Allergan to lay off 1,500 employees

Allergan plans to increase stockholder value and company efficiency by restructuring operations and processes, including reducing its workforce by 1,500 employees and eliminating 250 vacant positions.

The company estimates this will result in annual pre-tax savings of approximately $475 million in calendar year 2015, according to a press release announcing Allergan’s second quarter operating results.

Allergan has reported $1.83 billion in total product net sales — a 15.9% increase from 2013, according to the press release.

Total specialty pharmaceuticals net sales increased 13.2%, and total core medical device sales increased 25.8%, compared with the same period last year.

The company reported $1.37 diluted earnings per share attributable to stockholders, up from $1.17 diluted earnings per share attributable to stockholders in 2013. There was also an increase of 23.8% in non-GAAP diluted earnings per share attributable to stockholders, from $1.22 to $1.51, according to the release.

For the full year 2014, the company expects total net product sales between $6.9 billion and $7.05 billion, which does not include any anticipated revenue from transition services agreements related to its obesity intervention business sale, according to the release.

The company’s board of directors has also declared a second-quarter dividend of $0.05 per share, which will be payable on Sept. 5 to stockholders of record as of Aug. 15.