Amphastar Pharmaceuticals(US:AMPH)2024-08-09 20:15Financial Position - Total current assets as of June 30, 2024, are $482,645,000, a decrease from $489,600,000 as of December 31, 2023[18] - Total liabilities decreased to $778,176,000 from $873,491,000, a reduction of 10.9%[19] - The company reported total assets of $1,491,522,000 as of June 30, 2024, down from $1,512,912,000 at the end of 2023[18] - Total equity increased to $713,346,000 from $639,421,000, marking a rise of 11.5%[20] - The current portion of long-term debt decreased to $249,000 from $436,000, a decline of 42.8%[19] - As of June 30, 2024, the total debt stood at $599,741 thousand, a slight decrease from $603,790 thousand on December 31, 2023[113] Revenue and Income - Total net revenues for the three months ended June 30, 2024, were $182,394 thousand, a 25.1% increase from $145,712 thousand for the same period in 2023[21] - Net income for the three months ended June 30, 2024, was $37,949 thousand, a 45.2% increase compared to $26,124 thousand for the same period in 2023[24] - Basic net income per share for the three months ended June 30, 2024, was $0.77, up from $0.54 for the same period in 2023, indicating a 42.6% increase[21] - Total net revenues for the six months ended June 30, 2024, reached $354,230 thousand, compared to $285,734 thousand for the same period in 2023, indicating a 24.0% increase[21] - Net income for the six months ended June 30, 2024, was $81,126, compared to $52,156 for the same period in 2023, representing a 55.6% increase[29] Expenses - Operating expenses for the three months ended June 30, 2024, totaled $39,949 thousand, an increase from $35,842 thousand in the same period of 2023, reflecting an 8.6% rise[21] - Research and development expenses increased to $17,652 thousand for the three months ended June 30, 2024, up from $16,843 thousand in the same period of 2023, representing a 4.8% increase[21] - Selling, distribution, and marketing expenses increased by 34% to $9,012, primarily due to expanded marketing efforts for BAQSIMI®[186] - Research and development expenses totaled $17,652, a 5% increase from $16,843, mainly due to higher salary and personnel-related costs[187] Cash Flow - Net cash provided by operating activities increased to $124,400 for the six months ended June 30, 2024, up from $95,305 in the prior year, reflecting a 30.6% growth[29] - The company experienced a net cash used in investing activities of $54,666 for the six months ended June 30, 2024, compared to $514,915 in the previous year, indicating a substantial decrease in cash outflow[29] - The company reported a principal payment of $8,107 on long-term debt for the six months ended June 30, 2024, compared to $68,432 in the prior year, showing a significant reduction in debt repayment[29] Acquisitions and Investments - The acquisition of BAQSIMI® resulted in a cash outflow of $129,000, compared to $500,829 in the previous year, indicating a significant reduction in investment[29] - The total purchase price for the BAQSIMI® acquisition was allocated to acquired assets totaling $628.1 million, with $591.3 million attributed to BAQSIMI® product rights[60] - The Company has not triggered any sales milestones for additional contingent consideration of up to $575.0 million related to the BAQSIMI® acquisition as of June 30, 2024[61] Market and Product Performance - The company anticipates increased revenues from the newly acquired product BAQSIMI®[15] - Finished pharmaceutical products segment net revenues for the three months ended June 30, 2024, were $178.9 million, up from $142.9 million in the same period of 2023, reflecting a growth of 25.2%[83] - Sales of epinephrine surged by 47% to $54.05 million, driven by increased unit volumes due to competitor shortages[195] - The company manufactures and sells over 25 products, with major products including BAQSIMI®, Primatene MIST®, and glucagon[166] Shareholder Actions - The Company repurchased 207,288 shares for a total of $8.5 million during the three months ended June 30, 2024, compared to 3,585 shares for $0.1 million in the same period of 2023[132] - The Board of Directors authorized a $50.0 million increase to the share buyback program, bringing the total authorized amount to $335.0 million since inception[136] Tax and Regulatory - The income tax provision for the three months ended June 30, 2024, was $12,294 thousand, resulting in an effective tax rate of 24.5%, up from 19.5% in the same period of 2023[129] - The effective tax rate rose to 24% from 19%, influenced by changes in pre-tax income and timing of discrete tax items[192] Strategic Initiatives - The company is focused on expanding internationally and integrating new assets, including BAQSIMI®[15] - The FDA approved the company's Albuterol Sulfate Inhalation Aerosol in May 2024, with plans to launch in Q3 2024[169] - The company has made several strategic acquisitions to enhance its manufacturing and R&D capabilities[167] Economic Environment - Recent macroeconomic conditions, including inflation and geopolitical conflicts, pose challenges to the company's business operations[168]