Core Insights - PTC Therapeutics reported a quarterly loss of $1.39 per share, which was better than the Zacks Consensus Estimate of a loss of $1.54, marking an earnings surprise of 9.74% [1] - The company generated revenues of $196.79 million for the quarter ended September 2024, exceeding the Zacks Consensus Estimate by 13.41% and showing a slight increase from $196.58 million year-over-year [2] - PTC Therapeutics shares have appreciated approximately 56.7% year-to-date, outperforming the S&P 500's gain of 24.3% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$1.64 on revenues of $167.26 million, while for the current fiscal year, it is -$5.28 on revenues of $731.88 million [7] - The estimate revisions trend for PTC Therapeutics is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market [6] Industry Context - The Medical - Drugs industry, to which PTC Therapeutics belongs, is currently ranked in the top 33% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Another company in the same industry, Theravance Biopharma, is expected to report a quarterly loss of $0.10 per share, reflecting a significant year-over-year decline of 900% [9]

Financial Performance - Total revenue for Q3 2024 was $196.8 million, slightly up from $196.6 million in Q3 2023[4] - DMD franchise revenue for Q3 2024 was $124 million, with Translarna™ generating $72 million and Emflaza® generating $52 million[3] - Full-year revenue guidance for 2024 has been raised to between $750 million and $800 million[7] - Net loss for Q3 2024 was $106.7 million, an improvement from a net loss of $133.0 million in Q3 2023[6] - Royalty revenue for Q3 2024 was $61.4 million, compared to $52.5 million in Q3 2023[4] Research and Development - GAAP R&D expenses for Q3 2024 were $161.4 million, down from $164.2 million in Q3 2023, reflecting strategic portfolio prioritization[6] - Projected GAAP R&D and SG&A expense ranges from $740 million to $835 million for the upcoming year[12] - Projected non-GAAP R&D and SG&A expense is estimated between $660 million and $755 million[12] - PTC plans to submit an NDA for vatiquinone for Friedreich ataxia in December 2024[5] - PTC received Fast Track Designation for the PTC518 Huntington's disease program[5] - The company is actively involved in the development of new products, including Upstaza and sepiapterin, with expectations for regulatory submissions and potential approvals[18] - PTC emphasizes the importance of clinical trial outcomes and regulatory approvals for its product candidates[19] - PTC does not guarantee that any product will receive or maintain regulatory approval or prove commercially successful[19] Financial Position - Cash, cash equivalents, and marketable securities totaled $1,013.4 million as of September 30, 2024, up from $876.7 million at the end of 2023[6] - Total liabilities were $2,896.6 million as of September 30, 2024, compared to $2,714.3 million at the end of 2023[10] Strategic Focus - The company is focused on the commercialization of products for rare disorders, aiming to provide access to best-in-class treatments[15] - PTC's strategy includes leveraging strong scientific expertise and global commercial infrastructure to maximize value for stakeholders[15] - PTC is prioritizing its strategic pipeline and has announced reductions in workforce to optimize operations[18] Market Risks - The company faces risks related to pricing, coverage, and reimbursement negotiations for its products[18] - PTC's marketing authorization for Translarna in various regions is under scrutiny, with potential impacts on future revenue[18]

Wall Street analysts expect PTC Therapeutics (PTCT) to post quarterly loss of $1.54 per share in its upcoming report, which indicates a year-over-year increase of 12.5%. Revenues are expected to be $173.51 million, down 11.7% from the year-ago quarter.Over the last 30 days, there has been a downward revision of 2.2% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this t ...

- Opinion to be reviewed by European Commission - WARREN, N.J., Oct. 18, 2024 /PRNewswire/ -- PTC Therapeutics, Inc. (NASDAQ: PTCT) announced today that the Committee for Medicinal Products for Human Use (CHMP) of the European Medicines Agency has maintained its negative opinion on the renewal of the conditional marketing authorization of Translarna™ (ataluren) for the treatment of nonsense mutation Duchenne Muscular Dystrophy (nmDMD) following reexamination. The opinion will now be reviewed by the European ...

Financial Data and Key Metrics - Q2 2024 total revenue was $187 million, with DMD franchise revenue contributing $118 million [4] - Translarna net product revenue for Q2 was $70 million, while EMFLAZA net product revenue was $47 million [17] - Royalty revenue from Evrysdi was $53 million, driven by Roche's global revenue of $535 million [17] - Non-GAAP R&D expense was $123 million, down from $170 million in Q2 2023, reflecting strategic portfolio prioritization [17] - Non-GAAP SG&A expense was $60 million, compared to $75 million in Q2 2023 [17] - Cash, cash equivalents, and marketable securities totaled $1.09 billion as of June 30, 2024, up from $877 million at the end of 2023 [18] Business Line Performance - DMD franchise delivered $118 million in Q2, with Translarna commercialization ongoing in Europe and international markets [11] - EMFLAZA net revenue was $47 million in Q2, supported by patient programs and strong payer relationships [12] - Sepiapterin NDA submitted to the FDA for PKU treatment, with plans for global launch in 2025 [6] - Translarna NDA resubmitted to the FDA, with positive results from Study 41 supporting the submission [7] - PTC518 for Huntington's disease showed promising 12-month interim data, with dose-dependent lowering of mutant Huntington protein and favorable clinical effects [7][8] Market Performance - Translarna commercialization continues in Europe and international markets, with new group purchase orders in Brazil [11] - Sepiapterin launch preparations are underway, with submissions planned for Japan, Brazil, and other countries in 2024 [6][12] - Upstaza received FDA priority review with a target action date of November 13, 2024, and global access discussions are progressing [15] - TEGSEDI and WAYLIVRA showed growth in Latin America, with recent approval in Mexico and new group purchase orders in Brazil [16] Strategic Direction and Industry Competition - Focus on execution and achieving regulatory milestones, including NDA submissions for sepiapterin, Translarna, and Vatiquinone [4][9] - Sepiapterin is positioned as a potential new standard of care for PKU, with data supporting differentiation from current therapies [13] - PTC518 is seen as a promising therapy for Huntington's disease, with plans to pursue accelerated approval based on biomarker and clinical data [8][29] - Utreloxastat for ALS is expected to address significant unmet needs, with top-line results from the CARDINALS trial anticipated in Q4 2024 [9][40] Management Commentary on Operating Environment and Future Outlook - Management highlighted strong execution across all areas, with solid revenue performance and effective expense management [4] - The company updated 2024 revenue guidance to $700 million to $750 million, driven by sustained Translarna revenue in Europe [16] - Management expressed confidence in the potential of sepiapterin, PTC518, and Vatiquinone to address unmet medical needs and drive future growth [6][8][9] Other Important Information - The company completed the sale of its gene therapy manufacturing business in Hopewell, New Jersey, receiving $27.5 million upfront and reducing operational expenses [5] - PTC amended its agreement with Royalty Pharma, exercising a put option for $250 million in cash [18] Q&A Session Summary Question: Huntington's Disease Biomarkers and Safety - PTC518 has shown no evidence of NFL spikes, indicating a favorable safety profile, with dose-dependent lowering of mutant Huntington protein and early clinical benefits [20][21][22] Question: PKU Launch Expectations - Sepiapterin launch is expected to have a fast uptake, particularly in the US, due to well-defined patient identification through newborn screening and strong preparation [23][24] Question: Revenue Guidance and Regulatory Path for PTC518 - Revenue guidance was updated due to sustained Translarna revenue in Europe, with the majority of revenue coming from PTC-marketed products [31] - PTC is preparing for FDA discussions on accelerated approval for PTC518, with plans to submit a Phase III efficacy trial design [26][29] Question: Translarna Regulatory Status in Europe and US - Translarna reexamination in Europe is ongoing, with a focus on addressing concerns around the STRIDE analysis [33] - Translarna NDA resubmission in the US is under review, with expectations of regulatory action within six months [34] Question: ALS Trial Expectations - The CARDINALS trial for utreloxastat in ALS is designed to support NDA submission, with success defined as statistically significant primary endpoint results [39][40] Question: Huntington's Disease Biomarker Correlation - Huntington protein lowering is the most reliable biomarker for clinical benefit, with evidence supporting its use as a surrogate endpoint for accelerated approval [43][44] Question: ALS Trial Design and FDA Expectations - The CARDINALS trial design aligns with FDA expectations, incorporating ALSFRS scale changes and time to death as key endpoints [47] Question: Translarna US Market Opportunity - Translarna is expected to have a rapid uptake in the US, driven by high unmet medical need and strong physician and patient demand [52][53][54] Question: SG&A Expenses and Vatiquinone Data - No significant increase in SG&A expenses is expected for 2025, as the company has built infrastructure to support multiple launches [58][59] - Vatiquinone data from the MOVE FA study will be shared once the long-term analysis is completed [60] Question: Huntington's Disease Surrogate Biomarkers - PTC believes Huntington protein lowering fits FDA guidance for surrogate endpoints, with strong scientific evidence supporting its use [64][65]

Financial Performance - Translarna generated $70.4 million in net sales during the quarter ended June 30, 2024[179]. - Emflaza achieved $47.3 million in net sales for the same quarter[179]. - Net product revenues for Q2 2024 were $133.2 million, a decrease of $41.4 million, or 24%, from $174.6 million in Q2 2023, primarily due to lower sales of Translarna and Emflaza[234]. - Emflaza net product revenues decreased by $18.4 million, or 28%, to $47.3 million in Q2 2024, driven by the expiration of orphan drug exclusivity[235]. - Translarna net product revenues were $70.4 million in Q2 2024, down $26.1 million, or 27%, compared to $96.5 million in Q2 2023, attributed to the timing of bulk government orders[235]. - Net product revenues for the six months ended June 30, 2024, were $310.8 million, a decrease of $51.3 million, or 14%, from $362.1 million in the same period of 2023[247]. - Net product sales outside of the United States for the three months ended June 30, 2024, were $85.9 million, a decrease of 21.1% compared to $108.9 million in the same period of 2023[212]. - Net product sales in the United States for the three months ended June 30, 2024, were $47.3 million, down 28.0% from $65.7 million in the same period of 2023[212]. Regulatory Developments - The marketing exclusivity period for Emflaza related to DMD in patients aged five years and older expired in February 2024, expected to negatively impact revenue[186]. - Upstaza received approval from the EC for AADC deficiency treatment in July 2022 and the FDA accepted its BLA for review with a target action date of November 13, 2024[189]. - The CHMP issued a negative opinion on the renewal of Translarna's conditional marketing authorization, which is currently under re-examination[182]. - The company plans to submit regulatory applications for sepiapterin in Japan and Brazil later in 2024[195]. - The MAA submission for sepiapterin was validated by the EMA, triggering a $15.0 million regulatory milestone payment[207]. - A BLA for gene therapy for AADC deficiency was submitted to the FDA in March 2024, with priority review granted and a target action date of November 13, 2024[275]. - The MAA for sepiapterin for PKU was validated by the EMA in May 2024, triggering a $15 million regulatory milestone payment[280]. - The company expects to make additional payments of $50 million upon achieving regulatory milestones related to sepiapterin in 2024[280]. - As of June 30, 2024, potential remaining regulatory milestones for Upstaza are estimated at $11.1 million, with potential sales milestones of $50 million[280]. Research and Development - Sepiapterin demonstrated a 63% reduction in blood Phe levels in the primary analysis population during its Phase 3 trial for phenylketonuria[192]. - PTC518 demonstrated a mean 30% reduction in mutant HTT levels at the 10mg dose level during the Phase 2 study for Huntington's disease[196]. - Vatiquinone showed significant benefits on key disease subscales and secondary endpoints in the MOVE-FA trial, despite not meeting the primary endpoint[197]. - The company plans to submit an NDA for vatiquinone in late 2024 based on the MOVE-FA trial data[197]. - Utreloxastat was well-tolerated in a Phase 1 trial, and a Phase 2 trial for ALS is expected to yield topline results in Q4 2024[197]. - Research and development expenses for the three months ended June 30, 2024, were $132.2 million, a decrease of 29.0% from $185.9 million in the same period of 2023[225]. - Total research and development expenses for the six months ended June 30, 2024, were $248.3 million, down 34.8% from $381.0 million in the same period of 2023[225]. - Research and development expense was $248.3 million for the six months ended June 30, 2024, a decrease of $132.7 million, or 35%, from $381.0 million for the same period in 2023[254]. Financial Position and Cash Flow - The company has an accumulated deficit of $3,474.3 million as of June 30, 2024, with a net loss of $190.8 million for the six months ended June 30, 2024[204]. - As of June 30, 2024, the company had cash, cash equivalents, and marketable securities of $1.09 billion[270]. - Net cash used in operating activities was $0.7 million for the six months ended June 30, 2024, compared to $43.6 million for the same period in 2023, primarily due to clinical development and commercial activities, offset by a $100 million sales milestone from Evrysdi[272]. - Net cash used in investing activities increased to $180.9 million for the six months ended June 30, 2024, from $52.7 million in the same period of 2023, mainly for product rights acquisition and marketable securities[273]. - Net cash provided by financing activities rose significantly to $247.0 million for the six months ended June 30, 2024, compared to $22.6 million in 2023, driven by proceeds from sales of future royalties and employee stock purchase plans[274]. Operational Challenges and Future Outlook - The company expects to incur significant expenses related to commercialization efforts and ongoing clinical trials[205]. - The company may seek to expand its product pipeline through in-licensing or acquisitions, which could increase future capital requirements[206]. - The company anticipates ongoing significant expenses related to commercialization efforts in various regions, including the U.S. and EEA, and costs for clinical trials and studies for sepiapterin and other programs[275]. - The company has never been profitable and will need to generate significant revenues to achieve and sustain profitability, potentially requiring substantial additional funding[282]. - If unable to raise additional funds, the company may need to delay or reduce product development and commercialization efforts[283].

Core Insights - Analysts project that PTC Therapeutics (PTCT) will report a quarterly loss of $1 per share, marking a 62.4% increase in losses year over year, with revenues expected to decline by 10.1% to $192.12 million [1] - The consensus EPS estimate has been revised upward by 2% in the past 30 days, indicating a reassessment of earnings projections by covering analysts [2] - Changes in earnings projections are crucial for predicting investor reactions, as empirical studies show a strong correlation between earnings estimate trends and short-term stock price movements [3] Revenue Estimates - Analysts estimate that 'Revenues- Net product revenue' will be $134.09 million, reflecting a decrease of 23.2% from the same quarter last year [5] - The consensus for 'Revenues- Royalty revenue' is projected at $57.75 million, indicating an increase of 56.7% year over year [5] - 'Revenues- Net product revenue- Emflaza' is expected to reach $47.55 million, showing a decline of 28% from the prior-year quarter [5] - 'Revenues- Net product revenue- Translarna' is anticipated to be $83.86 million, representing a decrease of 12.6% year over year [6] Stock Performance - Over the past month, PTC Therapeutics shares have experienced a return of -2.3%, compared to a -6.7% change in the Zacks S&P 500 composite [6] - Based on its Zacks Rank 3 (Hold), PTCT is expected to perform in line with the overall market in the near future [6]

Core Viewpoint - PTC Therapeutics has submitted a New Drug Application (NDA) for sepiapterin to the U.S. FDA, aimed at treating both pediatric and adult patients with phenylketonuria (PKU) [1][2]. Group 1: NDA Submission and Clinical Data - The NDA submission is a significant milestone for providing treatment options for PKU patients in the U.S. [2] - The NDA is supported by data from the phase 3 APHENITY trial, which showed a mean reduction in phenylalanine (Phe) levels of 63% in the overall treated population and 69% in subjects with classical PKU [2] - 84% of subjects achieved Phe control under treatment guidelines of <360 µmol/L, and 22% of subjects normalized their Phe levels [2] - The NDA also includes data from the APHENITY open-label extension study, demonstrating the durability of sepiapterin's effects [2] Group 2: Phe Tolerance and Quality of Life - Approximately 60% of subjects in the Phe tolerance sub-study were able to consume protein above the age-adjusted recommended daily allowance while maintaining Phe levels <360 µmol/L [2] - The ability to liberalize diets is expected to enhance patient quality of life and facilitate physician adoption and payer acceptance [2] Group 3: Global Regulatory Status - The European marketing authorization application for sepiapterin is currently under review, with applications for Japan and Brazil expected later in 2024 [3] Group 4: Product Information - Sepiapterin is an oral formulation of synthetic sepiapterin, a precursor to tetrahydrobiopterin, which is essential for the metabolism of various metabolic products [4] - It is considered more bioavailable than exogenously administered synthetic BH4, potentially benefiting a wide range of PKU patients [4] Group 5: Background on PKU - Phenylketonuria (PKU) is a rare inherited metabolic disorder that can lead to severe disabilities if untreated, affecting approximately 58,000 individuals globally [5]

Investors: Kylie O'Keefe +1 (908) 300-0691 [email protected] SOURCE PTC Therapeutics, Inc. WARREN, N.J., July 25, 2024 /PRNewswire/ -- PTC Therapeutics, Inc. (NASDAQ: PTCT) today announced that the company will host a webcast conference call to report its second quarter 2024 financial results and provide an update on the company's business and outlook on Thursday, Aug. 8, at 4:30 p.m. EDT. To access the call by phone, please click here to register and you will be provided with dial-in details. To avoid dela ...

While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. Estimate Revisions Trend Earnings Whisper A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive s ...