Teva stock: Q3 brand growth lifts 2026 revenue outlook
Published on 11/03/2026 at 17:14 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSTeva shifts toward innovative growth
- Innovative brands grew strongly and supported higher product-level revenue targets.
- Generic-drug competition reduced quarterly revenue, while margins and adjusted earnings improved.
- Teva continues to build its neuroscience pipeline through product launches, development programs and business development.
Teva Pharmaceutical Industries reported third-quarter results on Tuesday, November 3, 2026, with revenue pressured by generic-drug competition but profitability supported by its innovative portfolio. The company's investor-relations release said revenue for the quarter ended September 30 fell 2% year over year to 4.395 billion U.S. dollars.
Branded medicines lift portfolio growth
AUSTEDO, AJOVY and UZEDY generated about 1.1 billion U.S. dollars in combined revenue, up 33% in local currency. AUSTEDO revenue rose 21% to 751 million U.S. dollars, AJOVY increased 61% to 269 million U.S. dollars and UZEDY climbed 96% to 85 million U.S. dollars.
The gains offset part of a 16% local-currency decline in global generics revenue. Teva attributed the pressure primarily to stronger U.S. competition for lenalidomide capsules, the generic version of Revlimid.
Margins improve despite lower revenue
Gross profit increased 6% to 2.440 billion U.S. dollars, lifting the GAAP gross margin to 55.5% from 51.4% a year earlier. The non-GAAP gross margin reached 58.7%, up 345 basis points; Teva said the comparison excludes 500 million U.S. dollars of development milestone payments received in the prior-year fourth quarter.
GAAP diluted earnings per share fell to 0.20 U.S. dollars from 0.37 U.S. dollars. Non-GAAP diluted earnings per share rose to 0.86 U.S. dollars from 0.78 U.S. dollars, including 0.02 U.S. dollars of acquired in-process research and development charges. Adjusted EBITDA increased 7% to 1.496 billion U.S. dollars.
Higher targets raise execution stakes
Teva lifted its full-year revenue outlook to 16.7 billion-17.0 billion U.S. dollars from 16.5 billion-16.85 billion U.S. dollars. It also raised its revenue targets for AUSTEDO, AJOVY and UZEDY, while forecasting non-GAAP diluted earnings per share of 1.92-2.11 U.S. dollars and free cash flow of 2.1 billion-2.4 billion U.S. dollars.
The company is expanding its neuroscience franchise after receiving U.S. approval for WELTRUZA and acquiring BXCL-501 from BioXcel Therapeutics. Teva also highlighted an ecopipam regulatory filing and plans to advance its anti-IL-15 program, while discontinuing the Phase 2 TOPAS-MSA study of emrusolmin after an interim futility analysis.
For investors, the results show a sharper contrast between the established generics business and the faster-growing branded portfolio. The raised outlook increases the importance of continued product launches, market uptake and control of generic-drug competition.
The S&P 500 provides the broader U.S. equity-market backdrop for Teva's New York listing.
More news and analyses on Teva stock cover the company's pipeline, earnings and outlook.
Teva Pharmaceutical Industries
- ISIN: US8816242098
- Ticker: TEVA
- Listings: New York Stock Exchange and Tel Aviv Stock Exchange
- Reporting period: Quarter ended September 30, 2026
- Revenue: 4.395 billion U.S. dollars
- GAAP diluted EPS: 0.20 U.S. dollars
- Non-GAAP diluted EPS: 0.86 U.S. dollars
- Updated revenue outlook: 16.7 billion-17.0 billion U.S. dollars
