In This Article:
Collegium Pharmaceutical COLL, a commercial-stage specialty pharma company, that focuses on improving the lives of people suffering from serious medical conditions, is expected to beat estimates when it reports third-quarter 2024 results on Nov. 7, after market close. The company’s commercial portfolio comprises its marketed pain-management drugs, Belbuca, Xtampza ER, Nucynta IR and Nucynta ER and Symproic, in the United States.
Collegium recently diversified its commercial presence beyond pain management by foraying into the neurology market with the recent acquisition of Ironshore Therapeutics. This strategic move added Jornay PM (methylphenidate HCl), a central nervous system stimulant for the treatment of attention deficit hyperactivity disorder (ADHD) to COLL’s commercial portfolio. The Zacks Consensus Estimate for COLL’s earnings per share is currently pinned at $1.63 while that for revenues is currently pegged at $161.53 million.
Let's see how things might have shaped up for the upcoming quarterly release.
Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.
Factors to Consider Regarding COLL’s Q3 Earnings
Revenues generated from the third-quarter sales of Collegium’s lead drug, Belbuca, for severe and persistent pain, are likely to have increased, driven by rising prescription trends. In the last reported quarter, the company’s Belbuca net revenues were up 21% year over year. Sales of Xtampza ER are expected to have increased in the to-be-reported quarter, driven by gross to net improvement.
During the second quarter of 2024, Collegium announced that the FDA has granted pediatric exclusivity for NucyntaIR and Nucynta ER, which has extended the drugs’ market exclusivity by an additional six months, to Jan. 3, 2027, and Dec. 27, 2025, respectively. This is likely to have boosted its sales in the third quarter. Incremental revenues from the sale of Symproic are also expected to have contributed to the company’s top-line growth in the to-be-reported quarter.
Year to date, shares of COLL have gained 12.7% against the industry’s 5.9% decline.
Image Source: Zacks Investment Research
Please note that during the third quarter, Collegium completed the acquisition of Ironshore Therapeutics, which added Jornay PM, a marketed ADHD drug, to its commercial portfolio. In the upcoming earnings conference call, investors can expect updates regarding the positive impact of the acquisition on the company’s revenues.
In an earlier press release, COLL stated that it expects Jornay PM to become its leading growth driver. Net revenue from the sale of Jornay PM is expected to be more than $100 million in 2024. Additionally, Collegium also stated that in the first half of 2024, the drug’s prescriptions grew 32% year over year. This trend is expected to have continued in the to-be-reported quarter.