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United Therapeutics (UTHR) Beats Q3 Earnings, Sales Miss
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United Therapeutics Corporation (UTHR - Free Report) reported adjusted earnings of $3.63 per share (including after-tax impact of stock-based compensation expense) for third-quarter 2016 which beat the Zacks Consensus Estimate of $3.47 by 4.61%.
Revenues for the reported quarter increased 5.6% year over year to $408 million but fell short of the Zacks Consensus Estimate of $410 million.
The Quarter in Detail
Revenues in the third quarter increased from the year-ago period due to a rise in the net product sales of Adcirca,Unituxin,Orenitram and Remodulin. This rise was slightly offset by the decline in sales of Tyvaso.
Orenitram reported sales of $40.7 million in the quarter, up 18.3% year over year. Adcirca, reported sales of $96.0 million, up 30.1% year over year. Tyvaso reported sales of $101.8 million, down 16.4% year over year. Remodulin reported sales of $152.4 million, up 1.5% year over year. Unituxin reported sales of $17.3 million, up 268.1% year over year.
Research and development (R&D) expenses for the third quarter increased 378.1% from the year-ago quarter to $45.9 million mainly due to more candidates moving to phase III studies.
Selling, general and administrative (SG&A) expenses too increased 678.6% from the year-ago quarter to $100.1 million, also due to higher share-based compensation expense.
During the quarter, United Therapeutics bought back shares worth $135.8 million under its 500 million stock buyback program. As of Sep 30, $104.5 million worth of shares remained available for additional repurchase.
United Therapeutics currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the healthcare sector include Infinity Pharmaceuticals, Inc. , BioMarin Pharmaceutical Inc. (BMRN - Free Report) and Exelixis, Inc. (EXEL - Free Report) . Both Infinity and BioMarin sport a Zacks Rank #1 (Strong Buy) whereas Exelixis has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Exelixis’ loss estimates narrowed from 71 cents to 63 cents for 2016 and from 19 cents to earnings of 2 cents for 2017 over the last 60 days. The company has posted positive surprises twice in the four trailing quarters with an average beat of 9.1%. Its share price has skyrocketed over 90% year to date.
BioMarin’s loss estimates narrowed from 28 cents to 25 cents for 2016 and from $1.16 to $1.11 for 2017 over the last 60 days.
Infinity’s loss estimates narrowed from $3.84 to $3.79 for 2016 and remained stable for 2017 over the last 60 days. The company posted positive surprises in all the four trailing quarters with an average beat of 67.62%.
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United Therapeutics (UTHR) Beats Q3 Earnings, Sales Miss
United Therapeutics Corporation (UTHR - Free Report) reported adjusted earnings of $3.63 per share (including after-tax impact of stock-based compensation expense) for third-quarter 2016 which beat the Zacks Consensus Estimate of $3.47 by 4.61%.
Revenues for the reported quarter increased 5.6% year over year to $408 million but fell short of the Zacks Consensus Estimate of $410 million.
The Quarter in Detail
Revenues in the third quarter increased from the year-ago period due to a rise in the net product sales of Adcirca,Unituxin,Orenitram and Remodulin. This rise was slightly offset by the decline in sales of Tyvaso.
Orenitram reported sales of $40.7 million in the quarter, up 18.3% year over year. Adcirca, reported sales of $96.0 million, up 30.1% year over year. Tyvaso reported sales of $101.8 million, down 16.4% year over year. Remodulin reported sales of $152.4 million, up 1.5% year over year. Unituxin reported sales of $17.3 million, up 268.1% year over year.
Research and development (R&D) expenses for the third quarter increased 378.1% from the year-ago quarter to $45.9 million mainly due to more candidates moving to phase III studies.
Selling, general and administrative (SG&A) expenses too increased 678.6% from the year-ago quarter to $100.1 million, also due to higher share-based compensation expense.
During the quarter, United Therapeutics bought back shares worth $135.8 million under its 500 million stock buyback program. As of Sep 30, $104.5 million worth of shares remained available for additional repurchase.
UTD THERAPEUTIC Price, Consensus and EPS Surprise
UTD THERAPEUTIC Price, Consensus and EPS Surprise | UTD THERAPEUTIC Quote
Zacks Rank & Stocks to Consider
United Therapeutics currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the healthcare sector include Infinity Pharmaceuticals, Inc. , BioMarin Pharmaceutical Inc. (BMRN - Free Report) and Exelixis, Inc. (EXEL - Free Report) . Both Infinity and BioMarin sport a Zacks Rank #1 (Strong Buy) whereas Exelixis has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Exelixis’ loss estimates narrowed from 71 cents to 63 cents for 2016 and from 19 cents to earnings of 2 cents for 2017 over the last 60 days. The company has posted positive surprises twice in the four trailing quarters with an average beat of 9.1%. Its share price has skyrocketed over 90% year to date.
BioMarin’s loss estimates narrowed from 28 cents to 25 cents for 2016 and from $1.16 to $1.11 for 2017 over the last 60 days.
Infinity’s loss estimates narrowed from $3.84 to $3.79 for 2016 and remained stable for 2017 over the last 60 days. The company posted positive surprises in all the four trailing quarters with an average beat of 67.62%.
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>