Actavis Plc Earnings Preview 1QFY15

The company is expected to report earnings with phenomenal growth in the first quarter of 2015.

Actavis Plc is expected to announce its financial earnings for the first quarter of 2015 on Monday, May prior to the activities of the stock market start for the day. This time around, the company is expected to report an imminent increase in the earnings as only recently, the firm was seen to have made a few significant acquisitions which are expected to turn around the previously fallen earnings. These takeovers that the firm completed a few months back are predicted to raise revenue growth of the company.

The health care company has been one of those few firms in the industry that has beat estimations of analysts for the previous eight financial quarters which shows that the factor of surprise comes around 3.52% for the upcoming quarterly results as well. The medical firm is predicted to report total revenue of $4.033 billion in the first quarter of the fiscal year of 2015 which implies that a rise will be seen by a massive difference. If compared to the revenue generated by the firm in the same quarter in the previous year, it will be seen that an increase of 51.9% is expected to be reported.

The net income for Actavis that has been predicted by analysts is expected to come around at $1.14 billion which is an eye opening growth for the firm as only $205.2 million were received as the net income in the first financial quarter of the previous year. The growth that is now being observed to have taken place in the finances of the company is seen to have come around with a difference of 455.7% on a year over year basis.

As for the net profit that was received by Actavis, in the same quarter the previous fiscal year, the firm received around $62.4 million but with the expectations that are now being followed, the growth that the company is experiencing is going forward on a phenomenal speed.

One of the most important acquisitions that were carried out by Actavis was when it took over Allergan. Following that, the firm is expecting to increase its earnings even more.

Currently, the shares of the company are trading on a share price of $292.82, whereas the market value of the firm rests at 115.01 billion.