Drugmaker Teva does not see big impact on business from Israel-Hamas war

By Steven Scheer

JERUSALEM (Reuters) – Israel’s war with Hamas is not expected to have much impact on Teva Pharmaceutical Industries’ business performance, the company said on Tuesday.

Teva said sales in Israel account for just 2% of global revenue, while production in Israel constitutes less than 8% of total global manufacturing in dollars terms.

“We currently don’t expect a meaningful impact on our business and/or our financial and operational performance,” Teva said in an email.

The world’s largest maker of generic drugs said production remains largely unaffected and that it maintains contingency plans with backup production locations for key products, “much like our operations during the COVID pandemic and previous instances of security unrest.”

Israel declared war on the Palestinian militant group Hamas after gunmen on Saturday burst across the fence from Gaza in the deadliest incursion into Israeli territory since Egypt and Syria’s attacks in the Yom Kippur war 50 years ago.

Israeli media said deaths from the attacks had reached 900, mostly civilians gunned down in homes, while scores of Israelis and some foreigners were taken to Gaza as hostages. Israel has responded with fierce air strikes into the Hamas-ruled Gaza Strip.

Teva said it was saddened by the attacks on Israeli citizens, particularly women and children.

“As an Israeli company we condemn this appalling assault and Teva stands with Israel in this time of great loss and challenge,” it said.

“We are focusing now on the support, care, and the wellbeing of our employees in Israel while closely monitoring the situation and ensuring business continuity to deliver our medicines to the millions of patients around the world who count on us.”

Teva is expected to report third-quarter financial results on Nov. 8.

Last week Teva said it would collaborate with French drugmaker Sanofi to develop a treatment for inflammatory bowel disease it hopes will become a blockbuster drug.

(Reporting by Steven Scheer; Editing by Jan Harvey and Bill Berkrot)

Leave a Comment