Acadia Reports Second Quarter 2017 Financial Results
Published: Aug 09, 2017
Second Quarter Net Sales Grew to $30.5 Million Including $3.6 Million From Transition to Sell-In Method of Accounting
SAN DIEGO--(BUSINESS WIRE)--ACADIA Pharmaceuticals Inc. (NASDAQ: ACAD), a biopharmaceutical company focused on the development and commercialization of innovative medicines to address unmet medical needs in central nervous system (CNS) disorders, today announced its unaudited financial results for the second quarter ended June 30, 2017.
“Our commercial efforts continue to drive strong financial performance with solid market uptake for NUPLAZID in patients with Parkinson’s disease psychosis,” said Steve Davis, ACADIA’s President and Chief Executive Officer. “Following positive data from our Phase II study in Alzheimer’s disease psychosis and recently completed End-of-Phase II meeting with the FDA, we are excited to start our Phase III program in the next couple of months.”
During the second quarter of 2017, ACADIA generated $30.5 million of net product sales of NUPLAZID, which includes the one-time recognition of $3.6 million associated with the transition to the sell-in revenue recognition method of accounting from the sell-through method.
Starting with the second quarter of 2017, based on its determination it had sufficient volume of activity to reasonably estimate its allowances for rebates and chargebacks, ACADIA began to recognize revenue at the point of sale to its specialty pharmacy and specialty distributor partners, commonly referred to as the “sell-in” revenue recognition method. Previously, ACADIA had deferred the recognition of revenue until it obtained evidence that its specialty partners had dispensed the product to a patient or had sold the product to a government facility, long-term care pharmacy or in-patient hospital pharmacy. The $3.6 million one-time adjustment was deferred revenue as of March 31, 2017 and represents product held by specialty pharmacies and specialty distributors at such date.
For comparison purposes, the following table presents NUPLAZID’s pro forma quarterly net product sales under the sell-in method, if ACADIA had been able to reasonably estimate its allowances for rebates and chargebacks from the time of launch in May 2016.