Valeant turns the page: new corporate name and excellent quarter results announced

Valeant Pharmaceuticals today has announced that, as of July 1st, it will change its name and will become Bausch Health Companies. The group’s CEO Joseph C. Papa already announced in January that the name change is among his priorities, in order to break with recent controversial issues, strongly linked to the Valeant name.  Joseph Papa has been leading the group for two years now and has already imposed radical changes to the company, which have reduced debt by approximately $6.9bn, among other things. Papa has also curbed the price increase imposed by the previous management and has started increasing (+15%) R&D spending, which was one of the lowest in the pharma sector. Additionally, Valeant today has announced its Q1 2018 results, which have exceeded expectations. EPS was $0.88, whereas analysts had predicted $0.6. Sales volume was  $1.96bn, 5% below Q1 2017, yet this is due to the high number of dismissals in the last period. Despite efforts, debt is still $25bn–that is almost 4x the group’s capitalization. Valeant’s shares have positively reacted to the news and started the day with an amazing +13%.

(Source: Valeant)