Questcor Pharmaceuticals Inc.
reported second quarter 2013 earnings per share, excluding the
impact of a negative Medicaid adjustment, of $1.25, up 92.3% from
the year-ago period. Earnings surpassed the Zacks Consensus
Estimate of $1.13 per share. Including one time items, second
quarter 2013 earnings were $1.12 per share.
Second quarter 2013 revenues climbed 64.1% to $184.6 million,
surpassing the Zacks Consensus Estimate of $168 million. Revenues
consisted of $177 million from Acthar and the remaining from
BioVectra. Excluding a one-time charge related to an incremental
Medicaid rebate liability of $11.5 million, total revenues
amounted to $196.1 million.Strong performance of H.P. Acthar Gel
in the nephrotic syndrome (NS), dermatomyositis, polymyositis,
systemic lupus erythematosus, rheumatoid arthritis, multiple
sclerosis (MS) relapses and infantile spasms (IS) indications
contributed to the massive growth.
Acthar, an injectable drug, is the only marketed product at
Questcor. It is approved by the U.S. Food and Drug Administration
(FDA) for as many as 19 indications. The company shipped 7,050
vials of Acthar during the second quarter of 2013, up 50% year
over year and 46% sequentially.
In the reported quarter, Acthar's new paid prescriptions were
about 2,250 to 2,275, up 35% year over year.
In the second quarter of 2013, research and development
(R&D) expenses were $12.2 million, up 44.3%. The increase was
attributable to the company's efforts to develop its pipeline. In
the reported quarter, general and administrative expenses were
$13.1 million, up 51.8% and selling and marketing expenses were
$37.9 million, up 37.3%.
Acthar is currently under evaluation for amyotrophic lateral
sclerosis (phase II), diabetic nephropathy (phase II), idiopathic
membranous nephropathy (phase IV), lupus (phase IV) and lupus
exacerbations (investigator-initiated study).
Questcor acquired development and commercialization rights to
Synacthen and Synacthen Depot from
) in Jun 2013.
This was a strong quarter for Questcor with demand for Acthar
rising mainly because of expanded commercialization efforts.
Questcor's efforts to educate rheumatologists about Acthar also
improved revenues. The purchase of Synacthen and Synacthen Depot
rights along with the acquisition of BioVectera Inc. completed
earlier this year provides Questcor an opportunity for
international expansion and diversification of revenues.
Moreover, the FDA approval of Synacthen would consolidate
Questcor's presence in the U.S.
Questcor carries a Zacks Rank #3 (Hold). Currently, companies
Avanir Pharmaceuticals, Inc. (
Auxilium Pharmaceuticals Inc. (
look more attractive with a Zacks Rank #2 (Buy).
AUXILIUM PHARMA (AUXL): Free Stock Analysis
AVANIR PHARM (AVNR): Free Stock Analysis
NOVARTIS AG-ADR (NVS): Free Stock Analysis
QUESTCOR PHARMA (QCOR): Free Stock Analysis
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