Amneal Reports Third Quarter 2025 Financial Results

Q3 2025 Net Revenue of $785 million; GAAP Net Income of $2 million; Diluted Income per Share of $0.01
‒ Adjusted EBITDA of $160 million; Adjusted Diluted EPS of $0.17
‒ Updated 2025 Full Year Guidance ‒

BRIDGEWATER, N.J., Oct. 30, 2025 (GLOBE NEWSWIRE) -- Amneal Pharmaceuticals, Inc. (Nasdaq: AMRX) (“Amneal” or the “Company”) today announced its results for the third quarter ended September 30, 2025.

“Amneal delivered another strong quarter and updated our 2025 outlook, underscoring the strength of our diversified business and the ongoing evolution of our portfolio. CREXONT® for Parkinson’s disease and other key branded products continue to drive Specialty growth, complemented by the launch this month of BREKIYA® in the migraine space. At the same time, our Affordable Medicines segment is entering a significant new product launch cycle, with multiple complex approvals this quarter and numerous new key launches expected ahead. Together with our recent refinancing, Amneal is closing 2025 and entering 2026 from a position of strength and momentum,” said Chirag and Chintu Patel, Co-Chief Executive Officers.

Third Quarter 2025 Results

Net revenue in the third quarter of 2025 was $785 million, an increase of 12% compared to $702 million in the third quarter of 2024. Specialty net revenue increased 8% driven by key branded products, including CREXONT® and UNITHROID®. Affordable Medicines net revenue increased 8% driven by strong performance of our complex product portfolio and new product launches. AvKARE net revenue increased 24% driven by growth in the government label sales channel.

Net income attributable to Amneal Pharmaceuticals, Inc. was $2 million in the third quarter of 2025 compared to a net loss of $0.2 million in the third quarter of 2024, reflecting higher revenue and gross profit, partially offset by higher operating expense.

Adjusted EBITDA in the third quarter of 2025 was $160 million, an increase of 1% compared to the third quarter of 2024, reflective of higher revenue and gross profit, partially offset by increased commercial investments to support the CREXONT® and BREKIYA® autoinjector launches and a slight increase in research and development expenses, which included a $22.5 million milestone related to the U.S. Food and Drug Administration Biologics License Application submission of biosimilar candidate to XOLAIR®.

Diluted income per share in the third quarter of 2025 was $0.01 compared to diluted loss per share of $0.00 for the third quarter of 2024, due to the aforementioned factors. Adjusted diluted earnings per share in the third quarter of 2025 was $0.17, an increase of 6% compared to $0.16 for the third quarter of 2024.

The Company presents GAAP and adjusted (non-GAAP) quarterly results. Please refer to the “Non-GAAP Financial Measures” section and the accompanying GAAP to non-GAAP reconciliation tables for more information.

Updated 2025 Full Year Guidance

 Updated GuidancePrior Guidance
Net revenue$3.0 billion - $3.1 billion$3.0 billion - $3.1 billion
Adjusted EBITDA(1)$675 million - $685 million$665 million - $685 million
Adjusted diluted EPS(2)$0.75 - $0.80$0.70 - $0.75
Operating cash flow$300 million - $330 million$275 million - $305 million
Operating cash flow, excluding discrete items(3)$300 million - $330 million$300 million - $330 million
Capital expenditures(4)Approximately $100 millionApproximately $100 million


(1)Includes 100% of adjusted EBITDA from AvKARE. See also “Non-GAAP Financial Measures” below.
(2)Accounts for 35% non-controlling interest in AvKARE. Guidance assumes approximately 325 million weighted-average diluted shares outstanding for the year ending December 31, 2025.
(3)Excludes discrete items such as legal settlement payments.
(4)Reflects estimated capital expenditures, net of expected contributions from an alliance party of $20 million.
   

Amneal’s 2025 estimates are based on management’s current expectations, including with respect to prescription trends, pricing levels, the timing of future product launches, the costs incurred and benefits realized of restructuring activities, and our long-term strategy. The Company’s financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The Company cannot provide a reconciliation between non-GAAP projections and the most directly comparable measures in accordance with GAAP without unreasonable efforts because it is unable to predict with reasonable certainty the ultimate outcome of certain significant items required for the reconciliation. The items include, but are not limited to, acquisition-related expenses, restructuring expenses and benefits, asset impairments, legal settlements, and other gains and losses. These items are uncertain, depend on various factors, and could have a material impact on GAAP reported results.

Conference Call Information

Amneal will host a conference call and live webcast at 8:30 am Eastern Time today, October 30, 2025, to discuss its results. The live webcast and presentation will be accessible through the Investor Relations section of the Company’s website at https://investors.amneal.com. To access the call through a conference line, dial (833) 470-1428 (in the U.S.) with access code 272787. A replay of the conference call will be posted shortly after the call. For a list of toll-free international numbers, visit this website: https://www.netroadshow.com/events/global-numbers?confId=89042.

About Amneal

Amneal Pharmaceuticals, Inc. (Nasdaq: AMRX), headquartered in Bridgewater, NJ, is a global biopharmaceutical company. We make healthy possible through the development, manufacturing, and distribution of a diverse portfolio of over 290 pharmaceutical products, primarily within the United States. In our Affordable Medicines segment, we are expanding across a broad range of complex product categories and therapeutic areas, including injectables and biosimilars. In our Specialty segment, we have a growing portfolio of branded pharmaceuticals focused primarily on central nervous system and endocrine disorders. Through our AvKARE segment, the Company is a distributor of pharmaceuticals and other products for the U.S. federal government, retail, and institutional markets. For more information, please visit www.amneal.com.

Cautionary Statement on Forward-Looking Statements

Certain statements contained herein, regarding matters that are not historical facts, may be forward-looking statements (as defined in the U.S. Private Securities Litigation Reform Act of 1995). Such forward-looking statements include statements regarding management’s intentions, plans, beliefs, expectations, financial results, or forecasts for the future, including among other things: discussions of future operations; anticipated product approvals; expected or estimated operating results and financial performance; statements regarding our positioning for growth, and other non-historical statements. Words such as “plans,” “expects,” “will,” “anticipates,” “estimates,” and similar words, or the negatives thereof, are intended to identify estimates and forward-looking statements.

The reader is cautioned not to rely on these forward-looking statements. These forward-looking statements are based on current expectations of future events, including with respect to future market conditions, company performance and financial results, operational investments, business prospects, new strategies and growth initiatives, the competitive environment, and other events. If the underlying assumptions prove inaccurate or known or unknown risks or uncertainties materialize, actual results could vary materially from the expectations and projections of the Company.

Such risks and uncertainties include, but are not limited to: our ability to successfully develop, license, acquire and commercialize new products on a timely basis; the competition we face in the pharmaceutical industry from brand and generic drug product companies, and the impact of that competition on our ability to set prices; our ability to obtain exclusive marketing rights for our products; the impact of illegal distribution and sale by third parties of counterfeit versions of our products or stolen products; the impact of negative market perceptions of us and the safety and quality of our products; our revenues are derived from the sales of a limited number of products, a substantial portion of which are through a limited number of customers; the continuing trend of consolidation of certain customer groups; our dependence on third-party suppliers and distributors for raw materials for our products and certain finished goods; the imposition of tariffs may adversely affect our business, results of operations and financial condition; legal, regulatory and legislative efforts by our brand competitors to deter competition from our generic alternatives; our dependence on information technology systems and infrastructure and the potential for cybersecurity incidents, and risks associated with artificial intelligence; the impact of a prolonged business interruption within our supply chain; our ability to attract, hire and retain highly skilled personnel; risks related to federal regulation of arrangements between manufacturers of branded and generic products; our reliance on certain licenses to proprietary technologies from time to time; the significant amount of resources we expend on research and development; the risk of claims brought against us by third parties; risks related to changes in the regulatory environment, including U.S. federal and state laws related to government contracting, healthcare fraud abuse and health information privacy and security and changes in such laws; changes to Food and Drug Administration product approval requirements; the impact of healthcare reform and changes in coverage and reimbursement levels by governmental authorities and other third-party payers; our dependence on third-party agreements for a portion of our product offerings; our substantial amount of indebtedness and our ability to generate sufficient cash to service our indebtedness in the future, and the impact of interest rate fluctuations on such indebtedness; our potential expansion into additional international markets subjecting us to increased regulatory, economic, social and political uncertainties; our ability to identify, make and integrate acquisitions or investments in complementary businesses and products on advantageous terms; the impact of global economic, political or other catastrophic events; our obligations under a tax receivable agreement may be significant; and the high concentration of ownership of our class A common stock and the fact that we are controlled by the Amneal Group. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company’s filings with the Securities and Exchange Commission, including under Item 1A, “Risk Factors” in the Company’s most recent Annual Report on Form 10-K and in its subsequent reports on Forms 10-Q and 8-K. Investors are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date they are made. Forward-looking statements included herein speak only as of the date hereof and we undertake no obligation to revise or update such statements to reflect the occurrence of events or circumstances after the date hereof.

Non-GAAP Financial Measures

This release includes certain non-GAAP financial measures, including EBITDA, adjusted EBITDA, adjusted net income, adjusted diluted EPS, adjusted operating cash flow and net leverage, which are intended as supplemental measures of the Company’s performance that are not required by or presented in accordance with GAAP.

Adjusted diluted EPS reflects diluted earnings per share based on adjusted net income (loss), which is net income (loss) adjusted to (A) exclude (i) non-cash interest, (ii) GAAP (benefit from) provision for income taxes, (iii) amortization, (iv) stock-based compensation expense, (v) acquisition, site closure expenses, and idle facility expenses, (vi) restructuring and other charges, (vii) loss on refinancing, (viii) (credit) charges related to certain legal matters, including interest, net, (ix) asset impairment charges, (x) (decrease) increase in tax receivable agreement liability, (xi) other and (xii) net income attributable to non-controlling interests, and (B) include non-GAAP provision for income taxes. Non-GAAP adjusted diluted EPS for the three and nine months ended September 30, 2025 and 2024 was calculated using the weighted average fully diluted shares outstanding of Class A common stock (inclusive of the effect of dilutive securities).

EBITDA reflects net income (loss) adjusted to exclude interest expense, net, (benefit from) provision for income taxes and depreciation and amortization. Adjusted EBITDA reflects net income (loss) adjusted to exclude (i) interest expense, net, (ii) (benefit from) provision for income taxes, (iii) depreciation and amortization, (iv) stock-based compensation expense, (v) acquisition, site closure, and idle facility expenses, (vi) restructuring and other charges, (vii) loss on refinancing (viii) (credit) charges related to legal matters, net, (ix) asset impairment charges, (x) foreign exchange loss (gain), (xi) (decrease) increase in tax receivable agreement liability, and (xii) other.

Adjusted operating cash flow reflects cash flow from operations excluding discrete items such as legal settlement payments.

Net leverage is calculated as net debt (total outstanding principal on the Company’s debt, less cash and cash equivalents), divided by adjusted EBITDA for the year or trailing twelve months then ended.

Management uses these non-GAAP measures internally to evaluate and manage the Company’s operations and to better understand its business because they facilitate a comparative assessment of the Company’s operating performance relative to its performance based on results calculated under GAAP. These non-GAAP measures also isolate the effects of some items that vary from period to period without any correlation to core operating performance and eliminate certain charges that management believes do not reflect the Company’s operations and underlying operational performance. The compensation committee of the Company’s board of directors also uses certain of these measures to evaluate management’s performance and set its compensation. The Company believes that these non-GAAP measures also provide useful information to investors regarding certain financial and business trends relating to the Company’s financial condition and operating results facilitates an evaluation of the financial performance of the Company and its operations on a consistent basis. Providing this information therefore allows investors to make independent assessments of the Company’s financial performance, results of operations, cash flows, net leverage and trends while viewing the information through the eyes of management.

These non-GAAP measures are subject to limitations. The non-GAAP measures presented in this release may not be comparable to similarly titled measures used by other companies because other companies may not calculate one or more in the same manner. Additionally, the non-GAAP performance measures exclude significant expenses and income that are required by GAAP to be recorded in the Company’s financial statements; do not reflect changes in, or cash requirements for, working capital needs; and do not reflect interest expense, or the requirements necessary to service interest or principal payments on debt. Further, our historical adjusted results are not intended to project our adjusted results of operations or financial position for any future period. To compensate for these limitations, management presents and considers these non-GAAP measures in conjunction with the Company’s GAAP results; no non-GAAP measure should be considered in isolation from or as alternatives to any measure determined in accordance with GAAP. Readers should review the reconciliations included below, and should not rely on any single financial measure to evaluate the Company’s business.

A reconciliation of each historical non-GAAP measure to the most directly comparable GAAP measure is set forth below.

Contact
Anthony DiMeo
VP, Investor Relations
anthony.dimeo@amneal.com


Amneal Pharmaceuticals, Inc.
Consolidated Statements of Operations
(unaudited; $ in thousands, except per share amounts)
 
 Three Months Ended September 30, Nine Months Ended September 30,
  2025   2024   2025   2024 
Net revenue$784,513  $702,468  $2,204,441  $2,063,439 
Cost of goods sold 510,539   432,910   1,388,323   1,305,874 
Gross profit 273,974   269,558   816,118   757,565 
Selling, general and administrative 137,815   118,692   380,369   347,749 
Research and development 63,352   61,097   151,356   136,449 
Intellectual property legal development expenses 2,437   1,967   6,221   3,993 
Restructuring and other charges 143   172   1,738   1,862 
(Credit) charges related to legal matters, net    (149)  (390)  94,909 
Other operating income (117)  (1,030)  (5,239)  (930)
Operating income 70,344   88,809   282,063   173,533 
Other (expense) income:       
Interest expense, net (62,814)  (65,511)  (184,854)  (196,933)
Foreign exchange (loss) gain, net (3,431)  2,274   9,072   815 
Decrease (increase) in tax receivable agreement liability 20,808   (11,327)  5,701   (26,719)
Loss on refinancing (31,365)     (31,365)   
Other income, net 1,235   1,178   3,357   9,610 
Total other expense, net (75,567)  (73,386)  (198,089)  (213,227)
Income (loss) before income taxes (5,223)  15,423   83,974   (39,694)
(Benefit from) provision for income taxes (23,355)  3,666   5,614   13,440 
Net income (loss) 18,132   11,757   78,360   (53,134)
Less: Net income attributable to non-controlling interests (15,763)  (11,913)  (41,379)  (32,671)
Net income (loss) attributable to Amneal Pharmaceuticals, Inc.$2,369  $(156) $36,981  $(85,805)
        
Net income (loss) per share attributable to Amneal Pharmaceuticals, Inc.’s Class A common stockholders:       
Basic$0.01  $(—) $0.12  $(0.28)
Diluted$0.01  $(—) $0.11  $(0.28)
Weighted-average common shares outstanding:       
Basic 314,168   309,647   312,998   308,685 
Diluted 324,754   309,647   323,704   308,685 
                


Amneal Pharmaceuticals, Inc.
Condensed Consolidated Balance Sheets
(unaudited; $ in thousands)
 
 September 30, 2025 December 31, 2024
Assets   
Current assets:   
Cash and cash equivalents$201,249  $110,552 
Restricted cash 34,727   7,868 
Trade accounts receivable, net 885,199   775,731 
Inventories 614,500   612,454 
Prepaid expenses and other current assets 101,511   80,717 
Related party receivables 1,292   484 
Total current assets 1,838,478   1,587,806 
Property, plant and equipment, net 434,991   424,908 
Goodwill 595,945   597,436 
Intangible assets, net 587,938   732,377 
Operating lease right-of-use assets 31,769   31,388 
Operating lease right-of-use assets - related party 16,875   10,964 
Financing lease right-of-use assets 54,420   56,433 
Other assets 39,458   60,133 
Total assets$3,599,874  $3,501,445 
Liabilities and Stockholders’ Deficiency   
Current liabilities:   
Accounts payable and accrued expenses$731,825  $735,450 
Current portion of liabilities for legal matters 40,598   31,755 
Revolving credit facility    100,000 
Current portion of long-term debt, net 7,202   224,213 
Current portion of operating lease liabilities 7,985   9,435 
Current portion of operating lease liabilities - related party 2,826   3,396 
Current portion of financing lease liabilities 3,458   3,211 
Related party payables - short term 68,212   22,311 
Total current liabilities 862,106   1,129,771 
Long-term debt, net 2,566,500   2,161,790 
Operating lease liabilities 26,405   24,814 
Operating lease liabilities - related party 15,676   9,391 
Financing lease liabilities 55,672   56,889 
Related party payables - long term 8,587   50,900 
Liabilities for legal matters - long term 74,477   85,479 
Other long-term liabilities 32,626   26,949 
Total long-term liabilities 2,779,943   2,416,212 
Redeemable non-controlling interests 67,780   64,974 
Total stockholders’ deficiency (109,955)  (109,512)
Total liabilities and stockholders’ deficiency$3,599,874  $3,501,445 


Amneal Pharmaceuticals, Inc.
Consolidated Statements of Cash Flows
(unaudited; $ in thousands)
 
 Nine Months Ended September 30,
  2025   2024 
Cash flows from operating activities:   
Net income (loss)$78,360  $(53,134)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:   
Depreciation and amortization 174,345   170,061 
Unrealized foreign currency gain (8,606)  (754)
Amortization of debt issuance costs and discount 18,716   22,280 
Reclassification of cash flow hedge (1,713)  (19,618)
Loss on refinancing 31,365    
Intangible asset impairment charges 22,784   920 
Stock-based compensation 23,751   20,558 
Inventory provision 59,326   63,611 
Other operating charges and credits, net 3,575   (980)
Changes in assets and liabilities:   
Trade accounts receivable, net (110,228)  (134,031)
Inventories (66,846)  (78,545)
Prepaid expenses, other current assets and other assets (20,173)  (2,082)
Related party receivables (830)  (483)
Accounts payable, accrued expenses and other liabilities 2,744   168,879 
Related party payables 3,107   20,339 
   Net cash provided by operating activities 209,677   177,021 
Cash flows from investing activities:   
Purchases of property, plant and equipment (48,290)  (36,769)
Acquisition of intangible assets (12,514)  (14,050)
Deposits for future acquisition of property, plant and equipment (7,384)  (1,107)
Proceeds from sale of property, plant and equipment 1,379    
Proceeds from sale of subsidiary    4,989 
Net cash used in investing activities (66,809)  (46,937)
Cash flows from financing activities:   
Proceeds from issuance of debt 2,694,750    
Payments of principal on debt, revolving credit facilities, financing leases and other (2,805,384)  (133,383)
Payments of deferred financing and refinancing costs (74,973)   
Borrowings on revolving credit facilities 218,000   48,000 
Proceeds from exercise of stock options 1,407   1,003 
Employee payroll tax withholding on restricted stock unit and performance stock unit vesting (21,957)  (7,565)
Tax and other distributions to non-controlling interests (38,825)  (14,442)
Payment of principal on notes payable - related party    (44,200)
Proceeds from alliance party 5,572    
Net cash used in financing activities (21,410)  (150,587)
Effect of foreign exchange rate on cash (1,471)  (259)
Net increase in cash, cash equivalents, and restricted cash 119,987   (20,762)
Cash, cash equivalents, and restricted cash - beginning of period 118,420   99,107 
Cash, cash equivalents, and restricted cash - end of period$238,407  $78,345 
Cash and cash equivalents - end of period$201,249  $74,006 
Restricted cash - end of period 34,727   4,339 
Long-term restricted cash included in other assets - end of period 2,431    
Cash, cash equivalents, and restricted cash - end of period$238,407  $78,345 
        


Amneal Pharmaceuticals, Inc.
Non-GAAP Reconciliations
(unaudited, $ in thousands)

Reconciliation of Net Income (Loss) to EBITDA and Adjusted EBITDA
 
 Three Months Ended September 30, Nine Months Ended September 30, Year Ended
December 31,
  2025   2024   2025   2024   2024 
Net income (loss)$18,132  $11,757  $78,360  $(53,134) $(73,876)
Adjusted to add:         
Interest expense, net 62,814   65,511   184,854   196,933   258,595 
(Benefit from) provision for income taxes (23,355)  3,666   5,614   13,440   18,863 
Depreciation and amortization 54,073   58,961   174,345   170,061   236,191 
EBITDA (Non-GAAP)$111,664  $139,895  $443,173  $327,300  $439,773 
Adjusted to add (deduct):         
Stock-based compensation expense 8,219   7,112   23,621   20,343   27,552 
Acquisition, site closure, and idle facility
expenses(1)
 2,318   551   4,762   1,574   2,112 
Restructuring and other charges 143   172   1,738   1,773   2,265 
Loss on refinancing 31,365      31,365       
(Credit) charges related to legal matters,
net(2)
    (149)  (390)  94,909   96,692 
Asset impairment charges 22,784   181   22,888   1,196   1,372 
Foreign exchange loss (gain) 3,431   (2,274)  (9,072)  (815)  6,846 
(Decrease) increase in tax receivable
agreement liability
 (20,808)  11,327   (5,701)  26,719   50,680 
Other(3) 459   808   829   (814)  150 
Adjusted EBITDA (Non-GAAP)$159,575  $157,623  $513,213  $472,185  $627,442 
                    


Amneal Pharmaceuticals, Inc.
Non-GAAP Reconciliations
(unaudited, $ in thousands)

Calculation of Net Debt and Net Leverage
 
 September 30, 2025 December 31, 2024
Term Loan Due 2032$2,100,000 $
Senior Notes Due 2032 600,000  
Term Loan Due 2025   191,979
Term Loan Due 2028   2,292,856
New Revolving Credit Facility   100,000
Gross debt(4)$2,700,000 $2,584,835
Less: Cash and cash equivalents 201,249  110,552
Net debt (Non-GAAP)(5)$2,498,751 $2,474,283
    
 Adjusted EBITDA (Non-GAAP) Adjusted EBITDA (Non-GAAP)
Year ended December 31, 2024$627,442 $627,442
Less: Nine months ended September 30, 2024 472,185  
Add: Nine months ended September 30, 2025 513,213  
Last twelve months ended September 30, 2025$668,470  
    
 Last Twelve Months Ended
September 30, 2025
 Year Ended December 31, 2024
Net leverage (Non-GAAP)(6)3.7x 3.9x
    


Amneal Pharmaceuticals, Inc.
Non-GAAP Reconciliations
(unaudited; $ in thousands, except per share amounts)

Reconciliation of Net Income (Loss) to Adjusted Net Income and Calculation of Adjusted Diluted Earnings Per Share
 
 Three Months Ended September 30, Nine Months Ended September 30,
  2025   2024   2025   2024 
Net income (loss)$18,132  $11,757  $78,360  $(53,134)
Adjusted to add (deduct):       
Non-cash interest 9,163   923   16,908   1,552 
GAAP (benefit from) provision for income taxes (23,355)  3,666   5,614   13,440 
Amortization 38,647   41,992   127,741   119,481 
Stock-based compensation expense 8,219   7,112   23,621   20,343 
Acquisition, site closure expenses, and idle facility expenses(1) 2,284   551   4,700   1,574 
Restructuring and other charges 143   172   1,731   1,756 
Loss on refinancing 31,365      31,365    
(Credit) charges related to legal matters, including
interest, net(2)
    (149)  (390)  95,036 
Asset impairment charges 22,784   181   22,888   1,196 
(Decrease) increase in tax receivable agreement liability (20,808)  11,327   (5,701)  26,719 
Other(3) 459   808   839   (814)
Provision for income taxes(7) (16,868)  (15,875)  (65,722)  (48,016)
Net income attributable to non-controlling interests (15,763)  (11,913)  (41,379)  (32,671)
Adjusted net income (Non-GAAP)$54,402  $50,552  $200,575  $146,462 
Weighted average diluted shares outstanding (Non-GAAP)(8) 324,754   322,946   323,704   319,491 
Adjusted diluted earnings per share (Non-GAAP)$0.17  $0.16  $0.62  $0.46 
                


Amneal Pharmaceuticals, Inc.
Non-GAAP Reconciliations
(unaudited)

Explanations for Non-GAAP Reconciliations


(1)Acquisition, site closure, and idle facility expenses for the three and nine months ended September 30, 2025 primarily included costs related to a planned facility closure and rent for vacated properties. Acquisition, site closure, and idle facility expenses for the three and nine months ended September 30, 2024 and the year ended December 31, 2024 primarily included rent for vacated properties.
  
(2)For the nine months ended September 30, 2024 and the year ended December 31, 2024, charges related to legal matters, net were primarily associated with a settlement in principle on the primary financial terms for a nationwide resolution to the opioids cases that have been filed and that might have been filed against the Company by political subdivisions and Native American tribes across the United States.
  
(3)System implementation expense of $0.3 million and change in fair value of contingent consideration of ($1.0 million), formerly included in their own captions in the non-GAAP reconciliations, for the three months ended September 30, 2024 have been reclassified to the caption “other” to conform to the current period presentation. System implementation expense of $2.0 million and change in the fair value of contingent consideration of ($0.9 million), formerly included in their own captions in the non-GAAP reconciliations, for the nine months ended September 30, 2024 have been reclassified to the caption “other” to conform to the current period presentation. System implementation expense of $2.4 million and change in the fair value of contingent consideration of ($0.9 million), formerly included in their own captions in the non-GAAP reconciliations, for the year ended December 31, 2024 have been reclassified to the caption “other” to conform to the current period presentation.
  
(4)On August 1, 2025, the Company borrowed $2.1 billion under new seven-year term loans (the “Term Loan Due 2032”) pursuant to an amendment to the Term Loan Credit Agreement and completed a private offering of $600 million aggregate principal amount of 6.875% senior secured notes due 2032 at par (the “Senior Notes Due 2032”). The Company used the net proceeds of the Term Loan Due 2032 and the Senior Notes due 2032 to refinance the Term Loan Due 2028 in full, to repay outstanding amounts borrowed under the New Revolving Credit Facility in full, and to pay related fees, premiums and expenses. Refer to Note 15. Debt in the Company’s 2024 Annual Report on Form 10-K for information about the Company’s debt as of December 31, 2024.
  
(5)Net debt was calculated as the total outstanding principal on the Company’s debt less cash and cash equivalents.
  
(6)Net leverage was calculated by dividing net debt as of September 30, 2025 and December 31, 2024 by adjusted EBITDA for the last twelve months ended September 30, 2025 and year ended December 31, 2024, respectively.
  
(7)The non-GAAP effective tax rates for the three and nine months ended September 30, 2025 were 23.7% and 24.7%, respectively. The non-GAAP effective tax rates for the three and nine months ended September 30, 2024 were 23.9% and 24.7%, respectively.
  
(8)Weighted average diluted shares outstanding for the three and nine months ended September 30, 2025 and 2024 consisted of fully diluted Class A common stock (inclusive of the effect of dilutive securities).
   


Amneal Pharmaceuticals, Inc.
Affordable Medicines Segment
Reconciliation of GAAP to Non-GAAP Operating Results(1)
(unaudited; $ in thousands)
 
 Three Months Ended September 30, 2025 Three Months Ended September 30, 2024
 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAP
Net revenue$460,741  $  $460,741  $427,345  $  $427,345 
Cost of goods sold(2) 280,463   (12,075)  268,388   249,342   (11,411)  237,931 
Gross profit 180,278   12,075   192,353   178,003   11,411   189,414 
Gross margin % 39.1%    41.7%  41.7%    44.3%
            
Selling, general and administrative(3) 37,173   (2,341)  34,832   30,951   (1,931)  29,020 
Research and development(4) 55,124   (679)  54,445   57,099   (674)  56,425 
Intellectual property legal development expenses 2,378      2,378   1,786      1,786 
Restructuring and other charges 90   (90)     17   (17)   
Credit related to legal matters, net          (149)  149    
Other operating income (117)     (117)         
Operating income$85,630  $15,185  $100,815  $88,299  $13,884  $102,183 


(1)Revenue, cost of goods sold, and gross profit from the sale of Amneal products by AvKARE were included in our Affordable Medicines segment.
  
(2)Adjustments for the three months ended September 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($1.1 million and $0.9 million), amortization expense ($10.4 million and $10.3 million), and asset impairment charges ($0.6 million and $0.2 million).
  
(3)Adjustments for the three months ended September 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($1.8 million and $1.4 million) and site closure costs ($0.5 million in each period).
  
(4)Adjustments for the three months ended September 30, 2025 and 2024 were comprised of stock-based compensation expense.
   


Amneal Pharmaceuticals, Inc.
Affordable Medicines Segment
Reconciliation of GAAP to Non-GAAP Operating Results(1)
(unaudited; $ in thousands)
 
 Nine Months Ended September 30, 2025 Nine Months Ended September 30, 2024
 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAP
Net revenue$1,308,874  $  $1,308,874  $1,245,967  $  $1,245,967 
Cost of goods sold(2) 775,742   (34,121)  741,621   750,167   (35,123)  715,044 
Gross profit 533,132   34,121   567,253   495,800   35,123   530,923 
Gross margin % 40.7%    43.3%  39.8%    42.6%
            
Selling, general and administrative(3) 105,114   (6,340)  98,774   95,663   (5,251)  90,412 
Research and development(4) 128,003   (2,145)  125,858   123,173   (1,913)  121,260 
Intellectual property legal development expenses 6,069      6,069   3,778      3,778 
Restructuring and other charges 773   (773)     70   (70)   
(Credit) charges related to legal matters, net(5) (390)  390      94,909   (94,909)   
Other operating income (5,239)     (5,239)         
Operating income$298,802  $42,989  $341,791  $178,207  $137,266  $315,473 


(1)Revenue, cost of goods sold, and gross profit from the sale of Amneal products by AvKARE were included in our Affordable Medicines segment.
  
(2)Adjustments for the nine months ended September 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($2.9 million and $2.7 million), amortization expense ($30.5 million and $31.2 million), and asset impairment charges ($0.7 million and $1.2 million).
  
(3)Adjustments for the nine months ended September 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($4.7 million and $3.7 million) and site closure costs ($1.6 million in each period).
  
(4)Adjustments for the nine months ended September 30, 2025 and 2024 were comprised of stock-based compensation expense.
  
(5)Adjustment for the nine months ended September 30, 2024 was primarily associated with a settlement in principle on the primary financial terms for a nationwide resolution to the opioids cases that have been filed and that might have been filed against the Company by political subdivisions and Native American tribes across the United States.
   


Amneal Pharmaceuticals, Inc.
Specialty Segment
Reconciliation of GAAP to Non-GAAP Operating Results
(unaudited; $ in thousands)
 
 Three Months Ended September 30, 2025 Three Months Ended September 30, 2024
 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAP
Net revenue$125,240  $  $125,240  $115,638  $  $115,638 
Cost of goods sold(1) 73,808   (48,607)  25,201   52,342   (29,394)  22,948 
Gross profit 51,432   48,607   100,039   63,296   29,394   92,690 
Gross margin % 41.1%    79.9%  54.7%    80.2%
            
Selling, general and administrative(2) 33,580   (490)  33,090   27,723   (167)  27,556 
Research and development(3) 8,228   (1,843)  6,385   3,998   (258)  3,740 
Intellectual property legal development expenses 59      59   181      181 
Restructuring and other charges                 
Other operating income          (1,030)  1,030    
Operating income$9,565  $50,940  $60,505  $32,424  $28,789  $61,213 


(1)Adjustments for the three months ended September 30, 2025 and 2024 were comprised of amortization expense ($26.5 million and $29.4 million) and asset impairment charges ($22.1 million and none).
  
(2)Adjustments for the three months ended September 30, 2025 and 2024 were comprised of stock-based compensation expense.
  
(3)Adjustments for the three months ended September 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($0.1 million and $0.3 million) and site closure costs ($1.7 million and none).
   


Amneal Pharmaceuticals, Inc.
Specialty Segment
Reconciliation of GAAP to Non-GAAP Operating Results
(unaudited; $ in thousands)
 
 Nine Months Ended September 30, 2025 Nine Months Ended September 30, 2024
 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAP
Net revenue$361,580  $  $361,580  $324,913  $  $324,913 
Cost of goods sold(1) 182,686   (114,127)  68,559   143,284   (81,349)  61,935 
Gross profit 178,894   114,127   293,021   181,629   81,349   262,978 
Gross margin % 49.5%    81.0%  55.9%    80.9%
            
Selling, general and administrative(2) 94,872   (1,321)  93,551   79,529   (755)  78,774 
Research and development(3) 23,353   (3,430)  19,923   13,276   (801)  12,475 
Intellectual property legal development expenses 152      152   215      215 
Restructuring and other charges 471   (471)     1,024   (1,024)   
Other operating income          (930)  930    
Operating income$60,046  $119,349  $179,395  $88,515  $82,999  $171,514 


(1)Adjustments for the nine months ended September 30, 2025 and 2024 were comprised of amortization expense ($92.0 million and $81.3 million) and asset impairment charges ($22.1 million and none).
  
(2)Adjustments for the nine months ended September 30, 2025 and 2024 were comprised of stock-based compensation expense.
  
(3)Adjustments for the nine months ended September 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($0.3 million and $0.8 million) and site closure costs ($3.1 million and none).
   


Amneal Pharmaceuticals, Inc.
AvKARE Segment
Reconciliation of GAAP to Non-GAAP Operating Results(1)
(unaudited; $ in thousands)
 
 Three Months Ended September 30, 2025 Three Months Ended September 30, 2024
 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAP
Net revenue$198,532  $  $198,532  $159,485  $  $159,485 
Cost of goods sold 156,268      156,268   131,226      131,226 
Gross profit 42,264      42,264   28,259      28,259 
Gross margin % 21.3%    21.3%  17.7%    17.7%
            
Selling, general and administrative(2) 15,234   (2,699)  12,535   15,145   (3,545)  11,600 
Operating income$27,030  $2,699  $29,729  $13,114  $3,545  $16,659 


(1)Revenue, cost of goods sold, and gross profit from the sale of Amneal products by AvKARE were included in our Affordable Medicines segment.
  
(2)Adjustments for the three months ended September 30, 2025 and 2024 were comprised of amortization expense.
   


Amneal Pharmaceuticals, Inc.
AvKARE Segment
Reconciliation of GAAP to Non-GAAP Operating Results(1)
(unaudited; $ in thousands)
 
 Nine Months Ended September 30, 2025 Nine Months Ended September 30, 2024
 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAP
Net revenue$533,987  $  $533,987  $492,559  $  $492,559 
Cost of goods sold 429,895      429,895   412,423      412,423 
Gross profit 104,092      104,092   80,136      80,136 
Gross margin % 19.5%    19.5%  16.3%    16.3%
            
Selling, general and administrative(2) 46,007   (8,099)  37,908   44,694   (10,636)  34,058 
Operating income$58,085  $8,099  $66,184  $35,442  $10,636  $46,078 


(1)Revenue, cost of goods sold, and gross profit from the sale of Amneal products by AvKARE were included in our Affordable Medicines segment.
  
(2)Adjustments for the nine months ended September 30, 2025 and 2024 were comprised of amortization expense.



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