Sarepta Therapeutics Inc (NASDAQ:SRPT), a developer of innovative RNA-targeted therapeutics, today reported financial results for the three and six months ended June 30, 2016, and provided an update of recent corporate developments.
For the second quarter of 2016, Sarepta reported a net loss of $62.3 million, or $1.35 per share, compared to a net loss of $41.9 million for the second quarter of 2015, or $1.01 per share. The incremental loss of $20.5 million was primarily the result of increased research and development expenses.
Excluding $7.5 million of stock-based compensation expense and restructuring expenses, non-GAAP net loss for the second quarter of 2016 was $54.8 million, or $1.19 per share, compared to a non-GAAP net loss excluding $5.9 million of stock-based compensation expense of $35.9 million for the second quarter of 2015, or $0.87 per share.
No revenue was recognized for the three months ended June 30, 2016 and 2015.
Research and development expenses were $44.3 million for the second quarter of 2016, compared to $29.2 million for the second quarter of 2015, an increase of $15.2 million. Non-GAAP research and development expenses (excluding $2.9 million of stock-based compensation and restructuring expenses) were $41.4 million for the second quarter of 2016, compared to $26.6 million (excluding $2.6 million of stock-based compensation) for the second quarter of 2015, an increase of $14.8 million.
General and administrative expenses were $17.8 million for the second quarter of 2016, compared to $12.9 million for the second quarter of 2015, an increase of $4.8 million. Non-GAAP general and administrative expenses (excluding $4.5 million of stock-based compensation and restructuring expenses) were $13.2 million for the second quarter of 2016, compared to $9.6 million (excluding $3.4 million of stock-based compensation) for the second quarter of 2015, an increase of $3.7 million.
The Company had $134.7 million in cash, cash equivalents, short-term investments and restricted cash as of June 30, 2016 compared to $204.0 million as of December 31, 2015, a decrease of $69.3 million. The decrease was due to the use of cash to fund the Company’s ongoing operations and commercial launch activities. (Original Source)
Shares of Sarepta are down nearly 3% to $20.50 in after-hours trading. SRPT has a 1-year high of $41.97 and a 1-year low of $8. The stock’s 50-day moving average is $19.26 and its 200-day moving average is $18.23.
On the ratings front, Sarepta has been the subject of a number of recent research reports. In a report released today, Cowen analyst Ritu Baral maintained a Hold rating on SRPT. Separately, yesterday, Oppenheimer’s Michelle Gilson reiterated a Buy rating on the stock and has a price target of $60.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Ritu Baral and Michelle Gilson have a total average return of 4.6% and 25.6% respectively. Baral has a success rate of 41.6% and is ranked #649 out of 4064 analysts, while Gilson has a success rate of 100.0% and is ranked #1740.
Overall, 4 research analysts have rated the stock with a Sell rating, 5 research analysts have assigned a Hold rating and 5 research analysts have given a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $14.75 which is -30.4% under where the stock opened today.
Sarepta Therapeutics, Inc. is a biopharmaceutical company, which is engaged in the discovery and development of unique RNA-based therapeutics for the treatment of rare and infectious diseases. The company is primarily focused on rapidly advancing the development of its potentially disease modifying duchenne muscular dystrophy drug candidates, including its lead product candidate, eteplirsen.