What happened
Psychiatric and neurologic drugs developer Intra-Cellular Therapies (ITCI +0.00%) was a cold stock this week. After reporting its second-quarter results on Monday, the company's shares sank and to date have not recovered; at Friday's close, they were down by over 13% over the five-day stretch.
So what
For the quarter, the company booked $20 million in revenue, more than 10 times what it made in the same period of 2020. The company's sales are almost entirely dependent on its one commercialized product, schizophrenia drug Caplyta, which was approved at the end of 2019.
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But a new(ish) product on the market requires more marketing. As a result, the company's selling, general, and administrative costs ballooned to nearly $70 million from the Q2 2020 tally of $41 million. This, in turn, resulted in a steeper net loss of $68.7 million ($0.85 per share) than the year-ago shortfall of $63.7 million.
These were mixed results when considering analyst estimates. Prognosticators following the healthcare stock were modeling $19.4 million on the top line, but were expecting a more modest net loss of $0.80 per share.
Now what
Intra-Cellular's Q2 wasn't as bad as the stock price swoon might indicate. Also, prescriptions for Caplyta rose by 22% on a quarter-by-quarter basis alone in Q2, and the company is aiming for label expansion into bipolar depression. It has filed for a supplemental New Drug Application with the FDA for this; the PDUFA target action date is Dec. 17.
