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press release

Feb. 16, 2022, 7:00 a.m. EST

Alkermes plc Reports Financial Results for the Fourth Quarter and Year Ended Dec. 31, 2021 and Provides Financial Expectations for 2022

-- Revenues of $1.17 Billion in 2021, GAAP Loss per Share of $0.30 and Diluted Non-GAAP Earnings per Share of $0.78 ---- Financial Expectations for 2022 and Updated Long-Term Profitability Targets Reflect Focus on Proprietary Products and Continued Operating Efficiency --

DUBLIN, Feb. 16, 2022 /PRNewswire/ --   Alkermes plc /zigman2/quotes/205084517/composite ALKS -1.44% today reported financial results for the quarter and year ended Dec. 31, 2021 and provided financial expectations for 2022.

"In 2021, we made significant progress against our strategic priorities of growing our commercial business, expanding and advancing our development pipeline and driving profitability," said Richard Pops, Chief Executive Officer of Alkermes. "The year was highlighted by the FDA approval and our commercial launch of our oral atypical antipsychotic, LYBALVI [®] , which joined ARISTADA [®] , our long-acting injectable antipsychotic, in our psychiatry franchise. We drove new growth with VIVITROL [®] in the alcohol dependence indication. We met important pipeline milestones, initiating potential registration-enabling studies for nemvaleukin and advancing our HDAC inhibitor and orexin development candidates. In 2022, we are focused on execution as we advance the commercial launch of LYBALVI, enroll our nemvaleukin clinical studies, demonstrate disciplined allocation of capital and manage the business to drive long-term profitability and value creation for our shareholders."

Quarter Ended Dec. 31, 2021 Financial Highlights

Total revenues for the quarter were $324.5 million. This compared to $280.0 million for the same period in the prior year.

Total operating expenses for the quarter were $322.1 million. This compared to $310.7 million for the same period in the prior year.

Net income according to generally accepted accounting principles in the United States (GAAP) was $0.9 million for the quarter, or a basic and diluted GAAP earnings per share of $0.01. This compared to GAAP net loss of $42.6 million, or a basic and diluted GAAP loss per share of $0.27, for the same period in the prior year.

Non-GAAP net income was $38.5 million for the quarter, or a non-GAAP basic earnings per share of $0.24 and diluted earnings per share of $0.23. This compared to non-GAAP net income of $16.5 million, or a non-GAAP basic and diluted earnings per share of $0.10 for the same period in the prior year.

Year Ended Dec. 31, 2021 Financial Results

Revenues

Total revenues for the year were $1.17 billion. This compared to $1.04 billion in the prior year.

Net sales of proprietary products for the year were $627.4 million, compared to $551.8 million in the prior year.

  • Net sales of VIVITROL were $343.9 million, compared to $310.7 million in the prior year, representing an increase of approximately 11%.

  • Net sales of ARISTADA [i] were $275.4 million, compared to $241.0 million in the prior year, representing an increase of approximately 14%.

  • Net sales of LYBALVI were $8.2 million, following commercial launch in October 2021.

Manufacturing and royalty revenues for the year were $541.8 million, compared to $484.0 million in the prior year.

  • Royalty revenues from INVEGA SUSTENNA [®] /XEPLION [®] , INVEGA TRINZA [®] /TREVICTA [®] and INVEGA HAFYERA [®] (the "long-acting INVEGA products") were $303.1 million, compared to $274.2 million in the prior year.

  • Manufacturing and royalty revenues from RISPERDAL CONSTA [®] were $50.9 million, compared to $71.4 million in the prior year.

  • Manufacturing and royalty revenues from VUMERITY [® ] were $87.4 million, compared to $22.5 million in the prior year.

Costs and Expenses

Total operating expenses for the year were $1.20 billion, compared to $1.15 billion in the prior year.

  • Cost of Goods Manufactured and Sold were $197.4 million, compared to $178.3 million in the prior year.

  • R&D expenses were $406.5 million, compared to $394.6 million in the prior year. R&D expenses in 2021 included a $25.0 million development milestone paid to the former shareholders of Rodin Therapeutics, Inc. related to the company's HDAC inhibitor platform. Excluding this milestone, R&D expenses for the year were $381.5 million.

  • Selling, General and Administrative (SG&A) expenses were $561.0 million, compared to $538.8 million in the prior year, primarily reflecting increased investment to support the launch of LYBALVI.

Profitability

GAAP net loss for the year was $48.2 million, or a basic and diluted GAAP loss per share of $0.30 and included the $25.0 million development milestone. This compared to GAAP net loss of $110.9 million, or a basic and diluted GAAP loss per share of $0.70, in the prior year.

Non-GAAP net income for the year was $129.1 million, or a non-GAAP basic earnings per share of $0.80 and diluted earnings per share of $0.78 and included the $25.0 million development milestone. This compared to non-GAAP net income of $68.6 million, or a non-GAAP basic and diluted earnings per share of $0.43, in the prior year.

Balance Sheet

At Dec. 31, 2021, Alkermes recorded cash, cash equivalents and total investments of $765.7 million, compared to $659.8 million at Dec. 31, 2020, driven primarily by the company's operating results and changes in working capital. The company's total debt outstanding as of Dec. 31, 2021 was $295.8 million.

"In 2021, we managed the business to achieve the high end of our overall financial expectations, as we drove topline growth, continued to optimize our cost structure and focused on operational efficiencies. At the same time, we invested in key strategic priorities including the launch of LYBALVI and the nemvaleukin development program," commented Iain Brown, Chief Financial Officer of Alkermes. "We enter 2022 in a solid financial position. Our financial expectations for the year reflect our continued focus on driving the growth of our proprietary products and disciplined capital allocation focused on opportunities with high potential return on investment in support of the company's strategy and to drive shareholder value creation."

Financial Expectations for 2022

The following financial expectations for 2022 assume improvement in COVID-19 pandemic-related disruptions, beginning in the second quarter. If current disruptions do not decrease as anticipated, or if new COVID-19-related disruptions emerge, the company's ability to meet these expectations could be negatively impacted. These financial expectations also reflect removal of all royalties from worldwide sales of the long-acting INVEGA products beginning in 2022.  Alkermes has, to date, only received notice of partial termination relating to royalties from the long-acting INVEGA products in the U.S., after January 2022. Alkermes has not received a notice of termination from Janssen in respect of any markets outside the U.S. However, for financial planning purposes only, the company has decided to remove all royalties related to sales in markets outside the U.S. after May 2022. Alkermes continues to disagree with the position taken by Janssen and is prepared to pursue all options at its disposal to enforce its contractual rights and address any unauthorized use of its intellectual property.

All line items are according to GAAP, except as otherwise noted.

In millions (except per share amounts)
2022 Expectations



Total Revenue
$1,000 – $1,090
VIVITROL Net Sales
$355 – $385
ARISTADA Net Sales
$290 – $320
LYBALVI Net Sales
$55 – $75
INVEGA Franchise Royalties*
$45 – $50
Cost of Goods Sold
$215 – $225
R&D Expenses
$385 – $415
SG&A Expenses
$575 – $605
Amortization of Intangible Assets
~$35
Other Expense, Net
$5 – $10
Income Tax Benefit
($10) – ($15)
GAAP Net Loss
($180) – ($210)
GAAP Net Loss per Share+
($1.10) – ($1.29)
Non-GAAP Net Loss
($30) – $0
Non-GAAP Loss Per Share+
($0.18) – $0.00
Capital Expenditures
$35 – $40
*Reflects royalties related to sales of INVEGA SUSTENNA/INVEGA TRINZA/INVEGA HAFYERA in the U.S. through January 2022 and royalties related to sales of XEPLION/TREVICTA through May 2022.

+2022 per share expectations are calculated based on a weighted average basic share count of approximately 163.0 million shares outstanding and a weighted average diluted share count of approximately 166.5 million shares outstanding.

Mr. Brown continued, "Over the last several years, we have worked to position the business such that our topline performance will be fueled primarily by the growth of our proprietary products. We estimate that the early termination of the Janssen license agreement in the United States and the impact of its potential termination outside the United States would together reduce our total revenues by approximately $260 million in 2022. From an operational perspective, we have adapted our budget, recognizing that even if we are able to favorably resolve our situation with Janssen, that resolution could take time. Today we are updating our long-term profitability targets to reflect exclusion of worldwide royalties from the long-acting INVEGA products. In the event that the situation with Janssen resolves in a manner favorable to Alkermes, or Janssen does not terminate our license agreement in markets outside the U.S., we would be positioned to accelerate the achievement of these targets. The revised profitability targets that we are announcing today reflect feedback from many of our institutional shareholders, our commitment to continued expense management and our focus on driving long-term profitability."

Profitability Targets

The company today updated its long-term profitability targets to reflect the removal of all royalty revenues related to sales of the long-acting INVEGA products in the U.S. after January 2022 and outside the U.S. after May 2022. The company is not providing reconciliations of, or comparable GAAP measures for, the following updated non-GAAP profitability targets, as they are not determinable without unreasonable efforts.*

The company is committed to achieving:

  • FY 2025 non-GAAP net income equal to 25% of the company's total revenues and EBITDA [ii] margin of 20% of total revenues

  • FY 2026 non-GAAP net income equal to 30% of the company's total revenues and EBITDA margin of 25% of total revenues

As a bridge to these long-term profitability targets, the company expects to achieve non-GAAP net income in the range of 15% to 20% of the company's total revenues in FY 2024.

Recent Events:

Psychiatry and Addiction

  • In October 2021, the company presented clinical data and epidemiology and health economics and outcomes research from its psychiatry and addiction portfolios at scientific conferences, including Psych Congress, the International Society for Affective Disorders (ISAD) Conference, and the Neuroscience Education Institute (NEI) Congress.

  • In February 2022, the company announced positive topline results from ENLIGHTEN-Early, a phase 3b study that evaluated the effect of LYBALVI compared to olanzapine on body weight in patients with schizophrenia, schizophreniform disorder or bipolar I disorder who were early in their illness. The company plans to submit results from the ENLIGHTEN-Early study to a peer-reviewed journal for publication and present full study results at upcoming scientific meetings.

Oncology

  • In November 2021, the company presented data from the ION-01 study, a phase 2 trial evaluating intravenous nemvaleukin alfa ("nemvaleukin") in combination with pembrolizumab (KEYTRUDA [®] ) in patients with recurrent or metastatic head and neck squamous cell carcinoma that had previously progressed on an anti-PD-(L)1 therapy, at the Society for Immunotherapy of Cancer's (SITC) 36th Annual Meeting.

  • In January 2022, the company presented a poster at the American Society of Clinical Oncology (ASCO) Gastrointestinal (GI) Cancers Symposium, highlighting clinical data related to advanced GI cancers from ARTISTRY-1, a phase 1/2 study evaluating the tolerability and efficacy of nemvaleukin administered intravenously as a monotherapy and in combination with pembrolizumab, and preclinical data from the study of nemvaleukin in combination with novel agents in GI cancers.

Neuroscience

  • In November 2021, the company announced dosing of the first subject in a phase 1 study evaluating the safety and tolerability of ALKS 1140 in healthy adults. ALKS 1140 is designed to increase functional synaptic connections and synaptic integrity in the brain.

Corporate

  • In November 2021, the company announced the appointment of a new independent director, Cato T. Laurencin, M.D., Ph.D., to the company's Board of Directors. Dr. Laurencin was designated by Sarissa Capital Management LP and certain affiliates (collectively "Sarissa") in connection with Sarissa's April 2021 agreement with the company. Dr. Laurencin brings significant experience across a wide range of medical and scientific disciplines, strong administrative skills, and a focus on public health that is consistent with the company's values and business strategy.

Other

  • In November 2021, the company announced receipt of notices of partial termination in respect of two license agreements with Janssen Pharmaceutica N.V., a subsidiary of Johnson & Johnson Company and, under these agreements, a licensee and recipient of Alkermes' nanoparticulate formulation technology, known as NanoCrystal [®] technology. The terminations impact know-how royalties related to sales of long-acting INVEGA products and other products in the United States.

Conference Call

Alkermes will host a conference call and webcast presentation with accompanying slides at 8:00 a.m. ET (1:00 p.m. GMT) on Wednesday, Feb. 16, 2022, to discuss these financial results and provide an update on the company. The webcast may be accessed on the Investors section of Alkermes' website at www.alkermes.com . The conference call may be accessed by dialing +1 877 407 2988 for U.S. callers and +1 201 389 0923 for international callers. In addition, a replay of the conference call will be available from 11:00 a.m. ET (4:00 p.m. GMT) on Wednesday, Feb. 16, 2022, through Wednesday, Feb. 23, 2022, and may be accessed by visiting Alkermes' website or by dialing +1 877 660 6853 for U.S. callers and +1 201 612 7415 for international callers. The replay conference ID is 13726455.

About Alkermes plc

Alkermes plc is a fully-integrated, global biopharmaceutical company developing innovative medicines in the fields of neuroscience and oncology. The company has a portfolio of proprietary commercial products focused on alcohol dependence, opioid dependence, schizophrenia and bipolar I disorder, and a pipeline of product candidates in development for neurodegenerative disorders and cancer. Headquartered in Dublin, Ireland, Alkermes has an R&D center in Waltham, Massachusetts; a research and manufacturing facility in Athlone, Ireland; and a manufacturing facility in Wilmington, Ohio. For more information, please visit Alkermes'   website at www.alkermes.com .

Non-GAAP Financial Measures

This press release includes information about certain financial measures that are not prepared in accordance with GAAP, including non-GAAP net income (loss), non-GAAP basic and diluted earnings (loss) per share, non-GAAP net income margin (non-GAAP net income/total revenue) and EBITDA margin (EBITDA/total revenue). These non-GAAP measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies.

Non-GAAP net income (loss) adjusts for certain one-time and non-cash charges by excluding from GAAP results: share-based compensation expense; amortization; depreciation; non-cash net interest expense; certain other one-time or non-cash items; and the income tax effect of these reconciling items. EBITDA represents earnings before interest, tax, depreciation and amortization; earnings include share-based compensation expense.

The company's management and Board of Directors utilize these non-GAAP financial measures to evaluate the company's performance. The company provides these non-GAAP measures of the company's performance to investors because management believes that these non-GAAP financial measures, when viewed with the company's results under GAAP and the accompanying reconciliations, are useful in identifying underlying trends in ongoing operations. However, non-GAAP net income (loss), non-GAAP basic and diluted earnings (loss) per share, non-GAAP net income margin and EBITDA margin are not measures of financial performance under GAAP and, accordingly, should not be considered as alternatives to GAAP measures as indicators of operating performance. Further, non-GAAP net income (loss), non-GAAP basic and diluted earnings (loss) per share, non-GAAP net income margin and EBITDA margin should not be considered measures of the company's liquidity.

A reconciliation of GAAP to non-GAAP financial measures has been provided in the tables included in this press release.

*The company has not provided full financial expectations for time periods after the year ending Dec. 31, 2022 and therefore is not providing reconciliations of, or comparable GAAP measures for, non-GAAP net income margins or EBITDA margins, for time periods after the year ending Dec. 31, 2022. Reconciliations of such forward-looking non-GAAP profitability measures to comparable GAAP measures are not determinable without unreasonable efforts due to the inherent difficulty in forecasting and quantifying certain future financial amounts necessary for such reconciliations, which amounts could have a significant impact on the company's future financial results, including such non-GAAP profitability measures and the comparable GAAP financial measures.

Note Regarding Forward-Looking Statements

Certain statements set forth in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, including, but not limited to, statements concerning: the company's expectations concerning its future financial and operating performance, business plans or prospects, including plans to drive growth, long-term profitability and shareholder value creation and the company's profitability targets and its ability to achieve such targets; the potential impacts on the company of Janssen's notice of partial termination; the company's expectations of improvement in COVID-19-related disruptions; the potential therapeutic and commercial value of the company's marketed and development products; the company's expectations concerning its future development activities and commercial activities, including in respect of investments in the company's development pipeline and the launch of LYBALVI. The company cautions that forward-looking statements are inherently uncertain. The forward-looking statements are neither promises nor guarantees and they are necessarily subject to a high degree of uncertainty and risk. Actual performance and results may differ materially from those expressed or implied in the forward-looking statements due to various risks and uncertainties. These risks and uncertainties include, among others: the company may not be able to achieve its revised financial and profitability metrics in a timely manner or at all; the impacts of the ongoing COVID-19 pandemic and continued efforts to mitigate its spread on the company's business, results of operations or financial condition, including impacts on healthcare systems and patient and healthcare provider access to the company's commercial products; the unfavorable outcome of arbitration or litigation, including so-called "Paragraph IV" litigation and other patent litigation, or other disputes related to the company's products or products using the company's proprietary technologies; clinical development activities may not be completed on time or at all; the results of the company's development activities may not be positive, or predictive of final results from such activities, results of future development activities or real-world results; the U.S Food and Drug Administration (FDA) may not agree with the company's regulatory approval strategies or components of the company's marketing applications or the adequacy of the data and other information included in its submissions to support the FDA's requirements for approval; regulatory submissions may not occur or be submitted in a timely manner; the FDA or regulatory authorities outside the U.S. may make adverse decisions regarding the company's products; the company and its licensees may not be able to continue to successfully commercialize their products or support growth of revenue from such products; there may be a reduction in payment rate or reimbursement for the company's products or an increase in the company's financial obligations to government payers; the company's products may prove difficult to manufacture, be precluded from commercialization by the proprietary rights of third parties, or have unintended side effects, adverse reactions or incidents of misuse; and those risks and uncertainties described under the heading "Risk Factors" in the company's most recent Annual Report on Form 10-K and in subsequent filings made by the company with the U.S. Securities and Exchange Commission (SEC), which are available on the SEC's website at www.sec.gov . Existing and prospective investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Except as required by law, the company disclaims any intention or responsibility for updating or revising any forward-looking statements contained in this press release.

VIVITROL [®] is a registered trademark of Alkermes, Inc.; ARISTADA [®] , ARISTADA INITIO [®] and LYBALVI [® ] are registered trademarks of Alkermes Pharma Ireland Limited, used by Alkermes, Inc. under license; RISPERDAL CONSTA [®] , INVEGA SUSTENNA [®] , XEPLION [®] , INVEGA TRINZA [®] , TREVICTA [®] , and INVEGA HAFYERA [®] are registered trademarks of Johnson & Johnson Company; VUMERITY [® ] is a registered trademark of Biogen MA Inc., used by Alkermes under license; and KEYTRUDA [®]  is a registered trademark of Merck Sharp & Dohme Corp., a subsidiary of Merck & Co., Inc., Kenilworth, NJ, USA.

Important Additional Information and Where to Find It

The company intends to file a definitive proxy statement, accompanying proxy card and other relevant documents with the SEC in connection with the solicitation of proxies for the company's 2022 Annual General Meeting of Shareholders. BEFORE MAKING ANY VOTING DECISION, SHAREHOLDERS OF THE COMPANY ARE URGED TO READ ALL RELEVANT DOCUMENTS FILED WITH OR FURNISHED TO THE SEC, INCLUDING THE COMPANY'S DEFINITIVE PROXY STATEMENT AND ANY AMENDMENTS AND SUPPLEMENTS THERETO, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. Investors and shareholders will be able to obtain a copy of the definitive proxy statement and other documents filed by the company with the SEC free of charge from the SEC's website at  www.sec.gov . In addition, copies will be available at no charge by visiting the "Investors" section of the company's website at  www.alkermes.com , as soon as reasonably practicable after such materials are filed with, or furnished to, the SEC.

Certain Information Regarding Participants in the Solicitation

The company, its directors and certain of its executive officers are participants in the solicitation of proxies from shareholders in respect of the company's 2022 Annual General Meeting of Shareholders. Information regarding the names of such participants and their respective interests in the company by security holdings or otherwise is set forth in the company's Form 10-K for the year ended Dec. 31, 2021, to be filed with the SEC on or around Feb. 16, 2022; the company's definitive proxy statement for the company's 2021 Annual General Meeting of Shareholders, filed with the SEC on May 10, 2021; the company's Current Reports on Form 8-K filed with the SEC from time to time; and in Initial Statements of Beneficial Ownership on Form 3 or Statements of Change in Ownership on Form 4 filed with the SEC from time to time. These documents can be obtained free of charge from the sources indicated above. Additional information regarding the direct and indirect interests of these participants, by security holdings or otherwise, will also be included in the definitive proxy statement for the company's 2022 Annual General Meeting of Shareholders and other relevant materials to be filed with the SEC, if and when they become available.

[ ] (tables follow)





i The term "ARISTADA" as used in this press release refers to ARISTADA and ARISTADA INITIO®, unless the context indicates otherwise.ii Calculated as earnings before interest, taxation, depreciation, amortization and one-time items, includes share-based compensation expenses.

 

 

Alkermes plc and Subsidiaries





Selected Financial Information (Unaudited)
















Condensed Consolidated Statements of Operations - GAAP
Three Months Ended 
Three Months Ended 





(In thousands, except per share data)
December 31, 2021
December 31, 2020





Revenues:









Product sales, net
$                 178,916
$                 148,961





Manufacturing and royalty revenues
143,372
130,893





License revenue
2,000






Research and development revenue
175
141





Total Revenues
324,463
279,995





Expenses:









Cost of goods manufactured and sold
53,682
42,922





Research and development
98,374
112,107





Selling, general and administrative
160,408
145,778





Amortization of acquired intangible assets
9,616
9,917





Total Expenses
322,080
310,724





Operating Income (Loss)
2,383
(30,729)





Other Expense, net:









Interest income
453
1,036





Interest expense
(2,405)
(1,869)





Change in the fair value of contingent consideration
(750)
(12,681)





Other income, net
546
2,597





Total Other Expense, net
(2,156)
(10,917)





Loss Before Income Taxes
227
(41,646)





Income Tax (Benefit) Provision
(646)
996





Net Income (Loss) — GAAP
$                        873
$                  (42,642)
















Earnings (Loss) Per Share:









GAAP earnings (loss) per share — basic and diluted
$                       0.01
$                      (0.27)





Non-GAAP earnings per share — basic
$                       0.24
$                       0.10





Non-GAAP earnings per share — diluted
$                       0.23
$                       0.10
















Weighted Average Number of Ordinary Shares Outstanding:









Basic — GAAP and Non-GAAP
161,833
159,153





Diluted — GAAP 
166,803
159,153





Diluted — Non-GAAP
166,803
161,267
















An itemized reconciliation between net income (loss) on a GAAP basis and non-GAAP net income is as follows:





Net Income (Loss) — GAAP
$                        873
$                  (42,642)





Adjustments:









Share-based compensation expense
19,020
24,884





Depreciation expense
11,527
10,411





Amortization expense
9,616
9,917





Income tax effect related to reconciling items
(3,355)
1,121





Non-cash net interest expense
117
166





Change in the fair value of contingent consideration
750
12,681





Non-GAAP Net Income
$                   38,548
$                   16,538






































Alkermes plc and Subsidiaries





Selected Financial Information (Unaudited)
















Condensed Consolidated Statements of Operations - GAAP
Year Ended 
Year Ended 





(In thousands, except per share data)
December 31, 2021
December 31, 2020





Revenues:









Product sales, net
$                 627,424
$                 551,760





Manufacturing and royalty revenues
541,807
484,000





License revenue
3,500
1,050





Research and development revenue
1,020
1,946





Total Revenues
1,173,751
1,038,756





Expenses:









Cost of goods manufactured and sold
197,387
178,316





Research and development
406,526
394,588





Selling, general and administrative
560,977
538,827





Amortization of acquired intangible assets
38,148
39,452





Total Expenses
1,203,038
1,151,183





Operating Loss
(29,287)
(112,427)





Other (Expense) Income, net:









  Interest income
2,408
6,960





  Interest expense
(11,219)
(8,659)





  Change in the fair value of contingent consideration
(1,427)
3,945





  Other income, net
219
13,644





Total Other (Expense) Income, net
(10,019)
15,890





Loss Before Income Taxes
(39,306)
(96,537)





Income Tax Provision
8,863
14,324





Net Loss — GAAP
$                  (48,169)
$                (110,861)
















(Loss) Earnings Per Share:









GAAP loss per share — basic and diluted
$                      (0.30)
$                      (0.70)





Non-GAAP earnings per share — basic
$                       0.80
$                       0.43





Non-GAAP earnings per share — diluted
$                       0.78
$                       0.43
















Weighted Average Number of Ordinary Shares Outstanding:









Basic and diluted — GAAP
160,942
158,803





Basic — Non-GAAP
160,942
158,803





Diluted — Non-GAAP
164,753
159,861
















An itemized reconciliation between net loss on a GAAP basis and non-GAAP net income is as follows:





Net Loss — GAAP
$                  (48,169)
$                (110,861)





Adjustments:









Share-based compensation expense
87,623
90,161





Depreciation expense
40,505
42,402





Amortization expense
38,148
39,452





Income tax effect related to reconciling items
6,994
10,092





Non-cash net interest expense
469
666





Change in the fair value of contingent consideration
1,427
(3,945)





Debt refinancing
2,109






Acquisition of IPR&D

674





Non-GAAP Net Income
$                 129,106
$                   68,641



























Condensed Consolidated Balance Sheets
December 31,
December 31, 





(In thousands)
2021
2020





Cash, cash equivalents and total investments
$                 765,741
$                 659,807





Receivables
313,193
275,143





Inventory
150,335
125,738





Contract assets
13,363
14,401





Prepaid expenses and other current assets
48,967
60,662





Property, plant and equipment, net
341,054
350,003





Intangible assets, net and goodwill
166,916
204,064





Other assets
224,915
259,912





Total Assets
$              2,024,484
$              1,949,730





Long-term debt — current portion
$                     3,000
$                     2,843





Other current liabilities
468,286
435,415





Long-term debt   
292,804
272,118





Contract liabilities — long-term 
11,491
16,397





Other long-term liabilities
136,319
155,975





Total shareholders' equity
1,112,584
1,066,982





Total Liabilities and Shareholders' Equity
$              2,024,484
$              1,949,730
















Ordinary shares outstanding (in thousands)
161,937
159,161
















This selected financial information should be read in conjunction with the consolidated financial statements and notes thereto included in Alkermes plc's Annual Report on Form 10-K for the year ended December 31, 2021, which the company intends to file in February 2022.



























Revenues for Calendar Year 2021 and 2020













Three Months
Three Months
Three Months
Three Months
Year 


Ended
Ended
Ended
Ended
Ended


March 31,
June 30,
September 30,
December 31,
December 31,
(In thousands)
2021
2021
2021
2021
2021
Revenues:









VIVITROL
$                   74,534
$                   88,417
$         88,865
$    92,038
$   343,854
INVEGA SUSTENNA/XEPLION and INVEGA TRINZA/TREVICTA
61,570
81,072
79,323
81,140
303,105
ARISTADA
55,429
72,391
68,872
78,663
275,355
VUMERITY
13,440
20,348
26,749
26,885
87,422
RISPERDAL CONSTA
14,162
14,450
10,970
11,287
50,869
LYBALVI



8,215
8,215
Key Commercial Product Revenues
219,135
276,678
274,779
298,228
1,068,820











Legacy Product Revenues
30,675
26,424
19,252
24,060
100,411
License Revenue
1,500


2,000
3,500
Research and Development Revenues
120
615
110
175
1,020
Total Revenues
$               251,430
$               303,717
$     294,141
$324,463
$1,173,751



































Three Months
Three Months
Three Months
Three Months
Year 


Ended
Ended
Ended
Ended
Ended


March 31,
June 30,
September 30,
December 31,
December 31,
(In thousands)
2020
2020
2020
2020
2020
Revenues:









VIVITROL
$                   78,769
$                   71,646
$         80,258
$    80,049
$   310,722
INVEGA SUSTENNA/XEPLION and INVEGA TRINZA/TREVICTA
54,927
69,385
73,366
76,522
274,200
ARISTADA
50,957
58,769
62,400
68,912
241,038
RISPERDAL CONSTA
27,316
13,729
14,510
15,805
71,360
VUMERITY
1,691
2,594
2,713
15,543
22,541
Key Commercial Product Revenues
213,660
216,123
233,247
256,831
919,861











Legacy Product Revenues
32,317
30,797
29,762
23,023
115,899
License Revenue
 ` 
1,050

1,050
Research and Development Revenues
243
609
953
141
1,946
Total Revenues
$               246,220
$               247,529
$     265,012
$279,995
$1,038,756

































2022 Guidance — GAAP to Non-GAAP Adjustments














An itemized reconciliation between projected loss per share on a GAAP basis and projected loss per share on a non-GAAP basis is as follows:














(In millions, except per share data)
Amount
Shares
Loss Per Share



Projected Net Loss — GAAP
$                    (195.0)
163
$           (1.20)



   Adjustments:









Share-based compensation expense
99.0







Depreciation expense
40.0







Amortization expense
35.0







Income tax effect related to reconciling items 
5.0







Non-cash net interest expense
1.0


















Projected Net Loss — Non-GAAP
$                      (15.0)
163
$           (0.09)














Projected GAAP and non-GAAP measures reflect mid-points within ranges of estimated guidance.

 

Alkermes Contacts:
For Investors: Sandy Coombs   +1 781 609 6377
For Media: Katie Joyce  +1 781 249 8927

 

 

Cision
View original content to download multimedia: https://www.prnewswire.com/news-releases/alkermes-plc-reports-financial-results-for-the-fourth-quarter-and-year-ended-dec-31-2021-and-provides-financial-expectations-for-2022-301483252.html

SOURCE Alkermes plc

COMTEX_402507105/2454/2022-02-16T07:00:16

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/zigman2/quotes/205084517/composite
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Volume: 1.35M
Aug. 18, 2022 4:00p
P/E Ratio
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Dividend Yield
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Market Cap
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Rev. per Employee
$530,696
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