Acorda Therapeutics(US:ACOR)2023-05-10 16:00Financial Performance - U.S. net revenue for Inbrija was $5.6 million for the quarter ended March 31, 2023, compared to $3.7 million for the same quarter in 2022, representing a 51.35% increase[128]. - U.S. net revenue for Ampyra was $12.6 million for the quarter ended March 31, 2023, down from $14.9 million for the same quarter in 2022, indicating a decline of 15.43%[131]. - Net revenues for ex-U.S. Inbrija sales were $0.5 million for the quarter ended March 31, 2023[129]. - The company incurred a net loss of $16.8 million for the three-month period ended March 31, 2023[176]. - Royalty revenues decreased to $3.5 million for the quarter ended March 31, 2023, compared to $4.0 million in the same quarter of 2022, a decrease of 12.5%[164]. - The company recorded a gain of $1.0 million related to changes in the fair value of acquired contingent consideration for the quarter ended March 31, 2023, compared to a gain of $3.0 million in the same quarter of 2022[172]. Cash and Cash Equivalents - The company had cash, cash equivalents, and restricted cash of approximately $37.8 million as of March 31, 2023[145]. - As of March 31, 2023, the company had $30.3 million in cash and cash equivalents, down from $37.5 million at December 31, 2022[176]. - As of March 31, 2023, cash and cash equivalents were approximately $30.3 million, down from $37.5 million at December 31, 2022, and do not include $57.5 million of restricted cash[189]. - The company anticipates that existing cash and cash equivalents will cover cash flow requirements for at least the next twelve months[181]. Expenses - The company recorded a cost of sales of $3.2 million for the quarter ended March 31, 2023, down from $6.0 million in the same quarter of 2022[165]. - Research and development expenses decreased to $1.4 million for the quarter ended March 31, 2023, a reduction of approximately 17.6% from $1.7 million in the same quarter of 2022[166]. - General and administrative expenses decreased to $12.8 million for the quarter ended March 31, 2023, down 23.8% from $16.8 million in the same quarter of 2022[168]. Agreements and Partnerships - The company has entered into agreements to commercialize Inbrija in Spain, Germany, Latin America, and China, with a €5 million (approximately $5.9 million) upfront payment from Esteve Pharmaceuticals[150]. - In May 2023, the company entered into a distribution agreement with Hangzhou Chance Pharmaceuticals for the exclusive distribution of Inbrija in China, receiving a non-refundable upfront payment of $2.5 million and potential milestone payments totaling up to $141.5 million[152]. Manufacturing and Operational Changes - The new manufacturing services agreement with Catalent includes reduced minimum annual commitments of $10.5 million and $15.5 million for 2023 and 2024, respectively[137]. - The company is obligated to pay a $4 million termination fee to Catalent, payable in April 2024, following the termination of the previous manufacturing services agreement[136]. Market and Compliance Issues - The COVID-19 pandemic has caused volatility in new Inbrija prescriptions, impacting the company's business and financial condition[146]. - The company received notice of non-compliance with Nasdaq's listing requirements due to stock price falling below $1.00 for over 30 consecutive trading days, with a deadline to regain compliance by June 20, 2023[180]. - The company has committed to effecting a reverse stock split if compliance with the Minimum Bid Requirement is not achieved by the deadline[180]. Debt and Financial Obligations - The 2024 Convertible Senior Secured Notes have an aggregate principal amount of $207.0 million, with a semi-annual interest rate of 6.00%[182]. - The 2024 Notes will mature on December 1, 2024, unless converted earlier, and interest payments will be made in cash following the June 1, 2023 payment[183]. - The company has restrictions under the 2024 Indenture that limit its ability to pay dividends, incur additional debt, or sell assets[185]. Market Potential - Approximately 40% of people with Parkinson's in the U.S. experience OFF periods, with an estimated one million diagnosed in the U.S. and 1.2 million in Europe[128]. - The ARCUS platform allows for the delivery of substantially higher doses of medication than conventional dry powder technologies, enhancing the potential for inhaled therapeutics[147].