Corcept Therapeutics Inc. (CORT - Analyst Report) posted a loss per share of 11 cents in the second quarter of 2013, in line with the Zacks Consensus Estimate, but wider than the year-ago loss of 9 cents.
Corcept generated revenues of $1.9 million in the second quarter of 2013, missing the Zacks Consensus Estimate of $3.0 million. Revenues jumped 116% y/y.
The revenues reported in the quarter included a product return reserve of $0.3 million incurred due to the company's transition to a new specialty pharmacy in addition to government rebates, chargebacks and other allowances.
In Apr 2012, Corcept launched its drug, Korlym, in the U.S. Korlym, is approved in the U.S. and the EU as a once-daily oral medication for the treatment of hyperglycemia secondary to hypercortisolism in adults suffering from endogenous Cushing’s syndrome, who have type II diabetes or glucose intolerance.
We note that Corcept enjoys orphan drug designation for Korlym from the FDA for the approved indication.
Selling, general and administrative expenses were $8.2 million in the second quarter of 2013, up 41.3% from the year-ago quarter. The increase was mainly due to higher staffing, consultancy and other professional services costs related to the commercialization of Korlym.
Research and development expenses in the second quarter were $4.5 million, up 24.7% in the year-ago quarter. The increase was mainly attributable to the expansion of the phase III trial on Korlym for the treatment of psychotic depression along with the development of the company’s next-generation selective GR-II antagonists.
Corcept continues to enroll patients for a phase III study on the use of Korlym for the treatment of psychotic depression. Interim results from the study are expected in the third quarter of 2014.
Corcept’s key objective in 2013 is the successful commercialization of Korlym.
Corcept currently carries a Zacks Rank #3 (Hold). Right now, Shire (SHPG - Analyst Report), Jazz Pharmaceuticals (JAZZ - Analyst Report), and Ironwood Pharmaceuticals (IRWD - Analyst Report) look attractive, each with a Zacks Rank #2 (Buy).