La Jolla’s obesity drugmaker Orexigen Therapeutics missed the mark on its recent earnings statement, and stock has plummeted nearly 30 percent immediately following the announcement Oct. 26.
The local biopharmaceutical company posted a net loss of 12 cents per share, wider than the loss of 8 cents per share analysts were expecting.
Revenue was $4.9 million for the 2015 fourth quarter, missing Wall Street’s projections for revenue of $14.07 million. The company posted a net loss of $17.8 million for Q4, according to the earning statement.
Orexigen also reported full year earnings, with a net loss of $68.7 million on revenue of $24.5 million for 2015, compared with a net loss of $37.5 million on revenue of $55.5 million the year prior.
“By utilizing partners and distributors to commercialize Contrave / Mysimba in Europe and other major global territories and by tightly controlling our operating expenses, we believe that Orexigen could become profitable by late 2018 without the need for additional capital,” CEO Michael Narachi said in a statement.
Contrave and Mysimba are for the treatment of obesity.
Shares of Orexigen (Nasdaq: OREX) were down nearly 30 percent midday Feb. 26.