AcelRx Pharmaceuticals Inc (NASDAQ:ACRX) Stock Price
Shares of AcelRx Pharmaceuticals Inc (NASDAQ:ACRX) tumbled 12.82% in Tuesday’s trading session after the company reported second quarter financial results that did not meet Wall St. expectations. A net loss of (-$0.29) cents per share was lower than expectations of a loss of (-$0.28) cents per shares. ACRX stock price dropped even as the company reported a successful ZALVISO Phase 3 trial.
ZALVISO Topline Results
AcelRx Pharmaceuticals Inc (NASDAQ:ACRX) is a specialty pharmaceutical company focused on the development of therapies for the treatment of moderate to severe acute pain. DSUVIA is the company’s lead product having been accepted for filing by the U.S. Food and Drug Administration (FDA) for the treatment of acute pain. Zalviso is the company’s lead candidate drug indicated for the management of acute pain.
Zalviso is marketed in Europe as part of a licensing agreement with Grunenthal. During the quarter, the drug generated top line results in Phase 3 study targeting 320 hospitalized, postoperative patients. Trial results indicate that 2.2 % of the patients experienced ZALVISO device error which is below 5% limit specified in study objectives.
“We expect to receive a decision from the FDA on our marketing application for DSUVIA in the fourth quarter and are on track to resubmit the NDA for ZALVISO to the FDA that same quarter. We also continue to manage our expenses and cash in line with our plan leading into these major company milestones,” said Vincent J Angotti.
Widening Net Loss
AcelRx Pharmaceuticals Inc (NASDAQ:ACRX) generated a net loss of (-$13.1) million in Q2 compared to a net loss of (-$11.1) million reported last year. Net loss from operations increased to (-$9.9) million from (-$8.3) million as of Q2 2016.
Net loss for the six months ending June 30, 2016, soared to ($28.6) million compared to (-$22.1) million as of the same period last year. AcelRx Pharmaceuticals Inc (NASDAQ:ACRX) attributes the higher than expected net loss to decreased Department of Defense contract revenue for Zalviso, coupled by increased cost of goods.
Revenue from ZALVISO sales increased to $2.2 million from $1.3 million as of Q2 2016. Revenue for the first six months of the year totaled $5.2 million compared to $3.1 million for the six months ended June 30, 2016.
AcelRx Pharmaceuticals Inc (NASDAQ:ACRX) cash and cash equivalent as of June 30, 2017, stood at $62.1 million compared to $80.3 million as of December 31, 2016.
I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.
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About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.