 million, up 8 percent
versus prior year quarter driven by continued strong demand
following the launch of ACZONE 7.5%.
- TAZORAC® net revenues in the fourth quarter of 2016
remained stable at $27.5
million.
Neurosciences & Urology
- BOTOX® Therapeutic revenues in the fourth quarter of
2016 were $313.5 million, up 14
percent versus prior year quarter driven by continued strong demand
across chronic migraine, overactive bladder and adult spasticity
indications.
- RAPAFLO® revenues in the fourth quarter of 2016 were
$29.0 million, up 5 percent versus
prior year quarter.
U.S. Specialized Therapeutics gross margin for the fourth
quarter of 2016 was 95.2 percent. SG&A expenses in the segment
in the fourth quarter 2016 were $340
million. Selling and marketing expenses increased
$44 million versus prior year
primarily attributed to sales force expansion and new product
promotion. General and administrative expenses increased
$26 million at the segment level due
to the Company's new operating management structure that began in
2016 where more costs support the operating segments versus
corporate functions. Segment contribution for the fourth quarter
2016 remained strong at $1.2 billion
versus the prior year period of $1.1
billion.
US General
Medicine
|
|
|
|
|
|
Segment
Information
|
|
|
|
|
|
|
|
|
|
(Unaudited; $ in
millions)
|
|
Three Months Ended
December 31,
|
|
|
|
2016
|
|
2015
(1)
|
|
|
|
|
|
|
|
Central Nervous
System
|
|
$
339.0
|
|
$
356.0
|
|
Gastrointestinal
|
|
444.0
|
|
436.9
|
|
Women's
Health
|
|
314.5
|
|
281.3
|
|
Anti-Infectives
|
|
58.0
|
|
50.5
|
|
Diversified
Brands
|
|
327.8
|
|
381.5
|
|
Other
Revenues
|
|
49.7
|
|
28.5
|
|
Net
revenues
|
|
$
1,533.0
|
|
$
1,534.7
|
|
Operating
expenses:
|
|
|
|
|
|
Cost of
sales(2)
|
|
230.2
|
|
235.5
|
|
Selling and
marketing
|
|
282.9
|
|
277.6
|
|
General and
administrative
|
|
46.7
|
|
16.5
|
|
Segment
contribution
|
|
$
973.2
|
|
$
1,005.1
|
|
Segment
margin
|
|
63.5%
|
|
65.5%
|
|
Segment gross
margin(3)
|
|
85.0%
|
|
84.7%
|
|
|
|
|
|
|
|
(1) Includes
revenues earned that were distributed through our former Anda
Distribution business to third party customers.
|
(2) Excludes
amortization and impairment of acquired intangibles including
product rights.
|
|
|
|
(3) Defined as
net revenues less segment related cost of sales as a percentage of
net revenues.
|
|
|
|
U.S. General Medicine net revenues in the fourth quarter 2016
remained stable compared to the prior year quarter, impacted by a
decline in Central Nervous System and Diversified Brands
revenues, offset primarily by strong growth in Women's Health
products and a stable Gastrointestinal franchise.
Central Nervous System
- Allergan CNS franchise revenues of $339
million decreased $17 million
from the prior year quarter as a result of lower revenues of
NAMENDA XR® offset by continued growth from
VRAYLAR™.
- NAMZARIC® net revenues in the fourth quarter of 2016
increased to $19.5 million from
$7.9 million in the prior year
quarter following the approval in July of an expanded label with
new dosages for the product allowing patients to begin combination
therapy on NAMZARIC®.
- NAMENDA XR® net revenues in the fourth quarter of
2016 were $141.1 million, down 26
percent versus prior year quarter driven primarily by lower
demand as a result of a reduction in promotional support and higher
rebates and discounts.
- VRAYLAR™ net revenues in the fourth quarter of 2016 were strong
at $43.2 million, reflecting its
rapid acceptance in its first year post-launch.
- VIIBRYD®/FETZIMA® continue to perform
well with net revenues in the fourth quarter of 2016 of
$89.7 million, up 8 percent versus
prior year quarter.
- SAPHRIS® net revenues were $43.2 million, down 18 percent versus prior year
quarter impacted by higher discount rates for Medicaid as a result
of pediatric approval and moderately lower demand following a
reduction in promotional support.
Gastrointestinal
- LINZESS® net revenues in the fourth quarter of 2016
were $173.6 million, up 34 percent
versus prior year quarter driven primarily by strong demand and
continued OTC conversion.
- VIBERZI® net revenues in the fourth quarter of 2016
were $38 million, driven by continued
uptake by gastroenterologists and primary care physicians.
- ASACOL®/DELZICOL® net revenues in the
fourth quarter of 2016 were $62.9
million, a reduction of 57%, impacted by generic product
entry for ASACOL® HD.
Women's Health
- Lo LOESTRIN® net revenues in the fourth quarter of
2016 were $107.5 million, up 13
percent versus prior year quarter. Lo LOESTRIN® remains
the number one prescribed branded oral contraceptive.
- ESTRACE® Cream net revenues in the fourth quarter
were $103.0 million and
MINASTRIN® 24 net revenues in the fourth quarter of 2016
were $78.4 million.
- LILETTA® net revenues in the fourth quarter of 2016
were $8.3 million following launch of
the single-hand inserter in September
2016.
Anti-Infectives
- TEFLARO® and DALVANCE® net revenues in
the fourth quarter of 2016 were $31.7
million and $12.6 million,
respectively.
- AVYCAZ® net revenues in the fourth quarter of 2016
were $9.2 million reflecting a
temporary reduction in supply, with supply resuming in the latter
part of the fourth quarter.
Diversified Brands and Other Products
- Diversified Brands net revenues in the fourth quarter of 2016
were $327.8 million, impacted by
genericization of ENABLEX®.
- Within Diversified Brands,
BYSTOLIC®/BYVALSON® net revenues in the
fourth quarter of 2016 were $159.8
million, a decline of 5 percent versus prior year quarter
when the product experienced higher revenues following inventory
re-stocking of the 20 mg dose. BYSTOLIC® continues to
remain the flagship product of Allergan's primary care sales
force.
U.S. General Medicine gross margin for the fourth quarter of
2016 remained stable at 85.0 percent. SG&A expenses in the
segment were $329.6 million in the
fourth quarter of 2016. General and administrative expenses
increased $30 million at the segment
level due to the Company's new operating management structure that
began in 2016 where more costs are directly supporting the
operating segments versus corporate functions. Segment contribution
for the fourth quarter 2016 was $973.2
million.
International
|
Segment
Information
|
|
(Unaudited; $ in
millions)
|
Three Months Ended
December 31,
|
|
2016
|
|
2015
|
|
|
|
|
Eye
Care
|
$
315.0
|
|
$
295.0
|
Total Medical
Aesthetics
|
284.6
|
|
246.4
|
Facial
Aesthetics
|
244.0
|
|
203.4
|
Plastic
Surgery
|
37.8
|
|
40.0
|
Skin Care
|
2.8
|
|
3.0
|
Botox Therapeutics
and Other
|
138.3
|
|
132.2
|
Other
Revenues
|
15.3
|
|
17.3
|
Net
revenues
|
$
753.2
|
|
$
690.9
|
Operating
expenses:
|
|
|
|
Cost of
sales(1)
|
108.9
|
|
107.1
|
Selling and
marketing
|
205.5
|
|
175.0
|
General and
administrative
|
30.7
|
|
31.9
|
Segment
contribution
|
$
408.1
|
|
$
376.9
|
Segment
margin
|
54.2%
|
|
54.6%
|
Segment gross margin
(2)
|
85.5%
|
|
84.5%
|
|
|
|
|
(1) Excludes
amortization and impairment of acquired intangibles including
product rights.
|
|
|
(2) Defined as
net revenues less segment related cost of sales as a percentage of
net revenues.
|
|
|
International net revenues excluding foreign exchange impact
increased 11 percent year over year, driven by growth in Facial
Aesthetics and Eye Care.
Medical Aesthetics
- Facial Aesthetics
- BOTOX® Cosmetic revenues in the fourth quarter of
2016 were $127.1 million, up 12
percent excluding foreign exchange driven by continued growth
mainly in Asia Pacific (APAC) and
Turkey, Middle East and Africa (TMEA).
- Fillers revenues in the fourth quarter of 2016 was $116.2 million, up 34 percent excluding foreign
exchange reflecting continued strong performance across most
regions.
- Plastic Surgery
- Breast implant revenues in the fourth quarter of 2016 decreased
6 percent excluding foreign exchange to $37.4 million.
Eye Care
- LUMIGAN®/GANFORT® and
ALPHAGAN®/COMBIGAN® revenues in the fourth
quarter of 2016 were $92.5 million, a
2 percent increase excluding foreign exchange versus prior year,
and $42.0 million, a 10 percent
increase excluding foreign exchange versus prior year,
respectively, reflecting solid performance across Allergan's
glaucoma product franchise.
- OZURDEX® revenues in the fourth quarter of 2016 were
$48.8 million, up 27 percent
excluding foreign exchange reflecting strong demand across all
regions.
- OPTIVE® revenues in the fourth quarter of 2016 were
$26.2 million, up 5 percent excluding
foreign exchange versus prior year quarter.
Botox Therapeutic & Other Products
- BOTOX® Therapeutic revenues in the fourth quarter of
2016 were $83.0 million, up 12
percent excluding foreign exchange reflecting continued volume
growth across all regions.
- ASACOL®/DELZICOL® revenues in the fourth
quarter of 2016 were $13.2 million,
reflecting continued decline.
International gross margin for the fourth quarter of 2016 was
85.5 percent. SG&A expenses in the segment were $236 million in the fourth quarter of 2016, an
increase of 16 percent excluding foreign exchange versus prior
year, primarily due to investments in key brands and market
expansion. Segment contribution was $408.1
million.
Corporate Function
Included within our corporate
function are shared costs, including above site and unallocated
costs associated with running our global manufacturing facilities,
corporate general and administrative expenses and corporate
initiatives.
Pipeline Update
Allergan R&D continues to build
and deliver on its pipeline. Key development highlights
included:
U.S. and International Branded Product Approvals and
Launches
- Allergan announced that it received approval from the U.S. Food
and Drug Administration (FDA) for the XEN® Glaucoma
Treatment System (consisting of the XEN45 Gel Stent and the XEN
Injector) for use in the U.S.
- Allergan announced that it received FDA approval to market
NATRELLE INSPIRA® SoftTouch breast implants, offering
women undergoing breast reconstruction, augmentation or revision
surgery a new medium firmness gel, or cohesive, implant
option.
- Allergan announced that it received FDA approval for RESTASIS
MULTIDOSE™ (Cyclosporine Ophthalmic Emulsion) 0.05%, a
preservative-free, multi-dose bottle offering the same
preservative-free formulation of RESTASIS since the product's
launch in 2003.
- Allergan announced that it received FDA approval for RHOFADE™
cream for the topical treatment of persistent facial erythema
(redness) associated with rosacea in adults.
- Allergan and Ironwood Pharmaceuticals announced the FDA
approval of a 72 mcg dose of LINZESS® (linaclotide) for
the treatment of chronic idiopathic constipation (CIC) in adult
patients.
- Allergan announced that the FDA approved the Company's
supplemental New Drug Application (sNDA) to update the label for
AVYCAZ® (ceftazidime and avibactam) with clinical data
from two Phase 3 trials supporting the indication to treat patients
with complicated urinary tract infections (cUTI), including
pyelonephritis, caused by designated susceptible Gram-negative
microorganisms.
- Allergan announced the launch of TAYTULLA™ (norethindrone
acetate and ethinyl estradiol capsules and ferrous fumarate
capsules), 1mg/20mcg, the first and only oral contraceptive in a
softgel capsule for the prevention of pregnancy.
- Allergan announced the U.S. launch of JUVÉDERM
VOLBELLA® XC for use in the lips for lip augmentation
and for correction of perioral rhytids in adults over the age of
21.
Regulatory Milestones & Clinical Updates
- Allergan and Ironwood announced positive data from two Phase
IIb clinical trials evaluating the investigational linaclotide in
colonic release formulations in adult patients with irritable bowel
syndrome with constipation (IBS-C).
- Allergan and Gedeon Richter
announced positive results from Venus II, the second of two pivotal
phase III clinical trials evaluating the efficacy and safety of
ulipristal acetate in women with abnormal bleeding due to uterine
fibroids. A new drug application filing for ulipristal
acetate is planned for the second half of 2017.
- Allergan and Medicines360 announced that the FDA accepted for
filing the companies' supplemental New Drug Application (sNDA) to
potentially extend the duration of use for the prevention of
pregnancy from up to three years to up to four years for
LILETTA® (levonorgestrel-releasing intrauterine system)
52 mg.
Update on Allergan's Social Contract and U.S. Drug Pricing
Actions
In September 2016, Allergan
introduced its Social Contract with Patients. Allergan committed to
limit price increases on its products to once per year, and to only
increase the list price of a product by single-digits with the
expectation that net price increases would be in the low to mid-
single digit range after discounts and rebates.
For the full-year 2016, Allergan's net price increases on its
U.S. products averaged 4.8 percent (list price increases averaged
8.1 percent).
Effective January 2017, Allergan
increased the price of certain U.S. branded products. These changes
are consistent with Allergan's Social Contract. The average list
price increase was 6.7%. No single product list price has
increased more than single digits and the net increase for these
products is expected to be in the low single digits (2-3%) after
discounts and rebates. This will be the only increase in 2017 for
these branded products.
"We have taken bold actions to address issues impacting our
industry and society. We are committed to our Social Contract with
Patients, and our recent pricing actions are aligned with its
principles. In November, we announced enhancements to our
Patient Assistance Program (PAP) that position Allergan among
industry leaders in providing free medicines for those who cannot
afford our treatments. These commitments are important to the
long-term stability of our Company, but most importantly, they help
the people who count on us to find and provide treatments for their
most pressing medical needs," said Saunders.
First Quarter and Full Year 2017 Continuing Operations
Guidance
Allergan's full year 2017 estimates are based on
management's current belief about prescription trends, pricing
levels, inventory levels and the anticipated timing of future
product launches and events. Continuing operations includes the
U.S. Specialized Therapeutics, U.S. General Medicine and
International.
The following guidance includes the following assumptions:
- Full-Year 2017:
- Contribution of LifeCell as of February
1, 2017
- NAMENDA XR® generic launch in the fourth quarter of
2017
- RESTASIS® remains stable
- ~$100 million of foreign exchange
impact
- R&D Expense similar split across quarters
- Non-GAAP Net Interest Expense weighted toward back-half of
2017
- Share count reflects current progress on Accelerated Share
Repurchase Program settlement – higher share count in the first
half of 2017
- First Quarter 2017:
- Revenue estimate reflects normal seasonality, the addition of
two months of LifeCell revenues and a change in U.S. wholesale
buying patterns.
|
GAAP
|
NON-GAAP
|
|
Full Year
2017
|
|
|
|
Total Net
Revenues
|
$15,500 - $15,800
million
|
$15,500 - $15,800
million
|
|
Gross Margin (as a
% of revenues)
|
~84.5% -
85.5%
|
~86-87%
|
|
SG&A
Expense
|
~$4.4 - $4.5
billion
|
~$4.3-$4.4
billion
|
|
R&D
Expense
|
~$1.8 - $1.9
billion
|
~$1.45 - $1.55
billion
|
|
Net Interest
Expense/Other Income
|
~$1.050
billion
|
~$1.075
billion
|
|
Tax
Rate
|
~75%
|
~13.5%
|
|
Net Income /
(Loss) Per Share1
|
$(1.80) -
$(1.30)
|
$15.80 -
$16.30
|
|
Average 2017 Share
Count2
|
~333 million
shares
|
~356 million
shares
|
|
|
|
|
|
First Quarter
2017
|
|
|
|
Total Net
Revenues
|
~$3,500
million
|
~$3,500
million
|
|
|
|
|
|
1
GAAP represents EPS for ordinary shareholders. GAAP (loss) per
share includes the impact of amortization of approximately $6.9
billion including the preliminary assumptions around acquired
LifeCell intangible assets, IPR&D impairments and asset sales
and impairments, net of $60 million and dividends on preferred
shares of approximately $278 million. Non-GAAP represents
performance net income per share.
|
2
GAAP EPS shares do not include dilution of shares as earnings
are a net loss. As such, the dilution impact of preferred
share conversion and outstanding equity awards is not included in
the forecasted shares.
|
Fourth Quarter and Full Year 2016 Conference Call and Webcast
Details
Allergan will host a conference call and webcast
today, February 8, 2017, at
8:30 a.m. Eastern Time to discuss its
fourth quarter 2016 results. The dial-in number to access the call
is U.S./Canada (877) 251-7980,
International (716) 803-8252, and the conference ID is 50941900. To
access the live webcast, go to Allergan's Investor Relations Web
site at http://ir.allergan.com.
A taped replay of the conference call will also be available
beginning approximately two hours after the call's conclusion and
will remain available through 11:30 PM
Eastern Time on April 8, 2017.
The replay may be accessed by dialing (855) 859-2056 and entering
conference ID 50941900. From international locations, the
replay may be accessed by dialing (404) 537-3406 and entering the
same conference ID. To access the webcast, go to Allergan's
Investor Relations Web site at http://ir.allergan.com. A replay of
the webcast will also be available.
About Allergan
Allergan plc (NYSE: AGN), headquartered in Dublin, Ireland, is a bold, global
biopharmaceutical company and a leader in a new industry model –
Growth Pharma. Allergan is focused on developing,
manufacturing and commercializing branded pharmaceuticals, devices
and biologic products for patients around the world.
Allergan markets a portfolio of leading brands and best-in-class
products for the central nervous system, eye care, medical
aesthetics and dermatology, gastroenterology, women's health,
urology and anti-infective therapeutic categories.
Allergan is an industry leader in Open Science, the
Company's R&D model, which defines our approach to identifying
and developing game-changing ideas and innovation for better
patient care. This approach has led to Allergan building one
of the broadest development pipelines in the pharmaceutical
industry with 65+ mid-to-late stage pipeline programs in
development.
Our Company's success is powered by our more than 16,000 global
colleagues' commitment to being Bold for Life. Together, we build
bridges, power ideas, act fast and drive results for our customers
and patients around the world by always doing what is right.
With commercial operations in approximately 100 countries,
Allergan is committed to working with physicians, healthcare
providers and patients to deliver innovative and meaningful
treatments that help people around the world live longer, healthier
lives every day.
For more information, visit Allergan's website
at www.Allergan.com.
Website addresses are included only as inactive textual
references and are not intended to be active links to such
websites. Information contained on such websites or that can
be accessed through such websites does not constitute part of this
release.
Forward-Looking Statement
Statements contained in this press release that refer to future
events or other non-historical facts are forward-looking statements
that reflect Allergan's current perspective of existing trends and
information as of the date of this release. Except as expressly
required by law, Allergan disclaims any intent or obligation to
update these forward-looking statements. Actual results may differ
materially from Allergan's current expectations depending upon a
number of factors affecting Allergan's business. These factors
include, among others, the difficulty of predicting the timing or
outcome of FDA approvals or actions, if any; the impact of
competitive products and pricing; market acceptance of and
continued demand for Allergan's products; difficulties or delays in
manufacturing; and other risks and uncertainties detailed in
Allergan's periodic public filings with the Securities and Exchange
Commission, including but not limited to Allergan's Annual Report
on Form 10-K for the year ended December 31,
2015 and Quarterly Report on Form 10-Q for the quarter ended
September 30, 2016. Except as
expressly required by law, Allergan disclaims any intent or
obligation to update these forward-looking statements.
This document contains non-GAAP adjusted financial measures. The
Appendix hereto presents reconciliations of certain non-GAAP
adjusted financial measures to the most directly comparable GAAP
measures.
The non‐GAAP adjusted measures include non-GAAP performance net
income, non-GAAP performance net income per share, adjusted EBITDA
and non-GAAP adjusted operating income.
We believe these non-GAAP measures provide useful information to
investors because these are among the measures used by our
management team to evaluate our operating performance, make day to
day operating decisions, prepare internal forecasts, communicate
external forward looking guidance to investors, compensate
management and allocate the Company's resources. We believe this
presentation also increases comparability of period‐to‐period
results.
Other companies may use similarly titled non-GAAP adjusted
financial measures that are calculated differently from the way we
calculate such measures. Accordingly, our non-GAAP adjusted
financial measures may not be comparable to similar non‐GAAP
measures used by other companies. We caution investors not to place
undue reliance on such non‐GAAP adjusted measures, but instead to
consider them with the most directly comparable GAAP measure.
Non‐GAAP adjusted financial measures have limitations as analytical
tools and should not be considered in isolation, or as a substitute
for our results as reported under GAAP.
The following table presents Allergan plc's Condensed
Consolidated Statement of Operations for the three and twelve
months ended December 31, 2016 and
2015; select cash flow line items for Allergan plc for the three
and twelve months ended December 31,
2016 and 2015 and select balance sheet line items for
Allergan plc as of December 31, 2016
and 2015:
|
|
|
|
|
|
|
|
|
Table 1
|
|
The following presents Allergan plc's statement of
operations for the three and twelve months ended December 31, 2016
and 2015:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ALLERGAN PLC
|
|
|
|
|
|
|
|
|
|
|
|
|
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS
|
|
|
|
|
|
|
|
|
|
|
|
|
(Unaudited; in millions, except per share
amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Twelve Months Ended
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
Net revenues
|
|
$
3,864.3
|
|
$
3,606.9
|
|
$
14,570.6
|
|
$
12,688.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of sales (excludes amortization and impairment
of acquired intangibles including product rights)
|
|
479.7
|
|
601.8
|
|
1,860.8
|
|
2,751.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Research and development
|
|
913.3
|
|
430.6
|
|
2,575.7
|
|
2,358.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general and administrative
|
|
1,276.8
|
|
1,276.3
|
|
4,740.3
|
|
4,481.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amortization
|
|
1,638.5
|
|
1,584.8
|
|
6,470.4
|
|
5,443.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In-process research and development
impairments
|
|
427.0
|
|
14.0
|
|
743.9
|
|
511.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset sales and impairments, net
|
|
29.0
|
|
268.9
|
|
5.0
|
|
272.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total operating expenses
|
|
4,764.3
|
|
4,176.4
|
|
16,396.1
|
|
15,819.1
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating (loss)
|
|
(900.0)
|
|
(569.5)
|
|
(1,825.5)
|
|
(3,131.0)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-operating income (expense):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income
|
|
46.4
|
|
3.0
|
|
69.9
|
|
10.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest (expense)
|
|
(292.7)
|
|
(341.3)
|
|
(1,295.6)
|
|
(1,193.3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income (expense), net
|
|
35.0
|
|
4.3
|
|
219.2
|
|
(233.8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total other income (expense), net
|
|
(211.3)
|
|
(334.0)
|
|
(1,006.5)
|
|
(1,416.5)
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) before income taxes and noncontrolling
interest
|
|
(1,111.3)
|
|
(903.5)
|
|
(2,832.0)
|
|
(4,547.5)
|
|
|
|
|
|
|
|
|
|
|
|
|
(Benefit) for income taxes
|
|
(1,071.2)
|
|
(114.9)
|
|
(1,897.0)
|
|
(1,605.9)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) from continuing operations, net of
tax
|
|
(40.1)
|
|
(788.6)
|
|
(935.0)
|
|
(2,941.6)
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from discontinued operations, net of
tax
|
|
41.3
|
|
159.3
|
|
15,914.5
|
|
6,861.0
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income / (loss)
|
|
1.2
|
|
(629.3)
|
|
14,979.5
|
|
3,919.4
|
|
|
|
|
|
|
|
|
|
|
|
|
(Income) attributable to noncontrolling
interest
|
|
(1.8)
|
|
(1.6)
|
|
(6.1)
|
|
(4.2)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) / income attributable to
shareholders
|
|
(0.6)
|
|
(630.9)
|
|
14,973.4
|
|
3,915.2
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends on preferred shares
|
|
69.6
|
|
69.6
|
|
278.4
|
|
232.0
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) / income attributable to ordinary
shareholders
|
|
$
(70.2)
|
|
$
(700.5)
|
|
$
14,695.0
|
|
$
3,683.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) / income per share attributable to ordinary
shareholders - basic:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
|
$
(0.31)
|
|
$
(2.18)
|
|
$
(3.17)
|
|
$
(8.64)
|
|
|
|
|
|
|
|
|
|
|
|
|
Discontinued operations
|
|
0.11
|
|
0.40
|
|
41.35
|
|
18.65
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per share -- basic
|
|
$
(0.20)
|
|
$
(1.78)
|
|
$
38.18
|
|
$
10.01
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) / income per share attributable to ordinary
shareholders - diluted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
|
$
(0.31)
|
|
$
(2.18)
|
|
$
(3.17)
|
|
$
(8.64)
|
|
|
|
|
|
|
|
|
|
|
|
|
Discontinued operations
|
|
0.11
|
|
0.40
|
|
41.35
|
|
18.65
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per share -- diluted
|
|
$
(0.20)
|
|
$
(1.78)
|
|
$
38.18
|
|
$
10.01
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares
outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
356.8
|
|
394.2
|
|
384.9
|
|
367.8
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted
|
|
356.8
|
|
394.2
|
|
384.9
|
|
367.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following presents select cash flow line items
for Allergan plc for the three and twelve months ended December 31,
2016 and 2015:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ALLERGAN PLC
|
|
|
|
|
|
|
|
|
|
|
|
|
SELECT CASH FLOW ITEMS
|
|
|
|
|
|
|
|
|
|
|
|
|
(Unaudited; in billions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Twelve Months Ended
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from operating
activities
|
|
$
(0.1)
|
|
$
1.6
|
|
$
1.4
|
|
$
4.5
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from investing
activities
|
|
6.7
|
|
(2.4)
|
|
24.3
|
|
(37.1)
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from financing
activities
|
|
(12.5)
|
|
(0.1)
|
|
(25.1)
|
|
33.4
|
|
|
|
|
|
|
|
|
|
|
|
|
Effect of currency exchange rate changes on cash and
cash equivalents
|
|
-
|
|
-
|
|
-
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (decrease) / increase in cash and cash
equivalents
|
|
(5.9)
|
|
(0.9)
|
|
0.6
|
|
0.8
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents at beginning of
period
|
|
7.6
|
|
2.0
|
|
1.1
|
|
0.3
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents at end of
period
|
|
$
1.7
|
|
$
1.1
|
|
$
1.7
|
|
$
1.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following presents select balance sheet line
items for Allergan plc as of December 31, 2016 and
2015:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ALLERGAN PLC
|
|
|
|
|
|
|
|
|
|
|
|
|
SELECT BALANCE SHEET LINE
ITEMS
|
|
|
|
|
|
|
|
|
|
|
|
|
(Unaudited; in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
1,724.0
|
|
$
1,096.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marketable securities
|
|
11,501.5
|
|
9.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities & Equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current and long-term debt and capital
leases
|
|
32,768.7
|
|
42,530.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total equity
|
|
76,200.5
|
|
76,589.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following table details Allergan plc's product revenue for
significant promoted products globally, within the U.S. and
International for the three and twelve months ended December 31, 2016 and 2015:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table 2
|
ALLERGAN PLC
|
NET REVENUES TOP GLOBAL
PRODUCTS
|
(Unaudited; in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
2016
|
|
Three Months Ended December 31,
2015
|
|
Movement
|
|
US Specialized Therapeutics
|
|
US General Medicine
|
|
International
|
|
Corporate
|
|
Global
|
|
US Specialized Therapeutics
|
|
US General Medicine
|
|
International
|
|
Corporate
|
|
Global
|
|
Global Change
|
|
Global Change Percentage
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Botox®
|
$
529.2
|
|
$
-
|
|
$
210.1
|
|
$
-
|
|
$
739.3
|
|
$
460.0
|
|
$
-
|
|
$
191.0
|
|
$
-
|
|
$
651.0
|
|
$
88.3
|
|
13.6%
|
Restasis®
|
393.1
|
|
-
|
|
18.3
|
|
-
|
|
411.4
|
|
348.2
|
|
-
|
|
16.4
|
|
-
|
|
364.6
|
|
46.8
|
|
12.8%
|
Fillers
|
121.6
|
|
-
|
|
116.2
|
|
-
|
|
237.8
|
|
97.7
|
|
-
|
|
88.0
|
|
-
|
|
185.7
|
|
52.1
|
|
28.1%
|
Lumigan®/Ganfort®
|
86.0
|
|
-
|
|
92.5
|
|
-
|
|
178.5
|
|
94.8
|
|
-
|
|
93.7
|
|
-
|
|
188.5
|
|
(10.0)
|
|
(5.3)%
|
Linzess®/Constella®
|
-
|
|
173.6
|
|
4.6
|
|
-
|
|
178.2
|
|
-
|
|
129.7
|
|
1.6
|
|
-
|
|
131.3
|
|
46.9
|
|
35.7%
|
Bystolic®
/Byvalson®
|
-
|
|
159.8
|
|
0.4
|
|
-
|
|
160.2
|
|
-
|
|
168.7
|
|
0.5
|
|
-
|
|
169.2
|
|
(9.0)
|
|
(5.3)%
|
Alphagan®/Combigan®
|
102.3
|
|
-
|
|
42.0
|
|
-
|
|
144.3
|
|
100.1
|
|
-
|
|
38.7
|
|
-
|
|
138.8
|
|
5.5
|
|
4.0%
|
Namenda XR®
|
-
|
|
141.1
|
|
-
|
|
-
|
|
141.1
|
|
-
|
|
189.5
|
|
-
|
|
-
|
|
189.5
|
|
(48.4)
|
|
(25.5)%
|
Eye Drops
|
46.4
|
|
-
|
|
69.3
|
|
-
|
|
115.7
|
|
45.2
|
|
-
|
|
69.2
|
|
-
|
|
114.4
|
|
1.3
|
|
1.1%
|
Lo Loestrin®
|
-
|
|
107.5
|
|
-
|
|
-
|
|
107.5
|
|
-
|
|
94.8
|
|
1.5
|
|
-
|
|
96.3
|
|
11.2
|
|
11.6%
|
Estrace® Cream
|
-
|
|
103.0
|
|
-
|
|
-
|
|
103.0
|
|
-
|
|
96.8
|
|
-
|
|
-
|
|
96.8
|
|
6.2
|
|
6.4%
|
Breast Implants
|
56.8
|
|
-
|
|
37.4
|
|
-
|
|
94.2
|
|
62.2
|
|
-
|
|
39.9
|
|
-
|
|
102.1
|
|
(7.9)
|
|
(7.7)%
|
Viibryd®/Fetzima®
|
-
|
|
89.7
|
|
-
|
|
-
|
|
89.7
|
|
-
|
|
82.8
|
|
-
|
|
-
|
|
82.8
|
|
6.9
|
|
8.3%
|
Minastrin® 24
|
-
|
|
78.4
|
|
-
|
|
-
|
|
78.4
|
|
-
|
|
77.1
|
|
-
|
|
-
|
|
77.1
|
|
1.3
|
|
1.7%
|
Asacol®/Delzicol®
|
-
|
|
62.9
|
|
13.2
|
|
-
|
|
76.1
|
|
-
|
|
145.1
|
|
17.7
|
|
-
|
|
162.8
|
|
(86.7)
|
|
(53.3)%
|
Ozurdex ®
|
22.6
|
|
-
|
|
48.8
|
|
-
|
|
71.4
|
|
19.2
|
|
-
|
|
39.6
|
|
-
|
|
58.8
|
|
12.6
|
|
21.4%
|
Carafate ® /Sulcrate
®
|
-
|
|
61.3
|
|
0.7
|
|
-
|
|
62.0
|
|
-
|
|
59.7
|
|
-
|
|
-
|
|
59.7
|
|
2.3
|
|
3.9%
|
Aczone®
|
61.2
|
|
-
|
|
-
|
|
-
|
|
61.2
|
|
56.5
|
|
-
|
|
-
|
|
-
|
|
56.5
|
|
4.7
|
|
8.3%
|
Zenpep®
|
-
|
|
55.6
|
|
-
|
|
-
|
|
55.6
|
|
-
|
|
45.9
|
|
-
|
|
-
|
|
45.9
|
|
9.7
|
|
21.1%
|
Canasa®/Salofalk®
|
-
|
|
43.7
|
|
4.7
|
|
-
|
|
48.4
|
|
-
|
|
34.9
|
|
5.2
|
|
-
|
|
40.1
|
|
8.3
|
|
20.7%
|
Armour Thyroid
|
-
|
|
44.7
|
|
-
|
|
-
|
|
44.7
|
|
-
|
|
41.9
|
|
-
|
|
-
|
|
41.9
|
|
2.8
|
|
6.7%
|
Vraylar™
|
-
|
|
43.2
|
|
-
|
|
-
|
|
43.2
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
43.2
|
|
n.a.
|
Saphris®
|
-
|
|
43.2
|
|
-
|
|
-
|
|
43.2
|
|
-
|
|
52.4
|
|
-
|
|
-
|
|
52.4
|
|
(9.2)
|
|
(17.6)%
|
Viberzi®
|
-
|
|
38.0
|
|
-
|
|
-
|
|
38.0
|
|
-
|
|
12.3
|
|
-
|
|
-
|
|
12.3
|
|
25.7
|
|
n.m.
|
Teflaro®
|
-
|
|
31.7
|
|
-
|
|
-
|
|
31.7
|
|
-
|
|
32.3
|
|
-
|
|
-
|
|
32.3
|
|
(0.6)
|
|
(1.9)%
|
Rapaflo®
|
29.0
|
|
-
|
|
1.6
|
|
-
|
|
30.6
|
|
27.7
|
|
-
|
|
4.0
|
|
-
|
|
31.7
|
|
(1.1)
|
|
(3.5)%
|
Savella®
|
-
|
|
29.1
|
|
-
|
|
-
|
|
29.1
|
|
-
|
|
25.8
|
|
-
|
|
-
|
|
25.8
|
|
3.3
|
|
12.8%
|
Tazorac®
|
27.5
|
|
-
|
|
0.2
|
|
-
|
|
27.7
|
|
26.6
|
|
-
|
|
0.4
|
|
-
|
|
27.0
|
|
0.7
|
|
2.6%
|
SkinMedica®
|
26.8
|
|
-
|
|
-
|
|
-
|
|
26.8
|
|
25.0
|
|
-
|
|
-
|
|
-
|
|
25.0
|
|
1.8
|
|
7.2%
|
Latisse®
|
23.2
|
|
-
|
|
2.3
|
|
-
|
|
25.5
|
|
23.8
|
|
-
|
|
2.2
|
|
-
|
|
26.0
|
|
(0.5)
|
|
(1.9)%
|
Namzaric®
|
-
|
|
19.5
|
|
-
|
|
-
|
|
19.5
|
|
-
|
|
7.9
|
|
-
|
|
-
|
|
7.9
|
|
11.6
|
|
146.8%
|
Lexapro®
|
-
|
|
15.8
|
|
-
|
|
-
|
|
15.8
|
|
-
|
|
18.0
|
|
-
|
|
-
|
|
18.0
|
|
(2.2)
|
|
(12.2)%
|
Kybella®
/Belkyra®
|
12.0
|
|
-
|
|
0.7
|
|
-
|
|
12.7
|
|
3.2
|
|
-
|
|
-
|
|
-
|
|
3.2
|
|
9.5
|
|
n.m.
|
Dalvance®
|
-
|
|
12.6
|
|
-
|
|
-
|
|
12.6
|
|
-
|
|
5.5
|
|
-
|
|
-
|
|
5.5
|
|
7.1
|
|
129.1%
|
Avycaz®
|
-
|
|
9.2
|
|
-
|
|
-
|
|
9.2
|
|
-
|
|
9.7
|
|
-
|
|
-
|
|
9.7
|
|
(0.5)
|
|
(5.2)%
|
Liletta®
|
-
|
|
8.3
|
|
-
|
|
-
|
|
8.3
|
|
-
|
|
4.1
|
|
-
|
|
-
|
|
4.1
|
|
4.2
|
|
102.4%
|
Enablex®
|
-
|
|
2.4
|
|
-
|
|
-
|
|
2.4
|
|
-
|
|
17.7
|
|
-
|
|
-
|
|
17.7
|
|
(15.3)
|
|
(86.4)%
|
Namenda® IR
|
-
|
|
2.3
|
|
-
|
|
-
|
|
2.3
|
|
-
|
|
23.4
|
|
-
|
|
-
|
|
23.4
|
|
(21.1)
|
|
(90.2)%
|
Other
|
33.2
|
|
156.4
|
|
90.2
|
|
7.2
|
|
287.0
|
|
30.0
|
|
158.7
|
|
81.3
|
|
4.7
|
|
274.7
|
|
12.3
|
|
4.5%
|
Less product sold through our
former Anda Distribution business
|
n.a.
|
|
n.a.
|
|
n.a.
|
|
-
|
|
-
|
|
n.a.
|
|
n.a.
|
|
n.a.
|
|
(43.6)
|
|
(43.6)
|
|
43.6
|
|
n.a.
|
Total Net Revenues
|
$
1,570.9
|
|
$
1,533.0
|
|
$
753.2
|
|
$
7.2
|
|
3,864.3
|
|
$
1,420.2
|
|
$
1,534.7
|
|
$
690.9
|
|
$
(38.9)
|
|
3,606.9
|
|
$
257.4
|
|
7.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, 2016
|
|
Year Ended December 31,
2015
|
|
Movement
|
|
US Specialized Therapeutics
|
|
US General Medicine
|
|
International
|
|
Corporate
|
|
Global
|
|
US Specialized Therapeutics
|
|
US General Medicine
|
|
International
|
|
Corporate
|
|
Global
|
|
Global Change
|
|
Global Change Percentage
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Botox®
|
$
1,983.2
|
|
$
-
|
|
$
803.0
|
|
$
-
|
|
$
2,786.2
|
|
$
1,386.4
|
|
$
-
|
|
$
584.4
|
|
$
-
|
|
$
1,970.8
|
|
$
815.4
|
|
41.4%
|
Restasis®
|
1,419.5
|
|
-
|
|
68.0
|
|
-
|
|
1,487.5
|
|
999.6
|
|
-
|
|
48.2
|
|
-
|
|
1,047.8
|
|
439.7
|
|
42.0%
|
Fillers
|
446.9
|
|
-
|
|
420.4
|
|
-
|
|
867.3
|
|
304.4
|
|
-
|
|
269.5
|
|
-
|
|
573.9
|
|
293.4
|
|
51.1%
|
Lumigan®/Ganfort®
|
326.4
|
|
-
|
|
361.7
|
|
-
|
|
688.1
|
|
260.7
|
|
-
|
|
283.4
|
|
-
|
|
544.1
|
|
144.0
|
|
26.5%
|
Linzess®/Constella®
|
-
|
|
625.6
|
|
17.3
|
|
-
|
|
642.9
|
|
-
|
|
454.8
|
|
4.5
|
|
-
|
|
459.3
|
|
183.6
|
|
40.0%
|
Bystolic®
/Byvalson®
|
-
|
|
638.8
|
|
1.7
|
|
-
|
|
640.5
|
|
-
|
|
644.8
|
|
1.3
|
|
-
|
|
646.1
|
|
(5.6)
|
|
(0.9)%
|
Namenda XR®
|
-
|
|
627.6
|
|
-
|
|
-
|
|
627.6
|
|
-
|
|
759.3
|
|
-
|
|
-
|
|
759.3
|
|
(131.7)
|
|
(17.3)%
|
Alphagan®/Combigan®
|
376.6
|
|
-
|
|
169.3
|
|
-
|
|
545.9
|
|
285.0
|
|
-
|
|
126.1
|
|
-
|
|
411.1
|
|
134.8
|
|
32.8%
|
Eye Drops
|
186.5
|
|
-
|
|
276.2
|
|
-
|
|
462.7
|
|
177.0
|
|
-
|
|
220.6
|
|
-
|
|
397.6
|
|
65.1
|
|
16.4%
|
Asacol®/Delzicol®
|
-
|
|
360.8
|
|
53.7
|
|
-
|
|
414.5
|
|
-
|
|
552.9
|
|
65.5
|
|
-
|
|
618.4
|
|
(203.9)
|
|
(33.0)%
|
Lo Loestrin®
|
-
|
|
403.5
|
|
-
|
|
-
|
|
403.5
|
|
-
|
|
346.5
|
|
3.1
|
|
-
|
|
349.6
|
|
53.9
|
|
15.4%
|
Estrace® Cream
|
-
|
|
379.4
|
|
-
|
|
-
|
|
379.4
|
|
-
|
|
326.2
|
|
-
|
|
-
|
|
326.2
|
|
53.2
|
|
16.3%
|
Breast Implants
|
206.0
|
|
-
|
|
149.9
|
|
-
|
|
355.9
|
|
175.0
|
|
-
|
|
125.5
|
|
-
|
|
300.5
|
|
55.4
|
|
18.4%
|
Viibryd®/Fetzima®
|
-
|
|
342.3
|
|
-
|
|
-
|
|
342.3
|
|
-
|
|
327.6
|
|
-
|
|
-
|
|
327.6
|
|
14.7
|
|
4.5%
|
Minastrin® 24
|
-
|
|
325.9
|
|
1.4
|
|
-
|
|
327.3
|
|
-
|
|
272.4
|
|
0.6
|
|
-
|
|
273.0
|
|
54.3
|
|
19.9%
|
Ozurdex ®
|
84.4
|
|
-
|
|
179.0
|
|
-
|
|
263.4
|
|
56.1
|
|
-
|
|
112.3
|
|
-
|
|
168.4
|
|
95.0
|
|
56.4%
|
Carafate ® /Sulcrate
®
|
-
|
|
229.0
|
|
2.4
|
|
-
|
|
231.4
|
|
-
|
|
213.1
|
|
-
|
|
-
|
|
213.1
|
|
18.3
|
|
8.6%
|
Aczone®
|
217.3
|
|
-
|
|
-
|
|
-
|
|
217.3
|
|
170.8
|
|
-
|
|
-
|
|
-
|
|
170.8
|
|
46.5
|
|
27.2%
|
Zenpep®
|
-
|
|
200.7
|
|
-
|
|
-
|
|
200.7
|
|
-
|
|
167.4
|
|
-
|
|
-
|
|
167.4
|
|
33.3
|
|
19.9%
|
Canasa®/Salofalk®
|
-
|
|
178.7
|
|
17.7
|
|
-
|
|
196.4
|
|
-
|
|
137.1
|
|
18.5
|
|
-
|
|
155.6
|
|
40.8
|
|
26.2%
|
Saphris®
|
-
|
|
166.8
|
|
-
|
|
-
|
|
166.8
|
|
-
|
|
186.7
|
|
-
|
|
-
|
|
186.7
|
|
(19.9)
|
|
(10.7)%
|
Armour Thyroid
|
-
|
|
166.5
|
|
-
|
|
-
|
|
166.5
|
|
-
|
|
130.8
|
|
-
|
|
-
|
|
130.8
|
|
35.7
|
|
27.3%
|
Teflaro®
|
-
|
|
133.6
|
|
-
|
|
-
|
|
133.6
|
|
-
|
|
137.6
|
|
-
|
|
-
|
|
137.6
|
|
(4.0)
|
|
(2.9)%
|
Rapaflo®
|
116.6
|
|
-
|
|
5.8
|
|
-
|
|
122.4
|
|
115.2
|
|
-
|
|
10.9
|
|
-
|
|
126.1
|
|
(3.7)
|
|
(2.9)%
|
SkinMedica®
|
108.3
|
|
-
|
|
-
|
|
-
|
|
108.3
|
|
76.6
|
|
-
|
|
-
|
|
-
|
|
76.6
|
|
31.7
|
|
41.4%
|
Savella®
|
-
|
|
103.2
|
|
-
|
|
-
|
|
103.2
|
|
-
|
|
106.4
|
|
-
|
|
-
|
|
106.4
|
|
(3.2)
|
|
(3.0)%
|
Tazorac®
|
95.5
|
|
-
|
|
0.8
|
|
-
|
|
96.3
|
|
92.3
|
|
-
|
|
1.4
|
|
-
|
|
93.7
|
|
2.6
|
|
2.8%
|
Vraylar™
|
-
|
|
94.3
|
|
-
|
|
-
|
|
94.3
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
94.3
|
|
n.a.
|
Viberzi®
|
-
|
|
93.3
|
|
-
|
|
-
|
|
93.3
|
|
-
|
|
12.3
|
|
-
|
|
-
|
|
12.3
|
|
81.0
|
|
n.m.
|
Latisse®
|
77.9
|
|
-
|
|
8.5
|
|
-
|
|
86.4
|
|
63.2
|
|
-
|
|
10.0
|
|
-
|
|
73.2
|
|
13.2
|
|
18.0%
|
Lexapro®
|
-
|
|
66.6
|
|
-
|
|
-
|
|
66.6
|
|
-
|
|
71.6
|
|
-
|
|
-
|
|
71.6
|
|
(5.0)
|
|
(7.0)%
|
Namzaric®
|
-
|
|
57.5
|
|
-
|
|
-
|
|
57.5
|
|
-
|
|
11.2
|
|
-
|
|
-
|
|
11.2
|
|
46.3
|
|
n.m.
|
Kybella®
/Belkyra®
|
50.2
|
|
-
|
|
2.3
|
|
-
|
|
52.5
|
|
3.2
|
|
-
|
|
-
|
|
-
|
|
3.2
|
|
49.3
|
|
n.m.
|
Dalvance®
|
-
|
|
39.3
|
|
-
|
|
-
|
|
39.3
|
|
-
|
|
16.8
|
|
-
|
|
-
|
|
16.8
|
|
22.5
|
|
133.9%
|
Avycaz®
|
-
|
|
36.1
|
|
-
|
|
-
|
|
36.1
|
|
-
|
|
22.6
|
|
-
|
|
-
|
|
22.6
|
|
13.5
|
|
59.7%
|
Liletta®
|
-
|
|
23.3
|
|
-
|
|
-
|
|
23.3
|
|
-
|
|
14.8
|
|
-
|
|
-
|
|
14.8
|
|
8.5
|
|
57.4%
|
Enablex®
|
-
|
|
17.1
|
|
-
|
|
-
|
|
17.1
|
|
-
|
|
69.2
|
|
-
|
|
-
|
|
69.2
|
|
(52.1)
|
|
(75.3)%
|
Namenda® IR
|
-
|
|
15.1
|
|
-
|
|
-
|
|
15.1
|
|
-
|
|
556.3
|
|
-
|
|
-
|
|
556.3
|
|
(541.2)
|
|
(97.3)%
|
Other
|
116.4
|
|
598.9
|
|
342.2
|
|
33.7
|
|
1,091.2
|
|
144.3
|
|
800.0
|
|
301.5
|
|
10.0
|
|
1,255.8
|
|
(164.6)
|
|
(13.1)%
|
Less product sold through our
former Anda Distribution business
|
n.a.
|
|
n.a.
|
|
n.a.
|
|
(80.0)
|
|
(80.0)
|
|
n.a.
|
|
n.a.
|
|
n.a.
|
|
(157.4)
|
|
(157.4)
|
|
77.4
|
|
(49.2)%
|
Total Net Revenues
|
$
5,811.7
|
|
$
5,923.9
|
|
$
2,881.3
|
|
$
(46.3)
|
|
14,570.6
|
|
$
4,309.8
|
|
$
6,338.4
|
|
$
2,187.3
|
|
$
(147.4)
|
|
12,688.1
|
|
$
1,882.5
|
|
14.8%
|
Non-GAAP performance net income per share is used by
management as one of the primary metrics in evaluating the
Company's performance. We believe that Non-GAAP performance
net income per share enhances the comparability of our results
between periods and provides additional information and
transparency to investors on adjustments and other items that are
not indicative of the Company's current and future operating
performance. These are the financial measures used by our
management team to evaluate our operating performance and make day
to day operating decisions. We define non-GAAP adjustments to
the reported GAAP measures as GAAP results adjusted for the
following net of tax: (i) amortization expenses, (ii) global supply
chain and operational excellence initiatives, (iii) acquisition,
integration and licensing charges, (iv) accretion and fair market
value adjustments on contingent liabilities, (v) impairment/asset
sales and related costs, including the exclusion of discontinued
operations, (vi) legal settlements and (vii) other unusual charges
or expenses. Non-GAAP performance net income per share is
not, and should not be viewed as, a substitute for reported GAAP
continuing operations loss per share. The Company has
consistently excluded amortization of all intangible assets,
including the product rights that generate a significant portion of
our ongoing revenue. The Company's total accumulated amortization
related to our intangible assets as of December 31, 2016 and 2015
was $14.6 billion and $8.3 billion, respectively, and is expected
to continue to be a material non-GAAP adjustment. The
following table presents Allergan plc's GAAP to Non-GAAP
adjustments for the three and twelve months ended December 31, 2016
and 2015:
|
|
|
|
|
|
|
|
|
|
|
Table 3
|
ALLERGAN PLC
|
GAAP TO NON-GAAP ADJUSTMENTS
|
(Unaudited; in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
2016
|
|
Net Revenue
|
COGS
|
Research & Development
|
Selling & Marketing
|
General & Administrative
|
Amortization
|
Asset sales and Impairments,
net
|
Interest expense, net
|
Other income (expense)
|
Income taxes
|
GAAP
|
$
3,864.3
|
$
479.7
|
$
913.3
|
$
836.8
|
$
440.0
|
$
1,638.5
|
$
456.0
|
$
(246.3)
|
$
35.0
|
$
(1,071.2)
|
|
|
|
|
|
|
|
|
|
|
|
Expenditures incurred with the Pfizer
transaction
|
-
|
(1.3)
|
(2.7)
|
(31.5)
|
(4.9)
|
-
|
-
|
-
|
-
|
-
|
Purchase accounting impact on stock-based
compensation for acquired awards
|
-
|
(1.7)
|
(22.0)
|
(10.1)
|
(44.8)
|
-
|
-
|
-
|
-
|
-
|
Severance due to integration of acquired entities and
other restructuring programs
|
-
|
(0.4)
|
(4.6)
|
(11.8)
|
(8.6)
|
-
|
-
|
-
|
-
|
-
|
Integration charges of acquired
businesses
|
-
|
(5.3)
|
(2.4)
|
(1.2)
|
(54.3)
|
-
|
-
|
-
|
-
|
-
|
Brand related milestones and upfront expenses for
asset acquisitions
|
|
|
|
|
|
|
|
|
|
|
Brazikumab
|
-
|
-
|
(250.0)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Chase Pharmaceuticals
|
-
|
-
|
(122.9)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Motus
|
-
|
-
|
(199.5)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
UroGen license agreement
|
-
|
-
|
(17.5)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Other
|
-
|
-
|
(2.7)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Accretion and fair-value adjustments to contingent
consideration
|
-
|
30.8
|
136.9
|
-
|
(24.2)
|
-
|
-
|
-
|
-
|
-
|
Mark-to-market adjustments for foreign currency
option contracts
|
-
|
-
|
-
|
-
|
9.5
|
-
|
-
|
-
|
-
|
-
|
Non-cash amortization of debt premium recognized in
purchase accounting
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(10.4)
|
-
|
-
|
Abandonment and decrease in realization of certain
R&D projects acquired in the Allergan
acquisition
|
-
|
-
|
-
|
-
|
-
|
-
|
(348.0)
|
-
|
-
|
-
|
Decrease in realization of certain R&D projects
acquired in the Vitae acquisition
|
-
|
-
|
-
|
-
|
-
|
-
|
(46.0)
|
-
|
-
|
-
|
Decrease in realization of certain R&D projects
acquired in the ForSight acquisition
|
-
|
-
|
-
|
-
|
-
|
-
|
(33.0)
|
-
|
-
|
-
|
Asset sales and impairments, other
|
-
|
-
|
-
|
-
|
-
|
-
|
(29.0)
|
-
|
-
|
-
|
Litigation settlement related
charges
|
-
|
-
|
-
|
-
|
(17.3)
|
-
|
-
|
-
|
-
|
-
|
Other adjustments
|
-
|
-
|
-
|
-
|
(10.6)
|
(1,638.5)
|
-
|
-
|
-
|
-
|
Income taxes on pre-tax adjustments
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
869.9
|
Discrete income tax events
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
372.3
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Adjusted
|
$
3,864.3
|
$
501.8
|
$
425.9
|
$
782.2
|
$
284.8
|
$
-
|
$
-
|
$
(256.7)
|
$
35.0
|
$
171.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ALLERGAN PLC
|
GAAP TO NON-GAAP ADJUSTMENTS
|
(Unaudited; in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
2015
|
|
Net Revenue
|
COGS
|
Research & Development
|
Selling & Marketing
|
General & Administrative
|
Amortization
|
Asset sales and Impairments,
net
|
Interest expense, net
|
Other income (expense)
|
Income taxes
|
GAAP
|
$
3,606.9
|
$
601.8
|
$
430.6
|
$
747.9
|
$
528.4
|
$
1,584.8
|
$
282.9
|
$
(338.3)
|
$
4.3
|
$
(114.9)
|
|
|
|
|
|
|
|
|
|
|
|
Impact of selling through purchase accounting mark-up
on acquired inventory
|
-
|
(173.7)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Expenditures incurred with the Pfizer
transaction
|
-
|
-
|
-
|
-
|
(3.5)
|
-
|
-
|
-
|
-
|
-
|
Purchase accounting impact on stock-based
compensation for acquired awards
|
-
|
(9.4)
|
(31.9)
|
(30.1)
|
(60.3)
|
-
|
-
|
-
|
-
|
-
|
Severance due to integration of acquired entities and
other restructuring programs
|
-
|
(2.3)
|
(6.5)
|
(1.8)
|
(6.7)
|
-
|
-
|
-
|
-
|
-
|
Acceleration of select incentive
awards
|
-
|
-
|
-
|
-
|
(47.4)
|
-
|
-
|
-
|
-
|
-
|
Integration charges of acquired
businesses
|
-
|
(1.9)
|
2.1
|
(15.0)
|
(93.7)
|
-
|
-
|
-
|
-
|
-
|
Brand related milestones and upfront expenses for
asset acquisitions
|
|
|
|
|
|
|
|
|
|
|
Mimetogen
|
-
|
-
|
(50.0)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Other
|
-
|
-
|
(3.1)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Accretion and fair-value adjustments to contingent
consideration
|
-
|
(5.4)
|
(3.0)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Mark-to-market adjustments for foreign currency
option contracts
|
-
|
-
|
-
|
-
|
(10.7)
|
-
|
-
|
-
|
-
|
-
|
Non-cash amortization of debt premium recognized in
purchase accounting
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(19.5)
|
-
|
-
|
Abandonment of a surgical product line acquired in
the Allergan acquisition
|
-
|
-
|
-
|
-
|
-
|
-
|
(229.6)
|
-
|
-
|
-
|
Asset sales and impairments, other
|
-
|
-
|
-
|
-
|
-
|
-
|
(53.3)
|
-
|
-
|
-
|
Litigation settlement related
charges
|
-
|
-
|
-
|
-
|
(10.6)
|
-
|
-
|
-
|
-
|
-
|
Other adjustments
|
-
|
(0.1)
|
(0.1)
|
-
|
0.5
|
(1,584.8)
|
-
|
-
|
1.8
|
-
|
Income taxes on pre-tax adjustments
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
310.7
|
Discrete income tax events
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(81.4)
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Adjusted
|
$
3,606.9
|
$
409.0
|
$
338.1
|
$
701.0
|
$
296.0
|
$
-
|
$
-
|
$
(357.8)
|
$
6.1
|
$
114.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ALLERGAN PLC
|
GAAP TO NON-GAAP ADJUSTMENTS
|
(Unaudited; in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended December 31,
2016
|
|
Net Revenue
|
COGS
|
Research & Development
|
Selling & Marketing
|
General & Administrative
|
Amortization
|
Asset sales and Impairments,
net
|
Interest expense, net
|
Other income (expense)
|
Income taxes
|
GAAP
|
$
14,570.6
|
$
1,860.8
|
$
2,575.7
|
$
3,266.4
|
$
1,473.9
|
$
6,470.4
|
$
748.9
|
$
(1,225.7)
|
$
219.2
|
$
(1,897.0)
|
|
|
|
|
|
|
|
|
|
|
|
Impact of selling through purchase accounting mark-up
on acquired inventory
|
-
|
(42.4)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Expenditures incurred with the Pfizer
transaction
|
-
|
(4.8)
|
(8.4)
|
(57.7)
|
(62.4)
|
-
|
-
|
-
|
(150.0)
|
-
|
Purchase accounting impact on stock-based
compensation for acquired awards
|
-
|
(8.1)
|
(53.8)
|
(65.4)
|
(80.5)
|
-
|
-
|
-
|
-
|
-
|
Severance due to integration of acquired entities and
other restructuring programs
|
-
|
(4.0)
|
(11.3)
|
(19.8)
|
(26.4)
|
-
|
-
|
-
|
-
|
-
|
Integration charges of acquired
businesses
|
-
|
(14.2)
|
1.0
|
(4.9)
|
(180.8)
|
-
|
-
|
-
|
-
|
-
|
Brand related milestones and upfront expenses for
asset acquisitions
|
|
|
|
|
|
|
|
|
|
|
Topokine
|
-
|
-
|
(85.8)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Anterios
|
-
|
-
|
(89.2)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Retrosense
|
-
|
-
|
(59.7)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Akarna
|
-
|
-
|
(48.2)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Brazikumab
|
-
|
-
|
(250.0)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Chase Pharmaceuticals
|
-
|
-
|
(122.9)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Motus
|
-
|
-
|
(199.5)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
UroGen license agreement
|
-
|
-
|
(17.5)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Merck license agreement
|
-
|
-
|
(100.0)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Heptares
|
-
|
-
|
(125.0)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Other adjustments
|
-
|
-
|
(36.9)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Accretion and fair-value adjustments to contingent
consideration
|
-
|
17.4
|
71.1
|
-
|
(24.3)
|
-
|
-
|
-
|
-
|
-
|
Mark-to-market adjustments for foreign currency
option contracts
|
-
|
-
|
-
|
-
|
(8.9)
|
-
|
-
|
-
|
-
|
-
|
Non-cash amortization of debt premium recognized in
purchase accounting
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(51.0)
|
-
|
-
|
Women's healthcare portfolio product
impairment
|
-
|
-
|
-
|
-
|
-
|
-
|
(24.0)
|
-
|
-
|
-
|
Abandonment of certain R&D projects acquired in
the Allergan acquisition
|
-
|
-
|
-
|
-
|
-
|
-
|
(592.9)
|
-
|
-
|
-
|
Decrease in realization of certain R&D projects
acquired in the Vitae acquisition
|
-
|
-
|
-
|
-
|
-
|
-
|
(46.0)
|
-
|
-
|
-
|
Decrease in realization of certain R&D projects
acquired in the ForSight acquisition
|
-
|
-
|
-
|
-
|
-
|
-
|
(33.0)
|
-
|
-
|
-
|
Abandonment of certain R&D projects acquired in
the Forest acquisition
|
-
|
-
|
-
|
-
|
-
|
-
|
(42.0)
|
-
|
-
|
-
|
Asset sales and impairments, other
|
-
|
-
|
-
|
-
|
-
|
-
|
(11.0)
|
-
|
-
|
-
|
Litigation settlement related
charges
|
-
|
-
|
-
|
-
|
(117.3)
|
-
|
-
|
-
|
-
|
-
|
Other adjustments
|
-
|
-
|
(5.8)
|
(0.1)
|
(10.1)
|
(6,470.4)
|
-
|
-
|
-
|
-
|
Income taxes on pre-tax adjustments
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
2,132.2
|
Discrete income tax events
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
300.0
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Adjusted
|
$
14,570.6
|
$
1,804.7
|
$
1,433.8
|
$
3,118.5
|
$
963.2
|
$
-
|
$
-
|
$
(1,276.7)
|
$
69.2
|
$
535.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ALLERGAN PLC
|
GAAP TO NON-GAAP ADJUSTMENTS
|
(Unaudited; in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended December 31,
2015
|
|
Net Revenue
|
COGS
|
Research & Development
|
Selling & Marketing
|
General & Administrative
|
Amortization
|
Asset sales and Impairments,
net
|
Interest expense, net
|
Other income (expense)
|
Income taxes
|
GAAP
|
$
12,688.1
|
$
2,751.8
|
$
2,358.5
|
$
2,765.1
|
$
1,716.4
|
$
5,443.7
|
$
783.6
|
$
(1,182.7)
|
$
(233.8)
|
$
(1,605.9)
|
|
|
|
|
|
|
|
|
|
|
|
Impact of selling through purchase accounting mark-up
on acquired inventory
|
-
|
(1,151.4)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Unsalable inventory resulting from the sale of the
Company's Respiratory Business
|
-
|
(35.3)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Expenditures incurred with the Pfizer
transaction
|
-
|
-
|
-
|
-
|
(3.5)
|
-
|
-
|
-
|
-
|
-
|
Purchase accounting impact on stock-based
compensation for acquired awards
|
-
|
(28.6)
|
(150.9)
|
(130.3)
|
(322.4)
|
-
|
-
|
-
|
-
|
-
|
Severance due to integration of acquired entities and
other restructuring programs
|
-
|
(13.8)
|
(81.8)
|
(81.4)
|
(131.4)
|
-
|
-
|
-
|
-
|
-
|
Acceleration of select incentive
awards
|
-
|
-
|
-
|
-
|
(47.4)
|
-
|
-
|
-
|
-
|
-
|
Integration charges of acquired
businesses
|
-
|
(3.9)
|
(21.1)
|
(15.5)
|
(334.7)
|
-
|
-
|
-
|
-
|
-
|
Brand related milestones and upfront expenses for
asset acquisitions
|
|
|
|
|
|
|
|
|
|
|
Mimetogen
|
-
|
-
|
(50.0)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Naurex
|
-
|
-
|
(571.7)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Darpin
|
-
|
-
|
(50.0)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Merck license agreement
|
-
|
-
|
(250.0)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Other
|
-
|
-
|
(28.7)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Accretion and fair-value adjustments to contingent
consideration
|
-
|
(58.5)
|
(37.7)
|
-
|
0.5
|
-
|
-
|
-
|
-
|
-
|
Mark-to-market adjustments for foreign currency
option contracts
|
-
|
-
|
-
|
-
|
(52.9)
|
-
|
-
|
-
|
-
|
-
|
Non-cash amortization of debt premium recognized in
purchase accounting
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(70.3)
|
-
|
-
|
Amortization of bridge loan commitment
fees
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
263.0
|
-
|
Abandonment of a surgical product line acquired in
the Allergan acquisition
|
-
|
-
|
-
|
-
|
-
|
-
|
(229.6)
|
-
|
-
|
-
|
Women's healthcare portfolio product
impairment
|
-
|
-
|
-
|
-
|
-
|
-
|
(192.1)
|
-
|
-
|
-
|
Abandonment of certain R&D projects acquired in
the Allergan acquisition
|
-
|
-
|
-
|
-
|
-
|
-
|
(300.0)
|
-
|
-
|
-
|
Asset sales and impairments, other
|
-
|
-
|
-
|
-
|
-
|
-
|
(61.9)
|
-
|
-
|
-
|
Interest rate lock impact
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(31.0)
|
-
|
Litigation settlement related
charges
|
-
|
-
|
-
|
-
|
(31.1)
|
-
|
-
|
-
|
-
|
-
|
Other adjustments
|
(3.8)
|
(0.1)
|
0.2
|
1.7
|
(9.1)
|
(5,443.7)
|
-
|
-
|
4.1
|
-
|
Income taxes on pre-tax adjustments
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
1,661.0
|
Discrete income tax events
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
368.6
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Adjusted
|
$
12,684.3
|
$
1,460.2
|
$
1,116.8
|
$
2,539.6
|
$
784.4
|
$
-
|
$
-
|
$
(1,253.0)
|
$
2.3
|
$
423.7
|
The following table presents a reconciliation of
Allergan plc's reported net (loss) from continuing operations
attributable to shareholders and diluted earnings per share to
non-GAAP performance net income and non-GAAP performance net income
per share for the three and twelve months ended December 31, 2016
and 2015:
|
|
|
|
|
|
|
|
Table 4
|
|
ALLERGAN PLC
|
|
RECONCILIATION TABLE
|
|
(Unaudited; in millions except per share
amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Twelve Months Ended
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP to Non-GAAP Performance net income
calculation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP (loss) from continuing operations attributable
to shareholders
|
$
(41.9)
|
|
$
(790.2)
|
|
$
(941.1)
|
|
$
(2,945.8)
|
|
|
Adjusted for:
|
|
|
|
|
|
|
|
|
|
Amortization
|
1,638.5
|
|
1,584.8
|
|
6,470.4
|
|
5,443.7
|
|
|
Acquisition and licensing charges (1)
|
800.4
|
|
517.2
|
|
1,593.6
|
|
3,673.1
|
|
|
Accretion and fair-value adjustments to contingent
consideration
|
(143.5)
|
|
8.4
|
|
(64.2)
|
|
95.7
|
|
|
Impairment/asset sales and related costs
|
456.0
|
|
282.9
|
|
748.9
|
|
783.6
|
|
|
Non-recurring (gain) / losses
|
(9.5)
|
|
10.7
|
|
8.9
|
|
52.9
|
|
|
Legal settlements
|
17.3
|
|
10.6
|
|
117.3
|
|
31.1
|
|
|
Income taxes on items above and other income tax
adjustments
|
(1,242.2)
|
|
(229.3)
|
|
(2,432.2)
|
|
(2,029.6)
|
|
|
Non-GAAP performance net income attributable to
shareholders
|
$
1,475.1
|
|
$
1,395.1
|
|
$
5,501.6
|
|
$
5,104.7
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted (loss) per share from continuing operations
attributable to shareholders- GAAP
|
$
(0.12)
|
|
$
(2.00)
|
|
$
(2.45)
|
|
$
(8.01)
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP performance net income per share
attributable to shareholders
|
$
3.90
|
|
$
3.36
|
|
$
13.51
|
|
$
13.20
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic weighted average ordinary shares
outstanding
|
356.8
|
|
394.2
|
|
384.9
|
|
367.8
|
|
|
Effect of dilutive securities:
|
|
|
|
|
|
|
|
|
|
Dilutive shares
|
21.8
|
|
21.5
|
|
22.3
|
|
18.8
|
|
|
Diluted weighted average ordinary shares outstanding
(2)
|
378.6
|
|
415.7
|
|
407.2
|
|
386.6
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Includes stock-based compensation due to the
Allergan, Forest and Warner Chilcott acquisitions as well as the
valuation accounting impact in interest expense,
net.
|
(2)
|
As of December 31,
2016, diluted share count was 356.6 million shares.
|
We define adjusted EBITDA as an amount equal to
consolidated net income / (loss) from continuing operations
attributable to shareholders for such period adjusted for the
following: (i) interest expense, (ii) interest income, (iii)
(benefit) for income taxes, (iv) depreciation and amortization
expenses, (v) stock-based compensation expense, (vi) asset
impairment charges and losses / (gains) and expenses associated
with the sale of assets, including the exclusion of discontinued
operations, (vii) business restructuring charges associated with
Allergan's global supply chain and operational excellence
initiatives or other restructurings of a similar nature, (viii)
costs and charges associated with the acquisition of businesses and
assets including, but not limited to, milestone payments,
integration charges, other charges associated with the revaluation
of assets or liabilities and charges associated with the
revaluation of acquisition related contingent liabilities that are
based in whole or in part on future estimated cash flows, (ix)
litigation charges and settlements and (x) other unusual charges or
expenses. We define non-GAAP adjusted operating income as adjusted
EBITDA including depreciation and certain stock-based compensation
charges and excluding dividend income.
The following table presents a reconciliation of Allergan plc's
reported net (loss) from continuing operations attributable to
shareholders for the three and twelve months ended December 31,
2016 and 2015 to adjusted EBITDA and adjusted operating
income:
|
|
|
|
|
|
|
|
Table 5
|
ALLERGAN PLC
|
ADJUSTED EBITDA and ADJUSTED OPERATING INCOME,
RECONCILIATION TABLE
|
(Unaudited; in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Twelve Months Ended
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP (loss) from continuing operations attributable
to shareholders
|
|
$
(41.9)
|
|
$
(790.2)
|
|
$
(941.1)
|
|
$
(2,945.8)
|
Plus:
|
|
|
|
|
|
|
|
|
|
|
Interest expense
|
|
292.7
|
|
341.3
|
|
1,295.6
|
|
1,193.3
|
|
Interest income
|
|
(46.4)
|
|
(3.0)
|
|
(69.9)
|
|
(10.6)
|
|
(Benefit) for income taxes
|
|
(1,071.2)
|
|
(114.9)
|
|
(1,897.0)
|
|
(1,605.9)
|
|
Depreciation (includes accelerated
depreciation)
|
|
38.2
|
|
33.6
|
|
152.7
|
|
129.6
|
|
Amortization
|
|
1,638.5
|
|
1,584.8
|
|
6,470.4
|
|
5,443.7
|
EBITDA
|
|
$
809.9
|
|
$
1,051.6
|
|
$
5,010.7
|
|
$
2,204.3
|
Adjusted for:
|
|
|
|
|
|
|
|
|
|
Acquisition and licensing and other
charges
|
|
732.2
|
|
405.0
|
|
1,436.8
|
|
3,111.2
|
|
Impairment/asset sales and related
costs
|
|
456.0
|
|
282.9
|
|
748.9
|
|
783.6
|
|
Non-recurring (gain) / losses
|
|
(9.5)
|
|
10.7
|
|
8.9
|
|
52.9
|
|
Legal settlements
|
|
17.3
|
|
10.6
|
|
117.3
|
|
31.1
|
|
Accretion and fair-value adjustments to contingent
consideration
|
|
(143.5)
|
|
8.4
|
|
(64.2)
|
|
95.7
|
|
Share-based compensation including cash
settlements
|
|
113.3
|
|
182.6
|
|
370.3
|
|
807.9
|
Adjusted EBITDA
|
|
$
1,975.7
|
|
$
1,951.8
|
|
$
7,628.7
|
|
$
7,086.7
|
Adjusted for:
|
|
|
|
|
|
|
|
|
|
Depreciation
|
|
(38.2)
|
|
(33.6)
|
|
(152.7)
|
|
(129.6)
|
|
Dividend income
|
|
(34.1)
|
|
-
|
|
(68.2)
|
|
-
|
|
Share-based compensation restructuring charges and
purchase accounting impact on stock-based compensation for acquired
awards
|
|
(34.7)
|
|
(50.9)
|
|
(162.5)
|
|
(175.7)
|
Adjusted Operating Income
|
|
$
1,868.7
|
|
$
1,867.3
|
|
$
7,245.3
|
|
$
6,781.4
|
The following table details Allergan plc's segment
contribution reconciled to the non-GAAP contribution for the same
financial statement line items for the three and twelve months
ended December 31, 2016 and 2015.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table 6
|
ALLERGAN PLC
|
Segment Contribution to Non-GAAP Allergan plc
Contribution
|
(Unaudited; $ in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
2016
|
|
Three Months Ended December 31,
2015
|
(Unaudited; $ in millions)
|
|
US Specialized Therapeutics
Segment
|
US General Medicine Segment
|
International Segment
|
Corporate
|
Total Company
|
|
US Specialized Therapeutics
Segment
|
US General Medicine Segment
|
International Segment
|
Corporate
|
Total Company
|
Net revenues (1)
|
|
$
1,570.9
|
$
1,533.0
|
$
753.2
|
$
7.2
|
$
3,864.3
|
|
$
1,420.2
|
$ 1,534.7
|
$
690.9
|
$
(38.9)
|
$
3,606.9
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
sales(1)(2)
|
|
75.9
|
230.2
|
108.9
|
86.8
|
501.8
|
|
75.6
|
235.5
|
107.1
|
(9.2)
|
409.0
|
Selling and marketing
|
|
292.2
|
282.9
|
205.5
|
1.6
|
782.2
|
|
247.8
|
277.6
|
175.0
|
0.6
|
701.0
|
General and
administrative
|
|
47.8
|
46.7
|
30.7
|
159.6
|
284.8
|
|
22.2
|
16.5
|
31.9
|
225.4
|
296.0
|
Segment contribution
|
|
$
1,155.0
|
$
973.2
|
$
408.1
|
$
(240.8)
|
$
2,295.5
|
|
$
1,074.6
|
$ 1,005.1
|
$
376.9
|
$
(255.7)
|
$
2,200.9
|
Segment margin
|
|
73.5%
|
63.5%
|
54.2%
|
n.m.
|
59.4%
|
|
75.7%
|
65.5%
|
54.6%
|
n.m.
|
61.0%
|
Segment gross
margin(3)
|
|
95.2%
|
85.0%
|
85.5%
|
n.m.
|
87.0%
|
|
94.7%
|
84.7%
|
84.5%
|
n.m.
|
88.7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes revenues earned that were
distributed through our former Anda Distribution business to third
party customers for the US Specialized Therapeutics Segment and the
US General Medicine Segment in the three months ended December 31,
2015 of $43.6 million, which are reclassified to discontinued
operations through Corporate. The corresponding
reclassification recorded in cost of goods sold was $41.1 million
in the three months ended December 31,
2015.
|
(2) Excludes amortization and impairment of
acquired intangibles including product
rights.
|
|
|
|
|
|
|
|
|
|
(3) Defined as net revenues less segment related
cost of sales as a percentage of net
revenues.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended December 31,
2016
|
|
Twelve Months Ended December 31,
2015
|
(Unaudited; $ in millions)
|
|
US Specialized Therapeutics
Segment
|
US General Medicine Segment
|
International Segment
|
Corporate
|
Total Company
|
|
US Specialized Therapeutics
Segment
|
US General Medicine Segment
|
International Segment
|
Corporate
|
Total Company
|
Net revenues (1)
|
|
$
5,811.7
|
$
5,923.9
|
$
2,881.3
|
$
(46.3)
|
$ 14,570.6
|
|
$
4,309.8
|
$ 6,338.4
|
$
2,187.3
|
$
(151.2)
|
$ 12,684.3
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
sales(1)(2)
|
|
290.9
|
879.8
|
418.2
|
215.8
|
1,804.7
|
|
235.8
|
909.5
|
350.9
|
(36.0)
|
1,460.2
|
Selling and marketing
|
|
1,137.0
|
1,185.7
|
788.2
|
7.6
|
3,118.5
|
|
772.8
|
1,194.7
|
569.2
|
2.9
|
2,539.6
|
General and
administrative
|
|
174.2
|
174.9
|
117.2
|
496.9
|
963.2
|
|
68.3
|
105.3
|
107.6
|
503.2
|
784.4
|
Segment contribution
|
|
$
4,209.6
|
$
3,683.5
|
$
1,557.7
|
$
(766.6)
|
$
8,684.2
|
|
$
3,232.9
|
$ 4,128.9
|
$
1,159.6
|
$
(621.3)
|
$
7,900.1
|
Segment margin
|
|
72.4%
|
62.2%
|
54.1%
|
n.m.
|
59.6%
|
|
75.0%
|
65.1%
|
53.0%
|
n.m.
|
62.3%
|
Segment gross
margin(3)
|
|
95.0%
|
85.1%
|
85.5%
|
n.m.
|
87.6%
|
|
94.5%
|
85.7%
|
84.0%
|
n.m.
|
88.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes revenues earned that were
distributed through our former Anda Distribution business to third
party customers for the US Specialized Therapeutics Segment and the
US General Medicine Segment in the twelve months ended December 31,
2016 and 2015 of $80.0 million and $157.4 million, respectively,
which are reclassified to discontinued operations through
Corporate. The corresponding reclassification recorded in
cost of goods sold was $78.2 million and $146.9 million in the
twelve months ended December 31, 2016 and 2015,
respectively.
|
(2) Excludes amortization and impairment of
acquired intangibles including product
rights.
|
|
|
|
|
|
|
|
|
|
(3) Defined as net revenues less segment related
cost of sales as a percentage of net
revenues.
|
|
|
|
|
|
|
|
|
|
The following table details Allergan plc's product
revenue for significant promoted products within the US Specialized
Therapeutics segment for the three and twelve months ended December
31, 2016 and 2015.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table 7
|
ALLERGAN PLC
|
US Specialized Therapeutics Product
Revenue
|
(Unaudited; in millions)
|
|
|
|
|
|
|
|
Three Months Ended December
31,
|
|
Change
|
|
2016
|
|
2015 (1)
|
|
Dollars
|
|
%
|
|
|
|
|
|
|
|
|
Total Eye Care
|
$
660.1
|
|
$
618.1
|
|
$
42.0
|
|
6.8%
|
Restasis®
|
393.1
|
|
348.2
|
|
44.9
|
|
12.9%
|
Alphagan®/Combigan®
|
102.3
|
|
100.1
|
|
2.2
|
|
2.2%
|
Lumigan®/Ganfort®
|
86.0
|
|
94.8
|
|
(8.8)
|
|
(9.3)%
|
Ozurdex®
|
22.6
|
|
19.2
|
|
3.4
|
|
17.7%
|
Eye Drops
|
46.4
|
|
45.2
|
|
1.2
|
|
2.7%
|
Other Eye Care
|
9.7
|
|
10.6
|
|
(0.9)
|
|
(8.5)%
|
Total Medical Aesthetics
|
440.3
|
|
383.6
|
|
56.7
|
|
14.8%
|
Facial Aesthetics
|
333.0
|
|
269.9
|
|
63.1
|
|
23.4%
|
Botox® Cosmetics
|
199.4
|
|
169.0
|
|
30.4
|
|
18.0%
|
Fillers
|
121.6
|
|
97.7
|
|
23.9
|
|
24.5%
|
Kybella®
|
12.0
|
|
3.2
|
|
8.8
|
|
n.m.
|
Plastic Surgery
|
57.3
|
|
64.9
|
|
(7.6)
|
|
(11.7)%
|
Breast Implants
|
56.8
|
|
62.2
|
|
(5.4)
|
|
(8.7)%
|
Other Plastic Surgery
|
0.5
|
|
2.7
|
|
(2.2)
|
|
(81.5)%
|
Skin Care
|
50.0
|
|
48.8
|
|
1.2
|
|
2.5%
|
SkinMedica®
|
26.8
|
|
25.0
|
|
1.8
|
|
7.2%
|
Latisse®
|
23.2
|
|
23.8
|
|
(0.6)
|
|
(2.5)%
|
Total Medical Dermatology
|
114.3
|
|
106.5
|
|
7.8
|
|
7.3%
|
Aczone®
|
61.2
|
|
56.5
|
|
4.7
|
|
8.3%
|
Tazorac®
|
27.5
|
|
26.6
|
|
0.9
|
|
3.4%
|
Botox® Hyperhidrosis
|
16.3
|
|
17.0
|
|
(0.7)
|
|
(4.1)%
|
Other Medical Dermatology
|
9.3
|
|
6.4
|
|
2.9
|
|
45.3%
|
Total Neuroscience &
Urology
|
342.5
|
|
301.7
|
|
40.8
|
|
13.5%
|
Botox® Therapeutics
|
313.5
|
|
274.0
|
|
39.5
|
|
14.4%
|
Rapaflo®
|
29.0
|
|
27.7
|
|
1.3
|
|
4.7%
|
Other Revenues
|
13.7
|
|
10.3
|
|
3.4
|
|
33.0%
|
Net revenues
|
$
1,570.9
|
|
$
1,420.2
|
|
$
150.7
|
|
10.6%
|
|
|
|
|
|
|
|
|
(1) Includes revenues earned that were
distributed through our former Anda Distribution business to third
party customers.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended December
31,
|
|
Change
|
|
2016 (1)
|
|
2015 (1)
|
|
Dollars
|
|
%
|
|
|
|
|
|
|
|
|
Total Eye Care
|
$
2,437.7
|
|
$
1,831.3
|
|
$
606.4
|
|
33.1%
|
Restasis®
|
1,419.5
|
|
999.6
|
|
419.9
|
|
42.0%
|
Alphagan®/Combigan®
|
376.6
|
|
285.0
|
|
91.6
|
|
32.1%
|
Lumigan®/Ganfort®
|
326.4
|
|
260.7
|
|
65.7
|
|
25.2%
|
Ozurdex®
|
84.4
|
|
56.1
|
|
28.3
|
|
50.4%
|
Eye Drops
|
186.5
|
|
177.0
|
|
9.5
|
|
5.4%
|
Other Eye Care
|
44.3
|
|
52.9
|
|
(8.6)
|
|
(16.3)%
|
Total Medical Aesthetics
|
1,622.9
|
|
1,145.0
|
|
477.9
|
|
41.7%
|
Facial Aesthetics
|
1,226.3
|
|
817.8
|
|
408.5
|
|
50.0%
|
Botox® Cosmetics
|
729.2
|
|
510.2
|
|
219.0
|
|
42.9%
|
Fillers
|
446.9
|
|
304.4
|
|
142.5
|
|
46.8%
|
Kybella®
|
50.2
|
|
3.2
|
|
47.0
|
|
n.m.
|
Plastic Surgery
|
210.4
|
|
187.4
|
|
23.0
|
|
12.3%
|
Breast Implants
|
206.0
|
|
175.0
|
|
31.0
|
|
17.7%
|
Other Plastic Surgery
|
4.4
|
|
12.4
|
|
(8.0)
|
|
(64.5)%
|
Skin Care
|
186.2
|
|
139.8
|
|
46.4
|
|
33.2%
|
SkinMedica®
|
108.3
|
|
76.6
|
|
31.7
|
|
41.4%
|
Latisse®
|
77.9
|
|
63.2
|
|
14.7
|
|
23.3%
|
Total Medical Dermatology
|
396.5
|
|
355.9
|
|
40.6
|
|
11.4%
|
Aczone®
|
217.3
|
|
170.8
|
|
46.5
|
|
27.2%
|
Tazorac®
|
95.5
|
|
92.3
|
|
3.2
|
|
3.5%
|
Botox® Hyperhidrosis
|
65.2
|
|
52.5
|
|
12.7
|
|
24.2%
|
Other Medical Dermatology
|
18.5
|
|
40.3
|
|
(21.8)
|
|
(54.1)%
|
Total Neuroscience &
Urology
|
1,306.3
|
|
938.9
|
|
367.4
|
|
39.1%
|
Botox® Therapeutics
|
1,188.8
|
|
823.7
|
|
365.1
|
|
44.3%
|
Rapaflo®
|
116.6
|
|
115.2
|
|
1.4
|
|
1.2%
|
Other Neuroscience & Urology
|
0.9
|
|
-
|
|
0.9
|
|
n.a.
|
Other Revenues
|
48.3
|
|
38.7
|
|
9.6
|
|
24.8%
|
Net revenues
|
$
5,811.7
|
|
$
4,309.8
|
|
$
1,501.9
|
|
34.8%
|
|
|
|
|
|
|
|
|
(1) Includes revenues earned that were
distributed through our former Anda Distribution business to third
party customers.
|
|
|
|
The following table details Allergan plc's product
revenue for significant promoted products within the US General
Medicine segment for the three and twelve months ended December 31,
2016 and 2015.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table 8
|
|
|
|
|
|
|
|
|
|
ALLERGAN PLC
|
US General Medicine Product
Revenue
|
(Unaudited; in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December
31,
|
|
Change
|
|
|
2016
|
|
2015 (1)
|
|
Dollars
|
|
%
|
|
|
|
|
|
|
|
|
|
Total Central Nervous System
(CNS)
|
|
$
339.0
|
|
$
356.0
|
|
(17.0)
|
|
(4.8)%
|
Namenda XR®
|
|
141.1
|
|
189.5
|
|
(48.4)
|
|
(25.5)%
|
Namzaric®
|
|
19.5
|
|
7.9
|
|
11.6
|
|
146.8%
|
Viibryd®/Fetzima®
|
|
89.7
|
|
82.8
|
|
6.9
|
|
8.3%
|
Vraylar™
|
|
43.2
|
|
-
|
|
43.2
|
|
n.a.
|
Saphris®
|
|
43.2
|
|
52.4
|
|
(9.2)
|
|
(17.6)%
|
Namenda® IR
|
|
2.3
|
|
23.4
|
|
(21.1)
|
|
(90.2)%
|
Total Gastrointestinal (GI)
|
|
444.0
|
|
436.9
|
|
7.1
|
|
1.6%
|
Linzess®
|
|
173.6
|
|
129.7
|
|
43.9
|
|
33.8%
|
Asacol®/Delzicol®
|
|
62.9
|
|
145.1
|
|
(82.2)
|
|
(56.7)%
|
Carafate®/Sulcrate®
|
|
61.3
|
|
59.7
|
|
1.6
|
|
2.7%
|
Zenpep®
|
|
55.6
|
|
45.9
|
|
9.7
|
|
21.1%
|
Canasa®/Salofalk®
|
|
43.7
|
|
34.9
|
|
8.8
|
|
25.2%
|
Viberzi®
|
|
38.0
|
|
12.3
|
|
25.7
|
|
n.m.
|
Other GI
|
|
8.9
|
|
9.3
|
|
(0.4)
|
|
(4.3)%
|
Total Women's Health
|
|
314.5
|
|
281.3
|
|
33.2
|
|
11.8%
|
Lo Loestrin®
|
|
107.5
|
|
94.8
|
|
12.7
|
|
13.4%
|
Estrace® Cream
|
|
103.0
|
|
96.8
|
|
6.2
|
|
6.4%
|
Minastrin® 24
|
|
78.4
|
|
77.1
|
|
1.3
|
|
1.7%
|
Liletta®
|
|
8.3
|
|
4.1
|
|
4.2
|
|
102.4%
|
Other Women's Health
|
|
17.3
|
|
8.5
|
|
8.8
|
|
103.5%
|
Total Anti-Infectives
|
|
58.0
|
|
50.5
|
|
7.5
|
|
14.9%
|
Teflaro®
|
|
31.7
|
|
32.3
|
|
(0.6)
|
|
(1.9)%
|
Dalvance®
|
|
12.6
|
|
5.5
|
|
7.1
|
|
129.1%
|
Avycaz®
|
|
9.2
|
|
9.7
|
|
(0.5)
|
|
(5.2)%
|
Other Anti-Infectives
|
|
4.5
|
|
3.0
|
|
1.5
|
|
50.0%
|
Diversified Brands
|
|
327.8
|
|
381.5
|
|
(53.7)
|
|
(14.1)%
|
Bystolic®
/Byvalson®
|
|
159.8
|
|
168.7
|
|
(8.9)
|
|
(5.3)%
|
Armour Thyroid
|
|
44.7
|
|
41.9
|
|
2.8
|
|
6.7%
|
Savella®
|
|
29.1
|
|
25.8
|
|
3.3
|
|
12.8%
|
Lexapro®
|
|
15.8
|
|
18.0
|
|
(2.2)
|
|
(12.2)%
|
Enablex®
|
|
2.4
|
|
17.7
|
|
(15.3)
|
|
(86.4)%
|
PacPharma
|
|
2.3
|
|
25.5
|
|
(23.2)
|
|
(91.0)%
|
Other Diversified Brands
|
|
73.7
|
|
83.9
|
|
(10.2)
|
|
(12.2)%
|
Other Revenues
|
|
49.7
|
|
28.5
|
|
21.2
|
|
74.4%
|
Net revenues
|
|
$
1,533.0
|
|
$
1,534.7
|
|
$
(1.7)
|
|
(0.1)%
|
|
|
|
|
|
|
|
|
|
(1) Includes revenues earned that were
distributed through our former Anda Distribution business to third
party customers.
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended December
31,
|
|
Change
|
|
|
2016 (1)
|
|
2015 (1)
|
|
Dollars
|
|
%
|
|
|
|
|
|
|
|
|
|
Total Central Nervous System
(CNS)
|
|
$
1,303.6
|
|
$
1,841.1
|
|
(537.5)
|
|
(29.2)%
|
Namenda XR®
|
|
627.6
|
|
759.3
|
|
(131.7)
|
|
(17.3)%
|
Namzaric®
|
|
57.5
|
|
11.2
|
|
46.3
|
|
n.m.
|
Viibryd®/Fetzima®
|
|
342.3
|
|
327.6
|
|
14.7
|
|
4.5%
|
Saphris®
|
|
166.8
|
|
186.7
|
|
(19.9)
|
|
(10.7)%
|
Vraylar™
|
|
94.3
|
|
-
|
|
94.3
|
|
n.a.
|
Namenda® IR
|
|
15.1
|
|
556.3
|
|
(541.2)
|
|
(97.3)%
|
Total Gastrointestinal (GI)
|
|
1,721.0
|
|
1,575.3
|
|
145.7
|
|
9.2%
|
Linzess®
|
|
625.6
|
|
454.8
|
|
170.8
|
|
37.6%
|
Asacol®/Delzicol®
|
|
360.8
|
|
552.9
|
|
(192.1)
|
|
(34.7)%
|
Carafate®/Sulcrate®
|
|
229.0
|
|
213.1
|
|
15.9
|
|
7.5%
|
Zenpep®
|
|
200.7
|
|
167.4
|
|
33.3
|
|
19.9%
|
Canasa®/Salofalk®
|
|
178.7
|
|
137.1
|
|
41.6
|
|
30.3%
|
Viberzi®
|
|
93.3
|
|
12.3
|
|
81.0
|
|
n.m.
|
Other GI
|
|
32.9
|
|
37.7
|
|
(4.8)
|
|
(12.7)%
|
Total Women's Health
|
|
1,179.6
|
|
998.0
|
|
181.6
|
|
18.2%
|
Lo Loestrin®
|
|
403.5
|
|
346.5
|
|
57.0
|
|
16.5%
|
Estrace® Cream
|
|
379.4
|
|
326.2
|
|
53.2
|
|
16.3%
|
Minastrin® 24
|
|
325.9
|
|
272.4
|
|
53.5
|
|
19.6%
|
Liletta®
|
|
23.3
|
|
14.8
|
|
8.5
|
|
57.4%
|
Other Women's Health
|
|
47.5
|
|
38.1
|
|
9.4
|
|
24.7%
|
Total Anti-Infectives
|
|
225.1
|
|
188.8
|
|
36.3
|
|
19.2%
|
Teflaro®
|
|
133.6
|
|
137.6
|
|
(4.0)
|
|
(2.9)%
|
Dalvance®
|
|
39.3
|
|
16.8
|
|
22.5
|
|
133.9%
|
Avycaz®
|
|
36.1
|
|
22.6
|
|
13.5
|
|
59.7%
|
Other Anti-Infectives
|
|
16.1
|
|
11.8
|
|
4.3
|
|
36.4%
|
Diversified Brands
|
|
1,366.6
|
|
1,649.2
|
|
(282.6)
|
|
(17.1)%
|
Bystolic®
/Byvalson®
|
|
638.8
|
|
644.8
|
|
(6.0)
|
|
(0.9)%
|
Armour Thyroid
|
|
166.5
|
|
130.8
|
|
35.7
|
|
27.3%
|
Savella®
|
|
103.2
|
|
106.4
|
|
(3.2)
|
|
(3.0)%
|
Lexapro®
|
|
66.6
|
|
71.6
|
|
(5.0)
|
|
(7.0)%
|
Enablex®
|
|
17.1
|
|
69.2
|
|
(52.1)
|
|
(75.3)%
|
PacPharma
|
|
52.0
|
|
82.1
|
|
(30.1)
|
|
(36.7)%
|
Other Diversified Brands
|
|
322.4
|
|
544.3
|
|
(221.9)
|
|
(40.8)%
|
Other Revenues
|
|
128.0
|
|
86.0
|
|
42.0
|
|
48.8%
|
Net revenues
|
|
$
5,923.9
|
|
$
6,338.4
|
|
$
(414.5)
|
|
(6.5)%
|
|
|
|
|
|
|
|
|
|
(1) Includes revenues earned that were
distributed through our former Anda Distribution business to third
party customers.
|
|
|
|
The following table details Allergan plc's product
revenue for significant promoted products within the International
segment for the three and twelve months ended December 31, 2016 and
2015.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table 9
|
|
|
|
|
|
|
|
|
|
ALLERGAN PLC
|
International Product
Revenue
|
(Unaudited; in millions)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December
31,
|
|
Change
|
|
|
2016
|
|
2015
|
|
Dollars
|
|
%
|
|
|
|
|
|
|
|
|
|
Total Eye Care
|
|
$
315.0
|
|
$
295.0
|
|
$
20.0
|
|
6.8%
|
Lumigan®/Ganfort®
|
|
92.5
|
|
93.7
|
|
(1.2)
|
|
(1.3)%
|
Alphagan®/Combigan®
|
|
42.0
|
|
38.7
|
|
3.3
|
|
8.5%
|
Ozurdex®
|
|
48.8
|
|
39.6
|
|
9.2
|
|
23.2%
|
Optive®
|
|
26.2
|
|
25.0
|
|
1.2
|
|
4.8%
|
Other Eye Drops
|
|
43.1
|
|
44.2
|
|
(1.1)
|
|
(2.5)%
|
Restasis®
|
|
18.3
|
|
16.4
|
|
1.9
|
|
11.6%
|
Other Eye Care
|
|
44.1
|
|
37.4
|
|
6.7
|
|
17.9%
|
Total Medical Aesthetics
|
|
284.6
|
|
246.4
|
|
38.2
|
|
15.5%
|
Facial Aesthetics
|
|
244.0
|
|
203.4
|
|
40.6
|
|
20.0%
|
Botox® Cosmetics
|
|
127.1
|
|
115.4
|
|
11.7
|
|
10.1%
|
Fillers
|
|
116.2
|
|
88.0
|
|
28.2
|
|
32.0%
|
Belkyra®
(Kybella®)
|
|
0.7
|
|
-
|
|
0.7
|
|
n.a.
|
Plastic Surgery
|
|
37.8
|
|
40.0
|
|
(2.2)
|
|
(5.5)%
|
Breast Implants
|
|
37.4
|
|
39.9
|
|
(2.5)
|
|
(6.3)%
|
Earfold™
|
|
0.4
|
|
0.1
|
|
0.3
|
|
n.m.
|
Skin Care
|
|
2.8
|
|
3.0
|
|
(0.2)
|
|
(6.7)%
|
Botox® Therapeutics and
Other
|
|
138.3
|
|
132.2
|
|
6.1
|
|
4.6%
|
Botox® Therapeutics
|
|
83.0
|
|
75.6
|
|
7.4
|
|
9.8%
|
Asacol®/Delzicol®
|
|
13.2
|
|
17.7
|
|
(4.5)
|
|
(25.4)%
|
Constella®
|
|
4.6
|
|
1.6
|
|
3.0
|
|
187.5%
|
Other Products
|
|
37.5
|
|
37.3
|
|
0.2
|
|
0.5%
|
Other Revenues
|
|
15.3
|
|
17.3
|
|
(2.0)
|
|
(11.6)%
|
Net revenues
|
|
$
753.2
|
|
$
690.9
|
|
$
62.3
|
|
9.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended December
31,
|
|
Change
|
|
|
2016
|
|
2015
|
|
Dollars
|
|
%
|
|
|
|
|
|
|
|
|
|
Total Eye Care
|
|
$
1,219.4
|
|
$
918.7
|
|
$
300.7
|
|
32.7%
|
Lumigan®/Ganfort®
|
|
361.7
|
|
283.4
|
|
78.3
|
|
27.6%
|
Alphagan®/Combigan®
|
|
169.3
|
|
126.1
|
|
43.2
|
|
34.3%
|
Ozurdex®
|
|
179.0
|
|
112.3
|
|
66.7
|
|
59.4%
|
Optive®
|
|
101.9
|
|
76.9
|
|
25.0
|
|
32.5%
|
Other Eye Drops
|
|
174.3
|
|
143.7
|
|
30.6
|
|
21.3%
|
Restasis®
|
|
68.0
|
|
48.2
|
|
19.8
|
|
41.1%
|
Other Eye Care
|
|
165.2
|
|
128.1
|
|
37.1
|
|
29.0%
|
Total Medical Aesthetics
|
|
1,064.6
|
|
756.3
|
|
308.3
|
|
40.8%
|
Facial Aesthetics
|
|
902.7
|
|
619.8
|
|
282.9
|
|
45.6%
|
Botox® Cosmetics
|
|
480.0
|
|
350.3
|
|
129.7
|
|
37.0%
|
Fillers
|
|
420.4
|
|
269.5
|
|
150.9
|
|
56.0%
|
Belkyra®
(Kybella®)
|
|
2.3
|
|
-
|
|
2.3
|
|
n.a.
|
Plastic Surgery
|
|
150.7
|
|
125.6
|
|
25.1
|
|
20.0%
|
Breast Implants
|
|
149.9
|
|
125.5
|
|
24.4
|
|
19.4%
|
Earfold™
|
|
0.8
|
|
0.1
|
|
0.7
|
|
n.m.
|
Skin
Care
|
|
11.2
|
|
10.9
|
|
0.3
|
|
2.8%
|
Botox® Therapeutics and
Other
|
|
537.3
|
|
453.7
|
|
83.6
|
|
18.4%
|
Botox® Therapeutics
|
|
323.0
|
|
234.1
|
|
88.9
|
|
38.0%
|
Asacol®/Delzicol®
|
|
53.7
|
|
65.5
|
|
(11.8)
|
|
(18.0)%
|
Constella®
|
|
17.3
|
|
4.5
|
|
12.8
|
|
n.m.
|
Other Products
|
|
143.3
|
|
149.6
|
|
(6.3)
|
|
(4.2)%
|
Other Revenues
|
|
60.0
|
|
58.6
|
|
1.4
|
|
2.4%
|
Net revenues
|
|
$
2,881.3
|
|
$
2,187.3
|
|
$
694.0
|
|
31.7%
|
The following table
provides a reconciliation of anticipated GAAP loss from continuing
operations to non-GAAP performance net income attributable to
shareholders for the year ending December 31, 2017:
|
|
|
|
|
|
Table
10
|
|
|
|
|
|
|
|
in millions
(except per share amounts)
|
LOW
|
|
HIGH
|
|
|
GAAP (loss) from
continuing operations attributable to shareholders
|
$
(322.0)
|
|
$
(155.0)
|
|
|
Adjusted
for:
|
|
|
|
|
|
Amortization
|
6,900.0
|
|
6,900.0
|
|
|
Acquisition and licensing charges
|
610.0
|
|
610.0
|
|
|
Accretion and fair-value adjustments to contingent
consideration
|
45.0
|
|
45.0
|
|
|
Impairment/asset sales and related costs
|
60.0
|
|
60.0
|
|
|
Non-recurring (gain) / losses
|
-
|
|
-
|
|
|
Legal settlements
|
-
|
|
-
|
|
|
Income taxes on items above and other income tax
adjustments
|
(1,668.0)
|
|
(1,658.0)
|
|
|
Non-GAAP performance
net income attributable to shareholders
|
5,625.0
|
|
5,802.0
|
|
|
|
|
|
|
|
|
Diluted earnings
per share
|
|
|
|
|
|
|
|
|
|
|
|
Diluted (loss) per
share from continuing operations attributable to shareholders-
GAAP
|
$
(0.97)
|
|
$
(0.47)
|
|
|
|
|
|
|
|
|
Non-GAAP performance
diluted net income per share attributable to
shareholders
|
$
15.80
|
|
$
16.30
|
|
|
|
|
|
|
|
|
Basic weighted
average ordinary shares outstanding
|
333
|
|
333
|
|
|
Effect of dilutive
securities:
|
|
|
|
|
|
Dilutive
shares
|
23
|
|
23
|
|
|
Diluted weighted
average ordinary shares outstanding
|
356
|
|
356
|
|
CONTACTS:
|
Allergan:
|
|
Investors:
|
|
Lisa
DeFrancesco
|
|
(862)
261-7152
|
|
|
|
Media:
|
|
Mark
Marmur
|
|
(862)
261-7558
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/allergan-reports-strong-2016-finish-with-7-increase-in-gaap-net-revenues-to-39-billion-in-fourth-quarter-2016-300403996.html
SOURCE Allergan plc