Adamis Pharmaceuticals Corp (NASDAQ:ADMP) Reports Q1 Net Loss

Adamis Pharmaceuticals Corp (NASDAQ:ADMP)

Adamis Pharmaceuticals Corp (NASDAQ:ADMP) has announced financial results for the first quarter ended March 31, 2017. The company reported $3 million in revenue representing a 100% gain from what the company reported the three months ended March 31, 2016. The increase is attributed to sales revenue from the company’s pharmaceutical drugs which were spearheaded by U.S. Compounding, Inc., (USC), the company’s subsidiary acquired in April of last year.

During the quarter, total sales had $1.6 million in expenses. This represents a 100% increase from what the company reported in the three months ended March 31, 2017. Adamis Pharmaceuticals Corp (NASDAQ:ADMP) did not report any cost on sales in the previous year as it completed the acquisition of USC in April 2016.

During the quarter ended March 31, 2017, Adamis Pharmaceuticals Corp (NASDAQ:ADMP) reported R&D expenses of around $1,510,000 compared to around $3,401,000 reported in the first quarter of 2017. The reduction resulted from the $2,168,000 reduction in cost of development of the company’s product candidates including Epinephrine PFS, Dry Powder Inhaler (DPI) products, APC 100, APC 2000, and TeloBVax. The amount was offset by around $198,000 increase in costs of development related to APC 1000 product candidate and a $9,000 increase in research and development expenses related to regulatory, consulting, and compounded formulation drug expenses. Expenses towards compensation increased to around $70,000 in the first quarter of 2017 compared to what the company reported in the first quarter of 2016.

Adamis Pharmaceuticals Corp (NASDAQ:ADMP) reported around $5.6 million in general and administrative expenses. This is an increase from the $2.6 million reported in the first quarter of 2016. The increase resulted from the $3 million in expenses related to the acquisition of USC. The company reported a $208,000 decrease in expenses incurred towards the commercialization of Epinephrine PFS. In addition, the company reported a $164,000 increase towards compensation of its general and administrative employees. The increase is attributed to increase in salaries, granting of stock options as well as monthly bonuses. There was also $93,000 in expenses towards insurance.

Adamis Pharmaceuticals Corp (NASDAQ:ADMP) incurred losses amounting to (-$5.8) million in the quarter ended March 31, 2017 compared to (-$6.5) million that was incurred in the three months ended March 31, 2016.

At the close of the quarter, the company had $33.7 million in total assets compared to $37.8 million that the company had at the close of the quarter ended March 31, 2016.

Adamis Pharmaceuticals Corp (NASDAQ:ADMP) was up by 1.28% in Monday trading session ending the day at $3.95 a share.

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. All information, or data, is provided with no guarantees of accuracy.

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Adamis Pharmaceuticals Corp (NASDAQ:ADMP) Soars On Epinephrine FDA Approval Talk

Adamis Pharmaceuticals Corp (NASDAQ:ADMP)

Adamis Pharmaceuticals Corp (NASDAQ:ADMP) shares have come to life in recent trading sessions as investors take note of its Epinephrine Pre-filled syringe that is on the brink of U.S. Food & Drug Administration (FDA) approval. The drug is designed as an alternative treatment to patients suffering from anaphylactic reactions and would place the drug maker in direct competition with the likes of Mylan’s EpiPen.

Epinephrine PFS Regulatory Approval

The FDA will issue a decision on the drug on June 15, 2017. This decision is seen as a major threshold for Adamis Pharmaceuticals Corp (NASDAQ:ADMP) to enter the multibillion space. The company did receive a Complete Response Letter from the regulator about the treatment last year over certain concerns. The drug maker has since addressed all the questions raised.

Maxim analyst, Jason Kolbert, believes Epinephrine Pre-File Syringe has passed all the major hurdles and should be able to generate a substantial amount of value for Adamis in the long term.

“We see a billion dollar market, and in Adamis PFS a superior product […] If Adamis can acquire just 10% market share and generate sales approaching $100M (which we believe is the low end), it suggests shares are undervalued,” said Mr. Kolbert.

Public Offering

Separately, Adamis Pharmaceuticals Corp (NASDAQ:ADMP) recently closed a public offering of its common stock. The specialty biopharmaceutical company had offered 4,285,715 shares of its common stock at a price of $3.50 a share. The company now expects net proceeds from the offering to total $17,250,000 before deduction of underwriting discounts, commissions, and other expenses.

Adamis intends to use net proceeds from the offering for general corporate purposes which include research and development. The amount raised should also go a long way in financing ongoing clinical trials. There are also plans to hire new personnel, and acquire new products and technologies.

Adamis Pharmaceuticals Corp (NASDAQ:ADMP)’s stock has been on an impressive run over the last few weeks as investors await the FDA decision for its anaphylactic treatment next month. The stock has risen by more than 20% on the news.

There is no guarantee that the FDA will approve the treatment. However, if approved, the stock could surge even higher on a number of revenues that Adamis stands to generate from the sales of the treatment.

Adamis Pharmaceuticals Corp (NASDAQ:ADMP)’s stock was down by 1.32% in Friday trading session ending the week at $3.75 a share.

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.

About the author: Monica Gray has an undergraduate degree in Accounting and an MBA – earned with Honors. She has six years of experience in the financial markets and has been a securities analyst for the past two years.