February 27, 2025 11:57 GMT
HEALTHCARE: Viatris (VTRS: Baa3/BBB- neg/BBB): FY24
HEALTHCARE
A miss on sales but leverage has been reduced
- Gross Leverage now 2.9x
- S&P said in Aug '23 that base case was for leverage to fall to 3.0-3.2x by YE24 from 3.9x. Is it time to remove the Neg Outlook ?
- $3.7bn of debt was paid down
- Adj Sales $14.7bn +2% after divestitures; Q4 $3.52bn +1% (-2.3% below estimates)
- Adj EBITDA FY $4.699bn flat yoy after divestitures; Q4 $983m flat
- Guidance: Revenues $13.75bn; EBITDA $4.04bn; FCF $2bn
- Indore facility in India will be a $500m drag on sales following FDA letter in Dec 24
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