Viatris Q4 EPS Tops, Brands Drive Revenue Growth, Stock Up

Viatris Inc. VTRS delivered fourth-quarter 2025 adjusted earnings per share (EPS) of 57 cents, which beat the Zacks Consensus Estimate of 52 cents. The company recorded an adjusted EPS of 54 cents in the year-ago quarter.

Total revenues were $3.7 billion, up 5% year over year (1% on an operational basis) and beat the Zacks Consensus Estimate of $3.5 billion.

The top line included product sales and other revenues.

The stock is up in pre-market trading. VTRS’ shares have gained 43.1% in the past year compared with the industry’s 5.2% gain.

All growth rates mentioned below are on a year-over-year basis.

VTRS’ Q4 Sales in Detail

Sales totaled $3.7 billion, up 5% year over year. Sales were up 1% on a divestiture-adjusted operational basis.

The company reported under four segments — Developed Markets, Emerging Markets, Japan, Australia and New Zealand (“JANZ”), and Greater China.

Sales from Developed Markets amounted to $2.25 billion, flat on a divestiture-adjusted operational basis. The reported figure beat the Zacks Consensus Estimate of $2.10 billion.

Sales from Emerging Markets totaled $564.7 million, up 8% on a divestiture-adjusted operational basis. The figure beat the Zacks Consensus Estimate of $552 million.

JANZ generated sales of $306 million, down 8% on a divestiture-adjusted operational basis. Sales beat the Zacks Consensus Estimate of $299 million.

Sales from Greater China totaled $572.9 million, up 8% on a divestiture-adjusted operational basis. The figure beat the Zacks Consensus Estimate of $554 million.

Based on product category, revenues from Brands increased 8% to $2.3 billion. On a divestiture-adjusted operational basis, sales rose 4%, reflecting strong performance in Greater China and Emerging Markets in addition to growth in certain key brands in Developed Markets.

Among Brands, Lipitor sales totaled $377.3 million, up $355.9 million from the year-ago quarter’s level. Norvasc sales increased to $175.2 million from $166.2 million a year ago. Lyrica sales decreased to $119.8 million from $127 million.

Generics, which includes diversified product forms such as extended-release oral solids, injectables, transdermals, topicals and complex generics, posted revenues of $1.34 billion, flat year over year. On an operational change basis, sales were down 3%.

The decline in generics’ sales reflects the expected competition for certain products in North America and negative impacts from government price regulations in Japan, partially offset by new product launch contributions and strong performance across key European markets.

Viatris generated $78 million in new generic product revenues.

Adjusted gross margin was 56.8% compared to 56.3% in the year-ago quarter.

VTRS stated that it returned more than $1 billion of capital to shareholders through dividends and share repurchases in 2025.

VTRS’ 2025 Results

Revenues in 2025 came in at $14.3 billion, down 3% from 2024, and surpassed the Zacks Consensus Estimate of $14.1 billion.

Adjusted EPS of $2.35 declined from $2.65 recorded in 2024 but topped the Zacks Consensus Estimate of $2.32 billion.

VTRS’ 2026 Guidance

Total revenues are projected to be in the band of $14.4 -$14.9 billion. Adjusted EPS is expected in the $2.33 -$2.47 range.

Other Updates From VTRS

The FDA approved Viatris’ octreotide acetate for injectable suspension, a generic equivalent of Sandostatin LAR Depot. The therapy is indicated for treatment in patients who previously received and tolerated Sandostatin Injection subcutaneous injection for acromegaly, severe diarrhea/flushing episodes associated with metastatic carcinoid tumors and profuse watery diarrhea associated with Vasoactive Intestinal Peptide-secreting tumors.

The FDA has accepted for review VTRS’ new drug application (NDA) for an investigational low-dose estrogen weekly contraceptive patch. The NDA was accepted under the FDA's 505(b)(2) regulatory pathway, and the regulatory body has assigned a target action date of July 30, 2026.

The regulatory agency cleared the investigational new drug (IND) application for MR-146, an Enriched Tear FilmTM (ETF) Adeno-Associated Virus (AAV) gene therapy candidate targeted to treat people with neurotrophic keratopathy (NK).

Our Take on VTRS’ Q4 Performance

VTRS’ fourth-quarter performance reflects a beat on both revenue and earnings estimates. Sales from branded drugs benefit from the portfolio expansion in Emerging Markets, along with robust growth in Greater China.

VTRS’ Zacks Rank & Stocks to Consider

Viatris currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the biotech sector are Castle Biosciences CSTL, ANI Pharmaceuticals ANIP and Allogene Therapeutics ALLO. While CSTL sports a Zacks Rank #1 (Strong Buy) at present, both ANIP and ALLO carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Over the past 60 days, estimates for Castle Biosciences’ 2026 loss per share have narrowed from $1.06 to 96 cents. CSTL shares have surged 38.3% over the past six months.

Castle Biosciences’ earnings beat estimates in three of the trailing four quarters and missed in the remaining one, with the average surprise being 66.11%.

In the past 60 days, estimates for ANI Pharmaceuticals’ 2026 EPS have risen from $8.08 to $8.22. In the past year, shares of ANIP have risen nearly 39.8%.

ANIP’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 21.24%.

In the past 60 days, Allogene Therapeutics’ 2026 loss per share estimates have remained unchanged at 86 cents. In the past year, shares of ALLO have risen nearly 29.8%.

Allogene Therapeutics’ earnings beat estimates in three of the trailing four quarters and met once, delivering an average surprise of 13.23%.



 

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