Why Is Sarepta Therapeutics (SRPT) Up 26.4% Since Last Earnings Report?

Core Insights - Sarepta Therapeutics reported a third-quarter 2025 adjusted loss of $0.13 per share, missing the Zacks Consensus Estimate of $0.01 EPS, compared to an adjusted EPS of $0.43 in the same period last year [3][4] - Total revenues for the quarter were $399.4 million, down nearly 15% year over year, primarily due to lower sales of Elevidys, but still beating the Zacks Consensus Estimate of $352.6 million [4][5] - The company generated $131.5 million from Elevidys sales, a 27% decline year over year, attributed to the suspension of shipments to non-ambulatory patients amid safety concerns, yet this figure exceeded both the Zacks Consensus Estimate of $107 million and model estimates of $120 million [6][4] Financial Performance - Product revenues fell 14% year over year to $370.0 million, with $238.5 million generated from three PMO therapies, down 4% year over year, but beating estimates [5][4] - Collaboration and other revenues associated with Elevidys supply to Roche were approximately $29.3 million, down nearly 22% year over year due to reduced shipment volumes [7] - Adjusted R&D expenses totaled $206.5 million, up 3% year over year, while adjusted SG&A expenses declined 23% to $77.1 million due to a restructuring plan [8] Guidance and Outlook - Sarepta expects at least $500 million in annual revenue from Elevidys infusions in the ambulant population for 2025, with fourth-quarter infusion volumes anticipated to be flat to slightly down [9] - The company projects combined adjusted SG&A and R&D expenses of $420-$430 million for the full year, including a $200 million milestone payment to Arrowhead Pharmaceuticals [10] - Recent estimates have trended downward, with a consensus estimate shift of -10.82% over the past month, indicating a downward shift in expectations [12][14] Industry Context - Sarepta Therapeutics is part of the Zacks Medical - Biomedical and Genetics industry, where Bristol Myers Squibb reported revenues of $12.22 billion for the last quarter, reflecting a year-over-year change of +2.8% [15] - Bristol Myers is expected to post earnings of $1.65 per share for the current quarter, representing a year-over-year change of -1.2% [16]