Boston, MA 08/06/2014 (wallstreetpr) – Allergan, Inc. (NYSE: AGN) commented on the Q2 earnings results announced by Valeant Pharmaceuticals Intl Inc. (NYSE:VRX) recently. VRX announced the results on July 31st, 2014 which were analyzed by the financial advisors and forensic accountants of AGN.
What did Allergan say:
According to reports published by AGN, there were several inconsistencies and mistakes in the financial and operating results. Although VRX announced results with the help of 46 page detailed report, but it failed to attract investors. The report was very lengthy, but investors didn’t find any appropriate information which could give them an idea about the financial and operational performance of VRX.
According to a spokesperson of Allergan,” The insufficient and irrelevant information in the report raised a question on VRX’s proceedings. It became a concern for them as well as our stockholders as well.” At the same time, VRX announced Q2 financial and operational results; it was clearly noticed that GAAP financial results and non-GAAP financial results of the company were very divergent. On top of this fact, VRX also failed to provide market share statistics and quantitative price/volume sales analysis for its Bausch & Lomb business.
How did it started:
VRX announced 12% Q2 organic growth in Bausch & Lomb business on July 18th, but forgot to consider supporting dollar value that raised questions overvaluation methods used by the company. Valeant Pharmaceuticals Intl Inc. (NYSE:VRX) announced on July 31st that Bausch & Lomb business made a total revenue of $891 million in the Q2 2014. If compared to the Q2 2013 revenue, you could find that the company generated $812 million in the previous year. According to it, the YOY growth of Bausch & Lomb business should be 9.7% while company on July 18th announced that it was 12%. In this case, either Q2 revenue is wrong or the computation made by the company is wrong.
