Pacira Pharmaceuticals, Inc. (PCRX - Free Report) reported encouraging preliminary sales figure for its lead drug, Exparel.
Preliminary numbers for Exparel sales came at $80.4 million for the second quarter of 2018, rising approximately 15% year over year. The company reported that daily sales grew 11%, 16% and 18% for the month of April, May, and June, respectively, compared with the year-ago period.
Growth in drug sales can primarily be attributed to expanding adoption of Exparel as a non-opioid pain management therapy in various surgical procedures.
The Zacks Consensus Estimate for total sales, which includes collaborative licensing and milestone revenues, and royalty revenues along with Exparel sales, for the second quarter is pegged at $77.31 million. The preliminary results already suggest a revenue beat.
Pacira’s share price has increased 10.8% so far beginning April 2018, compared with the industry’s gain of 2.9%.
We remind investors that the FDA has approved the label expansion of Exparel to include administration via nerve block for prolonged regional analgesia, earlier in April. Pacira, along with its partner Johnson & Johnson (JNJ - Free Report) is focusing on the launch of Exparel in the expanded indication.
Meanwhile in June, Pacira inked an agreement with China-based Nuance for the development and commercialization of Exparel in China. Per the agreement, Pacira will receive $3 million in upfront payment upon closing of the transaction and will be eligible for additional $55 million in regulatory and sales milestone payments.
Pacira is developing Exparel for its use as pain management post spinal fusion and various other surgeries and expanding its label in pediatric patients.
Zacks Rank & Stocks to Consider
Pacira currently carries a Zacks Rank #4 (Sell).
Better-ranked stocks in the same sector include AcelRx Pharmaceuticals, Inc. (ACRX - Free Report) and CollPlant Holdings Ltd. (CLGN - Free Report) , both carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Estimates for AcelRx’s loss have narrowed 4.4% for 2018 and 15.3% for 2019 in the past 60 days. The stock has surged 77.8% year to date.
Estimates for CollPlant’s loss have narrowed 1.7% for 2018 and 1.4% for 2019 over the past 60 days.
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