Corcept (CORT) Q4 Earnings Beat Estimates, Korlym Sales Grow
Corcept Therapeutics Incorporated CORT reported fourth-quarter 2023 earnings of 28 cents per share, which beat the Zacks Consensus Estimate of 25 cents. The company reported earnings of 14 cents per share in the year-ago quarter.
Revenues increased 31% year over year to $135.4 million. The figure beat the Zacks Consensus Estimate of $130 million. The top line solely comprises product sales of Cushing’s syndrome drug, Korlym.
Corcept Therapeutics Incorporated Price, Consensus and EPS Surprise
Corcept Therapeutics Incorporated price-consensus-eps-surprise-chart | Corcept Therapeutics Incorporated Quote
Quarter in Detail
Revenues from Korlym met our model estimate of $135.4 million.
Research and development expenses surged 48.8% year over year to $54.7 million.
Selling, general and administrative expenses increased around 11.4% year over year to $47.1 million.
Consequently, operating expenses increased to $103.7 million, up 28.8% from the quarter-ago quarter’s level.
Corcept’s shares lost 20% in the past six months against the industry growth of 4.3%.
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Cash and investments as of Dec 31, 2023, totaled $425.4 million compared with $414.8 million as of Sep 30, 2023.
2023 Results
Revenues amounted to $482.4 million, up 20% from the 2022 level and in-line with the Zacks Consensus Estimate. Earnings per share came in at 94 cents, up from 87 cents in 2022. The bottom line also beat the Zacks Consensus Estimate of 92 cents.
2024 Guidance
Corcept reiterated its guidance for 2024, which it provided last month. The company expects total revenues in the range of $600-$630 million. The Zacks Consensus Estimate for revenues is pegged at $609 million.
In January, Corcept also announced a program to repurchase up to $200 million of its common stock, funded using cash and investments.
Pipeline Updates
CORT’s lead pipeline candidate, relacorilant, is being evaluated in phase III of the GRACE study to treat Cushing’s syndrome. A new drug application is expected to be submitted in the second quarter of 2024.
The phase III GRADIENT study evaluating relacorilant for patients whose Cushing’s syndrome is caused by adrenal adenoma is currently enrolling patients. Results from the same is expected in the second half of the year.
The phase Ib study, evaluating relacorilant in combination with Merck’s MRK blockbuster PD-1 checkpoint inhibitor, Keytruda (pembrolizumab), for treating patients with adrenal cancer with cortisol excess completed enrolment. Data from the study is expected in mid-2024.
Merck’s biggest revenue generator, Keytruda, is approved for treating several cancer indications. Sales of Keytruda came in at $25 billion in 2023. MRK continues to evaluate Keytruda in combination studies for various other indications.
Corcept is also evaluating relacorilant in combination studies for treating solid tumors. The pivotal phase III ROSELLA study evaluates relacorilant in combination with nab-paclitaxel for treating patients with recurrent platinum-resistant ovarian cancer. Enrollment in this study is ongoing and results from the same are expected by 2024-end.
This apart, the company is also enrolling patients in the phase II DAZALS study of its selective cortisol modulator, dazucorilant, for treating patients with amyotrophic lateral sclerosis. Data from this study is expected by 2024-end.
Corcept is evaluating its other pipeline candidate, miricorilant, in a placebo-controlled phase IIb MONARCH study, in patients with biopsy-confirmed NASH. The company initiated the MONARCH study after data from a phase Ib study showed that treatment with miricorilant reduced liver fat, and improved liver health and key metabolic and lipid measures.
Zacks Rank & Stocks to Consider
Corcept currently carries a Zacks Rank #3 (Hold).
A couple of better-ranked stocks in the healthcare industry are Puma Biotechnology, Inc. PBYI and Sarepta Therapeutics SRPT. While PBYI currently sports a Zacks Rank #1 (Strong Buy), SRPT carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
In the past 30 days, the Zacks Consensus Estimate for Puma Biotech’s 2023 earnings per share (EPS) has remained constant at 73 cents. During the same time frame, the consensus estimate for 2024 EPS has remained steady at 69 cents. Over the past year, shares of PBYI have surged 67.4%.
PBYI’s earnings beat estimates in three of the trailing four quarters and missed the same in one, delivering an average surprise of 76.55%.
In the past 30 days, Sarepta’s loss estimates for 2023 have improved from $6.80 per share to $6.57. The bottom-line estimate for 2024 has risen from $2.04 to $2.43 in the past 60 days.
Sarepta’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 48.67%. In the previous reported quarter, its earnings beat estimates by 72.29%.
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