Horizon Pharma plc announced its first quarter 2015 financial results. Total net sales in the first quarter of 2015 were $113.1 million.
Article continues below
This compares with $51.9 million in the first quarter of 2014, representing 118 percent growth.
Gross margins were 74 percent in the first quarter of 2015 compared with 85 percent in the first quarter of 2014.
On an Adjusted non-GAAP basis, gross margins were 91 percent in the first quarter of 2015 and 89 percent in the first quarter of 2014, excluding depreciation, intangible amortization, amortization of inventory step-up and royalty accretion, but including royalties incurred during the quarter based on that period's net sales for VIMOVO and ACTIMMUNE.
Total operating expenses were $79.5 million in the first quarter of 2015, compared to $42.7 million in the first quarter of 2014.
The increase in operating expenses reflects the increases in research and development expenses, principally related to ACTIMMUNE, sales and marketing expenses primarily due to the expansion of our sales force for PENNSAID 2% along with other costs related to ACTIMMUNE and PENNSAID 2% and general and administrative expenses, principally due to the build out of infrastructure to support the company's growth.
First quarter 2015 operating expenses included $3.7 million of transaction-related expenses associated with the acquisitions of Vidara Therapeutics International plc, or Vidara, and Hyperion Therapeutics, Inc., or Hyperion.
Adjusted EBITDA was $37.7 million in the first quarter of 2015 after excluding the impact of $10.5 million in expenses associated with debt extinguishment and induced conversions of a portion of the 5% Convertible Senior Notes due 2018, or Convertible Senior Notes, $6.7 million in share-based compensation and $3.7 million of transaction expenses related to Vidara and Hyperion, compared with adjusted EBITDA of $12.1 million in the first quarter of 2014.
On a GAAP basis, net loss in the first quarter of 2015 was $19.6 million, or $0.16 net loss on a basic and diluted per share basis, compared to a net loss of $206.3 million in the first quarter of 2014, or $3.07 net loss on a basic and diluted per share basis.
Adjusted non-GAAP net income for the first quarter of 2015 was $27.9 million, or $0.22 basic earnings per share and $0.21 diluted earnings per share, compared to adjusted non-GAAP net income of $11 million, or $0.16 basic earnings per share and $0.13 diluted earnings per share in the first quarter of 2014.
Weighted average shares used for calculating earnings per share in the first quarter of 2015 were 125.7 million and 138.2 million for basic and diluted earnings per share, respectively, compared to 67.1 million and 83.1 million for basic and diluted earnings per share, respectively, in the first quarter of 2014.
The number of ACTIMMUNE patients with chronic granulomatous disease, or CGD, and severe malignant osteopetrosis, or SMO, increased from 243 in the first quarter of 2014 to 280 in the first quarter of 2015, an increase of more than 15%.
DUEXIS total prescriptions were 77.3 thousand in the first quarter of 2015 compared to 53.3 thousand in the first quarter of 2014, a 45.1% increase. We continue to see growth in total prescriptions driven by the acceleration of our Prescriptions-Made-Easy program, or PME, with weekly total prescriptions for the month of April rising to levels that currently exceed those from the fourth quarter of 2014.
PENNSAID 2% total prescriptions have increased significantly since the Horizon relaunch in January and totaled 32.3 thousand in the first quarter of 2015. PENNSAID 2% was originally launched in the U.S. in April 2014.
VIMOVO total prescriptions were 68.0 thousand in the first quarter of 2015 compared to 69.4 thousand in the first quarter of 2014. We expect to see growth in total prescriptions in 2015 driven by the acceleration of our PME program, with weekly total prescriptions for the month of April rising to levels that currently exceed those in the fourth quarter of 2014. ■