Neurocrine Biosciences, Inc. (NASDAQ: NBIX)
Shares of Neurocrine Biosciences fell $15.66, or 18.26% on Wednesday to change hands at $70.10 in pre-market hours.
Investors reacted to an announcement by the company saying that a mid-stage trial of T-Force GOLD, evaluating valbenazine in adolescents and children with moderate to severe Tourette syndrome fell short of its primary endpoint.
Valbenazine in particular failed to sufficiently separate from placebo as measured by YGTSS scale. Neurocrine Biosciences stock, which ended the regular session on Tuesday at $85.76, was halted for the news. The stock has gained more than 10% since the beginning of the year, while the S&P 500 has lost 1.4%.
NBIX Earnings & Outlook
Neurocrine Biosciences last reported its quarterly earnings results on November 5, 2018. The results were for the third-quarter ended September 30, 2018. Net income was $50.8 million, or $0.52 per share, compared a net loss of $11.1 million, or $0.13 per share, in the same period a year ago.
Total revenue for the quarter came to $151.8 million, compared to $60.8 million for the same period in 2017. Analysts had called for adjusted earnings of $0.48 per share on revenue of $151.51 million.
The San Diego-based company had a net margin of 2.40% and a return on equity of 2.54%. Revenue for the quarter jumped 149.7% from the same quarter in the previous year. On average, analysts expect the company to post earnings of 0.19 per share for the current fiscal year.
Neurocrine Biosciences CEO Comments
“We are very disappointed with the topline data from the T-Force GOLD study given that children and adolescents with Tourette syndrome need better treatment options. This study was well-conducted with a placebo response as expected, but the treatment effect of valbenazine was lower than we had anticipated,” said Kevin Gorman, Ph.D., Chief Executive Officer at Neurocrine Biosciences.
“We would like to thank the patients, caregivers and investigators for their participation in this study. We will further analyze the data to determine the next steps for valbenazine in Tourette syndrome,” concluded Gorman.
Neurocrine Biosciences, Inc. Company Profile
Neurocrine Biosciences, Inc. operates as a product based bio-pharmaceutical company. It discovers, develops and intends to commercialize drugs for the treatment of neurological and endocrine related diseases and disorders. The company product includes INGREZZA.
The company competes with Allergan Pharmaceuticals, Inc., Myovant Sciences, Inc., AbbVie Inc., Pfizer, Hoffman-LaRoche Inc., Orion Pharma, Sage Therapeutics, Teva Pharmaceuticals, Inc., Lundbeck, and Millendo Therapeutics. Neurocrine Biosciences was founded by Kevin C. Gorman and Wylie W. Vale on January 1992 and is headquartered in San Diego, CA. – CNN Money
