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BioDelivery (BDSI) Q1 Earnings Beat Estimates, Stock Gains

Zacks

BioDelivery Sciences International, Inc. BDSI reported earnings of 58 cents per share in the first quarter of 2017, which comfortably beat the Zacks Consensus Estimate of 9 cents. The company had reported loss of 36 cents per share in the year-ago quarter.

BioDelivery’s shares gained almost 5% in after-hours trading. In fact, shares have traded above the Zacks classified Medical-Biomed/Genetics industry so far this year. The stock gained 14.3%, while the industry registered an increase of 1.9%.



Revenues, on the other hand, were $29.5 million in the reported quarter compared with $3 million a year ago. Revenues also surpassed the Zacks Consensus Estimate of $27 million.

We remind investors that BioDelivery reacquired worldwide rights to Belbuca in Jan 2017 from Endo Pharmaceuticals, a subsidiary of Endo International Plc ENDP. As a result of the reacquisition, the company started recording product revenues for Belbuca against royalties being recorded previously.

Higher Belbuca revenues resulted from recognition of deferred revenue associated with the license termination and reacquisition of Belbuca.

Quarter in Detail

BioDelivery’s opioid-dependence drug, Bunavail, recorded 52.4% year-over-year increase in sales to $3.2 million. The increase in revenues can be attributed to $1.7 million recognized as sales for product shipped to wholesalers before Jan 2017. The company said that it is working to secure new managed contracts for Bunavail.

In the reported quarter, the company recorded the highest net sales revenue of $4.6 million for Belbuca since the product was launched a year ago. The company said the drug generated sufficient product revenue to offset the expense of the commercial business unit.

In the first quarter, research and development expenses decreased 50% to $2.7 million from the year-ago figure of $5.4 million. Selling, general and administrative expenses were up 1.5% year over year to $13.3 million.

In the reported quarter, BioDelivery received approval from the FDA for a supplemental new drug application (sNDA) for the label expansion of Bunavail. The company is looking to expand the label of Bunavail to include induction of buprenorphine treatment for opoid dependence.

During the same period, the FDA accepted the investigational new drug (IND) for sustained release buprenorphine injection, allowing the company to start its clinical development program.

BioDelivery Sciences International, Inc. Price, Consensus and EPS Surprise


BioDelivery Sciences International, Inc. Price, Consensus and EPS Surprise | BioDelivery Sciences International, Inc. Quote

Zacks Rank & Key Picks

BioDelivery currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the health care sector are Aeglea BioTherapeutics AGLE and VIVUS, Inc. VVUS. While Aeglea carries a Zacks Rank #2 (Buy), VIVUS sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Aeglea’s loss per share estimates narrowed from $3.64 to $2.48 for 2017, over the last 60 days. The company posted positive earnings surprises in three of the four trailing quarters with an average beat of 20.75%.

VIVUS’s loss per share estimates narrowed from 50 cents to 39 cents for 2017, over the last 30 days. The company posted positive earnings surprises in all of the four trailing quarters with an average beat of 233.69%.

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