Medicis Pharmaceutical Corp. (MRX, Financial) filed Quarterly Report for the period ended 2010-09-30.
Medicis Pharmaceutical Corp. has a market cap of $1.69 billion; its shares were traded at around $28.15 with a P/E ratio of 11.9 and P/S ratio of 3. The dividend yield of Medicis Pharmaceutical Corp. stocks is 0.8%.MRX is in the portfolios of Paul Tudor Jones of The Tudor Group, Jim Simons of Renaissance Technologies LLC, Bruce Kovner of Caxton Associates, Steven Cohen of SAC Capital Advisors, Chuck Royce of Royce& Associates, Chuck Royce of Royce& Associates.
On March 10, 2010, we announced that our Board of Directors had declared a cash dividend of $0.06 per issued and outstanding share of our Class A common stock, payable on April 30, 2010, to stockholders of record at the close of business on April 1, 2010. This represented a 50% increase compared to our previous $0.04 dividend. On June 9, 2010, we announced that our Board of Directors had declared a cash dividend of $0.06 per issued and outstanding share of our Class A common stock payable on July 30, 2010, to our stockholders of record at the close of business on July 1, 2010.
Gross profit represents our net revenues less our cost of product revenue. Our cost of product revenue includes our acquisition cost for the products we purchase from our third party manufacturers and royalty payments made to third parties. Amortization of intangible assets related to products sold is not included in gross profit. Amortization expense related to these intangibles for the third quarter of 2010 and 2009 was approximately $5.4 million and $5.4 million, respectively. Product mix plays a significant role in our quarterly and annual gross profit as a percentage of net revenues. Different products generate different gross profit margins, and the relative sales mix of higher gross profit products and lower gross profit products can affect our total gross profit.
Selling, general and administrative expenses increased $11.4 million, or 15.9%, during the third quarter of 2010 as compared to the third quarter of 2009, but decreased as a percentage of net revenues from 47.4% during the third quarter of 2009 to 47.0% during the third quarter of 2010. Included in this increase was a $6.5 million increase in personnel expenses, primarily due to a $3.5 million increase in stock compensation expense, primarily related to the revaluation of SARs awards based on changes in the market price of our common stock and a $5.9 million increase in professional and consulting costs, partially offset by a decrease of $1.0 million of other selling, general and administrative costs. The decrease of selling, general and administrative expenses as a percentage of net revenues during the third quarter of 2010 as compared to the third quarter of 2009 was primarily due to the $25.5 million increase in net revenues.
Included in research and development expenses for the third quarter of 2010 was a $5.0 million payment to a Medicis partner related to a product development agreement. Included in research and development expenses for the third quarter of 2009 was a $10.0 million up-front payment to Revance related to a product development agreement, a $5.0 million milestone payment to Impax related to a product development agreement and a $2.0 million milestone payment to Perrigo related to a product development agreement. We expect research and development expenses to continue to fluctuate from quarter to quarter based on the timing of the achievement of development milestones under license and development agreements, as well as the timing of other development projects and the funds available to support these projects
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Medicis Pharmaceutical Corp. has a market cap of $1.69 billion; its shares were traded at around $28.15 with a P/E ratio of 11.9 and P/S ratio of 3. The dividend yield of Medicis Pharmaceutical Corp. stocks is 0.8%.MRX is in the portfolios of Paul Tudor Jones of The Tudor Group, Jim Simons of Renaissance Technologies LLC, Bruce Kovner of Caxton Associates, Steven Cohen of SAC Capital Advisors, Chuck Royce of Royce& Associates, Chuck Royce of Royce& Associates.
Highlight of Business Operations:
Increase of our quarterly dividend from $0.04 per share to $0.06 per shareOn March 10, 2010, we announced that our Board of Directors had declared a cash dividend of $0.06 per issued and outstanding share of our Class A common stock, payable on April 30, 2010, to stockholders of record at the close of business on April 1, 2010. This represented a 50% increase compared to our previous $0.04 dividend. On June 9, 2010, we announced that our Board of Directors had declared a cash dividend of $0.06 per issued and outstanding share of our Class A common stock payable on July 30, 2010, to our stockholders of record at the close of business on July 1, 2010.
Gross profit represents our net revenues less our cost of product revenue. Our cost of product revenue includes our acquisition cost for the products we purchase from our third party manufacturers and royalty payments made to third parties. Amortization of intangible assets related to products sold is not included in gross profit. Amortization expense related to these intangibles for the third quarter of 2010 and 2009 was approximately $5.4 million and $5.4 million, respectively. Product mix plays a significant role in our quarterly and annual gross profit as a percentage of net revenues. Different products generate different gross profit margins, and the relative sales mix of higher gross profit products and lower gross profit products can affect our total gross profit.
Selling, general and administrative expenses increased $11.4 million, or 15.9%, during the third quarter of 2010 as compared to the third quarter of 2009, but decreased as a percentage of net revenues from 47.4% during the third quarter of 2009 to 47.0% during the third quarter of 2010. Included in this increase was a $6.5 million increase in personnel expenses, primarily due to a $3.5 million increase in stock compensation expense, primarily related to the revaluation of SARs awards based on changes in the market price of our common stock and a $5.9 million increase in professional and consulting costs, partially offset by a decrease of $1.0 million of other selling, general and administrative costs. The decrease of selling, general and administrative expenses as a percentage of net revenues during the third quarter of 2010 as compared to the third quarter of 2009 was primarily due to the $25.5 million increase in net revenues.
Included in research and development expenses for the third quarter of 2010 was a $5.0 million payment to a Medicis partner related to a product development agreement. Included in research and development expenses for the third quarter of 2009 was a $10.0 million up-front payment to Revance related to a product development agreement, a $5.0 million milestone payment to Impax related to a product development agreement and a $2.0 million milestone payment to Perrigo related to a product development agreement. We expect research and development expenses to continue to fluctuate from quarter to quarter based on the timing of the achievement of development milestones under license and development agreements, as well as the timing of other development projects and the funds available to support these projects
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