Updated to include latest prices, information on Dendreon.
NEW YORK (TheStreet) -- Dendreon (DNDN) was decimated in extended trading Wednesday after the company's second-quarter results fell well short of Wall Street expectations on disappointing sales of its Provenge prostate cancer drug.
The stock was last quoted at $13.51, down 62%, on volume of more than 5.2 million, according to Nasdaq.com. The shares dipped as low as $11 in late trades.
The Seattle-based company also withdrew its revenue outlook for the rest of the year, citing reimbursement issues.Provenge sales in the quarter totaled $49.6 million, including a nearly $2 million reserve for chargebacks and rebates, but far short of Wall Street's expectations that ranged from $55 million to $60 million. Overall, the company lost $114.6 million, or 79 cents a share, in the three months ended June 30, missing the average estimate of analysts polled by Thomson Reuters for a loss of 71 cents a share. "We believe the market potential for Provenge is substantial, and the primary issue affecting the dynamics of our launch is the reimbursement knowledge around Provenge," said Dendreon CEO Mitch Gold, in a statement. The company withdrew its previous guidance calling for 2011 Provenge sales in the range of $350 million to $400 million and said it now expects "modest" quarter over quarter revenue growth for the remainder of this year. It also plans to take steps to reduce expenses, including an unspecified amount of layoffs.
ZipcarShares of Zipcar (ZIP) raced higher in late trades as the car-sharing concern posted a narrower than expected loss in its first quarterly report as a public company. Zipcar, which made its market debut in mid-April, also lifted its outlook for the full year, saying it now sees revenue of $240 million to $244 million, ahead of the current consensus view of $237.8 million. The stock was last quoted at $26.52, up 15%, on volume of more than 140,000, according to Nasdaq.com. At that level, it's up 45% from its pricing at $18 per share. For its fiscal second quarter ended June 30, Zipcar reported a loss of $5.6 million, or 17 cents a share, on revenue of $61.6 million, which was up 34% year-over-year. The average estimate of six analysts polled by Thomson Reuters was for a loss of 22 cents a share in the June period on revenue of $59.4 million. "Our strong second quarter performance underscores the business momentum we have established based on solid execution and the benefits associated with our first mover advantage," said Scott Griffith, the company's chairman and CEO. "Our commitment to a superior member experience and continued innovation such as the launch of our new Android app during the quarter has helped to stimulate increased activity across the network." Zipcar said its total members grew 29% year-over-year to 605,000, and that it sees revenue of $67 million to $69 million for the third quarter with results ranging from breakeven to a loss of $1.5 million. Wall Street is looking for revenue of $66.1 million in the September period.
ZumiezShares of Zumiez (ZUMZ) lost ground after the Everett, Wash.-based action sports apparel and equipment retailer fell short of Wall Street expectations with its July same-store sales growth. The company posted a 4.9% increase in comparable sales for the four weeks ended July 30, missing the consensus view compiled by Thomson Reuters for growth of 7.3%. Total sales jumped 12.3% for the month to $38.7 from $34.4 million in the same period a year earlier.
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