United Therapeutics shares up on revenue gains
United Therapeutics 3Q profit shrinks on higher expenses, but sales gain boosts shares
NEWS: United Therapeutics Corp. said Tuesday that its fiscal third-quarter net income fell on higher expenses. But the drug maker's revenue gain exceeded market expectations and it gave a solid forecast, lifting its stock.
DETAILS: The Silver Spring, Md.-based company paid more to pay its employees in stock because the value of its shares increased. Excluding that and other items, its profitability improved.
NUMBERS: United Therapeutics earned $62.7 million, or $1.17 per share, for the quarter that ended Sept. 30. That is down from $78.1 million, or $1.46 per share, in the same quarter last year. On an adjusted basis, it earned $2.78 versus $2.25 per share.
Revenue rose 25 percent to $302.2 million as more patients used its cardiopulmonary drugs.
Analysts polled by FactSet were anticipating earnings of $2.88 per share on revenue of $280.5 million.
FUTURE: The company said it expects revenue for 2013 from its three commercial products will exceed $1.05 billion, the upper end of its prior guidance.
STOCK: Shares rose $3.11, or 3.7 percent, to $86.50 in afternoon trading, more than the gain in the broader market. Its stock is up 62 percent in 2013.
