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Raptor Pharmaceutical (Raptor Pharmaceutical) Depreciation, Depletion and Amortization : $1.9 Mil (TTM As of Jun. 2016)


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What is Raptor Pharmaceutical Depreciation, Depletion and Amortization?

Raptor Pharmaceutical's depreciation, depletion and amortization for the three months ended in Jun. 2016 was $0.5 Mil. Its depreciation, depletion and amortization for the trailing twelve months (TTM) ended in Jun. 2016 was $1.9 Mil.


Raptor Pharmaceutical Depreciation, Depletion and Amortization Historical Data

The historical data trend for Raptor Pharmaceutical's Depreciation, Depletion and Amortization can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Raptor Pharmaceutical Depreciation, Depletion and Amortization Chart

Raptor Pharmaceutical Annual Data
Trend Dec06 Dec07 Dec08 Aug09 Aug10 Aug11 Aug12 Dec13 Dec14 Dec15
Depreciation, Depletion and Amortization
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.23 0.21 0.44 1.04 1.62

Raptor Pharmaceutical Quarterly Data
Aug11 Nov11 Feb12 May12 Aug12 Nov12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16
Depreciation, Depletion and Amortization Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.39 0.40 0.47 0.51 0.52

Raptor Pharmaceutical Depreciation, Depletion and Amortization Calculation

Depreciation is a present expense that accounts for the past cost of an asset that is now providing benefits.

Depletion and amortization are synonyms for depreciation.

Generally:
The term depreciation is used when discussing man made tangible assets
The term depletion is used when discussing natural tangible assets
The term amortization is used when discussing intangible assets

Depreciation, Depletion and Amortization for the trailing twelve months (TTM) ended in Jun. 2016 adds up the quarterly data reported by the company within the most recent 12 months, which was $1.9 Mil.


* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Raptor Pharmaceutical  (NAS:RPTP) Depreciation, Depletion and Amortization Explanation

One of the key tenets of Generally Accepted Accounting Principles (GAAP) is the matching principle. The matching principle states that companies should report associated costs and benefits at the same time.

For example:

If a company buys a $300 million cruise ship in 1982 and then sells tickets to passengers for the next 30 years, the company should not report a $300 million expense in 1982 and then ticket sales for 1982 through 2012. Instead, the company should spread the purchase price of the ship (the cost) over the same time period it sells tickets (the benefit).

To create income statements that meet the matching principle, accountants use an expense called depreciation.

So, instead of reporting a $300 million purchase expense in 1982, the company might:

Report a $30 million depreciation expense in 1982, 1983, 1984...and every year after that for the 30 years the company expects to sell tickets to passengers on this cruise ship.

To calculate depreciation, a company must make estimates and choices such as:

The cost of the asset
The useful life of the asset
The salvage value of the asset at the end of its useful life
And a way of spreading the cost of the asset to match the time when the asset provides benefits

The range of different ways of spreading the cost under GAAP accounting is too long to list. However, public companies in the United States explain their depreciation choices to shareholders in a note to their financial statements. It is critical that investors read this note. Investors can find this note in the company's 10-K.

Past depreciation expenses accumulate on the balance sheet. Most public companies choose not to show this contra asset account on the balance sheet they present to shareholders. Instead, they simply show a single item. This single asset item may be marked Net. Such as Property, Plant, and Equipment - Net. It is actually the asset account netted against the contra asset account.

A contra asset account is an account that offsets an asset account. So, for example a company might have:

Property, Plant, and Equipment - Gross: $150 million
Accumulated Depreciation: $120 million
Property, Plant, and Equipment - Net: $30 million

In this case, the only item likely to be shown on the balance sheet is Property, Plant, and Equipment - Net. This is the cost of the company's property, plant, and equipment (asset account) minus the accumulated depreciation (the contra asset account). It means the company's assets cost $150 million, the company has reported $120 million in depreciation expense over the years, and the company is now reporting the assets have a book value of $30 million.

It is possible for a company to have fully depreciated assets on its balance sheet. This means the company's estimate of the useful life of the asset was shorter than the asset's actual useful life. As a result, the asset - although it is still being used - is carried on the balance sheet at its salvage value.

This is a reminder that depreciation involves estimates and choices. It is not an infallible process.

Companies do not have cash layout for depreciation. Therefore, depreciation is added back in the cash flow statement.

Although depreciation is not a cash cost, it is a real business cost because the company has to pay for the fixed assets when it purchases them. Both Warren Buffett and Charlie Munger hate the idea of EDITDA because depreciation is not included as an expense. Warren Buffett even jokingly said We prefer earnings before everything when criticizing the abuse of EDITDA.


Be Aware

Depreciation estimates make the calculation of net income susceptible to management's accounting choices. These choices can be either overly aggressive or overly conservative.


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Raptor Pharmaceutical (Raptor Pharmaceutical) Business Description

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Raptor Pharmaceutical Corp was initially incorporated in Nevada on July 29, 1997 as Axonyx Inc. In October 2006, Axonyx Inc. and its then wholly-owned subsidiary completed a reverse merger, business combination with TorreyPines Therapeutics, Inc., reincorporated in Delaware and changed the corporate name to 'TorreyPines Therapeutics, Inc. On September 28, 2009, the Company name was again changed from TorreyPines Therapeutics, Inc., to Raptor Pharmaceutical Corp. It is a biopharmaceutical company focused on developing and commercializing transformative treatments for people affected by rare and debilitating diseases. The Company's product PROCYSBI cysteamine bitartrate, delayed-release capsules received marketing approval from the U.S. Food and Drug Administration on April 30, 2013 for the management of nephropathic cystinosis in adults and children six years and older. The European equivalent, PROCYSBI gastro-resistant hard capsules of cysteamine, received marketing authorization on September 6, 2013 from the European Commission, as an orphan medicinal product for the management of nephropathic cystinosis for marketing in the European Union. PROCYSBI received 7 years and 10 years of market exclusivity as an orphan drug in the U.S. and the EU, respectively. PROCYSBI is an approved therapy for the management of nephropathic cystinosis, a rare, life-threatening metabolic lysosomal storage disorder that causes the rapid, toxic accumulation of cystine in all cells, tissues and organs in the body. PROCYSBI capsules contain cysteamine bitartrate in the form of microspheronized beads that are individually coated to create delayed and extended-release properties, allowing patients to maintain consistent therapeutic systemic drug levels over a 12-hour dosing period. Cysteamine is a molecule generated in the cell during the metabolism of cysteine. The Company's pipeline products include; its proprietary delayed-release form of cysteamine, or RP103. The Company currently has product candidates in clinical development designed to potentially treat Huntington's disease, Non-alcoholic fatty liver disease, Leigh syndrome and other mitochondrial disorders and aldehyde dehydrogenase deficiency. The Company's preclinical programs are based upon bioengineered novel drug candidates that are designed to target cancer and other diseases. Its other clinical-stage product candidates include: Convivia its proprietary oral formulation of 4-methylpyrazole, for the potential management of acetaldehyde toxicity due to alcohol consumption by individuals with aldehyde dehydrogenase, or ALDH2, deficiency, an inherited metabolic disorder. With respect to any of the Company's product candidates for which it obtain FDA approval, it will be subject to ongoing FDA obligations and continued regulatory review, which may result in additional expense.
Executives
Raymond Anderson director C/O MONOPAR THERAPEUTICS INC., 1000 SKOKIE BLVD., SUITE 350, WILMETTE IL 60091
Krishna R Polu officer: Chief Medical Officer C/O RAPTOR PHARMACEUTICAL CORP, 7 HAMILTON LANDING, SUITE 100, NOVATO CA 94949
Michael P Smith officer: Chief Financial Officer 887 GREAT NORTHERN WAY VANCOUVER A1 V5T 4T5
Suzanne Louise Bruhn director C/O AEGLEA BIOTHERAPEUTICS, INC., 901 S. MOPAC EXPRESSWAY, SUITE 250, AUSTIN TX 78746
Georges Gemayel director 550 HILLS DRIVE, BEDMINSTER NJ 07921
Llew Keltner director 7 HAMILTON LANDING, SUITE 100, NOVATO CA 94949
Christopher M Starr director C/O MONOPAR THERAPEUTICS INC, 1000 SKOKIE BLVD., SUITE 350, WILMETTE IL 60091
David Happel officer: Chief Commercial Officer 7 HAMILTON LANDING, SUITE 100, NOVATO CA 94949
Julie Smith director, officer: President and CEO C/O RAPTOR PHARMACEUTICAL CORP, 9 COMMERCIAL BLVD, SUITE 200, NOVATO CA 94949
Anthony Gregg Lapointe director PO BOX 83216, GAITHERSBURG MD 20883-3216
Erich Sager director 9 COMMERCIAL BLVD., SUITE 200, NOVATO CA 94949
Georgia Erbez officer: Chief Financial Officer 6300 DUMBARTON CIRCLE, FREMONT CA 94555
Vijay B Samant director 10390 PACIFIC CENTER COURT, SAN DIEGO CA 92121
Timothy P Walbert director 1033 SKOKIE BOULEVARD, SUITE 355, NORTHBROOK IL 60062
Patrice Rioux other: CMO, Raptor Therapeutics C/O MONOPAR THERAPEUTICS INC, 1000 SKOKIE BLVD., SUITE 350, WILMETTE IL 60091

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