Adherex Technologies (NASDAQ:FENC) Issues Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Adherex Technologies (NASDAQ:FENC) announced its earnings results on Thursday. The company reported $0.12 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.10 by $0.02, FiscalAI reports. The company had revenue of $19.61 million during the quarter, compared to analyst estimates of $18.87 million. Adherex Technologies had a negative net margin of 6.09% and a negative return on equity of 5.71%.

Here are the key takeaways from Adherex Technologies’ conference call:

• Revenue and demand accelerated: Q3 net product sales rose 56% year over year to $19.4 million, the company’s best commercial quarter. Fennec HEARS enrollments increased 23% and completed infusions rose 58% sequentially, while record patient and infusion carryover and a strong October supported management’s confidence in Q4.
• Profitability and cash generation improved: Adjusted EBITDA reached a record $5.8 million, up from $2.0 million a year earlier, and the company generated nearly $7 million in cash from operations. Fennec reported $48.7 million in cash, no debt, and Q3 EPS of $0.12.
• Commercial investments are expanding access: Management said new sales territories are boosting field productivity, with uptake in community oncology and a formulary win at a large Midwestern academic center. Newly available GPO data is helping the team identify potential patients and add or expand accounts.
• Broader patient populations remain an opportunity, but evidence is still developing: Investigator-sponsored studies are evaluating PEDMARK in adult and metastatic testicular cancer patients, with interim City of Hope data expected in January. Management said any potential change to adult NCCN guidance depends on the forthcoming evidence and gave no timing for a Japan licensing deal.

Adherex Technologies Trading Up 2.4%

Shares of FENC traded up $0.26 during mid-day trading on Thursday, reaching $10.90. The company’s stock had a trading volume of 284,813 shares, compared to its average volume of 199,846. Adherex Technologies has a 52 week low of $5.65 and a 52 week high of $13.25. The stock has a market cap of $383.90 million, a PE ratio of -83.85 and a beta of 1.29. The company’s fifty day moving average price is $10.69 and its two-hundred day moving average price is $9.33.

Insiders Place Their Bets

In related news, CFO Robert Andrade sold 75,000 shares of Adherex Technologies stock in a transaction on Thursday, August 27th. The shares were sold at an average price of $11.78, for a total value of $883,500.00. Following the transaction, the chief financial officer owned 217,675 shares in the company, valued at $2,564,211.50. This trade represents a 25.63% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Pierre Sargis Sayad sold 12,000 shares of Adherex Technologies stock in a transaction on Monday, August 31st. The stock was sold at an average price of $12.18, for a total transaction of $146,160.00. Following the completion of the transaction, the insider owned 9,519 shares in the company, valued at approximately $115,941.42. The trade was a 55.76% decrease in their position. The SEC filing for this sale provides additional information. 10.73% of the stock is currently owned by corporate insiders.

Analyst Upgrades and Downgrades

FENC has been the topic of a number of research reports. HC Wainwright restated a “buy” rating and set a $16.00 price target on shares of Adherex Technologies in a research report on Wednesday, September 9th. B. Riley Financial reiterated a “buy” rating and issued a $18.00 price objective (up from $16.00) on shares of Adherex Technologies in a report on Wednesday, August 12th. Wedbush increased their price objective on Adherex Technologies from $13.00 to $16.00 and gave the company an “outperform” rating in a research report on Wednesday, August 12th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of Adherex Technologies in a research report on Thursday, October 15th. Four equities research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $17.00.

About Adherex Technologies

Adherex Technologies was a biotechnology company focused on developing treatments for cancer. In 2014, the company changed its name to Fennec Pharmaceuticals Inc.; Fennec later adopted the Nasdaq ticker FENC. Fennec is a commercial-stage biopharmaceutical company focused on therapies that address complications of cancer treatment. Its principal product is PEDMARK, a sodium thiosulfate injection approved in the United States to reduce the risk of cisplatin-related hearing damage in certain pediatric patients with cancer.