Layoffs the key to success at Valeant

LMAO

 

When exactly was Valeant's last lay offs? Does Valeant lay off every year or so?

 

People are gone in large numbers in waves. Whether they are registered as official layoffs, cutbacks, reorganization changes, resignations, early retirements, etc. the bottom line is that the number of employees working at a location, function can be reduced dramatically in a very short amount of time.

Ask the people in Rochester R&D. How many were employed there before Valeant and how many are employed there now. How may of their colleagues are no longer there.

Many Many gone.

 

So what percent of R&D is left? 10%, 20%, 60%???

Does Valeant even have R&D anymore?

 

No R&D for Valeant's business model = zero needed

 

Unless it serves their purpose. Then everyone down to the custodians and parking lot plowers are booked under R&D. Read the fine print on what they claimed was R&D in the early counter-Allergen investor calls.

 

Tricky Valeant....

 

More Accounting tricks today

 

Valeant is reporting GAAP numbers now. This should silence some critics. Strong results !

 

• Many successful capital allocators emphasize cash flow rather than reported earnings because reported earnings can understate a business's true earnings power, so VRX reports "adjusted earnings" to bridge the gap between the two. But VRX also reports "adjusted cash flow," which is a travesty of the logic behind adjusted earnings.

• VRX paid a mid-teens EBITDA multiple for Bausch & Lomb. It got into bidding wars for two of its smaller acquisitions. It got into a bidding war with itself for Allergan. This isn't the behavior of a great capital allocator.

• VRX's adjusted earnings exclude amortization of finite-life intangibles. This kind of amortization isn't a cash cost, but it's a very real economic cost, so VRX's "adjusted earnings" distort economic reality. There's a big difference between e.g. Capital Cities amortizing a broadcasting license and VRX amortizing a drug it's acquired that will go off patent in two years

 

Thanks Troll but get your facts Right! Valeant provides auditor-approved GAAP financial statements, but also reports a number of non-GAAP measures, such as "Cash EPS." It also provides quite a few different ways to gauge organic growth. It's Valeant's use of non-GAAP measures that attempts to mask the company's true performance. Period