Incyte Earnings: Here’s Why Investors are Happy Now

Incyte Corporation (NASDAQ:INCY) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 6.43%.

Incyte Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 66.67% to $0.05 in the quarter versus EPS of $0.03 in the year-earlier quarter.

Revenue: Rose 17.52% to $101.7 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Incyte Corporation reported adjusted EPS income of $0.05 per share. By that measure, the company missed the mean analyst estimate of $0.08. It missed the average revenue estimate of $114.34 million.

Quoting Management: “The underlying demand for Jakafi was strong in the second quarter, leading to our decision to increase guidance for 2013,” stated Paul A. Friedman, M.D., Incyte’s President and Chief Executive Officer. “Looking forward, we expect the positive data recently presented at the European Hematology Association meeting regarding the overall survival advantage seen in COMFORT-II compared to best available therapy to continue to generate confidence in the therapeutic value of Jakafi.”

Key Stats (on next page)…

Revenue increased 43.08% from $71.08 million in the previous quarter. EPS increased to $0.05 in the quarter versus EPS of $-0.12 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a loss of $0.04 to a profit $0.04. For the current year, the average estimate has moved up from a loss of $0.36 to a loss of $0.11 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)