Published on
Monday, November 12, 2012
Nine of 16 biotechs and pharmas reporting earnings
were down last week. While not yet profitable, Vivus Inc. (VVUS) fell
24%, or about $350 million in market value, after reporting that it shipped 656
prescriptions of newly launched obesity drug Qsymia in the quarter for net
revenues of $41,000, missing the Street's estimate of $310,000. The phentermine
and topiramate combination product was launched on Sept. 17 in the U.S. On the
conference call, Vivus said 30% of pending prescriptions are "abandoned by
patients due to the cash outlay" for the drug. The company also said
payers are covering about one-in-five prescriptions, with an average co-payment
of $62. Vivus said it continues to focus on obtaining payer coverage and will
focus on other "tactical innovative programs" to reduce out-of-pocket
costs for patients (see "Weighting Game," A8).
Arena Pharmaceuticals Inc. (NASDAQ:ARNA), which
last week granted Ildong Pharmaceutical Co. Ltd. South Korean rights to
its obesity candidate Belviq lorcaserin, was up 7%. Arena plans to launch
Belviq in the U.S. early next year. Orexigen Therapeutics Inc. (NASDAQ:OREX),
which has its obesity product Contrave naltrexone/bupropion in Phase III
testing, fell 17% on the week. Bruker Corp. (NASDAQ:BRKR) was up 10% after
beating the Street's EPS and revenue estimates, while Endo Health Solutions
Inc. (NASDAQ:ENDP), Genomic Health Inc. (NASDAQ:GHDX) and SciClone
Pharmaceuticals Inc. (NASDAQ:SCLN) all fell more than 10% after missing
consensus top-line estimates. (A) Fiscal 1Q earnings; Mcap in $M