Amarin's Q3 Earnings Lag Estimates, Revenues Beat, Stock Down

Core Insights - Amarin Corporation (AMRN) reported adjusted earnings of 1 cent per share for Q3 2025, missing the Zacks Consensus Estimate of 8 cents per share, compared to an adjusted loss of 5 cents per share in the same quarter last year [1][7] - Total revenues for Q3 were $49.7 million, exceeding the Zacks Consensus Estimate of $43 million, and representing a 17% increase year-over-year due to higher product sales in the U.S. [2][7] Financial Performance - The reported earnings excluded stock-based compensation and restructuring expenses; including these, the company incurred a loss of 2 cents per share in Q3 2025, an improvement from a loss of 6 cents per share in the prior year [2] - Net product revenues from Vascepa, the company's sole marketed drug, were $48.6 million, a 16% year-over-year increase, with U.S. product revenues totaling $40.9 million, surging 34% from the previous year [4][7] - Revenues from the European market for Vazkepa totaled $4.1 million, down 5% year-over-year, attributed to the transition to a fully partnered model with Recordati [5] - Revenues from the rest of the world were $3.6 million, down 48% year-over-year, while licensing and royalty revenues increased by 149% to $1.1 million [8] Cost Management - Selling, general, and administrative expenses decreased by 47% year-over-year to $19.7 million, reflecting the impact of recent restructuring and cost optimization efforts [8] - Research and development expenses totaled $4.2 million, down 7% year-over-year [9] Strategic Developments - Amarin signed a long-term license and supply agreement with Recordati to commercialize Vazkepa across 59 countries in the EU, which is expected to accelerate growth in the European market [10][11] - The company initiated a global restructuring expected to deliver approximately $70 million in cost savings over the next year [10] Market Reaction - Following the earnings announcement, Amarin's shares fell by 11.3% on October 29, although the stock has rallied 73.3% year-to-date compared to the industry's increase of 10.8% [3]