Cumberland Pharmaceuticals (NASDAQ:CPIX) Announces Quarterly Earnings Results, Meets Estimates

Cumberland Pharmaceuticals (NASDAQ:CPIX) announced its quarterly earnings results on Tuesday. The specialty pharmaceutical company reported ($0.13) earnings per share for the quarter, meeting the consensus estimate of ($0.13), FiscalAI reports. The company had revenue of $9.13 million during the quarter, compared to analysts’ expectations of $8.50 million. Cumberland Pharmaceuticals had a positive return on equity of 5.04% and a negative net margin of 6.37%.

Here are the key takeaways from Cumberland Pharmaceuticals’ conference call:

• Cumberland signed a transformational deal with Apotex to sell its U.S. branded commercial portfolio for $100 million cash plus $9 million for inventory, transition fees and a milestone, which management says will materially strengthen the balance sheet and fund a shift to a development-focused strategy.
• First?quarter revenue from marketed brands was $9.1 million (up ~5% excluding a prior one?time milestone), with a GAAP net loss of ~$3.3 million and an adjusted loss of $1.9 million ($0.13/share); operating cash flow was positive $387,000 and cash on hand was $11 million.
• The clinical pipeline, led by ifetroban, shows progress—~1,400 subjects dosed, FDA Fast Track plus Orphan/Rare Pediatric designations for Duchenne muscular dystrophy, completed enrollment in scleroderma, and ongoing IPF trials with an interim safety review clearing continuation and interim efficacy expected later this year.
• Commercial and manufacturing wins include FDA expanded labeling for Caldolor (post?operative pain), FDA clearance of the manufacturing site enabling a planned Vaprisol relaunch this year, launch of Talicia sales promotion, and the first shipment of Vibativ to China—moves management says will broaden patient access prior to the portfolio sale.

Cumberland Pharmaceuticals Price Performance

NASDAQ CPIX traded down $0.07 during trading hours on Wednesday, reaching $4.49. The company’s stock had a trading volume of 78,744 shares, compared to its average volume of 779,342. The firm has a market capitalization of $67.10 million, a price-to-earnings ratio of -23.60 and a beta of -0.06. Cumberland Pharmaceuticals has a 1-year low of $1.85 and a 1-year high of $6.26. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.01 and a quick ratio of 0.84. The company’s 50-day moving average is $3.47 and its two-hundred day moving average is $3.42.

Analyst Ratings Changes

Several brokerages recently weighed in on CPIX. Weiss Ratings reiterated a “sell (d-)” rating on shares of Cumberland Pharmaceuticals in a research report on Friday, March 27th. Wall Street Zen upgraded Cumberland Pharmaceuticals from a “hold” rating to a “buy” rating in a research report on Saturday, March 14th. One analyst has rated the stock with a Sell rating, Based on data from MarketBeat, the company currently has a consensus rating of “Sell”.

Institutional Trading of Cumberland Pharmaceuticals

Institutional investors and hedge funds have recently made changes to their positions in the business. XTX Topco Ltd purchased a new stake in shares of Cumberland Pharmaceuticals in the second quarter valued at approximately $34,000. Two Sigma Investments LP increased its position in shares of Cumberland Pharmaceuticals by 16.5% in the third quarter. Two Sigma Investments LP now owns 37,591 shares of the specialty pharmaceutical company’s stock valued at $117,000 after buying an additional 5,326 shares in the last quarter. Marshall Wace LLP purchased a new stake in shares of Cumberland Pharmaceuticals in the fourth quarter valued at approximately $192,000. Geode Capital Management LLC increased its position in shares of Cumberland Pharmaceuticals by 5.6% in the fourth quarter. Geode Capital Management LLC now owns 107,274 shares of the specialty pharmaceutical company’s stock valued at $427,000 after buying an additional 5,653 shares in the last quarter. Finally, Bridgeway Capital Management LLC increased its position in shares of Cumberland Pharmaceuticals by 2.3% in the second quarter. Bridgeway Capital Management LLC now owns 188,355 shares of the specialty pharmaceutical company’s stock valued at $631,000 after buying an additional 4,200 shares in the last quarter. 15.51% of the stock is currently owned by hedge funds and other institutional investors.

About Cumberland Pharmaceuticals

Cumberland Pharmaceuticals Inc (NASDAQ:CPIX) is a specialty pharmaceutical company based in Nashville, Tennessee, focused on the development, manufacture and commercialization of hospital and acute care products. Founded in 1993, the company has built a portfolio of branded therapeutics designed to address critical care needs in emergency medicine, critical care units and other hospital settings. Cumberland’s strategy emphasizes in-licensing and acquiring products that have established safety and efficacy profiles but limited market reach, then leveraging its sales network to expand their commercial footprint.

The company’s flagship products include Acetadote (N-acetylcysteine injection), the only FDA-approved antidote for acetaminophen overdose administered intravenously; Vasostrict (vasopressin injection), used to raise blood pressure in adults with vasodilatory shock; Cerebrex (diclofenac sodium injection), an anti-inflammatory agent for managing acute pain and fever; and Dynastat (parecoxib sodium), a COX-2 inhibitor for postoperative pain relief.