Shares in Opko Health are up nearly 4% on the Tel Aviv Stock Exchange this morning after the company reported much better than expected third quarter earnings.
Consolidated revenue increased to $143.0 million from $19.8 million for the third quarter of 2015 compared with the corresponding quarter of 2014, and to $215.5 million from $65.6 million for first nine months of 2015 compared with the corresponding period. The third quarter 2015 figure is in line with the consensus analysts' estimate.
The 2015 periods include revenue from Bio-Reference and EirGen beginning with their acquisitions in August and May 2015, respectively. Revenue for the three and nine months ended September 30, 2015 also includes $17.7 million and $47.8 million, respectively, from OPKO’s collaboration with Pfizer.
The company made a net profit of $128.2 million in the third quarter of 2015, compared with a net loss of $48.7 in the corresponding quarter, and a net loss for the first nine months of 2015 of $31.6 million, compared with $118.7 million for the corresponding period in 2014. Earnings per share were $0.25, compared with a consensus estimate of a loss per share of $0.02.
At the end of the third quarter, the company had cash, cash equivalents and marketable securities totaling $212.1 million. This reflects receipt of Pfizer upfront payments of $295.0 million, partially offset by a $94.7 million cash payment for the acquisition of EirGen (net of EirGen’s cash on hand) and a one-time $25.9 million payment to the Office of the Chief Scientist in Israel related to the Pfizer transaction.
OPKO chairman and CEO Phillip Frost said, "OPKO has already achieved numerous important milestones during 2015. We believe that the Pfizer transaction for hGH-CTP and the acquisitions of EirGen and Bio-Reference Laboratories have had a positive impact on our financial operations and will provide significant revenue opportunities and an expanded commercial platform for us going forward."
Published by Globes [online], Israel business news - www.globes-online.com - on November 10, 2015
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