Viatris Inc. (VTRS)

Viatris reported second-quarter 2026 total revenues of $3.8 billion on 6 August, up 5 percent from a year earlier 1. It posted a U.S. GAAP net loss of $119 million, driven mainly by a non-cash charge of $177.8 million tied to the planned sale of the Tyrvaya product rights 1.

Adjusted earnings per share, a measure that leaves out one-time items, was $0.69, up 11 percent 1. The company raised its 2026 revenue guidance to a range of $14.55 billion to $14.95 billion 1.

The bigger news since is a purchase, as on 8 October Viatris agreed to acquire Pacira BioSciences for $36.50 per share in cash, an aggregate equity value of $1.65 billion 2. Pacira makes Exparel and Zilretta, two non-opioid pain medicines 2.

The tender offer, the step in which Pacira's owners hand their shares over, is set to expire on 16 November 9. The company expects the deal to close by the end of 2026 2.

Third-quarter results are due on 5 November 8. The company expects supply problems at its Nashik plant in India to cut total revenues by $100 million to $150 million in the second half of 2026 1.

Viatris was formed on 16 November 2020, when the generic drugmaker Mylan combined with Pfizer's Upjohn business in a Reverse Morris Trust deal 3. Upjohn brought 20 mostly off-patent brands such as Lyrica, Lipitor, Celebrex and Viagra 3.

Mylan had been founded in 1961 and became a publicly traded company in 1973 3. The merger put a generics maker and a maker of famous brands under one roof, with the stated aim of returning the base business to growth, reducing debt and returning capital to shareholders 3.

The next stretch was about shrinking to a simpler company, and in November 2022 Viatris contributed its biosimilars portfolio to Biocon Biologics, taking cash and a stake in return 3.

Smaller sales followed: rights to two women's health brands, Duphaston and Femoston, went to Theramex in December 2023 3. The company sold its India API business, the raw drug ingredients, to Matrix Pharma in June 2024, and its over-the-counter business went to Cooper Consumer Health in July 2024 3.

These sales explain much of the revenue slide, since total revenues were $15,426.9 million in 2023, $14,739.3 million in 2024 and $14,299.9 million in 2025 3. Net sales fell about $478.0 million in 2025 because the prior year included sales from divestitures closed during 2024 3.

The company says it has increasingly focused on limited-competition complex and novel products that fill gaps in care, aiming to be first to market 3. That is the logic behind buying development programs, such as those it acquired from Idorsia, rather than only copying drugs after patents end 3.

A manufacturing problem was the second cause, following a warning letter and an import alert from the FDA at the Indore plant in late 2024 7. The base business eroded by about $465.8 million in 2025, of which about $370 million came from what the company calls the Indore Impact 3.

New products offset part of it, adding about $323.7 million of net sales 3.

The largest hit to the bottom line was an accounting one, as the company wrote down goodwill, the amount paid for past acquisitions above the value of their assets, by $2.94 billion in March 2025 3. The 2025 net loss was $3,514.9 million 3.

On 26 February 2026 the company announced the results of an enterprise-wide strategic review begun in 2025 3. It committed to a global workforce reduction of up to about 10 percent, with total pre-tax charges of $700 million to $850 million 3.

In mid-February 2026 a fire hit a service area at the Nashik plant in India, and manufacturing there was suspended 5.

What Viatris sells and where

Viatris is a global healthcare company that sells generics (copies of drugs whose patents ended), well-known brands and a growing set of newer medicines 3. It operates in more than 165 countries and territories with more than 30,000 employees 3.

It reports four segments by market 3. In 2025 net sales were $8,514.0 million in Developed Markets and $2,332.5 million in Greater China 3. JANZ (Japan, Australia, New Zealand) had $1,193.8 million and Emerging Markets $2,210.1 million 3.

In the second quarter of 2026 brand net sales were $2,418.4 million, up 6 percent, and generics were $1,327.5 million, up 3 percent 1. Greater China rose 21 percent to $713.8 million 1.

The big products

Lipitor, a cholesterol medicine, was the largest product in 2025 at $1,549.3 million of net sales 3. Norvasc, a blood pressure medicine, followed at $709.9 million, then Lyrica for nerve pain at $487.0 million and the EpiPen auto-injector for severe allergic reactions at $469.7 million 3.

Viagra brought in $408.2 million, Creon (a digestive enzyme) $365.8 million and Yupelri (a lung medicine) $266.9 million 3. The ten largest products made up about 36 percent of net sales 3.

Newer medicines and the pipeline

In July 2026 the FDA approved Gwyn Lo, a contraceptive patch with low-dose estrogen, which the company expects to be on sale later this year 1. In May the FDA accepted the application for fast-acting meloxicam, a non-opioid for moderate-to-severe acute pain, with a decision date of 27 December 2026 1.

Pharmacy Times reported in October that the FDA approved Ryzumvi, an eye drop, for presbyopia, the age-related loss of near focus 6. It is taken once nightly and the drug had been approved before only to reverse a widened pupil 6.

Viatris also acquired the selatogrel and cenerimod programs from Idorsia for an upfront payment of $350 million 3. The annual report names them among its patent-protected assets 3.

In August it agreed to sell the global Tyrvaya rights to Harrow for $30 million upfront and up to $70 million in milestone payments 1.

Plants, people and problems

The company has 27 manufacturing, packaging and distribution sites, and global centers in Pittsburgh, Shanghai and Hyderabad 3. Scott A Smith is chief executive, and Paul Campbell is interim chief financial officer 1.

The FDA inspected the Nashik plant in May and issued Form 483 observations, a list of problems the inspectors saw 1. Remediation is under way and has caused intermittent disruptions 1.

At Indore, the annual report says the company anticipates the plant will be ready for FDA reinspection in 2026 3. Reuters, published by KSL, noted the company has faced pressure from manufacturing setbacks in India and intensifying competition in generics 4.

A court case also names the EpiPen, as a putative class action filed in 2020 in Kansas relates to its pricing and marketing 3.

The Pacira deal

Pacira's two products are Exparel, for pain after surgery, and Zilretta, for osteoarthritis knee pain 2. Reuters reported they had net product sales of $575.1 million and $116.6 million in 2025 4.

The release says Pacira generated about $746 million of total revenue in the twelve months to 30 June 2026 2. Viatris plans to pay mainly from excess cash, with the rest from short-term borrowings 2.

The umbrella, in words

The brands are the Upjohn lines (Lipitor, Lyrica, Viagra, Celebrex) and the generics heritage of Mylan 3. The subsidiaries exhibit to the annual report lists them by country, with arms in Australia and Canada among many others 11.

It agreed, by contract, to acquire Pacira, which is not yet owned 2. In July it completed the sale of its equity position in Biocon Limited for about $380 million, ending the monetization of its Biocon Biologics stake at about $780 million in all 1.

The annual report counts about 87,770 owners of record 3. FMR LLC filed the newest large-holder statement, an amended Schedule 13G, on the list read for this page 10.

On 6 August the company set 2026 guidance of $14.55 billion to $14.95 billion in total revenues, $4.30 billion to $4.50 billion in adjusted EBITDA and $2.45 to $2.59 in adjusted earnings per share 1.

It expects free cash flow, before deal and restructuring costs, of $2.05 billion to $2.35 billion 1. It also continues to expect about $450 million to $550 million in new product revenues in 2026 1.

The Pacira tender offer expires on 16 November, according to BioPharmaWatch 9. The company expects the deal to close by the end of 2026 and to be accretive to its guidance metrics 2.

The FDA has set 27 December 2026 as the decision date for fast-acting meloxicam 1. Gwyn Lo is expected to be on sale later in 2026 1.

The strategic review is expected to deliver savings of $600 million to $700 million once fully implemented, with most of the work finished over three years 53.

Third-quarter results come on 5 November 8.

The chief executive said on 6 August that the company expects a more balanced operating environment in the second half of the year 1. The Nashik and Indore plants are the main supply risks named in the filings 13.

Its restructuring is expected to cost $700 million to $850 million before tax and to cut the workforce by up to about 10 percent over roughly three years 3. The fourth-quarter release said the company anticipates regulatory decisions for six product candidates in 2026 5.

On capital, the company said it has about $730 million left under its board-authorized repurchase program and ended the second quarter with a gross leverage ratio of 2.9x 1. It also signed a co-promotion deal with Idorsia for Quvivq in Italy and Canada 1.