Jazz Pharmaceuticals Up on Third Quarter Earnings Beat

Jazz Pharmaceuticals earnings beat estimates. And the drugmaker raises its guidance.

Jazz Pharmaceuticals  (JAZZ) - Get Report beat Wall Street's third-quarter earnings expectations as the biopharma posted an increase in oncology-product sales.   

Shares of the Dublin company at last check were up 2.1% to $150.32.

Jazz reported adjusted net income of $242.1 million, or $4.31 a share, up from $235.3 million, or $4.10, a year earlier. The latest figure beat the Zacks consensus of $4.03.

Revenue increased 12% to $600.9 million and beat the Zacks estimate of $574 million.

Jazz Pharmaceuticals said it raised its 2020 guidance as a result of its performance and "successful adaptation to the covid-19 environment." 

The company expects 2020 earnings to range from $12.20 to $13 a share compared with earlier guidance of $11.90 to $13.

Jazz is now forecasting revenue to range from $2.32 billion to $2.38 billion, up from earlier guidance of $2.22 billion to $2.33 billion.

"We delivered strong financial results this quarter, with increasingly diversified revenues fueled by the recent launch of Zepzelca, an innovative new treatment for relapsed small cell lung cancer, which we expect to be a catalyst for significant growth in our oncology portfolio," Bruce Cozadd, chairman and CEO, said in a statement.

Oncology net product sales increased 37% to $138.2 million, led by initial net sales of Zepzelca of $36.9 million and a $12.6 million increase in Defitelio net product sales. 

Defitelio treats veno-occlusive disease of the liver of patients who had bone-marrow transplants.

Neuroscience net product sales increased 7% to $456.9 million led by continued strong growth in net product sales of the narcolepsy treatment Xyrem.

The company on Monday launched Xywav to treat cataplexy or excessive daytime sleepiness in narcolepsy.