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

Novavax, Inc. (NASDAQ:NVAX) had a loss 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 0%.

Novavax, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased to $-0.08 in the quarter versus EPS of $-0.05 in the year-earlier quarter.

Revenue: Decreased 50.7% to $3.5 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Novavax, Inc. reported adjusted EPS loss of $0.08 per share. By that measure, the company missed the mean analyst estimate of $-0.06. It missed the average revenue estimate of $4.53 million.

Quoting Management: “We have continued to demonstrate measurable progress in our RSV and influenza vaccine programs and look forward to future progress from our pipeline candidates,” said Stanley C. Erck, President and Chief Executive Officer of Novavax. “In addition to the progress on our core product candidates, last quarter highlighted Novavax’s capabilities in responding to emerging diseases. We took the initiative to rapidly develop and validate vaccine candidates for both H7N9 and MERS, demonstrating our ability to serve the needs of the global healthcare community through timely delivery of viable vaccine candidates for such emerging threats. We plan to review all of our programs at our upcoming analyst webcast, scheduled for September 24, 2013, and will provide details about this webcast over the next few weeks.”

Key Stats (on next page)…

Revenue decreased 8.62% from $3.83 million in the previous quarter. EPS decreased to $-0.08 in the quarter versus EPS of $-0.07 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a loss of $0.06 and has not changed. For the current year, the average estimate has moved down from a loss of $0.24 to a loss of $0.25 over the last ninety days.

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

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