-- Company Reports Second Quarter Revenues of $247.5 Million, GAAP Net Loss per Share of
$0.19 and Diluted Non-GAAP Earnings
per Share of $0.06 --
-- ARISTADA® Net Sales Increased 21%
Year-Over-Year to $58.8 Million
--
-- VIVITROL® Net Sales of $71.6 Million Reflect Impact of COVID-19-Related
Treatment Disruptions --
-- Company Announces Board Declassification Proposal and
Board Refreshment Process --
DUBLIN, July 29, 2020 /PRNewswire/ -- Alkermes plc
(Nasdaq: ALKS) today reported financial results for the second
quarter of 2020 and provided updated financial expectations for
full-year 2020. The company had previously withdrawn its 2020
financial expectations due to uncertainties regarding the impact of
the COVID-19 pandemic on its business.
"During the second quarter, we adapted in response to the
changing conditions in a complex environment. As we enter the
second half of 2020, we are focused on three strategic imperatives.
The first is commercial execution, as we drive to maximize the
opportunities for ARISTADA® and
VIVITROL® and prepare for the potential launch of ALKS
3831. The second is aggressive development of our pipeline
programs, focusing on high-value opportunities that we believe have
the potential to address patient needs and drive significant value
in the near- and long-term. ALKS 4230, our lead oncology candidate,
is the most prominent of these opportunities. The third is
efficient management of our operating structure, with a focus on
rigorous expense management and careful prioritization of our
investments," said Richard Pops, Chief Executive Officer of
Alkermes.
"We distinguish ourselves from other biopharmaceutical companies
through our efforts in serious mental illness and addiction —
chronic, highly prevalent conditions that affect millions of people
and represent some of the most challenging public health issues of
our time. We have built our organization with purpose and invested
in specialized commercial capabilities to navigate fragmented
treatment systems as we help address the complex challenges that
patients with these diseases face," continued Mr. Pops. "As the
nation's response to COVID-19 continues, it is critical that we
work to mitigate the pandemic's secondary impacts related to social
isolation, economic hardship and anxiety. For many patients
struggling with serious mental illness and addiction, the current
environment has amplified the barriers to treatment that
Alkermes has worked for many years to address. We believe it is our
responsibility to help ensure that the treatment system continues
to function for these patients."
Quarter Ended June 30, 2020
Financial Highlights
- Total revenues for the quarter were $247.5 million, compared to $279.9 million for the same period in the prior
year.
- Net loss according to generally accepted accounting principles
in the U.S. (GAAP) was $29.4 million
for the quarter, or a GAAP net loss per share of $0.19. This compared to GAAP net loss of
$42.0 million, or a GAAP net loss per
share of $0.27, for the same period
in the prior year.
- Non-GAAP net income was $8.9
million for the quarter, or a non-GAAP basic and diluted
earnings per share of $0.06. This
compared to non-GAAP net income of $13.7
million, or a non-GAAP basic and diluted earnings per share
of $0.09, for the same period in the
prior year.
Quarter Ended June 30, 2020
Financial Results
Revenues
- Net sales of proprietary products were $130.4 million, compared to $136.6 million for the same period in the prior
year.
-
- Net sales of VIVITROL were $71.6
million, compared to $88.2
million for the same period in the prior year, representing
a decrease of approximately 19%, driven primarily by a decline in
new patient starts and more restricted access to healthcare
providers that resulted from COVID-19-related disruptions.
- Net sales of ARISTADAi were $58.8 million, compared to $48.4 million for the same period in the prior
year, representing an increase of approximately 21% driven
primarily by increased breadth of the ARISTADA provider base and
growth of the ARISTADA two-month dose.
- Manufacturing and royalty revenues were $116.5 million, compared to $127.9 million for the same period in the prior
year.
-
- Manufacturing and royalty revenues from RISPERDAL
CONSTA®, INVEGA SUSTENNA®/XEPLION®
and INVEGA TRINZA®/TREVICTA® were
$83.1 million, compared to
$91.9 million for the same period in
the prior year, primarily driven by a decrease in manufacturing and
royalty revenues related to RISPERDAL CONSTA.
Costs and Expenses
- Total operating expenses were $281.2
million, compared to $315.8
million for the same period in the prior year.
-
- Research and Development (R&D) expenses were $94.2 million, compared to $104.4 million for the same period in the prior
year.
- Selling, General and Administrative (SG&A) expenses were
$132.0 million, compared to
$155.1 million for the same period in
the prior year.
Balance Sheet
- At June 30, 2020, Alkermes
recorded cash, cash equivalents and total investments of
$539.6 million, compared to
$549.7 million at March 31, 2020. Cash on hand at June 30, 2020 significantly exceeded the
company's total debt outstanding of $276.1
million under its term loan, which matures in March 2023.
"Our second quarter results reflect solid execution across the
business. The performance of the ARISTADA product family, together
with disciplined management of expenses, partially offset the
negative impact on VIVITROL net sales that resulted from
COVID-19-related decreases in patient visits to healthcare
providers and treatment centers. With increased visibility into the
expected impact of COVID-19 on our commercial portfolio, today we
are issuing financial expectations for 2020 that reflect current
trends and underscore our commitment to driving non-GAAP
profitability," commented James
Frates, Chief Financial Officer of Alkermes. "Over the past
five years, we have grown our topline while investing in the future
growth drivers of our business. Directly as a result of those
investments, we established VIVITROL as an important therapeutic
option for patients with opioid and alcohol dependence; we secured
FDA approvals for the ARISTADA product family; we developed ALKS
3831 and submitted a New Drug Application for schizophrenia and
bipolar I disorder; we built commercial psychiatry capabilities
that support the growth of ARISTADA and which are also fully
leverageable for ALKS 3831; we successfully developed
VUMERITY® and entered into a commercial collaboration
that will provide 100% gross margin royalty revenues from net
sales; we advanced development of ALKS 4230 while retaining
optionality for strategic collaboration; and, we acquired a
platform of histone deacetylase (HDAC) inhibitors that we believe
will provide compelling pipeline opportunities in neurodegeneration
and oncology. We are focused on executing our business strategy and
believe these investments have positioned the business to drive
long-term profitability and value creation."
Financial Expectations for 2020
The following financial expectations for 2020 reflect the
anticipated net impacts of the COVID-19 pandemic on Alkermes'
operating and financial results. Alkermes anticipates that
the negative impact of COVID-19 on VIVITROL net sales will be
partially offset by a decrease in operating expenses, notably
within R&D. The ranges provided are based on current
trends and assume that treatment provider practices and patient
flow will continue to normalize. Additional wide-spread
COVID-19-related restrictions or resurgence of COVID-19 could
negatively impact the company's ability to meet these expectations.
All line items are according to GAAP, except as otherwise
noted.
In
millions (except per share
amounts)
|
|
Current 2020
Expectation
(Provided
7/29/20)
|
Pre-COVID-19
Expectation (Provided 2/13/20; Suspended
4/29/20)
|
|
|
|
|
Total
Revenue
|
|
$965 –
$1,005
|
$1,030 –
$1,080
|
VIVITROL Net
Sales
|
|
$270 –
$300
|
$340 –
$355
|
ARISTADA Net
Sales
|
|
$220 –
$235
|
$220 –
$235
|
Cost of Goods
Sold
|
|
$180 –
$190
|
$185 –
$195
|
R&D
Expenses
|
|
$370 –
$395
|
$405 –
$430
|
SG&A
Expenses
|
|
$525 –
$550
|
$535 –
$560
|
Amortization of
Intangible Assets
|
|
~$40
|
~$40
|
Other Income,
Net
|
|
$10 – $15
|
–
|
Income Tax
Expense
|
|
$10 – $15
|
$0 –
$10
|
GAAP Net
Loss
|
|
($145) –
($175)
|
($130) –
($160)
|
GAAP Net Loss per
Share
|
|
($0.91) –
($1.10)
|
($0.82) –
($1.01)
|
Non-GAAP Net
Income
|
|
$0 – $30
|
$40 – $70
|
Non-GAAP Basic
EPS
|
|
$0.00 –
$0.19
|
$0.25 –
$0.44
|
Non-GAAP Diluted
EPS
|
|
$0.00 –
$0.19
|
$0.25 –
$0.43
|
Capital
Expenditures
|
|
~$35
|
$45 – $55
|
Governance Update
"Over the past 12 months, we conducted extensive shareholder
outreach and engaged with shareholders representing approximately
60% in value of our outstanding ordinary shares. The Board values
the views of our shareholders and, after considering their
feedback, is taking actions to further strengthen our business and
corporate governance practices. The Board believes these actions
will help to position the company for long-term growth as we
execute on our strategy," said David
Anstice, Lead Independent Director of the Alkermes Board of
Directors (the Board).
The company announced today that it plans to take a series of
actions as part of its commitment to corporate governance best
practices and regular Board refreshment.
- First, the Board will recommend that shareholders approve, at
the company's 2021 Annual General Meeting of Shareholders, an
amendment to the company's Articles of Association to declassify
the Board. Currently, the Board has three classes of directors,
with directors in each class elected to three-year terms. Once the
Board is declassified, the directors will be combined into a single
class elected annually.
- Second, the Board has engaged a leading recruitment firm to
identify independent director candidates whose experience and
expertise offer valuable insights and strategic leadership at this
stage in Alkermes' evolution. As part of this process, the company
expects certain of its longer-serving directors will retire from
the Board. This Board refreshment process will continue and build
on the efforts undertaken by the company in the fall of 2019 that
led to the addition of two highly-qualified, independent directors,
Dr. Richard Gaynor and Mr.
Andy Wilson, to the Board.
Recent Events
- Schizophrenia portfolio
-
- In May 2020, presented new
research from the company's schizophrenia portfolio at the American
Society of Clinical Psychopharmacology (ASCP) 2020 Annual Meeting,
including data from patient-reported evaluations relating to
treatment with ALKS 3831 and satisfaction data relating to
treatment with ARISTADA.
- In July 2020, announced a new
survey conducted by The Harris Poll for Alkermes, which explored
the current use and future potential of telepsychiatry services
during and after the COVID-19 pandemic.
- ALKS 4230
-
- In June 2020, presented positive
preclinical data from a study designed to evaluate the combination
potential of ALKS 4230, Alkermes' investigational engineered
interleukin-2 (IL-2) variant immunotherapy, with lucitanib, Clovis
Oncology, Inc.'s investigational angiogenesis inhibitor, at the
American Association for Cancer Research (AACR) Virtual Annual
Meeting II.
- Corporate citizenship
-
- In June 2020, announced that 10
nonprofit organizations were awarded grants from the company's
COVID-19 Relief Fund, a special edition of the company's signature
Alkermes Inspiration Grants® program, that was
established to assist nonprofit organizations in their work to
rapidly address pandemic-related needs for people living with
addiction, serious mental illness, or cancer.
- In July 2020, published Alkermes'
latest Corporate Responsibility Report which outlines how the
company integrates environmental, social and governance
considerations into all aspects of its business. A copy of the
report is available on the Responsibility section of Alkermes'
website.
Conference Call
Alkermes will host a conference call and webcast presentation
with accompanying slides at 8:00 a.m.
ET (1:00 p.m. BST) on
Wednesday, July 29, 2020, to discuss
these financial results, financial expectations, and provide an
update on the company. The webcast may be accessed on the Investors
section of Alkermes' website at www.alkermes.com. The conference
call may be accessed by dialing +1 877 407 2988 for U.S. callers
and +1 201 389 0923 for international callers. In addition, a
replay of the conference call will be available from 11:00 a.m. ET (4:00 p.m.
BST) on Wednesday, July 29,
2020, through Wednesday, Aug. 5,
2020, and may be accessed by visiting Alkermes' website or
by dialing +1 877 660 6853 for U.S. callers and +1 201 612
7415 for international callers. The replay conference ID is
13707215.
About Alkermes plc
Alkermes plc is a fully integrated, global biopharmaceutical
company developing innovative medicines in the fields of
neuroscience and oncology. The company has a portfolio of
proprietary commercial products focused on addiction and
schizophrenia, and a pipeline of product candidates in development
for schizophrenia, bipolar I disorder, neurodegenerative disorders
and cancer. Headquartered in Dublin,
Ireland, Alkermes plc has an R&D center in Waltham, Massachusetts; a research and
manufacturing facility in Athlone, Ireland; and a manufacturing facility in
Wilmington, Ohio. For more
information, please visit Alkermes' website at
www.alkermes.com.
Non-GAAP Financial Measures
This press release includes information about certain financial
measures that are not prepared in accordance with GAAP, including
non-GAAP net income (loss) and non-GAAP basic and diluted earnings
(loss) per share. These non-GAAP measures are not based on any
standardized methodology prescribed by GAAP and are not necessarily
comparable to similar measures presented by other companies.
Non-GAAP net income (loss) adjusts for one-time and non-cash
charges by excluding from GAAP results: share-based compensation
expense; amortization; depreciation; non-cash net interest expense;
changes in the fair value of the contingent consideration; certain
other one-time or non-cash items; and the income tax effect of
these reconciling items.
The company's management and the Board utilize these non-GAAP
financial measures to evaluate the company's performance. The
company provides these non-GAAP measures of the company's
performance to investors because management believes that these
non-GAAP financial measures, when viewed with the company's results
under GAAP and the accompanying reconciliations, are useful in
identifying underlying trends in ongoing operations. However,
non-GAAP net income (loss) and non-GAAP basic and diluted earnings
(loss) per share are not measures of financial performance under
GAAP and, accordingly, should not be considered as alternatives to
GAAP measures as indicators of operating performance. Further,
non-GAAP net income (loss) and non-GAAP basic and diluted earnings
(loss) per share should not be considered measures of the company's
liquidity.
A reconciliation of GAAP to non-GAAP financial measures has been
provided in the tables included in this press release.
Note Regarding Forward-Looking Statements
Certain statements set forth in this press release constitute
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995, as amended, including,
but not limited to, statements concerning: the company's
expectations concerning future financial and operating performance,
business plans or prospects, including the anticipated ongoing
impacts of COVID-19 on the company's business and financial
performance, the company's assumptions with respect to
normalization of patient and healthcare provider practices, the
expected growth drivers of the company's business, and the
company's ability to drive significant value creation and long-term
growth and profitability; the potential therapeutic and commercial
value of the company's marketed and development products and the
company's potential contributions to supporting patient access to
such products; the company's plans for, and expectations relating
to, corporate governance changes, including the proposed
declassification and refreshment of the Board; expectations
concerning future development activities for the company's
development candidates; and expectations and timelines concerning
the company's commercial activities and capabilities, including in
relation to the potential launch of ALKS 3831 following U.S. Food
and Drug Administration's ("FDA") review and potential approval of
the new drug application ("NDA") for ALKS 3831. The company
cautions that forward-looking statements are inherently uncertain.
The forward-looking statements are neither promises nor guarantees
and they are necessarily subject to a high degree of uncertainty
and risk. Actual performance and results may differ materially from
those expressed or implied in the forward-looking statements due to
various risks and uncertainties. These risks and uncertainties
include, among others: the impacts of the ongoing COVID-19 pandemic
and continued efforts to mitigate its spread on the company's
business, results of operations or financial condition, including:
impacts on the vendors or distribution channels in its supply
chain, and the company's ability to continue to manufacture its
products; impacts on its ability to continue its discovery
activities; impacts on the conduct of its clinical trials,
including with respect to enrollment rates, availability of
investigators and clinical trial sites and monitoring of data;
impacts on healthcare systems that serve people living with opioid
dependence, alcohol dependence and schizophrenia and on patient and
healthcare provider access to the company's medicines; impacts on
the regulatory agencies with which the company interacts in the
development, review, approval and commercialization of its
medicines; impacts on reimbursement for the company's products,
including its Medicaid rebate liability, and for services related
to the use of its products; and impacts on the U.S., Irish and/or
global economies more broadly; the unfavorable outcome of
litigation, including so-called "Paragraph IV" litigation and
other patent litigation, related to any of the company's products
or products using the company's proprietary technologies, which may
lead to competition from generic drug manufacturers; clinical
development activities may not be completed on time or at all; the
results of the company's clinical development activities may not be
positive, or predictive of real-world results or of results in
subsequent clinical trials; regulatory submissions may not occur or
be submitted in a timely manner; the FDA or regulatory authorities
outside the U.S. may make adverse decisions regarding the company's
products, including decisions not to approve the company's NDAs;
data from clinical trials may be interpreted by the FDA in
different ways than the company interprets it; the FDA may not
agree with the company's regulatory approval strategies or
components of its regulatory filings, including the company's
clinical trial designs, conduct and methodologies, manufacturing
processes and facilities, and the adequacy of the data and other
information included in its filings to meet the FDA's requirements
for approval; the company and its licensees may not be able to
continue to successfully commercialize their products; there may be
a reduction in payment rate or reimbursement for the company's
products or an increase in the company's financial obligations to
governmental payers; the company's products may prove difficult to
manufacture, be precluded from commercialization by the proprietary
rights of third parties, or have unintended side effects, adverse
reactions or incidents of misuse; and those risks and
uncertainties described under the heading "Risk Factors" in the
company's most recent Annual Report on Form 10-K and Quarterly
Report on Form 10-Q and in subsequent filings made by the company
with the U.S. Securities and Exchange Commission ("SEC"), which are
available on the SEC's website at www.sec.gov. Existing and
prospective investors are cautioned not to place undue reliance on
these forward-looking statements, which speak only as of the date
hereof. Except as required by law, the company disclaims any
intention or responsibility for updating or revising any
forward-looking statements contained in this press release.
Trademarks
VIVITROL® is a registered trademark of Alkermes,
Inc.; ARISTADA® and ARISTADA INITIO® are
registered trademarks of Alkermes Pharma Ireland Limited;
VUMERITY® is a registered trademark of Biogen
Inc., used by Alkermes under license; and RISPERDAL
CONSTA®, INVEGA SUSTENNA®,
XEPLION®, INVEGA TRINZA®
and TREVICTA® are registered trademarks of Johnson
& Johnson.
(tables follow)
i The term "ARISTADA" as used in this press release
refers to ARISTADA and ARISTADA INITIO, unless the context
indicates otherwise.
Alkermes plc and
Subsidiaries
|
Selected Financial
Information (Unaudited)
|
|
|
|
|
|
Condensed
Consolidated Statements of Operations - GAAP
|
|
Three Months
Ended
|
|
Three Months
Ended
|
(In thousands,
except per share data)
|
|
June 30, 2020
|
|
June 30, 2019
|
Revenues:
|
|
|
|
|
Product sales,
net
|
|
$
130,415
|
|
$
136,635
|
Manufacturing and
royalty revenues
|
|
116,505
|
|
127,897
|
Research and
development revenue
|
|
609
|
|
14,340
|
License
revenue
|
|
—
|
|
1,000
|
Total
Revenues
|
|
247,529
|
|
279,872
|
Expenses:
|
|
|
|
|
Cost of goods
manufactured and sold
|
|
45,053
|
|
46,223
|
Research and
development
|
|
94,222
|
|
104,435
|
Selling, general and
administrative
|
|
132,025
|
|
155,075
|
Amortization of
acquired intangible assets
|
|
9,890
|
|
10,062
|
Total
Expenses
|
|
281,190
|
|
315,795
|
Operating
Loss
|
|
(33,661)
|
|
(35,923)
|
Other Income
(Expense), net:
|
|
|
|
|
Interest
income
|
|
1,788
|
|
3,706
|
Interest
expense
|
|
(2,122)
|
|
(3,520)
|
Change in the fair
value of contingent consideration
|
|
5,900
|
|
(6,500)
|
Other income,
net
|
|
2,337
|
|
1,851
|
Total Other Income
(Expense), net
|
|
7,903
|
|
(4,463)
|
Loss Before Income
Taxes
|
|
(25,758)
|
|
(40,386)
|
Income Tax
Provision
|
|
3,673
|
|
1,604
|
Net Loss —
GAAP
|
|
$
(29,431)
|
|
$
(41,990)
|
|
|
|
|
|
(Loss) Earnings
Per Share:
|
|
|
|
|
GAAP loss per share —
basic and diluted
|
|
$
(0.19)
|
|
$
(0.27)
|
Non-GAAP earnings per
share — basic and diluted
|
|
$
0.06
|
|
$
0.09
|
|
|
|
|
|
Weighted Average
Number of Ordinary Shares Outstanding:
|
|
|
|
|
Basic and diluted —
GAAP
|
|
158,895
|
|
156,991
|
Basic —
Non-GAAP
|
|
158,895
|
|
156,991
|
Diluted —
Non-GAAP
|
|
159,275
|
|
158,987
|
|
|
|
|
|
An itemized
reconciliation between net loss on a GAAP basis and non-GAAP net
income is as follows:
|
Net Loss —
GAAP
|
|
$
(29,431)
|
|
$
(41,990)
|
Adjustments:
|
|
|
|
|
Share-based
compensation expense
|
|
22,846
|
|
28,245
|
Depreciation
expense
|
|
10,447
|
|
9,852
|
Amortization
expense
|
|
9,890
|
|
10,062
|
Income tax effect
related to reconciling items
|
|
877
|
|
2,043
|
Non-cash net interest
expense
|
|
167
|
|
168
|
Change in the fair
value of contingent consideration
|
|
(5,900)
|
|
6,500
|
Change in the fair
value of warrants and equity method investments
|
|
—
|
|
(1,134)
|
Non-GAAP Net
Income
|
|
$
8,896
|
|
$
13,746
|
|
|
|
|
|
|
|
|
|
|
Condensed
Consolidated Statements of Operations - GAAP
|
|
Six Months
Ended
|
|
Six Months
Ended
|
(In thousands,
except per share data)
|
|
June 30, 2020
|
|
June 30, 2019
|
Revenues:
|
|
|
|
|
Product sales,
net
|
|
$
260,141
|
|
$
236,116
|
Manufacturing and
royalty revenues
|
|
232,756
|
|
236,812
|
Research and
development revenue
|
|
852
|
|
29,046
|
License
Revenue
|
|
—
|
|
1,000
|
Total
Revenues
|
|
493,749
|
|
502,974
|
Expenses:
|
|
|
|
|
Cost of goods
manufactured and sold
|
|
92,264
|
|
91,584
|
Research and
development
|
|
187,501
|
|
207,005
|
Selling, general and
administrative
|
|
265,397
|
|
296,295
|
Amortization of
acquired intangible assets
|
|
19,618
|
|
20,014
|
Total
Expenses
|
|
564,780
|
|
614,898
|
Operating
Loss
|
|
(71,031)
|
|
(111,924)
|
Other Income
(Expense), net:
|
|
|
|
|
Interest
income
|
|
4,548
|
|
7,276
|
Interest
expense
|
|
(4,979)
|
|
(7,020)
|
Change in the
fair value of contingent consideration
|
|
12,700
|
|
(29,100)
|
Other income,
net
|
|
1,679
|
|
130
|
Total Other Income
(Expense), net
|
|
13,948
|
|
(28,714)
|
Loss Before Income
Taxes
|
|
(57,083)
|
|
(140,638)
|
Provision (Benefit)
for Income Taxes
|
|
11,002
|
|
(2,250)
|
Net Loss —
GAAP
|
|
$
(68,085)
|
|
$
(138,388)
|
|
|
|
|
|
(Loss) Earnings
Per Share:
|
|
|
|
|
GAAP loss per share —
basic and diluted
|
|
$
(0.43)
|
|
$
(0.88)
|
Non-GAAP earnings
(loss) per share — basic and diluted
|
|
$
0.07
|
|
$
(0.08)
|
|
|
|
|
|
Weighted Average
Number of Ordinary Shares Outstanding:
|
|
|
|
|
Basic and diluted —
GAAP
|
|
158,495
|
|
156,665
|
Basic —
Non-GAAP
|
|
158,495
|
|
156,665
|
Diluted —
Non-GAAP
|
|
159,151
|
|
156,665
|
|
|
|
|
|
An itemized
reconciliation between net loss on a GAAP basis and non-GAAP net
income (loss) is as follows:
|
Net Loss —
GAAP
|
|
$
(68,085)
|
|
$
(138,388)
|
Adjustments:
|
|
|
|
|
Share-based
compensation expense
|
|
42,659
|
|
52,861
|
Depreciation
expense
|
|
21,328
|
|
19,542
|
Amortization
expense
|
|
19,618
|
|
20,014
|
Income tax effect
related to reconciling items
|
|
6,797
|
|
5,015
|
Non-cash net interest
expense
|
|
334
|
|
337
|
Change in the fair
value of contingent consideration
|
|
(12,700)
|
|
29,100
|
Acquisition of
IPR&D
|
|
674
|
|
—
|
Change in the fair
value of warrants and equity method investments
|
|
—
|
|
(701)
|
Non-GAAP Net
Income (Loss)
|
|
$
10,625
|
|
$
(12,220)
|
|
|
|
|
|
|
|
|
|
|
Condensed
Consolidated Balance Sheets
|
|
June 30,
|
|
December
31,
|
(In
thousands)
|
|
2020
|
|
2019
|
Cash, cash
equivalents and total investments
|
|
$
539,596
|
|
$
614,370
|
Receivables
|
|
237,393
|
|
257,086
|
Contract
assets
|
|
9,240
|
|
8,386
|
Inventory
|
|
116,458
|
|
101,803
|
Prepaid expenses and
other current assets
|
|
51,705
|
|
59,716
|
Property, plant and
equipment, net
|
|
361,807
|
|
362,168
|
Intangible assets,
net and goodwill
|
|
223,898
|
|
243,516
|
Other
assets
|
|
262,240
|
|
158,358
|
Total
Assets
|
|
$
1,802,337
|
|
$
1,805,403
|
Long-term debt —
current portion
|
|
$
2,843
|
|
$
2,843
|
Other current
liabilities
|
|
318,571
|
|
388,269
|
Long-term
debt
|
|
273,207
|
|
274,295
|
Contract liabilities
— long-term
|
|
18,881
|
|
22,068
|
Other long-term
liabilities
|
|
126,989
|
|
32,486
|
Total shareholders'
equity
|
|
1,061,846
|
|
1,085,442
|
Total Liabilities
and Shareholders' Equity
|
|
$
1,802,337
|
|
$
1,805,403
|
|
|
|
|
|
Ordinary shares
outstanding (in thousands)
|
|
159,028
|
|
157,779
|
|
This selected
financial information should be read in conjunction with the
consolidated financial statements and notes thereto included in
Alkermes plc's Quarterly Report on Form 10-Q for the three and six
months ended June 30, 2020, which the company intends to file in
July 2020.
|
2020 Guidance —
GAAP to Non-GAAP Adjustments
|
|
|
|
|
|
|
|
An itemized
reconciliation between projected loss per share on a GAAP basis and
projected earnings per share on a non-GAAP basis is as
follows:
|
|
|
|
|
|
|
|
(In millions,
except per share data)
|
|
Amount
|
|
Shares
|
|
(Loss)
Earnings
Per Share
|
Projected Net Loss —
GAAP
|
|
$
(160.0)
|
|
159
|
|
$
(1.01)
|
Adjustments:
|
|
|
|
|
|
|
Share-based
compensation expense
|
|
97.5
|
|
|
|
|
Depreciation
expense
|
|
44.0
|
|
|
|
|
Amortization
expense
|
|
40.0
|
|
|
|
|
Income tax effect
related to reconciling items
|
|
5.0
|
|
|
|
|
Non-cash net interest
expense
|
|
1.0
|
|
|
|
|
Change in the fair
value of contingent consideration
|
|
(12.5)
|
|
|
|
|
Projected Net Income
— Non-GAAP
|
|
$
15.0
|
|
161
|
|
$
0.09
|
|
Projected GAAP and
non-GAAP measures reflect mid-points within ranges of estimated
guidance.
|
Alkermes Contacts:
For Investors: Sandy Coombs +1 781
609 6377
For Media: Katie
Joyce +1
781 249 8927
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