Categories AlphaGraphs, Earnings, Other Industries

Celgene stock rises on upbeat Q2 results, lifts outlook

Troubled pharma company Celgene (CELG) posted Q2 results beating analysts’ view and also lifted its earnings outlook for 2018. Shares of Celgene rose about 2% before the bell and continued the positive momentum when the market opened today. Celgene’s total revenue grew 17% year-over-year to $3.81 billion on strong Revlimid sales growth of 21%.

GAAP earnings dropped to $1.05 billion or $1.43 per share from $1.1 billion or $1.36 per share in the year-ago quarter. Adjusted EPS grew 16% to $2.16.

Celgene Q2 2018 earnings

Looking ahead into 2018, the Summit, NJ-based company lifted its revenue and adjusted EPS outlook on strong product sales. Revenue for fiscal 2018 is expected to be around $15 billion versus the prior estimate of about $14.8 billion, and adjusted EPS is expected to fall in the range of $8.70-8.75 compared to the previous guidance of about $8.45. GAAP EPS outlook was cut down to a range of $5.95-6.25 versus the prior target of about $6.31.

Related: Celgene gets a booster shot from recent clinical trials

The pharma sector was already hurt by President Trump’s comments on increasing drug prices. Like its peers Pfizer (PFE) and Novartis (NVS), Celgene said that it will not increase the prices of its products further in this year.

Celgene Pfizer Novartis Drug Prices Donald Trump TweetAdding to the woes, FDA had earlier accused Celgene and other pharma companies that these companies take advantage of specific rules and laws and use them to extend their monopoly beyond a limit.

Related: Celgene plunges to a new 52-week low

Celgene’s rivals Allergan (AGN) and Alexion Pharmaceuticals (ALXN) also reported their quarterly results today. While Allergan was trading flat, Alexion was up 1% in the first hour of morning trading session. Shares of Celgene, which plunged to a new 52-week low ($74.13) on May 21, were up about 0.6% at $87.67 during Wednesday’s trading session. The stock has plunged about 16% so far in this year and about 36% in the past 52-weeks.

Related Infographics: Q1 earnings

Celgene Q1 2018 Earnings

 

 

Most Popular

IPO Alert: What to look for when Boundless Bio goes public

Boundless Bio is preparing to debut on the Nasdaq stock market this week, and become the latest addition to the list of biotech firms that have launched IPOs this year.

Nike (NKE) bets on innovation and partnerships to return to high growth

Sneaker giant Nike, Inc. (NYSE: NKE) has been going through a rough patch for some time, with sales coming under pressure from weak demand and rising competition. Post-pandemic, the company

Walgreens Boots Alliance set to report earnings next week. Here’s what to expect

Walgreens Boots Alliance, Inc. (NASDAQ: WBA), the drug store chain that is expanding into a diversified healthcare provider, is on a restructuring drive aimed at better aligning the business with

Tags

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top