Acorda Provides 2019 Highlights and 2020 Guidance at J.P. Morgan Healthcare Conference
January 15 2020 - 7:00AM
Business Wire
- 2019 Total Net Product Revenue of approximately $178 Million
(unaudited)
- 2019 Year End Cash, Cash Equivalents, Short Term Investments
and Restricted Cash of approximately $169 Million (unaudited)
- Capital Structure Strengthened via Expense and Debt
Restructurings
Acorda Therapeutics, Inc. (Nasdaq: ACOR) today provided 2019
highlights and 2020 guidance and priorities at the 38th Annual J.P.
Morgan Healthcare Conference in San Francisco.
“The approval and launch of INBRIJA was an important milestone
for Acorda; we believe this product will become a standard of care
in the treatment of OFF episodes in Parkinson’s Disease,” said Ron
Cohen, M.D., Acorda’s President and CEO. “In 2020, we plan to build
on our experience from the first nine months of launch, focused on
driving patient demand for INBRIJA.”
Dr. Cohen continued, “In 2019, we also took important steps
toward strengthening our capital structure and improving our
balance sheet by implementing a corporate restructuring in October,
reducing 2020 expenses by about $60 million, and restructuring our
convertible debt. Notably, we successfully exchanged $276 million
notional value of 2021 convertible notes, at a 5% discount, for
$207 million of December 2024 notes, convertible at a significant
premium, and $55 million of cash. We are also working to identify
additional opportunities to manage costs. These actions have
positioned Acorda to deliver long-term value for our
shareholders.”
2019 Financials
- AMPYRA® (dalfampridine) Extended Release Tablets, 10 mg net
revenue for 2019 of $162.6 million (unaudited).
- INBRIJA® (levodopa inhalation powder) net revenue for 2019 of
$15.3 million (unaudited).
- Product net revenue for 2019 of $178 million, with total
revenue of approximately $188 million (unaudited). Product revenue
excludes royalty revenue, primarily Fampyra royalty revenue
obligations owed to Healthcare Royalty Partners.
- The Company continues to expect full year non-GAAP 2019
operating expense of $240 - $250 million. This is a non-GAAP
projection that excludes restructuring costs and share-based
compensation as more fully described below under “Non-GAAP
Financial Measures”.
- In December 2019, the Company successfully exchanged $276
million notional value of 2021 convertible notes.
- 2019 year-end cash, cash equivalents, short term investments
and restricted cash were approximately $169 million (unaudited).
Restricted cash includes $42.7 million in escrow related to the 6%
semi-annual interest portion, payable in cash or stock, of the
convertible note exchange completed in Q4 2019. If the Company
elects to pay interest due in stock, the cash equivalent will be
released from escrow.
- Final results are subject to completion of the Company’s
year-end audit.
Financial Guidance
- Total product net revenue for the full year 2020 is expected to
be $120 - $150 million, with total revenue expected to be $130 -
$160 million.
- INBRIJA net revenue for the full year 2020 is expected to be
$35 - $40 million.
- Expected INBRIJA U.S. annual peak sales has been revised to
$300 - $500 million
- AMPYRA net revenue for the full year 2020 is expected to be $85
- $110 million.
- Operating expenses for the full year 2020 are expected to be
$170 - $180 million, reduced from previous guidance of $180 - 190
million. This guidance is a non-GAAP projection that excludes
restructuring costs and share-based compensation as more fully
described below under “Non-GAAP Financial Measures.”
Presentation/Webcast Details
Dr. Cohen will present at the 38th Annual J.P. Morgan Healthcare
Conference in San Francisco on Thursday, January 16 at 9:30am PST /
12:30pm EST.
A live audio webcast of the presentation can be accessed under
“Investor Events” in the Investor section of the Acorda website at
www.acorda.com, or you may use the link:
https://jpmorgan.metameetings.net/events/hc20/sessions/30359-acorda-therapeutics-inc/webcast.
Non-GAAP Financial Measures
This press release includes financial measures that were not
prepared in accordance with accounting principles generally
accepted in the United States (GAAP). In particular, we have
provided 2019 and 2020 operating expense guidance on a non-GAAP
basis, as the guidance excludes restructuring costs and share-based
compensation charges. Reconciliations of these measures to the most
directly comparable GAAP financial measures are not available at
this time because our analysis of 2019 financial performance
(including restructuring costs and share-based compensation
expense) is ongoing, and because the 2020 financial measures are
forward looking in nature and the amount of compensation charges
needed to reconcile these measures to the most directly comparable
GAAP financial measures is dependent on future changes in the
market price of our common stock. Non-GAAP financial measures are
not an alternative for financial measures prepared in accordance
with GAAP. However, the Company believes that the presentation of
these non-GAAP financial measures, when viewed in conjunction with
actual GAAP results, provides investors with a more meaningful
understanding of our ongoing and projected operating performance
because they exclude (i) expenses that pertain to non-routine
restructuring events, and (ii) non-cash charges that are
substantially dependent on changes in the market price of our
common stock. The Company believes these non-GAAP financial
measures help indicate underlying trends in the Company’s business
and are important in comparing current results with prior period
results and understanding expected operating performance. Also,
management uses these non-GAAP financial measures to establish
budgets and operational goals, and to manage the Company's business
and to evaluate its performance.
About Acorda Therapeutics
Acorda Therapeutics develops therapies to restore function and
improve the lives of people with neurological disorders. INBRIJA®
(levodopa inhalation powder) is approved for intermittent treatment
of OFF episodes in adults with Parkinson’s disease treated with
carbidopa/levodopa. INBRIJA is not to be used by patients who take
or have taken a nonselective monoamine oxidase inhibitor such as
phenelzine or tranylcypromine within the last two weeks. INBRIJA
utilizes Acorda’s innovative ARCUS® pulmonary delivery system, a
technology platform designed to deliver medication through
inhalation. Acorda also markets the branded AMPYRA® (dalfampridine)
Extended Release Tablets, 10 mg.
Forward-Looking Statements
This press release includes forward-looking statements. All
statements, other than statements of historical facts, regarding
management's expectations, beliefs, goals, plans or prospects
should be considered forward-looking. These statements are subject
to risks and uncertainties that could cause actual results to
differ materially, including: we may not be able to successfully
market Inbrija or any other products under development; we may need
to raise additional funds to finance our operations, repay
outstanding indebtedness or satisfy other obligations, and we may
not be able to do so on acceptable terms or at all; risks
associated with complex, regulated manufacturing processes for
pharmaceuticals, which could affect whether we have sufficient
commercial supply of Inbrija to meet market demand; third party
payers (including governmental agencies) may not reimburse for the
use of Inbrija or our other products at acceptable rates or at all
and may impose restrictive prior authorization requirements that
limit or block prescriptions; competition for Inbrija, Ampyra and
other products we may develop and market in the future, including
increasing competition and accompanying loss of revenues in the
U.S. from generic versions of Ampyra (dalfampridine) following our
loss of patent exclusivity; the ability to realize the benefits
anticipated from acquisitions, among other reasons because acquired
development programs are generally subject to all the risks
inherent in the drug development process and our knowledge of the
risks specifically relevant to acquired programs generally improves
over time; the risk of unfavorable results from future studies of
Inbrija (levodopa inhalation powder) or from our other research and
development programs, or any other acquired or in-licensed programs
; the occurrence of adverse safety events with our products; the
outcome (by judgment or settlement) and costs of legal,
administrative or regulatory proceedings, investigations or
inspections, including, without limitation, collective,
representative or class action litigation; failure to protect our
intellectual property, to defend against the intellectual property
claims of others or to obtain third party intellectual property
licenses needed for the commercialization of our products; and
failure to comply with regulatory requirements could result in
adverse action by regulatory agencies.
These and other risks are described in greater detail in our
filings with the Securities and Exchange Commission. We may not
actually achieve the goals or plans described in our
forward-looking statements, and investors should not place undue
reliance on these statements. Forward-looking statements made in
this press release are made only as of the date hereof, and we
disclaim any intent or obligation to update any forward-looking
statements as a result of developments occurring after the date of
this press release.
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version on businesswire.com: https://www.businesswire.com/news/home/20200115005062/en/
Tierney Saccavino (914) 326-5104 tsaccavino@acorda.com
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