Acorda Therapeutics, Inc.
) shares, which had gained 10% immediately after reporting fourth
quarter results were announced, lost some of the gains in the
subsequent trading session (shares were down 2.3%). Overall,
shares are up 7.5% since earnings were reported.
Acorda's fourth quarter earnings of 15 cents per share were 3
cents below the Zacks Consensus Estimate but well above the
year-ago earnings of 9 cents per share.
Total revenues for the quarter were $92.6 million, up 13.6% from
the year-ago quarter. Revenues were in line with the Zacks
Full year 2013 earnings came in at 42 cents per share, above the
Zacks Consensus Estimate of 39 cents. Earnings were, however,
below the year-ago figure of 72 cents per share. Total revenues
for 2013 were $336.4 million, up 0.4% and above the Zacks
Consensus Estimate of $335 million.
Quarter in Details
The bulk of net product revenues at Acorda came from Ampyra,
which generated $84.6 million in the reported quarter, up 16.4%
from the year-ago period. Ampyra revenues increased 8.7% on a
Acorda's Ampyra is marketed in the ex-U.S. markets under the
trade name Fampyra by Biogen Idec (
). Fampyra royalties grew 69.2% from the year-ago period to $2.2
Zanaflex capsules and tablets recorded revenues of $3.2 million
in the fourth quarter of 2013, down 38.5%. Acorda has authorized
Actavis, Inc. (
) to commercialize the generic version of Zanaflex.
Acorda's research and development (R&D) expenses decreased
21.4% to $14.3 million (including $1.6 million of share-based
compensation). Selling, general and administrative (SG&A)
expenses came in at $47 million, up 3.1% from the year-ago
ACORDA THERAPT (ACOR): Free Stock Analysis
ACTAVIS PLC (ACT): Free Stock Analysis Report
ALEXION PHARMA (ALXN): Free Stock Analysis
BIOGEN IDEC INC (BIIB): Free Stock Analysis
To read this article on Zacks.com click here.
Ampyra sales are expected to increase in 2014 to $328-$335
million. The company pointed out that first quarter sales are
usually lower than subsequent quarter sales.
Acorda expects to spend $60 million-$70 million on R&D.
Acorda intends to commence a phase III study evaluating a
once-daily (QD) formulation of Ampyra in the second quarter of
2014 once FDA approval for the study protocol is obtained.
Meanwhile, SG&A spend is expected in the range of $180
million - $190 million. The guidance includes commercialization
expenses associated with the potential launch of Plumiaz
(proposed trade name for diazepam nasal spray) which is yet to
gain FDA approval. The company is looking to get the candidate
approved for the treatment of people with epilepsy who experience
Zanaflex and Fampyra revenues are expected to be $25 million in
2014. This includes amortized revenues of $9.1 million resulting
from the $110 million payment received from Biogen for Fampyra.
Acorda's fourth quarter results were mixed. Although earnings
missed expectations, revenues surpassed our expectations.
Ampyra's performance improved on a sequential basis. We expect
investor focus to remain on pipeline updates.
Acorda carries a Zacks Rank #3 (Hold). A better-ranked stock in
the biotech sector is
Alexion Pharmaceuticals, Inc.
) with a Zacks Rank #1 (Strong Buy).