- The stock price of Adamas Pharmaceuticals Inc (NASDAQ: ADMS) increased by over 9% during intraday trading. This is why it happened.
The stock price of Adamas Pharmaceuticals Inc (NASDAQ: ADMS) increased by over 9% during intraday trading. Investors are responding positively to the company’s first-quarter ended March 31, 2021.
These are the highlights:
— Total revenue was $19.3 million for the first quarter of 2021, consisting of GOCOVRI product sales of $17.7 million, OSMOLEX ER product sales of $0.3 million, and royalty revenue earned on net sales of NAMZARIC (memantine hydrochloride extended-release and donepezil hydrochloride) capsules of $1.3 million. GOCOVRI product sales were up 22% compared to $14.5 million in the same period in 2020.
— R&D expenses for the first quarter of 2021 were $1.8 million, compared to $2.5 million for the same period in the prior year. The decrease in R&D expenses was primarily due to the completion of the Company’s open-label extension trial for the treatment of multiple sclerosis patients with walking impairment.
— SG&A expenses for the first quarter of 2021 were $26.6 million, compared to $24.6 million for the same period in the prior year. SG&A expenses in the first quarter of 2021 were primarily attributable to salesforce costs and external spend dedicated to GOCOVRI commercialization and the related administrative support as well as the integration and initial promotion of OSMOLEX ER.
— Net loss was $12.6 million, or $0.36 per share, basic and diluted, for the first quarter of 2021, compared to a net loss of $16.6 million, or $0.59 per share, basic and diluted, for the first quarter of 2020. And net loss for the first quarters of 2021 and 2020 included $1.7 million and $1.5 million, respectively, in non-cash stock-based compensation expense.
— As of March 31, 2021, Adamas had $127.4 million of cash, cash equivalents and available-for-sale securities, compared to $83.4 million at December 31, 2020. And during the first quarter of 2021, Adamas raised net proceeds of approximately $7.2 million under an at-the-market offering. In February 2021, Adamas sold 14,375,000 shares of its common stock through an underwritten public offering at a price of $4.40 per share, resulting in net proceeds to Adamas of approximately $59.3 million.
FY 2021 expense guidance:
— For full-year 2021, Adamas is reiterating its estimates for R&D, SG&A, and stock-based compensation expenses as highlighted below:
R&D expenses – $5 million — $10 million
SG&A expenses – $110 million — $120 million
Total operating expenses – $115 million — $130 million
“Our commercial execution is effectively raising awareness of GOCOVRI and its expanded label, enabling more patients, caregivers and physicians to make GOCOVRI their treatment of choice in Parkinson’s related motor complications. We are also delighted to expand our commercial footprint beyond Parkinson’s disease, leveraging OSMOLEX ER to benefit patients with drug-induced extrapyramidal reactions. Despite continued market disruption, the growth of our products and our strong cash position gives us confidence in our ability to deliver long-term shareholder value.”
— Neil F. McFarlane, Chief Executive Officer
Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.