What happened?
Shares of Horizon Therapeutics (HZNP) were trading higher on Wednesday following the company's announcement of its fourth-quarter and full-year 2020 financial results. Horizon Therapeutics' stock closed the day's trading session up by 13.3%.
So what
During its fourth-quarter that ended on Dec. 31, Horizon Therapeutics recorded net sales of $745.3 million, representing a 105% increase compared to the prior-year quarter. The company's net sales also came in higher than the $693.54 million analysts had predicted. Horizon Therapeutics' top-line growth was driven by the launch of Tepezza, the first treatment for thyroid eye disease (TED) approved by the U.S. Food and Drug Administration (FDA). The FDA granted Tepezza regulatory approval in January 2020. During Q4, Horizon Therapeutics reported net sales of $343.7 million from Tepezza.
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On the bottom line, the healthcare company posted an adjusted net income of $298.5 million, or $1.28 on a per-share basis, compared to an adjusted net income and adjusted earnings per share (EPS) of $116.6 million and $0.56, respectively, during Q4 of the fiscal year 2019. The consensus analyst estimates for the company's Q4 adjusted EPS was $1.06. Horizon Therapeutics' full-year revenue was $2.2 billion, a 69% year-over-year increase. Its adjusted EPS for 2020 was $3.88, which doubled, compared to the fiscal year 2019.
Now what
Horizon Therapeutics also released its guidance for 2021. The company expects net sales between $2.70 billion and $2.80 billion, which compares favorably to the average analyst estimate of $2.68 billion. Horizon Therapeutics' future looks bright thanks to Tepezza, not to mention its recently announced acquisition of biotech company Viela Bio, which significantly expands Horizon's pipeline. Given all these factors, Horizon Therapeutics is definitely a stock worth considering.
