When the pharmacist asks you if a generic equivalent is acceptable, Teva hopes you'll say "yes." Teva Pharmaceuticals USA, the US subsidiary of massive Israeli generic drug maker Teva Pharmaceutical Industries, develops, manufactures, and markets both generic and branded pharmaceuticals. The company is the largest manufacturer of generic drugs in the US; its product roster boasts more than 400 generic equivalents of prescription drugs in a wide variety of therapeutic categories, including cardiovascular, anti-inflammatory, anti-infective, oncology, central nervous system, women's health, and dermatological. The company also produces over-the-counter (OTC) drugs and active pharmaceutical ingredients (APIs).
Teva Pharmaceuticals USA accounts for more than 50% of its parent company's sales. Teva Pharmaceuticals USA itself gets almost half of its revenues from direct sales to drugstores and a third from drug wholesalers; other customers include mail-order pharmacies, distributors, and hospitals. It relies upon an in-house sales force that calls on purchasing agents for retailers and institutional buying groups.
Teva Pharmaceuticals USA is headquartered in Pennsylvania with more than 30 locations nationwide.
Teva's US generic business revenue was $4.4 billion in 2014, a 6% increase from the previous year's $4.2 billion. The increase was driven by the launches of generic versions of Xeloda, Lovaza, and Evista, as well as sales of other new products that weren't sold during 2013. It also proved a sort of rebound from the previous year's earnings decline, which occurred when Teva lost its exclusive rights to Lexapro and the generic equivalent of Lipitor.
The company still expects US demand for generics to continue to grow as the population ages and as the nation continues to look for ways to reduce escalating health care costs. Teva Pharmaceuticals USA keeps its pipeline pumping out generics and to that end, the company has more than 150 new generic drugs awaiting FDA approval at any given time. Along with performing its own research and development, the company forms alliances with other pharmaceutical firms to license and market generic versions of their branded drugs.
In 2015, Teva launched generic equivalents to Abilify in several dosages, Argatroban Injection for intravenous infusion, and Exforge in four different dosages (all in the US). Also that year, the FDA approved inhalant ProAir RespiClick and a generic version of Diovan.
As part of parent Teva Pharmaceutical Industries' cost-reduction plan and efforts to streamline operations, the company agreed to sell its manufacturing facility in Sellersville, Pennsylvania, to G&W Laboratories in 2015.
Mergers and Acquisitions
Teva Pharmaceuticals USA acquired biotech firm Labrys Biologics, which is focused on migraine treatments, in 2014. The deal, valued at up to $825 million, helped boost Teva's pain management operations, a target area for growth.
The company's roots go back to Lemmon Pharmaceutical Company, founded in 1945. Lemmon Pharmaceutical was acquired by Teva Pharmaceutical Industries in 1981.