Zevra Therapeutics, Inc. (ZVRA) released its financial results for the second quarter on Tuesday, revealing a mixed bag of news. While the company beat revenue expectations, it missed earnings estimates.
Zevra reported a quarterly loss of 48 cents per share, falling short of analysts’ consensus estimate of 44 cents per share. However, revenue came in at $4.449 million, exceeding the expected $4.412 million.
The company’s revenue was generated primarily from two sources: $3.1 million in net reimbursements from the French EAP for arimoclomol, a drug for the treatment of Niemann-Pick disease type C, and $1.3 million in royalties and other reimbursements under the AZSTARYS License Agreement.
Research and development expenses for the second quarter totaled $10.5 million, compared to $7.4 million in the same period last year. This increase was primarily driven by spending on the KP1077 Phase 2 clinical trial and an increase in personnel-related costs.
Zevra CEO Neil F. McFarlane expressed confidence in the company’s progress, highlighting the positive vote from the FDA’s Genetic Metabolic Diseases Advisory Committee regarding arimoclomol. The advisory committee’s recommendation, while non-binding, provides a positive signal for Zevra as the FDA reviews the drug for potential approval.
Despite the earnings miss, Zevra’s share price fell by 1.18% in after-hours trading, reaching $6.70 at the time of publication. The company remains focused on advancing its strategic objectives and developing innovative treatments for rare diseases.