Thank you for contacting Raptor and for your concern regarding the price action in the market today.
Raptor had never issued guidance for sales or expenses for 2014 until yesterday in its earnings release which was discussed on the webcast and conference call. Relative to that guidance, some of the sell side analysts had sales estimates for PROCYSBI that were on the high side coupled with expenses that were on the low side. This has resulted in resetting the bar for financial expectations for 2014 and the share price is reflecting that change.
The company continues to move forward with its commercialization of PROCYSBI in the U.S. and penetration of the market. Its commercial operations in the EU are being put in place and the first product rollout is expected in Germany during 2Q2014, with additional markets scheduled for later in the year. Potential new indications for RP103 are being studied in clinical trials, and additional studies are planned to begin later this year. There are numerous potential events in the future that could demonstrate continuing progress for Raptor.
The team at Raptor is working hard to achieve these objectives.
Robert H. Uhl
I've never owed this stock, before today.
seen the big drop. read up on company, liked what I read.
sales were stronger then expected, they just need to manage cost.
shorts will start covering.
Sentiment: Strong Buy
and demand they respond to this attack by short sellers. I in turn will have the hedge fund investigated and maybe even have their license revoked for trading.
I work for the SEC and will take this to the top if you post false data. For longs go ahead and report this stock and trans # to the SEC for manipulation. They must investigate if caused by a hedge fund.....My name is Phillip Michaels and I am making you that promise.
In today report by Zacks Equity Research, Raptor has 236 prescription for its Procysbi at $10.2 million. That is about $43,200 per prescription.
In a FDA new release "FDA approves Procysbi for rare genetic condition" on April 30 2103, it states that there are about 500 patients in US and 3,000 worldwide (which I presume include the 500 patients in US). “Procysbi is the only delayed-release product approved by FDA to treat nephropathic cystinosis, offering patients with this rare disease an important new treatment option,” said Andrew E. Mulberg, M.D., deputy director, Division of Gastroenterology and Inborn Errors Products, Center for Drug Evaluation and Research, FDA.
The total market is 3,000 x $43,200 = $129.6 million. Thus, Raptor still have plenty of upside.
While Raptor post a 22-cent loss vs estimate 17-cent, it has a working drug that has brought in $17 million vs estimates of $16. Also,Procysbi has already been approved in both US and EU market.
Financial-wise, Raptor seems to be doing well - R&D is only $7.8m vs $8.9m before. That's a saving of $1.1m. Also for its SG&A expenses, it has increased to $12.4m from previous $8.9m, which is $3.5m more but it goes in-line with the trying to bring Procysbi.into the market.
Still, Raptor expenses is higher than its prescription revenue of $10.2m. Raptor will only break-even if it even reach out to all 500 US patients, but it will only start to make money only after 500th patient. Clearly, Raptor management needs to cut unnecessary cost, and should prudently manage research cost for the remaining pipelines. However, Raptor still have cash in bank, which I believe will last it 3-4 years, for RP-103 trials.
Sentiment: Strong Buy