How Is Sarepta Therapeutics Positioned in January?

Revenue trends

In the first nine months of 2018, Sarepta Therapeutics’ net revenues grew ~123% YoY to reach $216.6 million from $97.3 million. In the third quarter of 2018, the company’s revenue grew ~71% YoY to $78.5 million from $46.0 million.

Wall Street analysts estimate that Sarepta Therapeutics will generate revenues of $85.8 million in the fourth quarter of 2018. Analysts also estimate that the company’s net revenue in fiscal 2018 will be around $301.1 million, which represents ~49.9% YoY growth.

How Is Sarepta Therapeutics Positioned in January?

In the third quarter of 2018, Nektar Therapeutics (NKTR), Vertex Pharmaceuticals (VRTX), and BioMarin Pharmaceuticals (BMRN), Sarepta Therapeutics’ peers in the biopharmaceuticals market, reported revenues of $27.8 million, $783.9 million, and $391.7 million, respectively, which represents a ~81.9% YoY decline, a ~42.04% YoY increase, and a ~17.23% YoY increase.

Wall Street analysts estimate that Nektar Therapeutics (NKTR), Vertex Pharmaceuticals (VRTX), and BioMarin Pharmaceuticals (BMRN) will generate revenues of $1.2 billion, $3.0 billion, and $1.5 billion, respectively, which represents ~289%, ~37.41%, and ~15% YoY growth.

Expense trends

In the first nine months of 2018, Sarepta Therapeutics’ cost of sales excluding amortization of in-licensed rights amounted to $21.1 million compared to $3.8 million in the same period the prior year. In the first nine months of 2018, Sarepta Therapeutics reported R&D (research and development) and SG&A (selling, general, and administrative) expenses of $255.6 million and $143.5 million, respectively, compared to $122.3 million and $90.5 million in the same period the prior year.

Wall Street analysts estimate that Sarepta Therapeutics will report cost of sales, SG&A, and R&D expenses of $30.2 million, $190.88 million and $317.02 million, respectively, in fiscal 2018.