Perrigo Faces $370m Tax Payment From Second IRS Audit Linked To Elan Deal
Executive Summary
Even though consumer health products and Rx generics manufacturer reported $92.2m net Q3 income after losing $67.5m a year ago, investors apparently reacted more strongly to its latest tax dispute. Its share price closed down 6.7% at $50.51 on trading at twice the stock's average volume.
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Court Ruling On Perrigo Appeal Of Nearly $2Bn Irish Tax Debt From Elan Deal Due With Q3 Results
Perrigo says on 4 November, Irish High Court will publish decision from a trial on the firm’s challenge to Irish Office of the Revenue Commissioners’ order to pay additional taxes from its acquisition of Elan. Perrigo moved its Q3 earnings briefing scheduled for 8 a.m. EDT the same day to 4:30 p.m.
No Decisions Yet In Perrigo's Disputes With Ireland, US Over Tax Questions From Elan Merger
A court in Dublin has considered Perirrgo's challenge to Ireland tax authorities' ’ 2018 order to pay $1.9bn additional taxes from its 2013 acquisition of Elan that established it as an Irish firm. “We're just probably within 6 months now that we should get some kind of an answer in that regard,” says CEO Murray Kessler.
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OTC private label giant said gaining another grocery chain as an infant formula customer was a key sales driver in the 2019 Q4, with nutrition sales up 21% to account for 17% of Americas consumer health sales growth. The firm plans to re-enter the broader VMS space, but infant formula helped its global consumer health net sales reach $1.1bn in the October-December period.