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November 14, 2025 • 4 min read
Viatris Inc., a global healthcare company born from the 2020 combination of Mylan and Pfizer's Upjohn business, recently filed its financial results for the third quarter of 2025. This report offers a detailed look into the company's performance as it navigates the competitive landscape of branded and generic pharmaceuticals. Let's break down the key takeaways from their latest 10-Q filing.
For the quarter ending September 30, 2025, Viatris reported nearly flat total revenues of $3.76 billion, a slight increase from $3.75 billion in the same period last year. However, the bottom line tells a different story: the company swung from a net profit of $94.8 million in Q3 2024 to a net loss of $128.2 million in Q3 2025.
The following flow diagram provides a visual breakdown of Viatris's quarterly revenues and how they cascade through various costs to arrive at the final net loss.
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Viatris operates across four major geographic segments, and their performance this quarter was a mixed bag:
The divergent performance highlights Viatris's global challenge: leveraging growth in regions like China and Emerging Markets to offset pressures in more mature or challenged markets.
While the third quarter showed a swing to a net loss, the nine-month results reveal a much larger figure that requires context. For the first nine months of 2025, Viatris reported a staggering net loss of $3.17 billion, compared to a loss of just $117.7 million in the same period of 2024.
What caused this massive drop? The primary culprit is a non-cash goodwill impairment charge of $2.94 billion that the company recorded in the first quarter of 2025.
A goodwill impairment is an accounting charge that occurs when the carrying value of a business unit on a company's books exceeds its fair market value. In simpler terms, it means the company acknowledges that the future earnings potential of certain assets, often acquired in a merger, is lower than previously estimated.
This impairment was spread across several of Viatris's reporting units, including North America ($707 million), Europe ($1.55 billion), JANZ ($301 million), and Emerging Markets ($375 million). While it's a non-cash charge and doesn't affect the company's immediate cash flow, it's a significant writedown that reflects revised expectations for future performance.
Despite the reported losses, Viatris has continued its focus on returning capital to shareholders. In the third quarter, the company:
For the first nine months of the year, share repurchases totaled $415.4 million, and dividends paid amounted to $423.0 million. These actions signal management's confidence in the long-term cash-generating ability of the business, even as it navigates current challenges.
Viatris's third-quarter report paints a picture of a company in transition. The stable top-line revenue is encouraging, but profitability remains a key focus area. The significant goodwill impairment earlier in the year has heavily impacted the year-to-date results, but it's crucial to distinguish this non-cash accounting adjustment from the company's ongoing operational performance. Investors will likely be watching closely to see if growth in China and Emerging Markets can continue to offset weakness elsewhere and how the company manages its cost structure to drive a return to sustainable profitability.
Last updated: November 14, 2025