We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Achillion (ACHN) Posts Wider-Than-Expected Q1 Loss, Names CEO
Read MoreHide Full Article
Achillion Pharmaceuticals, Inc. reported a loss of 15 cents per share for the first quarter of 2018, same as the year-ago loss but wider than the Zacks Consensus Estimate of a loss of 14 cents.
The company generated no revenues in the reported quarter.
Shares of Achillion were down 2.4% on May 2. However, the company's stock have outperformed the industry year to date. The company’s shares have gained 28.1% against the industry’s decrease of 10.9%.
Research and development (R&D) expenses decreased nearly 4.8% from the year-ago period to $14.6 million. The decrease was due to decreased stock-based compensation, lower personnel costs as the February restructuring resulted in reduced number of employees and lower manufacturing and formulation expenses for next generation factor D inhibitor candidate, ACH-5228. This was partially offset by increased costs related to clinical studies of ACH-4471 and ACH-5228 and preclinical costs of ACH-5548.
General and administrative (G&A) expenses decreased 5.9% year over year to $5.3 million due to lower legal and consulting fees.
Restructuring Details
In February 2018, the company announced an operational restructuring plan to focus on its existing factor D inhibitor candidates and reduce expenses. Achillion reduced its workforce by 20% under its restructuring plan. The restructuring is expected to save $10 million in 2018.
Pipeline Update
Achillion is planning to complete a phase II study on its most advanced candidate, ACH-4471, in C3 glomerulopathy (C3G) or immune complex-mediated membranoproliferative glomerulonephritis (IC-MPGN) in 2018, with interim data planned for the third quarter of 2018. Two more studies are planned for 2018, which will evaluate ACH-4471 in C3G.
Meanwhile, interim data from the ongoing phase II study evaluating ACH-4471 monotherapy in paroxysmal nocturnal hemoglobinuria (“PNH”) is planned for the fourth quarter of 2018. An add-on study is planned for the evaluation of ACH-4471 in combination with Alexion Pharmaceuticals’ PNH drug, Soliris (eculizumab). Interim data is expected in the fourth quarter of 2018.
The company also targets to complete phase I studies on its two next generation factor D inhibitors – ACH-5228 and ACH-5548 – in the fourth quarter of 2018.
CEO Transition
Concurrent with the earnings release, Achillion announced that Joseph Truitt, current president and chief operating officer, will take the responsibilities of chief executive officer. Milind Deshpande is stepping down from this role. Joseph will also be appointed to the board of directors.
Achillion Pharmaceuticals, Inc. Price, Consensus and EPS Surprise
Ligand’s earnings per share estimates moved up from $4.24 to $4.43 for 2018 and remained stable at $5.32 for 2019 over the last 60 days. The company delivered a positive earnings surprise in three of the trailing four quarters, with an average beat of 24.88%. The company’s shares have rallied 14.6% year to date.
Protagonist Therapeutics’ loss estimates narrowed from $1.68 to 66 cents for 2018 and from $2.43 to $1.26 for 2019 over the last 60 days. The company delivered a positive earnings surprise in three of the trailing four quarters, with an average beat of 24.95%.
5 Medical Stocks to Buy Now
Zacks names 5 companies poised to ride a medical breakthrough that is targeting cures for leukemia, AIDS, muscular dystrophy, hemophilia, and other conditions.
New products in this field are already generating substantial revenue and even more wondrous treatments are in the pipeline. Early investors could realize exceptional profits.
Image: Bigstock
Achillion (ACHN) Posts Wider-Than-Expected Q1 Loss, Names CEO
Achillion Pharmaceuticals, Inc. reported a loss of 15 cents per share for the first quarter of 2018, same as the year-ago loss but wider than the Zacks Consensus Estimate of a loss of 14 cents.
The company generated no revenues in the reported quarter.
Shares of Achillion were down 2.4% on May 2. However, the company's stock have outperformed the industry year to date. The company’s shares have gained 28.1% against the industry’s decrease of 10.9%.
Research and development (R&D) expenses decreased nearly 4.8% from the year-ago period to $14.6 million. The decrease was due to decreased stock-based compensation, lower personnel costs as the February restructuring resulted in reduced number of employees and lower manufacturing and formulation expenses for next generation factor D inhibitor candidate, ACH-5228. This was partially offset by increased costs related to clinical studies of ACH-4471 and ACH-5228 and preclinical costs of ACH-5548.
General and administrative (G&A) expenses decreased 5.9% year over year to $5.3 million due to lower legal and consulting fees.
Restructuring Details
In February 2018, the company announced an operational restructuring plan to focus on its existing factor D inhibitor candidates and reduce expenses. Achillion reduced its workforce by 20% under its restructuring plan. The restructuring is expected to save $10 million in 2018.
Pipeline Update
Achillion is planning to complete a phase II study on its most advanced candidate, ACH-4471, in C3 glomerulopathy (C3G) or immune complex-mediated membranoproliferative glomerulonephritis (IC-MPGN) in 2018, with interim data planned for the third quarter of 2018. Two more studies are planned for 2018, which will evaluate ACH-4471 in C3G.
Meanwhile, interim data from the ongoing phase II study evaluating ACH-4471 monotherapy in paroxysmal nocturnal hemoglobinuria (“PNH”) is planned for the fourth quarter of 2018. An add-on study is planned for the evaluation of ACH-4471 in combination with Alexion Pharmaceuticals’ PNH drug, Soliris (eculizumab). Interim data is expected in the fourth quarter of 2018.
The company also targets to complete phase I studies on its two next generation factor D inhibitors – ACH-5228 and ACH-5548 – in the fourth quarter of 2018.
CEO Transition
Concurrent with the earnings release, Achillion announced that Joseph Truitt, current president and chief operating officer, will take the responsibilities of chief executive officer. Milind Deshpande is stepping down from this role. Joseph will also be appointed to the board of directors.
Achillion Pharmaceuticals, Inc. Price, Consensus and EPS Surprise
Achillion Pharmaceuticals, Inc. Price, Consensus and EPS Surprise | Achillion Pharmaceuticals, Inc. Quote
Zacks Rank & Stocks to Consider
Achillion Pharma currently carries a Zacks Rank #3 (Hold).
A couple of better-ranked stocks in the biotech sector are Ligand Pharmaceuticals (LGND - Free Report) , and Protagonist Therapeutics (PTGX - Free Report) . Both the stocks sport a Zacks Rank #1 (Strong Buy).You can see the complete list of today’s Zacks #1 Rank stocks here.
Ligand’s earnings per share estimates moved up from $4.24 to $4.43 for 2018 and remained stable at $5.32 for 2019 over the last 60 days. The company delivered a positive earnings surprise in three of the trailing four quarters, with an average beat of 24.88%. The company’s shares have rallied 14.6% year to date.
Protagonist Therapeutics’ loss estimates narrowed from $1.68 to 66 cents for 2018 and from $2.43 to $1.26 for 2019 over the last 60 days. The company delivered a positive earnings surprise in three of the trailing four quarters, with an average beat of 24.95%.
5 Medical Stocks to Buy Now
Zacks names 5 companies poised to ride a medical breakthrough that is targeting cures for leukemia, AIDS, muscular dystrophy, hemophilia, and other conditions.
New products in this field are already generating substantial revenue and even more wondrous treatments are in the pipeline. Early investors could realize exceptional profits.
Click here to see the 5 stocks >>