In November, Amarin published positive results pertaining to the REDUCE-IT study, which evaluated the cardiovascular risk reduction potential of Vascepa, thereby giving the company potential for significant benefits through the affordably-priced drug. However, higher costs are likely to hurt Amarin in the fourth quarter as the company continues to implement strategic initiatives for business growth.
Last month, Amarin published preliminary results for 2018 and provided its outlook for 2019. The company expects record revenues for the fourth quarter and full year of 2018 in the ranges of $72 million to $76 million and $224 million to 228 million, respectively. The full-year results represent an increase of 24-26% over 2017.
The quarterly and full-year revenue numbers predominantly reflect US sales driven by increased prescriptions for Vascepa. For 2019, Amarin expects total revenue of about $350 million, reflecting an increase of more than 50% from 2018, mostly from US sales of Vascepa.
Amarin’s stock gained 14% on Friday on rumors that Novartis (NVS) might be interested in an acquisition. However, Novartis declined to offer any comment on the issue. Similarly, last month, Amarin’s stock surged on rumors that Pfizer (PFE) was looking to acquire the company. There have been no further reports on the outcome of this matter.
The majority of analysts have rated Amarin as a Strong Buy while none have rated it Sell. Over the past six months, the stock has gained 588% while over the past month, it has climbed 7%. The stock was down 3.6% in morning hours on Monday.