MannKind (NASDAQ:MNKD) Announces Quarterly Earnings Results

MannKind (NASDAQ:MNKD) issued its earnings results on Wednesday. The biopharmaceutical company reported ($0.01) earnings per share for the quarter, hitting the consensus estimate of ($0.01), FiscalAI reports. The company had revenue of $109.37 million for the quarter, compared to analyst estimates of $108.80 million. MannKind had a negative return on equity of 11.21% and a negative net margin of 6.63%.The business’s revenue was up 43.0% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.05 EPS.

Here are the key takeaways from MannKind’s conference call:

• Afrezza’s pediatric launch showed encouraging early traction: all 20 priority institutions have written at least one prescription, and one in three of the top 100 pediatric rapid-acting insulin prescribers has prescribed the product. Management reported rising new prescriptions, repeat writing and early refills, while noting that many prescriptions currently use the $35 cash-pay program and may later convert to insurance coverage.
• FUROSCIX continued to grow ahead of the ReadyFlow launch. Second-quarter FUROSCIX sales rose 43% sequentially to $22.2 million, with nephrology sales up 67%; the FDA-approved ReadyFlow autoinjector is expected to become available by late August and management expects it to materially improve FUROSCIX gross margins.
• Nintedanib DPI advanced toward Phase II development in IPF. The Phase I-B study in IPF patients reported no serious adverse events, discontinuations or bronchospasms, and generally mild, transient cough; the Phase II trial has dosed its first patient, although the regulatory pathway and potential expansion into PPF and other ILD indications remain uncertain.
• Second-quarter revenue increased 43% year over year to $109.4 million, while first-half revenue rose 29% to $199.5 million. Marketed products grew 27% sequentially, reflecting increasing diversification beyond MannKind’s United Therapeutics-related royalty and collaboration revenue streams.
• Profitability weakened as the company invested heavily in launches and development. GAAP net loss was $19 million versus $700,000 of income a year earlier, while non-GAAP net loss was $2.7 million; MannKind also expects to pay the $45 million FUROSCIX-related CVR in the third quarter and record approximately $16 million of associated expense, partly offset by a $50 million PIPE financing.

MannKind Price Performance

Shares of NASDAQ MNKD traded up $0.14 during trading hours on Wednesday, hitting $4.10. 6,807,819 shares of the stock were exchanged, compared to its average volume of 4,674,084. The company’s 50 day moving average is $3.92 and its 200 day moving average is $3.78. The firm has a market capitalization of $1.27 billion, a P/E ratio of -58.56 and a beta of 1.12. MannKind has a one year low of $2.23 and a one year high of $6.51.

Analyst Ratings Changes

MNKD has been the subject of several recent research reports. Wall Street Zen raised MannKind from a “sell” rating to a “hold” rating in a research note on Sunday, July 5th. Royal Bank Of Canada raised their price objective on shares of MannKind from $3.50 to $4.75 and gave the company a “sector perform” rating in a research report on Thursday, May 7th. HC Wainwright reiterated a “buy” rating on shares of MannKind in a research note on Thursday, July 23rd. Zacks Research downgraded shares of MannKind from a “hold” rating to a “strong sell” rating in a research report on Tuesday, July 7th. Finally, Wells Fargo & Company lifted their price objective on shares of MannKind from $11.00 to $14.00 and gave the company an “overweight” rating in a research note on Thursday, July 30th. Seven equities research analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $9.34.

Insider Transactions at MannKind

In related news, Director Steven B. Binder sold 16,940 shares of MannKind stock in a transaction on Tuesday, May 12th. The shares were sold at an average price of $3.29, for a total value of $55,732.60. Following the transaction, the director owned 808,008 shares in the company, valued at $2,658,346.32. This trade represents a 2.05% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders own 2.60% of the company’s stock.

Institutional Investors Weigh In On MannKind

Several hedge funds and other institutional investors have recently made changes to their positions in the business. State Street Corp lifted its position in shares of MannKind by 36.2% during the 4th quarter. State Street Corp now owns 14,623,269 shares of the biopharmaceutical company’s stock worth $82,914,000 after purchasing an additional 3,883,071 shares during the last quarter. Rubric Capital Management LP acquired a new stake in MannKind in the 3rd quarter valued at approximately $61,297,000. UBS Group AG increased its position in MannKind by 146.7% in the 3rd quarter. UBS Group AG now owns 5,194,739 shares of the biopharmaceutical company’s stock worth $27,896,000 after buying an additional 3,088,820 shares during the period. Dimensional Fund Advisors LP increased its position in MannKind by 10.6% in the 4th quarter. Dimensional Fund Advisors LP now owns 4,443,603 shares of the biopharmaceutical company’s stock worth $25,195,000 after buying an additional 426,921 shares during the period. Finally, Qube Research & Technologies Ltd lifted its holdings in shares of MannKind by 25.5% during the second quarter. Qube Research & Technologies Ltd now owns 4,065,904 shares of the biopharmaceutical company’s stock worth $15,206,000 after buying an additional 825,608 shares during the last quarter. 49.55% of the stock is owned by institutional investors and hedge funds.

About MannKind

MannKind Corporation, a biopharmaceutical company, focuses on the development and commercialization of inhaled therapeutic products for endocrine and orphan lung diseases in the United States. It offers Afrezza, an inhaled insulin used to improve glycemic control in adults with diabetes, and the V-Go wearable insulin delivery device, which provides continuous subcutaneous infusion of insulin in adults. The company's product pipeline also includes Tyvaso DPI (Treprostinil), an inhalation powder for the treatment of pulmonary arterial hypertension and pulmonary hypertension associated with interstitial lung disease; MNKD-101, a nebulized formulation of clofazimine, for the treatment of severe chronic and recurrent pulmonary infections, including nontuberculous mycobacterial lung disease; MNKD-201, a dry-powder formulation of nintedanib, for the treatment of idiopathic pulmonary fibrosis (IPF).