Sarepta Therapeutics Reports FY2023 Q2 Earnings Results for Period Ending June 30th 2023
August 25, 2023
🌥️Earnings Overview
On August 2nd 2023, SAREPTA THERAPEUTICS ($NASDAQ:SRPT) released their financial results for the second quarter of FY2023, which ended on June 30th 2023. Total revenue for the quarter was USD 261.2 million, showing an 11.9% increase from the same period in the previous year. Net income however, decreased from -231.5 million to -23.9 million in comparison to the same quarter in the prior year.
Share Price
On Wednesday, Sarepta Therapeutics reported its Q2 earnings results for the period ending June 30th 2023. At the market open, SAREPTA THERAPEUTICS stock was trading at $106.8, which was up 2.2% from the prior closing price of 107.5.
However, as the day progressed, the stock price declined to $105.2 at the end of the trading day. The report was not well-received by investors, leading to a drop in the stock price. It is expected that in the coming days, the stock will continue to be volatile given the current market conditions. Sarepta Therapeutics’ Q2 earnings results further demonstrate the volatility of the biotechnology sector and investors should remain cautious when investing in such stocks. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Sarepta Therapeutics. More…
| Total Revenues | Net Income | Net Margin |
| 1k | -907.68 | -66.2% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Sarepta Therapeutics. More…
| Operations | Investing | Financing |
| -488.99 | 138.04 | 334.83 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Sarepta Therapeutics. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 3.13k | 2.38k | 7.95 |
Key Ratios Snapshot
Some of the financial key ratios for Sarepta Therapeutics are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 30.6% | – | -84.9% |
| FCF Margin | ROE | ROA |
| -53.1% | -73.2% | -17.0% |
Analysis
At GoodWhale, we provide comprehensive fundamental analysis of SAREPTA THERAPEUTICS. Our Star Chart shows that SAREPTA THERAPEUTICS is strong in growth, medium in asset, and weak in dividend and profitability. Additionally, our Health Score analysis reveals that SAREPTA THERAPEUTICS has an intermediate health score of 4/10. This indicates that the company’s cashflows and debt appear to be in good shape and that SAREPTA THERAPEUTICS is likely to be able to pay off its debt and fund future operations. We classify SAREPTA THERAPEUTICS as a ‘cheetah’, a type of company that achieved high revenue or earnings growth but is considered less stable due to lower profitability. Investors interested in companies like SAREPTA THERAPEUTICS may be looking for potential high-growth opportunities but should be prepared to accept more risk than with a more established company. More…
Peers
The company is headquartered in Cambridge, Massachusetts and was founded in 1980. Sarepta Therapeutics Inc has four main competitors: Genor Biopharma Holdings Ltd, Impel Pharmaceuticals Inc, Entera Bio Ltd, and PTC Therapeutics Inc. These companies are all focused on the development of treatments for DMD and other rare diseases.
– Genor Biopharma Holdings Ltd ($SEHK:06998)
Genor Biopharma Holdings Ltd is a pharmaceutical company that focuses on the development and commercialization of innovative drugs for the treatment of cancer. The company has a market cap of 949.11M as of 2022 and a ROE of -23.99%. The company’s products are designed to target specific genetic mutations that are known to drive the growth and progression of cancer.
– Impel Pharmaceuticals Inc ($NASDAQ:IMPL)
Impel Pharmaceuticals Inc is a pharmaceutical company with a market cap of 94.72M as of 2022. The company has a Return on Equity of -359.89%. Impel Pharmaceuticals Inc is a company that focuses on the development and commercialization of drugs for the treatment of central nervous system disorders.
– Entera Bio Ltd ($NASDAQ:ENTX)
Entera Bio Ltd is a clinical-stage biopharmaceutical company focused on the development and commercialization of oral therapeutics for serious unmet medical needs. The company’s lead product candidate is EB614, an oral biologic that is in clinical development for the treatment of osteoporosis, inflammatory bowel disease, and other immune-mediated diseases. Entera Bio Ltd has a market cap of 24.06M as of 2022, a Return on Equity of -48.6%. The company’s focus on the development and commercialization of oral therapeutics makes it a unique player in the biopharmaceutical market. However, its negative ROE indicates that it is not a profitable company at this time.
Summary
Sarepta Therapeutics has reported its Q2 earnings for FY2023, showing an 11.9% year-on-year increase in total revenue to $261.2 million. Unfortunately, the company reported a net loss of $23.9 million, compared to a net loss of $231.5 million a year ago. Investing analysis of this stock suggests that it may be risky in the short term due to the large amount of debt and the company being unable to turn a profit. However, investors might find value in the long term potential for the company’s development pipeline of treatments for rare diseases.
