‒ Q2 2025 Net Revenue of $725 million; GAAP Net Income of $22 million; Diluted Income per Share of $0.07 ‒‒ Adjusted EBITDA of $184 million; Adjusted Diluted EPS of $0.25 ‒‒ Raising 2025 Full Year Guidance ‒‒ Full Debt Refinancing Reduces Interest Cost and Extends Maturities to 2032 ‒ BRIDGEWATER, N.J., Aug. 05, 2025 (GLOBE NEWSWIRE) -- Amneal Pharmaceuticals, Inc. (Nasdaq: AMRX) (“Amneal” or the “Company”) today announced its results for the second quarter ended June 30, 2025. “Amneal delivered another quarter of solid growth, strong profitability, and we are pleased to raise our full year 2025 guidance. The quarter was also marked by strong commercial uptake of CREXONT® for Parkinson’s disease, and the FDA approval of Brekiya® autoinjector for the acute treatment of migraine and cluster headache in adults. Finally, we are extremely pleased with the successful completion of our debt refinancing, which was oversubscribed multiple times and will yield substantial interest cost savings while extending maturities. As we maximize our multiple growth drivers across our diversified pharmaceutical business, and strengthen our capital structure, we believe Amneal is exceptionally well-positioned for long-term growth,” said Chirag and Chintu Patel, Co-Chief Executive Officers. Second Quarter 2025 Results Net revenue in the second quarter of 2025 was $725 million, an increase of 3% compared to $702 million in the second quarter of 2024. Specialty net revenue increased 23% driven by key branded products, including CREXONT®, RYTARY® and UNITHROID®. Affordable Medicines net revenue increased 1% driven by strong performance of our complex product portfolio and new product launches, partially offset by supply timing. AvKARE net revenue decreased 4% driven by growth in the government label sales channel offset by lower revenue in the distribution channel. Net income attributable to Amneal Pharmaceuticals, Inc. was $22 million in the second quarter of 2025 compared to a net income of $6 million in the second quarter of 2024, reflecting higher revenue and gross profit. Adjusted EBITDA in the second quarter of 2025 was $184 million, an increase of 13% compared to the second quarter of 2024, reflective of higher revenue and gross margin. Diluted income per share in the second quarter of 2025 was $0.07 compared to diluted income per share of $0.02 for the second quarter of 2024, due to higher operating income and favorable foreign exchange. Adjusted diluted earnings per share in the second quarter of 2025 was $0.25, an increase of 56%, compared to $0.16 for the second 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. Raising Full Year 2025 Financial Guidance The Company is raising its previously provided full year 2025 guidance. Updated GuidancePrior GuidanceNet revenue$3.0 billion - $3.1 billion$3.0 billion - $3.1 billionAdjusted EBITDA (1)$665 million - $685 million$650 million - $675 millionAdjusted diluted EPS (2)$0.70 - $0.75$0.65 - $0.70Operating cash flow$275 million - $305 million$255 million - $285 millionOperating cash flow, excluding discrete items (3)$300 million - $330 million$280 million - $310 millionCapital 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 330 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 partner 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. Debt Refinancing Optimizes Capital Structure On August 1, 2025, Amneal successfully completed a comprehensive debt refinancing. The Company entered into $2.1 billion of new seven-year Term B loans at a rate of SOFR plus 350 basis points and issued $600 million aggregate principal amount of 6.875% senior secured notes due 2032. Net proceeds from these transactions were used to refinance Amneal’s prior Term B loans in full, repay all outstanding borrowings under its asset-based lending (ABL) facility, and cover related fees, premiums, and expenses. This refinancing achieved substantial interest cost reductions and extended maturities to 2032 compared to 2028. Conference Call Information Amneal will host a conference call and live webcast at 8:30 am Eastern Time today, August 5, 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 627786. 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=79971. 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 280 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; 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 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) (credit) charges related to certain legal matters, including interest, net, (viii) asset impairment charges, (ix) increase in tax receivable agreement liability, (x) other and (xi) 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 six months ended June 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, provision for income taxes and depreciation and amortization. Adjusted EBITDA reflects net income (loss) adjusted to exclude (i) interest expense, net, (ii) 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) (credit) charges related to legal matters, net, (viii) asset impairment charges, (ix) foreign exchange (gain) loss, (x) increase in tax receivable agreement liability, and (xi) 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. ContactAnthony DiMeoVP, Investor Relationsanthony.dimeo@amneal.com Amneal Pharmaceuticals, Inc.Consolidated Statements of Operations(unaudited; $ in thousands, except per share amounts) Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024Net revenue$724,508 $701,780 $1,419,928 $1,360,971 Cost of goods sold 438,255 451,833 877,784 872,964 Gross profit 286,253 249,947 542,144 488,007 Selling, general and administrative 124,266 116,462 242,554 229,057 Research and development 47,964 36,054 88,004 75,352 Intellectual property legal development expenses 2,017 1,042 3,784 2,026 Restructuring and other charges 1,024 220 1,595 1,690 (Credit) charges related to legal matters, net (390) 699 (390) 95,058 Other operating (income) expense — — (5,122) 100 Operating income 111,372 95,470 211,719 84,724 Other (expense) income:
Interest expense, net (65,101) (65,719) (122,040) (131,422)Foreign exchange gain (loss), net 8,256 (262) 12,503 (1,459)Increase in tax receivable agreement liability (4,420) (13,444) (15,107) (15,392)Other income, net 1,604 4,360 2,122 8,432 Total other expense, net (59,661) (75,065) (122,522) (139,841)Income (loss) before income taxes 51,711 20,405 89,197 (55,117)Provision for income taxes 16,101 3,618 28,969 9,774 Net income (loss) 35,610 16,787 60,228 (64,891)Less: Net income attributable to non-controlling interests (13,193) (10,793) (25,616) (20,758)Net income (loss) attributable to Amneal Pharmaceuticals, Inc.$22,417 $5,994 $34,612 $(85,649)
Net income (loss) per share attributable to Amneal Pharmaceuticals, Inc.’s Class A common stockholders:
Basic$0.07 $0.02 $0.11 $(0.28)Diluted$0.07 $0.02 $0.11 $(0.28)Weighted-average common shares outstanding:
Basic 313,739 309,117 312,404 308,198 Diluted 322,363 318,957 323,171 308,198
Amneal Pharmaceuticals, Inc.Condensed Consolidated Balance Sheets(unaudited; $ in thousands) June 30, 2025 December 31, 2024Assets Current assets: Cash and cash equivalents$71,544 $110,552 Restricted cash 9,642 7,868 Trade accounts receivable, net 807,637 775,731 Inventories 608,973 612,454 Prepaid expenses and other current assets 85,304 80,717 Related party receivables 1,592 484 Total current assets 1,584,692 1,587,806 Property, plant and equipment, net 440,327 424,908 Goodwill 597,406 597,436 Intangible assets, net 649,547 732,377 Operating lease right-of-use assets 33,241 31,388 Operating lease right-of-use assets - related party 17,658 10,964 Financing lease right-of-use assets 55,068 56,433 Other assets 44,849 60,133 Total assets$3,422,788 $3,501,445 Liabilities and Stockholders’ Deficiency Current liabilities: Accounts payable and accrued expenses$666,817 $735,450 Current portion of liabilities for legal matters 41,515 31,755 Revolving credit facility 290,000 100,000 Current portion of long-term debt, net 31,175 224,213 Current portion of operating lease liabilities 8,223 9,435 Current portion of operating lease liabilities - related party 2,701 3,396 Current portion of financing lease liabilities 3,307 3,211 Related party payables - short term 63,396 22,311 Total current liabilities 1,107,134 1,129,771 Long-term debt, net 2,146,403 2,161,790 Operating lease liabilities 27,623 24,814 Operating lease liabilities - related party 16,441 9,391 Financing lease liabilities 56,020 56,889 Related party payables - long term 15,607 50,900 Liabilities for legal matters - long term 74,477 85,479 Other long-term liabilities 25,814 26,949 Total long-term liabilities 2,362,385 2,416,212 Redeemable non-controlling interests 65,802 64,974 Total stockholders’ deficiency (112,533) (109,512)Total liabilities and stockholders’ deficiency$3,422,788 $3,501,445 Amneal Pharmaceuticals, Inc.Consolidated Statements of Cash Flows(unaudited; $ in thousands) Six Months Ended June 30, 2025 2024 Cash flows from operating activities: Net income (loss)$60,228 $(64,891)Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation and amortization 120,272 111,100 Unrealized foreign currency (gain) loss (11,813) 2,080 Amortization of debt issuance costs and discount 13,686 14,252 Reclassification of cash flow hedge (5,876) (13,031)Intangible asset impairment charges — 920 Stock-based compensation 15,532 13,446 Inventory provision 38,432 41,493 Other operating charges and credits, net 2,254 (1,431)Changes in assets and liabilities: Trade accounts receivable, net (32,615) (155,843)Inventories (36,039) (35,447)Prepaid expenses, other current assets and other assets (10,015) (8,418)Related party receivables (1,108) (628)Accounts payable, accrued expenses and other liabilities (67,004) 122,026 Related party payables 5,293 9,619 Net cash provided by operating activities 91,227 35,247 Cash flows from investing activities: Purchases of property, plant and equipment (35,992) (19,824)Acquisition of intangible assets (5,100) (10,450)Deposits for future acquisition of property, plant and equipment (4,632) (940)Proceeds from sale of property, plant and equipment 1,379 — Proceeds from sale of subsidiary — 4,989 Net cash used in investing activities (44,345) (26,225)Cash flows from financing activities: Payments of principal on debt, revolving credit facilities, financing leases and other (251,076) (78,877)Borrowings on revolving credit facilities 218,000 48,000 Proceeds from exercise of stock options 754 386 Employee payroll tax withholding on restricted stock unit and performance stock unit vesting (21,828) (7,371)Tax and other distributions to non-controlling interests (24,958) (8,883)Payment of principal on notes payable - related party — (11,496)Payments of deferred financing and refinancing costs (1,745) — Net cash used in financing activities (80,853) (58,241)Effect of foreign exchange rate on cash (777) (266)Net decrease in cash, cash equivalents, and restricted cash (34,748) (49,485)Cash, cash equivalents, and restricted cash - beginning of period 118,420 99,107 Cash, cash equivalents, and restricted cash - end of period$83,672 $49,622 Cash and cash equivalents - end of period$71,544 $43,769 Restricted cash - end of period 9,642 5,853 Long-term restricted cash included in other assets - end of period 2,486 — Cash, cash equivalents, and restricted cash - end of period$83,672 $49,622 Amneal Pharmaceuticals, Inc.Non-GAAP Reconciliations(unaudited, $ in thousands) Reconciliation of Net Income (Loss) to EBITDA and Adjusted EBITDA Three Months Ended June 30, Six Months Ended June 30, Year EndedDecember 31, 2025 2024 2025 2024 2024 Net income (loss) $35,610 $16,787 $60,228 $(64,891) $(73,876)Adjusted to add:
Interest expense, net 65,101 65,719 122,040 131,422 258,595 Provision for income taxes 16,101 3,618 28,969 9,774 18,863 Depreciation and amortization 60,113 55,572 120,272 111,100 236,191 EBITDA (Non-GAAP)$176,925 $141,696 $331,509 $187,405 $439,773 Adjusted to add (deduct):
Stock-based compensation expense 8,274 6,725 15,402 13,231 27,552 Acquisition, site closure, and idle facilityexpenses (1) 1,203 579 2,444 1,023 2,112 Restructuring and other charges 1,024 131 1,595 1,601 2,265 (Credit) charges related to legal matters, net (2) (390) 699 (390) 95,058 96,692 Asset impairment charges 36 — 104 1,015 1,372 Foreign exchange (gain) loss (8,256) 262 (12,503) 1,459 6,846 Increase in tax receivable agreementliability 4,420 13,444 15,107 15,392 50,680 Other (3) 424 (1,325) 370 (1,622) 150 Adjusted EBITDA (Non-GAAP)$183,660 $162,211 $353,638 $314,562 $627,442 Amneal Pharmaceuticals, Inc.Non-GAAP Reconciliations(unaudited, $ in thousands) Calculation of Net Debt and Net Leverage June 30, 2025 December 31, 2024Term Loan Due 2025$— $191,979Term Loan Due 2028 2,263,460 2,292,856Amended New Revolving Credit Facility 290,000 100,000Gross debt (4)$2,553,460 $2,584,835Less: Cash and cash equivalents 71,544 110,552Net debt (Non-GAAP) (5)$2,481,916 $2,474,283
Adjusted EBITDA (Non-GAAP) Adjusted EBITDA (Non-GAAP)Year ended December 31, 2024$627,442 $627,442Less: Six months ended June 30, 2024 314,562 Add: Six months ended June 30, 2025 353,638 Last twelve months ended June 30, 2025$666,518
Last Twelve Months Ended June 30, 2025 Year Ended December 31, 2024Net 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 June 30, Six Months Ended June 30, 2025 2024 2025 2024 Net income (loss)$35,610 $16,787 $60,228 $(64,891)Adjusted to add (deduct):
Non-cash interest 7,411 547 7,745 629 GAAP provision for income taxes 16,101 3,618 28,969 9,774 Amortization 44,820 38,818 89,094 77,489 Stock-based compensation expense 8,274 6,725 15,402 13,231 Acquisition, site closure expenses, and idle facility expenses (1) 1,189 579 2,416 1,023 Restructuring and other charges 1,017 131 1,588 1,584 (Credit) charges related to legal matters, including interest, net (2) (390) 699 (390) 95,185 Asset impairment charges 36 — 104 1,015 Increase in tax receivable agreement liability 4,420 13,444 15,107 15,392 Other (3) 424 (1,325) 380 (1,622)Provision for income taxes (7) (26,089) (17,800) (48,854) (32,141)Net income attributable to non-controlling interests (13,193) (10,793) (25,616) (20,758)Adjusted net income (Non-GAAP)$79,630 $51,430 $146,173 $95,910 Weighted average diluted shares outstanding (Non-GAAP) (8) 322,363 318,957 323,170 317,758 Adjusted diluted earnings per share (Non-GAAP) $0.25 $0.16 $0.45 $0.30 Amneal Pharmaceuticals, Inc.Non-GAAP Reconciliations(unaudited) Explanations for Non-GAAP Reconciliations (1)Acquisition, site closure, and idle facility expenses for the three and six months ended June 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 six months ended June 30, 2024 and the year ended December 31, 2024 primarily included rent for vacated properties. (2)For the six months ended June 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 $0.9 million, formerly included in its own caption in the non-GAAP reconciliations, for the three months ended June 30, 2024 has been reclassified to the caption “other” to conform to the current period presentation. System implementation expense of $1.8 million and change in the fair value of contingent consideration of $0.1 million, formerly included in their own captions in the non-GAAP reconciliations, for the six months ended June 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)See “Note 15. Debt” in the Company’s 2024 Annual Report on Form 10-K for additional information. (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 June 30, 2025 and December 31, 2024 by adjusted EBITDA for the last twelve months ended June 30, 2025 and year ended December 31, 2024, respectively. (7)The non-GAAP effective tax rates for the three and six months ended June 30, 2025 were 24.7% and 25.0%, respectively. The non-GAAP effective tax rates for the three and six months ended June 30, 2024 were 25.7% and 25.1%, respectively. (8)Weighted average diluted shares outstanding for the three and six months ended June 30, 2025 and 2024 consisted of fully diluted Class A common stock (inclusive of the effect of dilutive securities). Amneal Pharmaceuticals, Inc.Affordable Medicines SegmentReconciliation of GAAP to Non-GAAP Operating Results (1)(unaudited; $ in thousands) Three Months Ended June 30, 2025 Three Months Ended June 30, 2024 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAPNet revenue$433,425 $— $433,425 $427,328 $— $427,328 Cost of goods sold (2) 252,646 (11,171) 241,475 260,903 (11,444) 249,459 Gross profit 180,779 11,171 191,950 166,425 11,444 177,869 Gross margin % 41.7% 44.3% 38.9% 41.6%
Selling, general and administrative (3) 34,226 (2,183) 32,043 31,627 (1,591) 30,036 Research and development (4) 41,899 (777) 41,122 31,703 (584) 31,119 Intellectual property legal development expenses 1,978 — 1,978 1,032 — 1,032 Restructuring and other charges 683 (683) — 53 (53) — (Credit) charges related to legal matters, net (390) 390 — 699 (699) — Operating income$102,383 $14,424 $116,807 $101,311 $14,371 $115,682 (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 June 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($0.9 million in each period) and amortization expense ($10.3 million and $10.5 million). (3)Adjustments for the three months ended June 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($1.6 million and $1.0 million) and site closure costs ($0.6 million in each period). (4)Adjustments for the three months ended June 30, 2025 and 2024 were comprised of stock-based compensation expense. Amneal Pharmaceuticals, Inc.Affordable Medicines SegmentReconciliation of GAAP to Non-GAAP Operating Results (1)(unaudited; $ in thousands) Six Months Ended June 30, 2025 Six Months Ended June 30, 2024 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAPNet revenue$848,133 $— $848,133 $818,622 $— $818,622 Cost of goods sold (2) 495,279 (22,046) 473,233 500,825 (23,712) 477,113 Gross profit 352,854 22,046 374,900 317,797 23,712 341,509 Gross margin % 41.6% 44.2% 38.8% 41.7%
Selling, general and administrative (3) 67,941 (3,999) 63,942 64,712 (3,320) 61,392 Research and development (4) 72,879 (1,466) 71,413 66,074 (1,239) 64,835 Intellectual property legal development expenses 3,691 — 3,691 1,992 — 1,992 Restructuring and other charges 683 (683) — 53 (53) — (Credit) charges related to legal matters, net (5) (390) 390 — 95,058 (95,058) — Other operating income (5,122) — (5,122) — — — Operating income$213,172 $27,804 $240,976 $89,908 $123,382 $213,290 (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 six months ended June 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($1.8 million in each period), amortization expense ($20.1 million and $20.9 million), and asset impairment charges ($0.1 million and $1.0 million). (3)Adjustments for the six months ended June 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($2.9 million and $2.3 million) and site closure costs ($1.1 million and $1.0 million). (4)Adjustments for the six months ended June 30, 2025 and 2024 were comprised of stock-based compensation expense. (5)Adjustment for the six months ended June 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 SegmentReconciliation of GAAP to Non-GAAP Operating Results(unaudited; $ in thousands) Three Months Ended June 30, 2025 Three Months Ended June 30, 2024 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAPNet revenue$128,043 $— $128,043 $104,041 $— $104,041 Cost of goods sold (1) 55,795 (32,880) 22,915 46,142 (25,977) 20,165 Gross profit 72,248 32,880 105,128 57,899 25,977 83,876 Gross margin % 56.4% 82.1% 55.7% 80.6%
Selling, general and administrative (2) 30,314 (486) 29,828 26,610 (317) 26,293 Research and development (3) 6,065 (796) 5,269 4,351 (259) 4,092 Intellectual property legal development expenses 39 — 39 10 — 10 Restructuring and other charges 341 (341) — 78 (78) — Operating income $35,489 $34,503 $69,992 $26,850 $26,631 $53,481 (1)Adjustments for the three months ended June 30, 2025 and 2024 were comprised of amortization expense. (2)Adjustments for the three months ended June 30, 2025 and 2024 were comprised of stock-based compensation expense. (3)Adjustments for the three months ended June 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($0.1 million and $0.3 million) and site closure costs ($0.7 million and none). Amneal Pharmaceuticals, Inc.Specialty SegmentReconciliation of GAAP to Non-GAAP Operating Results(unaudited; $ in thousands) Six Months Ended June 30, 2025 Six Months Ended June 30, 2024 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAPNet revenue$236,340 $— $236,340 $209,275 $— $209,275 Cost of goods sold (1) 108,878 (65,520) 43,358 90,942 (51,955) 38,987 Gross profit 127,462 65,520 192,982 118,333 51,955 170,288 Gross margin % 53.9% 81.7% 56.5% 81.4%
Selling, general and administrative (2) 61,292 (831) 60,461 51,806 (588) 51,218 Research and development (3) 15,125 (1,587) 13,538 9,278 (543) 8,735 Intellectual property legal development expenses 93 — 93 34 — 34 Restructuring and other charges 471 (471) — 1,024 (1,024) — Other operating expense — — — 100 (100) — Operating income $50,481 $68,409 $118,890 $56,091 $54,210 $110,301 (1)Adjustments for the six months ended June 30, 2025 and 2024 were comprised of amortization expense. (2)Adjustments for the six months ended June 30, 2025 and 2024 were comprised of stock-based compensation expense. (3)Adjustments for the six months ended June 30, 2025 and 2024, respectively, were comprised of stock-based compensation expense ($0.2 million and $0.5 million) and site closure costs ($1.4 million and none). Amneal Pharmaceuticals, Inc.AvKARE SegmentReconciliation of GAAP to Non-GAAP Operating Results (1)(unaudited; $ in thousands) Three Months Ended June 30, 2025 Three Months Ended June 30, 2024 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAPNet revenue$163,040 $— $163,040 $170,411 $— $170,411 Cost of goods sold 129,814 — 129,814 144,788 — 144,788 Gross profit 33,226 — 33,226 25,623 — 25,623 Gross margin % 20.4% 20.4% 15.0% 15.0%
Selling, general and administrative (2) 15,079 (2,700) 12,379 14,642 (3,546) 11,096 Operating income$18,147 $2,700 $20,847 $10,981 $3,546 $14,527 (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 June 30, 2025 and 2024 were comprised of amortization expense. Amneal Pharmaceuticals, Inc.AvKARE SegmentReconciliation of GAAP to Non-GAAP Operating Results (1)(unaudited; $ in thousands) Six Months Ended June 30, 2025 Six Months Ended June 30, 2024 As Reported Adjustments Non-GAAP As Reported Adjustments Non-GAAPNet revenue$335,455 $— $335,455 $333,074 $— $333,074 Cost of goods sold 273,627 — 273,627 281,197 — 281,197 Gross profit 61,828 — 61,828 51,877 — 51,877 Gross margin % 18.4% 18.4% 15.6% 15.6%
Selling, general and administrative (2) 30,773 (5,400) 25,373 29,549 (7,091) 22,458 Operating income$31,055 $5,400 $36,455 $22,328 $7,091 $29,419 (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 six months ended June 30, 2025 and 2024 were comprised of amortization expense.
