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Repligen Corporation (RGEN - Free Report) reported second-quarter 2024 adjusted earnings per share of 33 cents, which came in line with the Zacks Consensus Estimate. The company had recorded adjusted earnings of 53 cents per share in the year-ago quarter.
Total revenues were $154 million, down 3% year over year on a reported basis. Excluding the impact of acquisition revenues and currency exchange, revenues declined 5% year over year organically. Revenues were also in line with the Zacks Consensus Estimate.
The year-over-year decrease in total revenues can be attributed to the absence of COVID-related revenues and the expected decrease in revenues from protein franchisees.
Shares of Repligen have declined 10.7% so far this year against the industry’s rise of 0.1%.
Image Source: Zacks Investment Research
Quarter in Detail
Product revenues were $154 million, down 3.2% from the year-ago period. Royalty and other revenues were $0.04 million, almost flat year over year.
Repligen’s base business revenues of $149.6 million declined 5% year over year, owing to the anticipated decline in revenues from the proteins business.
The company’s base business can be categorized under four franchises — filtration, chromatography, protein and process analytics.
Revenues from the chromatography business improved 10% on a sequential basis. RGEN believes that the franchisee is witnessing signs of recovery as orders keep gaining traction.
The filtration franchise’s sales grew almost 10% year-over-year, excluding non-COVID filtration revenues, driven by the success of ATF Tangenx flat sheet cassettes and systems.
Revenues in the protein franchise have been declining in recent quarters and the company believes that it will continue to be the same for the remainder of 2024. RGEN expects the protein franchise to deliver $67-$72 million in revenues in 2024.
Though the analytics business had a slow start, RGEN believes that the business unit is picking up pace in generating revenues.
Revenues from the company’s new modalities business, which includes cell and gene therapy and mRNA, were up more than 5% year on year in the reported quarter.
Adjusted gross margin was 49.6% in the second quarter, down 60 basis points year over year.
Adjusted research and development expenses totaled approximately $10.2 million, up almost 5.1% from the year-ago quarter’s level.
Adjusted selling, general and administrative expenses were $50.5 million, up 24.1% year over year.
Adjusted operating income totaled $15.6 million, down almost 47.1% from the prior year quarter. Adjusted operating margin was 10.1% in the second quarter.
As of Jun 30, 2024, Repligen had cash and cash equivalents worth $809 million compared with $780.6 million as of Mar 31, 2024.
2024 Guidance
Repligen expects orders and revenues in the second half of 2024 to be better than the first half. The positive outlook for the second half of 2024 impressed investors and resulted in the stock rising 16.4% on Jul 30 following the announcement of the news.
Repligen narrowed its revenue guidance for 2024. The company now expects total revenues in the range of $620-$635 million for 2024 compared with the earlier projection of $620-$650 million.
Adjusted EPS is anticipated to be between $1.42 and $1.49 in 2024, unchanged from the previous guidance.
The company anticipates base business revenues to be down 1% to up 1% in 2024.
Adjusted net income is estimated in the band of $80-$84 million, unchanged from the previous guidance. Meanwhile, adjusted operating income is anticipated in the $76-$81 million range compared with the earlier projection of $83-$88 million.
Repligen expects an adjusted gross margin in the 49%-50% range. Adjusted operating margin is anticipated in the band of 12%-13%.
Repligen Corporation Price, Consensus and EPS Surprise
In the past 60 days, estimates for United Therapeutics’ 2024 earnings per share have improved from $24.62 to $25.59. Earnings per share estimates for 2025 have improved from $27.00 to $28.09. Year to date, shares of UTHR have jumped 53.4%.
UTHR’s earnings beat estimates in each of the trailing four quarters, the average surprise being 12.41%.
In the past 60 days, estimates for Halozyme’s 2024 earnings per share have improved from $3.69 to $3.90. Earnings per share estimates for 2025 have improved from $4.50 to $4.81. Year to date, shares of HALO have soared 50.6%.
HALO’s earnings beat estimates in three of the trailing four quarters and met the same on the remaining occasion, the average surprise being 9.40%.
In the past 60 days, estimates for Repare Therapeutics’ 2024 loss per share have narrowed from $2.42 to $2.35. Loss per share estimates for 2025 have narrowed from $3.29 to $3.21. Year to date, shares of RPTX have plunged 47.9%.
RPTX’s earnings beat estimates in three of the trailing four quarters while missing the same on the remaining occasion, the average surprise being 123.58%.
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Repligen's (RGEN) Q2 Earnings & Revenues Meet Estimates
Repligen Corporation (RGEN - Free Report) reported second-quarter 2024 adjusted earnings per share of 33 cents, which came in line with the Zacks Consensus Estimate. The company had recorded adjusted earnings of 53 cents per share in the year-ago quarter.
Total revenues were $154 million, down 3% year over year on a reported basis. Excluding the impact of acquisition revenues and currency exchange, revenues declined 5% year over year organically. Revenues were also in line with the Zacks Consensus Estimate.
The year-over-year decrease in total revenues can be attributed to the absence of COVID-related revenues and the expected decrease in revenues from protein franchisees.
Shares of Repligen have declined 10.7% so far this year against the industry’s rise of 0.1%.
Image Source: Zacks Investment Research
Quarter in Detail
Product revenues were $154 million, down 3.2% from the year-ago period. Royalty and other revenues were $0.04 million, almost flat year over year.
Repligen’s base business revenues of $149.6 million declined 5% year over year, owing to the anticipated decline in revenues from the proteins business.
The company’s base business can be categorized under four franchises — filtration, chromatography, protein and process analytics.
Revenues from the chromatography business improved 10% on a sequential basis. RGEN believes that the franchisee is witnessing signs of recovery as orders keep gaining traction.
The filtration franchise’s sales grew almost 10% year-over-year, excluding non-COVID filtration revenues, driven by the success of ATF Tangenx flat sheet cassettes and systems.
Revenues in the protein franchise have been declining in recent quarters and the company believes that it will continue to be the same for the remainder of 2024. RGEN expects the protein franchise to deliver $67-$72 million in revenues in 2024.
Though the analytics business had a slow start, RGEN believes that the business unit is picking up pace in generating revenues.
Revenues from the company’s new modalities business, which includes cell and gene therapy and mRNA, were up more than 5% year on year in the reported quarter.
Adjusted gross margin was 49.6% in the second quarter, down 60 basis points year over year.
Adjusted research and development expenses totaled approximately $10.2 million, up almost 5.1% from the year-ago quarter’s level.
Adjusted selling, general and administrative expenses were $50.5 million, up 24.1% year over year.
Adjusted operating income totaled $15.6 million, down almost 47.1% from the prior year quarter. Adjusted operating margin was 10.1% in the second quarter.
As of Jun 30, 2024, Repligen had cash and cash equivalents worth $809 million compared with $780.6 million as of Mar 31, 2024.
2024 Guidance
Repligen expects orders and revenues in the second half of 2024 to be better than the first half. The positive outlook for the second half of 2024 impressed investors and resulted in the stock rising 16.4% on Jul 30 following the announcement of the news.
Repligen narrowed its revenue guidance for 2024. The company now expects total revenues in the range of $620-$635 million for 2024 compared with the earlier projection of $620-$650 million.
Adjusted EPS is anticipated to be between $1.42 and $1.49 in 2024, unchanged from the previous guidance.
The company anticipates base business revenues to be down 1% to up 1% in 2024.
Adjusted net income is estimated in the band of $80-$84 million, unchanged from the previous guidance. Meanwhile, adjusted operating income is anticipated in the $76-$81 million range compared with the earlier projection of $83-$88 million.
Repligen expects an adjusted gross margin in the 49%-50% range. Adjusted operating margin is anticipated in the band of 12%-13%.
Repligen Corporation Price, Consensus and EPS Surprise
Repligen Corporation price-consensus-eps-surprise-chart | Repligen Corporation Quote
Zacks Rank & Stocks to Consider
Repligen currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the healthcare sector are United Therapeutics Corporation (UTHR - Free Report) , Halozyme Therapeutics, Inc. (HALO - Free Report) and Repare Therapeutics Inc. (RPTX - Free Report) , each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
In the past 60 days, estimates for United Therapeutics’ 2024 earnings per share have improved from $24.62 to $25.59. Earnings per share estimates for 2025 have improved from $27.00 to $28.09. Year to date, shares of UTHR have jumped 53.4%.
UTHR’s earnings beat estimates in each of the trailing four quarters, the average surprise being 12.41%.
In the past 60 days, estimates for Halozyme’s 2024 earnings per share have improved from $3.69 to $3.90. Earnings per share estimates for 2025 have improved from $4.50 to $4.81. Year to date, shares of HALO have soared 50.6%.
HALO’s earnings beat estimates in three of the trailing four quarters and met the same on the remaining occasion, the average surprise being 9.40%.
In the past 60 days, estimates for Repare Therapeutics’ 2024 loss per share have narrowed from $2.42 to $2.35. Loss per share estimates for 2025 have narrowed from $3.29 to $3.21. Year to date, shares of RPTX have plunged 47.9%.
RPTX’s earnings beat estimates in three of the trailing four quarters while missing the same on the remaining occasion, the average surprise being 123.58%.