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Currently, Ritalin and Vyvanse are the most common Rx for ADHD in Israel.
Today’s session is a result of extremely poor ELTP communication framing up Q2 and Q3 financial results. Overall, Q3 results were good, but not nearly as good as management set expectations for. I’m guessing Q2 had quite a bit of initial fill quantities for new pharmacy partners + the actual small financial impact from the initial Prasco volume launch. Simply another reason to get someone involved in the IR conference call dialogue and communication strategy. Nasrat set high expectations in Q2 and then failed to meet the very same bar he set with actual results. Now is the long waiting game until end of June for YE 10K financials.
I think Elite will buy remaining ownership from Mikah within the next year. I believe the acceptable offer wasn’t a fixed $ amount, but rather a fair multiple based on recent performance so that the value will change over time. Just my guess. I think he gets a fair return from Elite and then enhancing the acquisition price for ELTP when it is time to sell - so a double benefit of sorts.
Based on Nasrat’s comments during Q2 dialogue, we should expect BE results to take place early first half if they expect a filing during 2024. However, BE results will only be made public if they are positive as mentioned during last call. They may have failed, but I doubt it.
Elite is valued as a separate entity, which it is. Nasrat may package both up, which I don’t think he will, but we would be completely blind to any Mikah valuation.
That’s authorized generic. This is also before all the new generic competition enters market.
Crazy article. Thanks for sharing. Goes to show the risks for opioid and CNS players.
Well, that’s not very likely, but at least we know who recently bought in.
That isn’t Dianne. It’s simply smaller outlets picking up on the news.
My state is just south of progressive, but highest tier 10% state tax. That will be one heck of a tax bill I owe, which will be higher than my remaining mortgage.
The current price is based on actual historical performance. It is priced right for that. It doesn’t take much into consideration for future potential. Give it another couple of quarters and that will start to be priced in. As long as the price remains at these levels, driven by being on OTC and significant float, I’ll keep buying.
To clarify, the ANDAs are in markets, competitive markets, that are in the billions. Looking forward to next two biggies where there is greater penetration potential. Looking forward to see Prasco get cooking.
Including more vault space too
I think Purdue outcome (legal + FDA) and launch of next CNS drugs in pipeline are going to determine the timing. Would be nice to see 2nd gen R&D make some movement for increased value.
Launch volume for Prasco was included. Recurring orders were not as they didn’t exist as of 12/31. This was validated during call.
You can through overseas brokers, just not stateside. Requires considerable margin risk though.
Arm yourselves with tin cans and toss them at the goats. That should do the trick.
I know. Would be awesome. Overall market is smaller, but penetrable market is larger. Definitely bigger than Adderall. TBD on Vyvanse.
Nasrat set extremely high top line expectations last Q and fell short. Sales were great. It was a record quarter, but sales acceleration (as shown) has slowed. I think we’ll see a nice pickup in June, but until then, expectations have been tampered down. To say that we will exceed $40M when we have $38M is really silly. Companies on larger exchanges get hit due to similar tepid commentary. If market is forward looking and you don’t give updated guidance then you should expect stock price to fall flat. I think near term smaller ANDA approvals may provide a little lift. We’ll likely also hear about BE trial before next call as well for next CNS product.
Always thought the same thing. :D
Launch could only start Jan due to their prior contractual agreement. We supplied them with their requested launch volume in Dec so they could launch Jan 1. Now we should get revenue in Q4 for ongoing subsequent orders from Prasco.
You are welcome on Prasco revenue accounting. :)
I always enjoy this quarterly hold music…
I think this is a case of Nasrat hyped Q3 and failed to meet that hype. A little beat Q/Q, but nothing material, especially for what will eventually be a high growth situation. Looking forward to call.
TDA platform was light years better in data provided, uptime, speed, etc.
Schwab triggered issues right at opening bell with website, mobile app & login.
I actually disagree here. Pharma does have some seasonality to it, but for the most part these are ongoing prescriptions. Back to school and summer lull does impact Adderall specifically. We will see swings in initial fill quantities for new partners, launch with Prasco awaiting refill quantities, etc, but for most part the business should have stair step growth.
By time Q4 earnings call takes place in June, Elite will be fully integrated into new facility using that extra vault and storage space.
This is really amusing. Thanks for the humor. This is legendary. :D
Cash flow applies to all companies. My question was simply a general question to the board as it sounds many don’t understand the B/S and CF statements vs. P&L.
Elite doesn’t have cash flow issues as they have a ton they are simply sitting on waiting to collect in A/R. This B/S is historically looking back to a 12/31 snapshot so I’d think that they would have already collected on a huge amount of this already and reinvest that cash in inventory, to pay employees, utilities, PPE, etc.
Exactly and how quickly we collect that cash so we can reinvest it.
Question for the board. Can a company be extremely profitable and go bankrupt? Yes, because it’s all about the cash flow that keeps the lights on, people paid, inventory and vendors paid, etc. The faster we collect cash, the better. Often there are payment discounts if we are paid within terms (Net 30 2%, Net 60), meaning we’ll give you a 2% discount if you pay us in 30 days, otherwise pay the full amount within 60 days.
What?! Please explain why you would add A/R to sales? That’s double dipping.
A/R is for sales that have already taken place and recorded as revenue, but cash hasn’t collected yet. Are you saying growth in A/R Q/Q will just be invested in more inventory so cash flow cycle?
Little north of 14.1M for Q2
I’m guessing that mental health takes a toll when someone tries to generate offspring with goats.
He made 2 separate comments in the cc on Q3 rev, this being one:
“In the last three quarters from January till September, we've made more than $30 million. By the end of this quarter, this -- by December, we would be north of $40 million. Next year is going to be a bigger year, because we will have Presco in the mix.”
You must be Lowensteins alter ego. You edit comments as much as him. Wouldn’t be surprised in the slightest.
Why are you ignoring that question? How about basic accounting of contractual revenue recognition? How about speaking as if audience is a bunch of 5 year olds? Well, you are in the audience.
I knew I couldn’t mute a jackass that would try and take advantage of me putting them on mute.