Elanco Animal Health Inc (NYSE:ELAN) has reported Q4 EPS of $0.21 higher than $0.12 reported a year ago, surpassing analysts' view of $0.17.
- Revenue was $1.11 billion, a decrease of 2% YY, unfavorably impacted by approximately $60 million of previously disclosed items that benefited Q4 FY20., beating the consensus of $1.10 billion.
- Pet Health's revenue decreased 1% and was flat when excluding the unfavorable impact from foreign exchange rates.
- Price growth across the portfolio and volume growth was more than offset by the impact of competitive pressure on older generation parasiticides.
- Farm Animal revenue decreased 1% and was flat, excluding foreign exchange rates' unfavorable impact.
- The gross margin improved from 47.7% to 54%, with 500 basis points attributable to the negative impact of the amortization of inventory fair value adjustments recorded from the acquisition of Bayer Animal Health in Q4 FY20.
- Guidance: Elanco expects FY22 revenue of $4.75 billion - $4.8 billion versus the analyst consensus of $4.86 billion.
- It expects adjusted EPS of $1.18 - $1.24 (consensus of $1.22) and adjusted EBITDA of $1.14 billion - $1.18 billion.
- For Q1 FY22, the company forecasts revenue of $1.2 billion - $1.23 billion versus the analyst consensus of $1.25 billion.
- It expects adjusted EPS of $0.33 - $0.38 (consensus of $0.37) and adjusted EBITDA of $310 million - $340 million.
- Price Action: ELAN shares closed lower by 0.89% at $25.75 on Wednesday.
