Endo’s total revenue was off 18% Y/Y as revenue from U.S. Generics and U.S. Branded Specialty products fell by 37% and 13%, respectively. U.S. Branded Specialty products fell as the company de-emphasized pain-related drugs. Generics have been falling due to a lack of pricing power in North America.
Sterile Injectables was up 21% Y/Y, while Xiaflex (included in Specialty Products) was up 27%. Sterile Injectables and Xiaflex now represent a combined 39% of total Q2 2018 revenues, up from 26% in the year earlier period. These two drugs will likely anchor Endo going forward as it attempts to improve upon its 40% EBITDA margins.
ENDP is up over 2.5x over the past six months on the strength of a “key drug”. That is good news for BSTC who licenses this “key drug” to Endo. This “key drug” could disrupt the $15B aesthetics market. The upside for BSTC is mouth watering. Read more:
