SILVER SPRING, Md., July 29, 2014 /PRNewswire/ -- United Therapeutics Corporation (NASDAQ: UTHR) today announced its financial results for the second quarter ended June 30, 2014.
“Our continued growth shows that our medicines are reaching increasing numbers of patients suffering from pulmonary arterial hypertension (PAH),” said Martine Rothblatt, Ph.D., United Therapeutics’ Chairman and Chief Executive Officer. “The commercial launch this quarter of our extended-release tablet called Orenitram® harkens an opportunity to bring prostacyclin-based medicine to more PAH patients in the U.S. than ever before, by providing a less-invasive route of administration than our prostacyclin infusion therapy called Remodulin®.”
Total revenues for the quarter ended June 30, 2014 were $322.8 million, up from $280.6 million for the quarter ended June 30, 2013. Net income for the quarter ended June 30, 2014 was $111.9 million or $2.35 per basic share, compared to $79.9 million or $1.60 per basic share for the same quarter in 2013. Gross margin from sales was $282.6 million for the quarter ended June 30, 2014, compared to $245.2 million for the same quarter last year. Non-GAAP earnings(1) for the quarter ended June 30, 2014 were $122.4 million, compared to $125.1 million for the same quarter in 2013.
(1) | See definition of non-GAAP earnings, a non-GAAP financial measure, and a reconciliation of net income to non-GAAP earnings below. | ||
Financial Results for the Three Months Ended June 30, 2014
Revenues
The table below summarizes the components of net revenues (dollars in thousands):
Three Months Ended | Percentage | ||||||
2014 | 2013 | ||||||
Cardiopulmonary products: | |||||||
Remodulin | $ | 138,152 | $ | 124,311 | 11.1% | ||
Tyvaso | 121,227 | 109,458 | 10.8% | ||||
Adcirca | 55,318 | 43,726 | 26.5% | ||||
Orenitram | 6,632 | 100.0% | |||||
Other | 1,473 | 3,111 | (52.7)% | ||||
Total net revenues | $ | 322,802 | $ | 280,606 | 15.0% | ||
Revenues for the quarter ended June 30, 2014 increased by $42.2 million, compared to the same quarter in 2013. The growth in product revenues reflects the continuing increase in the number of patients being treated with our products and the launch of Orenitram.
Expenses
The table below summarizes research and development expense by major project and non-project components (dollars in thousands):
Three Months Ended | Percentage | ||||||
2014 | 2013 | ||||||
Project and non-project component: | |||||||
Cardiopulmonary | $ | 28,274 | $ | 28,537 | (0.9)% | ||
Share-based compensation expense | 1,047 | 14,158 | (92.6)% | ||||
Other | 10,421 | 11,922 | (12.6)% | ||||
Total research and development expense | $ | 39,742 | $ | 54,617 | (27.2)% | ||
Share-based compensation. The decrease in share-based compensation of $13.1 million for the quarter ended June 30, 2014, compared to the same quarter in 2013, resulted primarily from the decline in the price of our common stock.
The table below summarizes selling, general and administrative expense by major categories (dollars in thousands):
Three Months Ended | Percentage | ||||||
