By Christy Santhosh
(newsinpo.site) -Vertex Pharmaceuticals missed Wall Street estimates for quarterly results on Monday due to lower-than-expected sales of its cystic fibrosis (CF) drug Trikafta, sending shares down 2.5% after the bell.
Nevertheless, the pharmaceutical company increased the low end of its sales projection, anticipating that its more recent cystic fibrosis medications along with its acute pain treatment, Journavx, will fuel expansion.
Evan Siegerman from BMO Capital Markets stated that the revenue shortfall will probably face close examination since Vertex has to successfully introduce Journavx.
The drug has generated more than 20,000 prescriptions from its launch in March through April 18. Seigerman said that the prescription numbers are “a good start”, but he wants to see pull-through to revenues.
In December, the U.S. Food and Drug Administration approved Vertex’s next-generation treatment, Alyftrek. This once-daily treatment for a rare and progressive genetic disease further strengthens Vertex’s market dominance in CF treatments.
CF is an inherited disorder resulting from the absence of a specific protein, which disrupts the movement of salt and water in and out of cells in various organs.
In the first quarter ended March 31, sales of the company’s older CF treatment, Trikafta, rose 2% to $2.53 billion but missed analysts’ average expectation of $2.58 billion, according to LSEG data.
Vertex has activated more than 65 authorized treatment centers globally and 90 patients have begun cell collection for its gene therapy Casgevy, which treats a rare blood disorder that requires regular blood transfusions.
Vertex anticipates revenues for 2025 will fall within the bracket of $11.85 billion to $12 billion, as opposed to the earlier forecasted span of $11.75 billion to $12 billion.
The total quarterly revenue increased by 2.7% to reach $2.77 billion, falling short of analysts’ expectations which were at $2.85 billion.
Adjusted for certain items, the firm announced earnings of $4.06 per share for the period, falling short of the anticipated $4.32 per share from industry analysts.
(Reported by Sriparna Roy and Christy Santhosh in Bengaluru; Edited by Mohammed Safi Shamsi)
