Jazz Pharmaceuticals Earnings: Here’s Why Investors Don’t Like These Results

Jazz Pharmaceuticals, Inc. (NASDAQ:JAZZ) 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 down 3.53%.

Jazz Pharmaceuticals, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 31.19% to $1.43 in the quarter versus EPS of $1.09 in the year-earlier quarter.

Revenue: Rose 60.8% to $208.3 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Jazz Pharmaceuticals, Inc. reported adjusted EPS income of $1.43 per share. By that measure, the company missed the mean analyst estimate of $1.52. It missed the average revenue estimate of $208.71 million.

Quoting Management: “During the second quarter, we continued our track record of delivering strong top and bottom line growth fueled by increasing sales of Xyrem® and Erwinaze®,” said Bruce Cozadd, chairman and chief executive officer of Jazz Pharmaceuticals plc. “We remain committed to creating long-term shareholder value through disciplined investments to support expansion in our research and development, commercial and operational capacities and pursuit of promising corporate development opportunities.”

Key Stats (on next page)…

Revenue increased 6.15% from $196.24 million in the previous quarter. EPS increased 4.38% from $1.37 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 profit of $1.57 to a profit $1.6. For the current year, the average estimate has moved up from a profit of $6.15 to a profit of $6.21 over the last ninety days.

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