Akorn shares climb as 4th-quarter results and 2015 forecasts exceed Wall Street expectations
Shares of Akorn Inc. jumped Thursday after the generic-drug maker's fourth-quarter results and its outlook for 2015 surpassed Wall Street expectations.
Akorn said its net income and revenue more than doubled after it acquired two other companies, Hi-Tech Pharmacal and VersaPharm, and had 14 drugs approved during the year. The company forecast $960 million to $980 million in revenue in 2015, about $60 million more than analysts expected.
Akorn stock rose $5.47, or 11.8 percent, to $51.87 in afternoon trading. Earlier it reached an all-time high of $52.34.
The company said it earned $32.4 million, or 29 cents per share, in the fourth quarter. Excluding one-time costs and gains Akorn said its profit totaled 50 cents per share, and it posted $227.8 million in revenue.
Analysts expected net income of 46 cents per share and $218.3 million in revenue, according to Zacks Investment Research.
The Lake Forest, Illinois-based company posted a profit of $40.9 million, or 38 cents per share, in 2014. Excluding special items Akorn said it earned $1.16 per share on $601.9 million in revenue.
Akorn expects $1.88 to $1.98 per share in adjusted net income in 2015. Analysts surveyed by FactSet expect a profit of $1.84 per share and $910.6 million in revenue.
Akorn shares have risen 28 percent since the beginning of the year. The stock has advanced 68 percent over the last 12 months.
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Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on AKRX at http://www.zacks.com/ap/AKRX
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Keywords: Akorn, Earnings Report