AMAG Pharmaceuticals, Inc. (AMAG) swung to a net profit for the quarter ended Sep. 30, 2016. The company has made a net profit of $16.20 million, or $ 0.43 a share in the quarter, against a net loss of $20.58 million, or $0.62 a share in the last year period. On the other hand, adjusted net income for the quarter stood at $61.84 million, or $1.78 a share compared with $42.25 million or $1.02 a share, a year ago.
Revenue during the quarter surged 49.54 percent to $143.78 million from $96.15 million in the previous year period. Gross margin for the quarter expanded 190 basis points over the previous year period to 78.66 percent. Operating margin for the quarter period stood at positive 26.96 percent as compared to a negative 1.44 percent for the previous year period.
Operating income for the quarter was $38.76 million, compared with an operating loss of $1.38 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $76.17 million compared with $52.84 million in the prior year period. At the same time, adjusted EBITDA margin contracted 198 basis points in the quarter to 52.97 percent from 54.95 percent in the last year period.
"We executed well against our key priorities in the third quarter, delivering strong financial results and hitting key milestones in our next-generation development programs," stated William Heiden, AMAG's chief executive officer. "Our Makena subcutaneous auto-injector program is on-track for an sNDA filing in the second quarter of next year and the Feraheme sNDA submission seeking approval of a broader label has been accelerated to mid-year 2017."
For fiscal year 2016, AMAG Pharmaceuticals, Inc. projects revenue to be in the range of $523 million to $553 million. The company projects adjusted revenue to be in the range of $540 million to $570 million. The company expects net income to be in the range of $3 million to $23 million. It forecasts adjusted net income to be in the range of $200 million to $220 million. The company projects operating income to be in the range of $98 million to $118 million.
Working capital increases marginally
AMAG Pharmaceuticals, Inc. has recorded an increase in the working capital over the last year. It stood at $407.87 million as at Sep. 30, 2016, up 4.97 percent or $19.29 million from $388.58 million on Sep. 30, 2015. Current ratio was at 2.24 as on Sep. 30, 2016, down from 2.46 on Sep. 30, 2015.
Cash conversion cycle (CCC) has decreased to 82 days for the quarter from 190 days for the last year period. Days sales outstanding went down to 41 days for the quarter compared with 63 days for the same period last year.
Days inventory outstanding has decreased to 57 days for the quarter compared with 147 days for the previous year period. At the same time, days payable outstanding went down to 16 days for the quarter from 20 for the same period last year.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
