BioMarin Pharmaceutical Inc. (BMRN) suffered a loss of $0.03 per share in the third quarter 2010 (excluding special items but including stock-based compensation expenses). The company earned $0.06 per share in the year-ago quarter. The Zacks Consensus Estimate pointed towards a loss of $0.02 per share.
Total revenues climbed approximately 21% to $97.8 million in the reported quarter. The increase was driven by strong sales of its enzyme replacement therapies. Revenues in the reported quarter were in line with the Zacks Consensus Revenue Estimate.
Net product revenues in the reported quarter climbed approximately 23.2% to $96.6 million. Royalty and license revenues slipped to $1.1 million from $1.8 million in the third quarter of 2009. Revenues from collaborative agreements accounted for the remaining total revenues in the reported quarter.
Revenues from Naglazyme in the reported quarter jumped 22.8% to $51.7 million. Naglazyme is an enzyme replacement therapy for treating mucopolysaccharidosis VI, a rare genetic enzyme deficiency disorder.
Revenues from Aldurazyme recorded by Genzyme Corporation (GENZ), who sells the drug, an enzyme replacement therapy for treating mucopolysaccharidosis I, increased marginally to $40.8 million. Net product revenues for BioMarin from Aldurazyme increased 13% to $16.5 million in the reported quarter.
Net product revenues from Kuvan tablets, for treating mild-to-moderate forms of the genetic disease phenylketonuria, grew 20.7% to $26.2 million.
In addition to these three products, BioMarin possesses the rights to Firdapse through its acquisition of Huxley Pharmaceuticals in October 2009. Firdapse (amifampridine phosphate) is indicated for treating Lambert Eaton myasthenic syndrome (LEMS), a rare autoimmune disease. Net revenues from Firdapse were a negligible $2.2 million in the quarter. However, management stated that European sales of the drug are on their way up.
The company has chalked out a development plan for the drug in the US. BioMarin intends to initiate a late-stage study with Firdapse early next year and seek approval from the US Food and Drug Administration (FDA) in the first half of 2012. FDA approval for the LEMS drug is expected by the end of 2012.
Research & development expenses in the reported quarter climbed 45.9% to $39.4 million. The increase was primarily attributable to BioMarin’s efforts to develop its pipeline. Selling, general and administrative expenses climbed 33.5% to $38.3 million. The rise was primarily attributable to increased spending by the company on its marketed products coupled with other corporate costs.
2010 Outlook Tweaked
In addition to posting third quarter results, the company updated its 2010 projection. BioMarin narrowed its 2010 revenue outlook to $372 million-$393 million, from its prior forecast of $370 million – $393 million. The 2010 projection for total net product revenues has been tightened to $367 million-$387 million from $365 million-$387 million.
Net income (excluding special items) for 2010 is now forecasted between $28 million and $33 million as against the earlier projection of $30 million – $38 million.
BIOMARIN PHARMA (BMRN): Free Stock Analysis Report
Zacks Investment Research
