Teva Pharmaceutical Industries (NYSE:TEVA) reaffirmed its long-term financial outlook on Thursday, maintaining its goal of reaching a 30% operating profit margin by 2027.
The company remains confident in its growth trajectory, driven by a mix of new product innovations and continued strength in its generics segment. A core focus of Teva’s strategy is expanding its operating margin, with the 30% benchmark still firmly in sight for 2027.
Teva also outlined ambitious cash flow expectations, projecting more than $2.7 billion in free cash flow by 2027, with that figure anticipated to rise above $3.5 billion by 2030. As part of its financial roadmap, the company is targeting a reduction in debt levels, aiming to reach a net leverage ratio of 2x.
Cost efficiency is another area of focus. Teva plans to generate approximately $700 million in net savings by streamlining its operations and modernizing its organizational structure.
In addition, the company’s innovative medicines division is on track to exceed $5 billion in revenue by 2030 – reflecting Teva’s long-term emphasis on developing new, high-value treatments as a cornerstone of future profitability.
These targets are part of Teva’s broader vision to combine innovation and operational discipline as key drivers of sustained growth and financial health over the coming years.