• by Les Luchter , November 8, 2023

As it ramps up to a first quarter 2024 launch of Opill, America’s first over-the-counter (OTC) birth control pill, Perrigo also plans to expand its investment in a women’s health “franchise” to “maximize long-term potential,” chief executive officer Patrick Lockwood-Taylor told analysts on a Q3 earnings call Tuesday.

Perrigo’s current products in the women’s health category include the emergency contraceptive Ella (ulipristal acetate), a generic version of Monistat (miconazole nitrate) for vaginal yeast infections, and a personal lubricant jelly. Perrigo sells both prescription products like Ella and OTC brands like the latter two products.

Lockwood-Taylor didn’t elaborate on what other women’s health products may be forthcoming, but did provide more info on how Perrigo plans to grow the Opill brand, saying “We will build one-to-one consumer relationships, leveraging CRM data that will self-learn and get smarter throughout a consumer's journey.”

To accomplish that, he said, “We are partnering with leading technology organizations to build a marketing technology stack” that will drive engagement “through all touchpoints of consumer conversion from awareness to purchase.”

Lockwood-Taylor also discussed Perrigo’s relationship to three other issues that have been in the news: phenylephrine, acetaminophen and infant formula.

In September, an FDA advisory panel said that phenylephrine, found in many decongestant brands, doesn’t work. Lockwood-Taylor, saying that phenylephrine-containing products make up only 2% of Perrigo net sales, stressed that the FDA had no safety concerns with such products and “We do not currently expect retailers to pull combination products ahead of the cough/cold season as this could create a shortage.”

But, he added, “We are already working to reformulate our phenylephrine products with other active ingredients if needed.”

A number of lawsuits are underway alleging that the use of Tylenol (nee Johnson & Johnson, now Kenvue) and other acetaminophen products by pregnant women resulted in children with such conditions as autism and ADHD.

“We have not been named in litigation,” Lockwood-Taylor stated, “and the FDA reiterated its stance that there is no causality between ADHD and taking these products during pregnancy.”

As to infant formula, Lockwoood-Taylor said that Perrigo has shortened its production cycles to “perform more frequent major cleaning of our facilities.” This was in response to updated FDA guidelines issued in March “and subsequent warning letters to multiple facilities in the industry.”

Also, he added, enhanced product testing of infant formula and quality procedures have led to “longer inventory holes before product is released to customers.”

For the third quarter, Perrigo reported net sales of $1.1 billion for its nine product categories, up 2.2% year-over-year. Some $704 million of this came from its Americas segment, the rest from international.

Nutrition products, which include infant formula, led the way, with $131 million net sales, up 5.1%.

Upper respiratory came close behind, with $130 million in sales, with strong showing by store brand Guaifenesin-based products, and the launch of store brand Cough Relief Liquid Honey.

Sales of digestive products were $117 million, with a decrease in sales of store brand proton pump inhibitors, but higher sales of store brand laxatives, including Polyethylene Glycol 3350 Orange.

Pain and sleep aids sales of $94 million were helped by store brands Dual Action Acetaminophen 250mgandIbuprofen 125mg tablets, as well as higher demand for children's analgesics.

Perrigo’s Healthy Lifestyle category had net sales of $79 million, with higher volumes and market share gains in smoking cessation products.

Vitamins, minerals, and supplements had net sales of $18 million and women’s health $10 million.