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Pacira's (PCRX) Q3 Earnings Miss Estimates, Revenues Beat

Pacira BioSciences, Inc. PCRX reported third-quarter 2022 adjusted earnings of 64 cents per share, missing the Zacks Consensus Estimate of 73 cents. The company reported adjusted earnings of 72 cents per share in the year-ago quarter.

Total revenues increased 31.1% to $167.5 million in the third quarter of 2022 from the year-ago figure of $127.7 million, owing to a continuous strong uptake of the lead drug, Exparel. The top line marginally beat the Zacks Consensus Estimate of $167 million.

Shares of Pacira have declined 17.6% in the year compared with the industry’s decrease of 30.6%.

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Zacks Investment Research


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Quarter in Detail

Pacira’s top line mainly comprises product revenues, other product sales and royalty revenues.

Exparel net product sales were $132.6 million, up 8.8% from the $121.9 million generated in the year-ago quarter. Sales of the drug declined 3.2% on a sequential basis.

Exparel/bupivacaine liposome injectable suspension sales came in at $3 million in the reported quarter compared with the $0.7 million reported in the year-ago quarter. Exparel is a liposome injection of bupivacaine indicated for a single-dose administration into the surgical site to produce postsurgical analgesia.

Iovera system generated sales worth $4.5 million in the third quarter of 2022, reflecting an increase of 7.1% year over year. Sales of the Iovera system witnessed a sequential increase of 40.6%.

Net product sales from Zilretta were $26.5 million in the third quarter of 2022. Pacira completed the acquisition of Flexion Therapeutics in November 2021, following which, the former began recognizing Zilretta sales.

Royalty revenues came in at $0.9 million in the reported quarter, which remained flat year-over-year.

Research and development (R&D) expenses (excluding stock-based compensation) increased 69.2% year over year to $17.6 million.

Selling, general and administrative (SG&A) expenses (excluding stock-based compensation) increased 30.7% year over year to $51.9 million in the reported quarter.

2022 Outlook

Pacira is not providing guidance for 2022 due to the COVID-19 pandemic still negatively impacting sales. As a result, it is reporting monthly intra-quarter unaudited net product sales for Exparel, Zilretta and iovera until it gains enough visibility around the impacts of COVID-19.

For 2022, adjusted R&D expenses are expected in the range of $75-$85 million, while adjusted SG&A expenses are anticipated in the band of $220-$230 million, both unchanged from the previous guidance.

Recent Updates

In September 2022, Pacira announced positive top-line data from two phase III studies evaluating Exparel as a lower extremity nerve block.

One study evaluated Exparel as a single-dose femoral nerve block in the adductor canal for postsurgical regional analgesia in patients undergoing total knee arthroplasty.

The other study investigated Exparel as a single-dose sciatic nerve block in the popliteal fossa for postsurgical regional analgesia in patients undergoing bunionectomy.

Both studies met their respective primary and secondary endpoints.

PCRX plans to submit a supplemental new drug application to the FDA seeking label expansion of Exparel to include sciatic nerve blocks in the popliteal fossa as well as femoral nerve blocks in the adductor canal in early 2023.

Also, in September 2022, the European Medicines Agency’s Committee for Medicinal Products for Human Use (“CHMP”) rendered a positive opinion on Exparel and recommended marketing authorization for the same to treat postsurgical pain in children aged six years and above.

The CHMP recommended approval for Exparel as a field block to treat somatic post-operative pain from small to medium-sized surgical wounds in children aged six years and older.

A final decision from the European Commission on the marketing authorization application for the label expansion of Exparel is expected later this month.

Successful label expansion of Exparel into additional indications is likely to boost sales further in the days ahead.

Pacira BioSciences, Inc. Price, Consensus and EPS Surprise

Pacira BioSciences, Inc. Price, Consensus and EPS Surprise
Pacira BioSciences, Inc. Price, Consensus and EPS Surprise

Pacira BioSciences, Inc. price-consensus-eps-surprise-chart | Pacira BioSciences, Inc. Quote

Zacks Rank & Stocks to Consider

Pacira currently carries a Zacks Rank #4 (Sell). Some better-ranked stocks in the same sector are Jazz Pharmaceuticals plc JAZZ, Exscientia plc EXAI and Can-Fite BioPharma Ltd. CANF, all sporting a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Earnings estimates for Jazz Pharmaceuticals have been revised upward by 0.1% for 2022 and 0.3% for 2023 in the past 60 days.

Earnings of Jazz Pharmaceuticals surpassed estimates in three of the trailing four quarters and missed on the other occasion. JAZZ delivered an earnings surprise of 10.94% on average.

Loss per share estimates for Exscientia narrowed 3.1% for 2022 and 1.7% for 2023 in the past 60 days.

Earnings of Exscientia surpassed estimates in two of the trailing three quarters and missed on the other occasion. EXAI delivered a negative earnings surprise of 166.19% on average.

Loss per share estimates for Can-Fite BioPharma narrowed 2.6% for 2022 and 5.5% for 2023 in the past 60 days.

Earnings of Can-Fite BioPharma surpassed estimates in two of the trailing four quarters and missed on the other two occasions. CANF delivered a negative earnings surprise of 14.86% on average.


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