NASDAQ$NBIX

Neurocrine Biosciences Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Neurocrine Biosciences reported Q4 2020 financial results with total annual revenues growing 33% to over $1 billion and INGREZZA net product sales reaching $993 million.

Neurocrine Biosciences announced its Q4 and full-year 2020 financial results, highlighting a non-cash tax benefit of $296 million. INGREZZA net product sales for the fourth quarter were $240 million. The company is planning to initiate eight mid-to-late stage clinical studies in 2021.

  • Total revenues for the fourth quarter were $247.9 million, compared to $244.1 million for the same period in 2019.
  • GAAP net income for the fourth quarter was $347.9 million, or $3.58 per share, compared to $34.0 million, or $0.35 per share, for the fourth quarter of 2019.
  • Non-GAAP net income for the fourth quarter was $88.1 million, or $0.91 per share, compared to $102.2 million, or $1.05 per share, for the fourth quarter of 2019.
  • INGREZZA net product sales for Q4 2020 were $240 million, a 1% increase compared to Q4 2019.

Headline financials

Total Revenue

$248M

Previous: $244M+1.6%
EPS (adj)

$0.91

Previous: $1.05-13.3%
GAAP R&D Expense

$66.7M

Previous: $740M-91.0%
GAAP SG&A Expense

$107M

Previous: $740M-85.6%
Capital Expenditures

$4.5M

Previous: $2.81M+60.0%
Free Cash Flow

$84.4M

Previous: $99.7M-15.4%
Net Income

$348M

Previous: $34M+923.2%
Operating Income

$71.8M

Previous: $48.8M+47.1%
Gross Profit

$245M

Previous: $242M+1.4%
Cash & Equivalents

$801M

Previous: $970M-17.4%
Total Assets

$1.73B

Previous: $1.31B+32.8%
Stock-Based Comp

$21M

Previous: $21.3M-1.5%

Revenue & EPS history

Neurocrine Biosciences · Revenue · Quarterly

$248M

Q4 2020+1.6%vs Q4 2019
Beat estimate in 7 of 16 quarters(44%)
ActualEstimate

Revenue by segment

Neurocrine Biosciences · $240M total across 1 segment · Q4 2020

  • INGREZZA Net Product Sales
    $240M+0.8%

Forward guidance

Neurocrine Biosciences provided full-year 2021 financial expense guidance, anticipating increased investment in R&D and marketing costs. The company expects combined GAAP R&D and SG&A expenses to be between $800 million and $850 million.

Tailwinds

  • Increased investment in R&D expense, including collaboration programs.
  • Planned initiation of eight mid-to-late-stage clinical studies.
  • Increased investment in INGREZZA and ONGENTYS marketing costs.
  • No federal cash tax is expected in 2021 based upon a net operating loss position of approximately $500 million entering 2021.
  • Marketing Authorization with Ministry of Health and Welfare in Japan for Tardive Dyskinesia.

Headwinds

  • GAAP-only guidance includes approximately $125 million of share-based compensation.
  • GAAP-only guidance does not include any potential milestones or in-process research and development costs associated with current collaborations or future business development activities.
  • Potential impact of COVID-19 on business operations.
  • Dependence on third parties for development and manufacturing activities.
  • Risks that clinical development activities may not be initiated or completed on time or at all.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

-0.3%

Avg return

Earnings day

+1.1%

Avg return

5 days after

+1.6%

Avg return

30 days after

45%

29 / 65 earnings

Positive

+17.2%

Q3 2017

Best reaction

-18.5%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.8%+11.5%+21.3%
Q4 2025-10.4%-7.0%-5.6%
Q3 2025-6.3%-3.7%+3.2%
Q1 2025+8.3%+5.4%+13.5%
Q4 2024-18.5%-22.1%-24.9%
Q3 2024+3.5%+3.7%+9.1%
Q2 2024+8.2%+2.9%-10.2%
Q1 2024+1.7%+3.0%-1.5%
Q4 2023-6.0%-8.8%-2.6%
Q3 2023+4.1%+5.0%+8.8%
Q2 2023+2.2%-0.3%+6.9%
Q1 2023-7.4%-5.4%-10.8%
Q4 2022-5.6%-6.2%-11.1%
Q3 2022+6.0%+5.8%+9.7%
Q2 2022+10.6%+14.5%+9.5%
Q1 2022-3.9%-14.6%+7.7%
Q4 2021+8.7%+7.9%+12.2%
Q3 2021-9.3%-11.6%-23.4%
Q2 2021-2.8%-6.6%+0.4%
Q1 2021-2.3%-0.3%+3.2%
Q4 2020+3.1%+2.6%-17.3%
Q3 2020-9.1%-4.5%-4.5%
Q2 2020-0.2%-4.4%-3.7%
Q1 2020+7.0%+11.6%+13.8%
Q4 2019+2.0%+3.5%-5.4%
Q3 2019-1.2%+6.9%+14.4%
Q2 2019+9.7%+7.5%+11.3%
Q1 2019-6.7%+2.0%+1.4%
Q4 2018-4.6%-4.6%-12.9%
Q3 2018-8.0%-9.0%-25.5%
Q2 2018+14.7%+17.2%+23.3%
Q1 2018+3.3%+1.5%+17.1%
Q4 2017+3.9%+3.7%+11.6%
Q3 2017+17.2%+20.0%+18.5%
Q2 2017+10.2%+10.5%+17.4%
Q1 2017+3.4%+3.8%-15.3%
Q4 2016+0.7%+4.5%+7.2%
Q3 2016-10.0%-1.1%-3.1%
Q2 2016-0.7%-3.6%-2.0%
Q1 2016-0.1%
Q4 2015+6.9%
Q3 2015-4.5%
Q2 2015-3.7%
Q1 2015-4.4%
Q4 2014+5.7%
Q3 2014-4.9%
Q2 2014-2.3%
Q1 2014-3.5%
Q4 2013+1.3%
Q3 2013-6.3%
Q2 2013+0.5%
Q1 2013+2.3%
Q4 2012+6.5%
Q3 2012-1.7%
Q2 2012-9.6%
Q1 2011-3.2%
Q1 2012-3.2%
Q4 2011-8.0%
Q4 2009-8.0%
Q3 2010+13.7%
Q3 2011+13.7%
Q4 2010-6.5%
Q2 2010-6.5%
Q2 2011-6.5%
Q1 2010-1.5%

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