Here's Why It's Oca-Liftoff for Intercept Pharmaceuticals Inc.
Shares of Intercept Pharmaceuticals (NASDAQ: ICPT), a small-cap biotech company focused on the development of drugs to treat an assortment of liver diseases, vaulted higher by as much as 10% on Wednesday after the company reported its third-quarter earnings results. As you can likely surmise by the strong move higher, Intercept managed to gallop past the Street's consensus estimate.
For the quarter, Intercept wound up reporting worldwide sales of Ocaliva, the company's only approved drug, of $40.9 million. Sales of the primary biliary cholangitis (PBC) drug totaled $36.2 million in the U.S., which included a favorable $3.7 million for the change in estimate related to deferred revenue. International sales totaled $4.7 million, including a $0.4 million change in estimate related to deferred revenue. This additional $4.1 million in deferred sales is a result of the company now recognizing revenue when Ocaliva is sold to specialty pharmacies, as opposed to recognizing that revenue when it's dispensed to patients from specialty pharmacies, as it had been doing in the past.
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Source: Fool.com
