NASDAQ$LGND

Ligand Pharmaceuticals Incorporated · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Reported strong first quarter results driven by royalty revenue growth and milestone from Travere's FILSPARI approval, while also increasing 2023 revenue and EPS guidance.

Ligand Pharmaceuticals reported a strong start to 2023 with $44.0 million in first quarter revenues, driven by royalty revenue growth and the approval milestone from Travere's FILSPARI. The company increased its 2023 revenue and EPS guidance.

  • Total revenues for Q1 2023 were $44.0 million, compared to $36.5 million in Q1 2022.
  • Net income from continuing operations for Q1 2023 was $43.6 million, or $2.43 per diluted share, compared to a net loss of $12.9 million, or $0.77 per share, for the same period in 2022.
  • Ligand is increasing 2023 revenue guidance to $124 million to $128 million and EPS guidance to $4.60 to $4.75.
  • Travere Therapeutics received FDA accelerated approval for FILSPARI™ (sparsentan) for the treatment of IgA nephropathy (IgAN) on February 17, 2023.

Headline financials

Total Revenue

$44M

Previous: $45.7M-3.8%
EPS (adj)

$2.28

Previous: $0.76+200.0%
Capital Expenditures

-$2.41M

Previous: -$4.88M+50.5%
Free Cash Flow

$39.5M

Previous: -$20.3M+295.1%
Net Income

$41.9M

Previous: -$15.4M+372.7%
Operating Income

$14.2M

Previous: -$9.31M+252.6%
Gross Profit

$14.2M

Previous: -$9.31M+252.6%
Cash & Equivalents

$88.7M

Previous: $15M+491.8%
Total Assets

$811M

Previous: $1.11B-26.6%
Stock-Based Comp

$5.93M

Previous: $9.04M-34.4%

Revenue & EPS history

Ligand · Revenue · Quarterly

$44M

Q1 2023-3.8%vs Q1 2022
Beat estimate in 14 of 15 quarters(93%)
ActualEstimate

Revenue by segment

Ligand · $17.2M total across 1 segment · Q1 2023

  • Royalties
    $17.2M+25.3%

Forward guidance

Ligand is increasing 2023 financial guidance. They now expect 2023 royalties of $78 million to $82 million, sales of Captisol of $21 million, and contract revenue of $25 million. These revenue components result in total revenue of $124 million to $128 million. They now expect 2023 diluted EPS of $4.60 to $4.75.

Tailwinds

  • Royalties are expected to be $78 million to $82 million.
  • Sales of Captisol are expected to be $21 million.
  • Contract revenue is expected to be $25 million.
  • Total revenue is expected to be $124 million to $128 million.
  • Diluted EPS is expected to be $4.60 to $4.75.

Headwinds

  • Guidance excludes Captisol for remdesivir due to the unpredictable nature of COVID-19.
  • The company will update investors if and when orders are received and shipped each quarter.
  • The company faces risks and uncertainties inherent in its business.
  • Ligand may not receive expected revenue from royalties, Captisol material sales and license fees and milestone revenue.
  • Ligand and its partners may not be able to timely or successfully advance any product(s) in its internal or partnered pipeline.

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2023

Historical avgQ1 2023

+0.1%

Avg return

Earnings day

+2.0%

Avg return

5 days after

-0.8%

Avg return

30 days after

52%

33 / 64 earnings

Positive

+18.7%

Q4 2013

Best reaction

-21.6%

Q3 2011

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+5.3%+5.0%
Q4 2025+2.6%+6.7%+2.1%
Q3 2025+9.3%+9.6%-2.9%
Q1 2025-3.2%+0.0%+0.4%
Q4 2024+0.6%+0.2%-6.4%
Q3 2024+3.7%+3.3%+6.8%
Q2 2024-4.9%+2.1%+5.1%
Q1 2024+10.3%+19.8%+13.1%
Q4 2023+13.3%+5.8%-1.8%
Q3 2023+2.8%+3.8%+16.3%
Q2 2023+6.7%+1.4%-4.2%
Q1 2023+5.2%+3.2%-0.2%
Q4 2022+5.9%+3.0%-2.1%
Q3 2022+12.8%+31.3%+6.0%
Q2 2022+5.7%+9.5%-3.5%
Q1 2022-2.9%-13.0%-9.1%
Q4 2021-16.3%-19.7%-8.7%
Q3 2021+7.8%+4.9%-6.9%
Q2 2021-8.1%-10.0%-7.4%
Q1 2021-9.5%-10.5%-22.3%
Q4 2020+1.7%+17.6%-18.5%
Q3 2020-0.2%+5.4%+3.4%
Q2 2020+0.6%+0.4%-11.9%
Q1 2020+3.2%+6.8%+22.1%
Q4 2019+3.3%+2.8%+16.7%
Q3 2019-7.4%-1.4%-4.9%
Q2 2019-14.8%-11.5%-14.7%
Q1 2019-3.3%-4.1%-14.6%
Q4 2018-2.7%+1.8%-10.0%
Q3 2018-2.7%-8.9%-10.7%
Q2 2018+9.8%+7.7%+13.0%
Q1 2018+7.3%+13.2%+26.4%
Q4 2017+0.0%-1.9%+3.7%
Q3 2017-4.9%-1.3%-8.4%
Q2 2017+5.7%+2.5%+9.4%
Q1 2017-2.9%+0.2%+1.2%
Q4 2016-2.8%+1.3%+1.5%
Q3 2016-2.7%+3.1%+10.8%
Q2 2016-7.4%-13.2%-20.2%
Q1 2016-1.4%
Q4 2015-4.2%
Q3 2015+5.1%
Q2 2015+2.3%
Q1 2015+4.5%
Q4 2014+2.3%
Q3 2014-3.9%
Q2 2014+7.7%
Q1 2014-2.9%
Q4 2013+18.7%
Q3 2013-10.7%
Q2 2013-1.7%
Q1 2013+1.7%
Q4 2012+7.4%
Q3 2012+10.8%
Q2 2012-8.8%
Q4 2011-8.8%
Q1 2012+1.3%
Q3 2011-21.6%
Q2 2011-6.5%
Q1 2011+0.9%
Q4 2010-0.3%
Q3 2010-2.4%
Q2 2010-3.6%
Q1 2010-9.6%

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