What happened

Shares of Supernus Pharmaceuticals (NASDAQ:SUPN), a profitable commercial-stage biopharma focused on diseases of the central nervous system, dropped 11% as of 2:35 p.m. EDT on Wednesday. The selling is attributable to the release of the company's mixed second-quarter results.

So what

Here's an overview of the headline numbers from Supernus' second quarter:

  • Revenue increased 31% to $99.5 million. The gain was driven by a 36% jump in sales of the epilepsy drug Trokendi XR and a 19% rise in Oxtellar XR. By contrast, Wall Street was looking for $101 million in total revenue.
  • GAAP earnings per share jumped 78% to $0.57. This result was far higher than market watchers' prediction of just $0.43.
Light-green dollar signs in drug packets

Image source: Getty Images.

Management also took the opportunity to adjust its financial guidance for the full year:

  • Sales are expected to land between $385 million and $400 million. This is an increase over its prior guidance range of $375 million to $400 million in total sales.
  • Operating earnings are forecast to come between $130 million and $140 million. This is a $5 million boost over its previous range.

Despite posting good-looking results and modestly boosting guidance, traders appear to be squarely focused on the slight miss on the top line. 

Now what

Supernus has been a red-hot stock for many years -- shares are up 621% since 2013 -- so it isn't too surprising to see it taking a step back in light of the mixed quarterly results. However, revenue and earnings growth of 31% and 78%, respectively, are very strong in absolute terms, so I think that long-term investors should continue to feel good about this company's chances moving forward.

Brian Feroldi has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.