Despite lower revenues, the Motley Fool argues Valeant Pharmaceuticals CEO Joseph Papa is sticking to his mission of selling off noncore assets to help Valeant pay down its debt.
Here's what you should know.
1. In November 2017, Valeant reported its third quarter performance. The company posted a profit in the quarter and its value increased 43 percent by the end of 2017, but revenues sank 10.5 percent.
2. The Fool anticipates revenues will continue to sink as Valeant continues to lose its loss of exclusivity for several key products.
3. The sale of several noncore assets is also expected to hit revenues, the largest being iNova Pharmaceuticals. Valeant is expected to lose $195 million in revenue from the sale.
4. Still the Fool said Valeant's high-performing holdings, its Bausch + Lomb and international segments grew in the third quarter, with growth expected for the fourth quarter.
5. Valeant's gastrointestinal products also rebounded to post solid year-over-year sales growth.
6. Although Mr. Papa is dedicated to righting the ship, the Fool reports, "the jury is still out as to whether Valeant's turnaround has legs. And there's a long way to go before the company moves from turnaround story to transformation story."