|Healthcare Review: Sinovac Biotech, Syneron Medical, Savient Pharmaceuticals, Regulus Therapeutics, BioScrip Inc.|
|By Staff and Wire Reports|
|Wednesday, 14 August 2013 14:28|
Trading volume has been low as earnings season winds down and economic indicators present a mixed view of growth, complicating predictions of the Fed's next policy action. The Fed has been buying $85 billion in bonds on each month to hold interest rates lower. Some expect the Fed to taper bond purchases as early as September if data shows the economy is improving.
Sinovac Biotech Ltd. (NASDAQ:SVA) pops after its Q2 easily beat estimates this morning.Sales increased by 86.4% to $17.5M from $9.4M.Gross profit increased by 70.1% to $13.6M from $8.0M.Net income was $1.3M, compared to net loss of $1.6M in the prior year.Cash and cash equivalents totaled $92M, compared to $91.2M as of December 31, 2012.
Syneron Medical Ltd. (NASDAQ:ELOS) takes a hit today after its Q2 earnings missed analyst estimates.Total revenues rose 1% to $68.8M, shy of the $70.9M consensus estimate.The Y/Y increase was the result of higher PAD segment revenue in North America and growth in the EBU segment, but was offset by lower international PAD segment revenue.Net earnings were adversly impacted by higher costs and product discounting, plus the devaluation of the Japanese Yen against the U.S. dollar compared to Q212.Gross margin declined to 50.7%, down from 55.1% in Q212.
Savient Pharmaceuticals Inc. (NASDAQ:SVNT) slips after its Q2 misses EPS estimates on a greater than anticipated loss.Net revenues increased by 44% Y/Y to $2.1M, primarily driven by higher KRYSTEXXA net sales.KRYSTEXXA net sales rose 52% Y/Y, substantially due to the impact of product price increases and to a lesser extent an increase in sales volume.
Regulus Therapeutics Inc. (NASDAQ:RGLS) moves up despite posting a mixed Q2, improving on last year but still coming up short versus consensus on a per share basis.Net loss per share was negatively impacted by its initial public offering and concurrent common stock issuances in October 2012.R&D expenses also rose, largely due to the expansion of R&D personnel and an increase in IND-enabling activities for RG-101 in the first half of 2013.Revenues rose to $4.76M from $3.3M, topping estimates looking for $3.41M.
BioScrip Inc. (NASDAQ:BIOS) slips after pricing an upsized secondary offering of 6,895,873 shares.The offering was originally at 6.8 million shares.Underwriters also received options to buy up to 1M additional shares.The offering is expected to close on or about August 19.Morgan Stanley is acting as the sole underwriter of the offering.