NASDAQ$ETON

Eton Pharmaceuticals Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Reported financial results for the second quarter ended June 30, 2020.

Eton Pharmaceuticals reported revenue of $20,000 in the second quarter of 2020, primarily from Biorphen sales. The company's net loss for the quarter was $4.7 million, and they had cash and cash equivalents of $10.3 million as of June 30, 2020.

  • Submitted two NDAs, including one with orphan designation.
  • Made significant progress preparing for the expected launch of Alkindi Sprinkle.
  • Expect to complete two more NDA submissions in the coming months.
  • Plan to launch as many as six branded products before the end of 2021.

Headline financials

Total Revenue

$20K

No prior period
EPS (adj)

-$0.23

Previous: -$0.18-27.8%
General and Administrative Expenses

$2.9M

Previous: $1.9M+52.6%
Research and Development Expenses

$1.6M

Previous: $1.4M+14.3%
Capital Expenditures

-$4K

No prior period
Free Cash Flow

-$4.73M

No prior period
Net Income

-$4.73M

No prior period
Operating Income

-$4.54M

No prior period
Gross Profit

-$8K

No prior period
Cash & Equivalents

$10.3M

No prior period
Total Assets

$14.6M

No prior period
Stock-Based Comp

$714K

No prior period

Revenue & EPS history

Eton · Revenue · Quarterly

$20K

Q2 2020
Beat estimate in 4 of 11 quarters(36%)
ActualEstimate

Revenue by segment

Eton · $24.3M total across 1 segment · Q1 2026

  • Product Sales and Royalties
    $24.3M

Forward guidance

Eton expects to launch as many as six branded products before the end of 2021 and implement new targeting strategies and promotional campaigns in the third quarter that are expected to drive stronger sales in the second half of 2020.

Tailwinds

  • Alkindi Sprinkle's NDA is under review by the FDA.
  • Expects the FDA to meet the existing September 29, 2020 PDUFA date without any disruption from COVID-19 for Alkindi Sprinkle.
  • Believes the Alkindi Sprinkle application is approvable and is working aggressively on launch preparation activities.
  • Plans to implement new targeting strategies and promotional campaigns in the third quarter that are expected to drive stronger sales in the second half of 2020.
  • Expects the vial product launch to significantly accelerate Biorphen adoption.

Headwinds

  • Biorphen sales continue to be impacted by COVID-19.
  • Hospital policies continue to restrict sales representatives from visiting with pharmacy directors and hospital staff.
  • Study participant enrollment for ET-105 has been impacted by COVID-19.
  • Received Complete Response Letter in March 2020 for ET-105 (Lamotrigine for Oral Suspension).
  • EM-100's goal date was extended to September 15th due to a proprietary name change submission by its partner.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

+0.6%

Avg return

Earnings day

+2.3%

Avg return

5 days after

+1.3%

Avg return

30 days after

48%

15 / 31 earnings

Positive

+36.0%

Q2 2023

Best reaction

-14.1%

Q4 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025+7.5%-4.7%
Q1 2026-3.0%+6.7%+2.4%
Q3 2025-11.4%-8.8%-15.0%
Q2 2025+12.5%+12.2%+15.8%
Q1 2025+0.4%+14.6%-16.2%
Q4 2024-4.0%-7.0%-6.2%
Q3 2024+9.2%+3.2%+25.2%
Q2 2024+6.6%+8.0%+31.5%
Q1 2024-7.8%-2.4%-3.0%
Q4 2023-14.1%-21.0%-23.7%
Q3 2023-13.7%-16.6%-19.1%
Q2 2023+36.0%+79.5%+83.7%
Q1 2023+2.8%+2.6%+10.3%
Q4 2022+2.6%+7.1%-7.4%
Q3 2022+18.5%+20.9%+22.8%
Q2 2022-1.0%-19.4%-22.8%
Q1 2022+1.3%+6.5%-4.9%
Q4 2021+6.1%+8.7%-1.5%
Q3 2021-3.4%-9.2%-20.7%
Q2 2021-5.0%-0.2%+12.7%
Q1 2021+5.2%+7.5%-13.4%
Q4 2020-0.7%-1.1%+5.9%
Q3 2020-1.5%+2.9%+19.9%
Q2 2020-2.2%+4.4%+12.4%
Q1 2020-9.2%-10.3%-1.1%
Q4 2019-8.4%-21.9%-39.8%
Q3 2019+1.9%+2.3%+9.2%
Q2 2019+1.6%-1.8%-14.2%
Q1 2019+3.2%+12.2%+5.9%
Q4 2018-2.3%+2.6%-5.8%
Q3 2018-8.1%-4.8%-3.2%
Q2 2018
Q1 2018
Q4 2017
Q3 2017
Q2 2017

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