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Sep 30, 2020

Alkermes Q3 2020 Earnings Report

Alkermes reported strong commercial execution and disciplined expense management in Q3 2020, leading to raised financial expectations for the year.

Key Takeaways

Alkermes plc reported Q3 2020 financial results with total revenues of $265.0 million. The company reported a GAAP net loss per share of $0.00 and non-GAAP earnings per share of $0.26. Strong commercial execution and disciplined expense management led to raised financial expectations for 2020.

Total revenues for the quarter were $265.0 million, compared to $255.2 million for the same period in the prior year.

GAAP net loss was $0.1 million for the quarter, or a GAAP net loss per share of $0.00, compared to a GAAP net loss of $52.9 million, or a GAAP net loss per share of $0.34, for the same period in the prior year.

Non-GAAP net income was $41.5 million for the quarter, or a non-GAAP basic and diluted earnings per share of $0.26, compared to a non-GAAP net loss of $7.0 million, or a non-GAAP basic and diluted loss per share of $0.04, for the same period in the prior year.

Net sales of ARISTADA were $62.4 million, reflecting a 16% year-over-year growth.

Total Revenue
$265M
Previous year: $255M
+3.8%
EPS
$0.26
Previous year: -$0.04
-750.0%
Cash and Equivalents
$597M
Total Assets
$1.88B

Alkermes

Alkermes

Alkermes Revenue by Segment

Forward Guidance

Alkermes raised its financial guidance for 2020, expecting total revenue between $1.01 billion and $1.035 billion and non-GAAP net income between $50 million and $70 million.

Positive Outlook

  • Total Revenue: $1,010 - $1,035 million
  • VIVITROL Net Sales: $305 - $315 million
  • ARISTADA Net Sales: $230 - $240 million
  • Other Income, Net: ~$30 million
  • Non-GAAP Net Income: $50 - $70 million

Challenges Ahead

  • Cost of Goods Sold: $180 - $190 million
  • R&D Expenses: $375 - $390 million
  • SG&A Expenses: $530 - $545 million
  • Amortization of Intangible Assets: ~$40 million
  • GAAP Net Loss: ($95) - ($115) million