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Neurocrine Biosciences Inc. Reports Operating Results (10-Q)

October 31, 2012 | About:
10qk

10qk

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Neurocrine Biosciences Inc. (NBIX) filed Quarterly Report for the period ended 2012-09-30.

Neurocrine Biosciences, Inc. has a market cap of $501.4 million; its shares were traded at around $7.33 with a P/E ratio of 13.5 and P/S ratio of 6.5.

Highlight of Business Operations:

Our net loss for the third quarter of 2012 was $3.1 million, or a net loss of $0.05 per share, compared to net income of $31.4 million, or net income of $0.56 per fully diluted share, during the same period in 2011. The change in operating results from 2011 to 2012 was primarily a result of lower revenue recognized under our collaboration agreements with Abbott and Boehringer Ingelheim, coupled with increased research and development expense primarily related to our VMAT2 program and increased share-based compensation expense.

Revenues for the first nine months of 2012 were $31.2 million, compared to $66.3 million for the same period in 2011. The decrease in revenue was due primarily to two milestones, totaling $30.0 million, which were achieved under our collaboration agreement with Abbott during the third quarter of 2011. Sponsored research and development revenue has also decreased as substantially all of the workload for elagolix has been transferred to Abbott, for our GnRH program. Additionally, the Boehringer Ingelheim sponsored research portion of the collaboration, for our GPR119 program, was completed as planned in June 2012.

Our net loss for the first nine months of 2012 was $4.5 million, or a net loss of $0.07 per share, compared to net income of $36.2 million, or income of $0.64 per fully diluted share, during the same period in 2011. The change in operating results from 2011 to 2012 was primarily a result of lower revenue recognized under our collaboration agreements with Abbott and Boehringer Ingelheim, coupled with increased research and development expense primarily related to our VMAT2 program and increased share-based compensation expense.

Net cash used in investing activities during the first nine months of 2012 was $62.6 million compared to $3.1 million during the same period in 2011. The fluctuation in net cash used in investing activities resulted primarily from the timing differences in investment purchases, sales and maturities of investments, and the fluctuation of our portfolio mix between cash equivalents and short-term investment holdings. Additionally, we purchased $0.9 million of capital equipment during the first nine months of 2012.

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