Latest news with #BrianMarkison
Yahoo
06-08-2025
- Business
- Yahoo
Lantheus (NASDAQ:LNTH) Reports Sales Below Analyst Estimates In Q2 Earnings, Stock Drops 20.8%
Radiopharmaceutical company Lantheus Holdings (NASDAQ:LNTH) fell short of the market's revenue expectations in Q2 CY2025, with sales falling 4.1% year on year to $378 million. The company's full-year revenue guidance of $1.49 billion at the midpoint came in 5% below analysts' estimates. Its non-GAAP profit of $1.57 per share was 6.3% below analysts' consensus estimates. Is now the time to buy Lantheus? Find out in our full research report. Lantheus (LNTH) Q2 CY2025 Highlights: Revenue: $378 million vs analyst estimates of $387.8 million (4.1% year-on-year decline, 2.5% miss) Adjusted EPS: $1.57 vs analyst expectations of $1.68 (6.3% miss) The company dropped its revenue guidance for the full year to $1.49 billion at the midpoint from $1.57 billion, a 4.8% decrease Management lowered its full-year Adjusted EPS guidance to $5.60 at the midpoint, a 15.8% decrease Operating Margin: 23.3%, down from 26.1% in the same quarter last year Free Cash Flow Margin: 20.9%, up from 18.7% in the same quarter last year Market Capitalization: $5.02 billion 'In the second quarter and the month thereafter, we completed the acquisitions of both Evergreen Theragnostics and Life Molecular Imaging – key steps in executing our strategy to expand capabilities across the radiopharmaceutical value chain, diversify revenue, including with Neuraceq, and drive future growth. At the same time, we navigated increased competition in the PSMA PET landscape, which impacted PYLARIFY performance. We are taking actions to reinforce PYLARIFY's clinical differentiation and support the value of our PSMA PET franchise,' said Brian Markison, CEO. Company Overview Pioneering the "Find, Fight and Follow" approach to disease management, Lantheus Holdings (NASDAQGM:LNTH) develops and commercializes radiopharmaceuticals and other imaging agents that help healthcare professionals detect, diagnose, and treat diseases. Revenue Growth A company's long-term sales performance is one signal of its overall quality. Any business can have short-term success, but a top-tier one grows for years. Over the last five years, Lantheus grew its sales at an incredible 35.6% compounded annual growth rate. Its growth beat the average healthcare company and shows its offerings resonate with customers, a helpful starting point for our analysis. We at StockStory place the most emphasis on long-term growth, but within healthcare, a half-decade historical view may miss recent innovations or disruptive industry trends. Lantheus's annualized revenue growth of 16.3% over the last two years is below its five-year trend, but we still think the results suggest healthy demand. This quarter, Lantheus missed Wall Street's estimates and reported a rather uninspiring 4.1% year-on-year revenue decline, generating $378 million of revenue. Looking ahead, sell-side analysts expect revenue to grow 8.6% over the next 12 months, a deceleration versus the last two years. Despite the slowdown, this projection is noteworthy and indicates the market is forecasting success for its products and services. Software is eating the world and there is virtually no industry left that has been untouched by it. That drives increasing demand for tools helping software developers do their jobs, whether it be monitoring critical cloud infrastructure, integrating audio and video functionality, or ensuring smooth content streaming. Click here to access a free report on our 3 favorite stocks to play this generational megatrend. Operating Margin Lantheus has managed its cost base well over the last five years. It demonstrated solid profitability for a healthcare business, producing an average operating margin of 19.1%. Looking at the trend in its profitability, Lantheus's operating margin rose by 33.3 percentage points over the last five years, as its sales growth gave it immense operating leverage. Zooming in on its more recent performance, we can see the company's trajectory is intact as its margin has also increased by 26.2 percentage points on a two-year basis. These data points are very encouraging and show momentum is on its side. In Q2, Lantheus generated an operating margin profit margin of 23.3%, down 2.8 percentage points year on year. This contraction shows it was less efficient because its expenses increased relative to its revenue. Earnings Per Share Revenue trends explain a company's historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions. Lantheus's EPS grew at an astounding 42.7% compounded annual growth rate over the last five years, higher than its 35.6% annualized revenue growth. This tells us the company became more profitable on a per-share basis as it expanded. We can take a deeper look into Lantheus's earnings to better understand the drivers of its performance. As we mentioned earlier, Lantheus's operating margin declined this quarter but expanded by 33.3 percentage points over the last five years. This was the most relevant factor (aside from the revenue impact) behind its higher earnings; interest expenses and taxes can also affect EPS but don't tell us as much about a company's fundamentals. In Q2, Lantheus reported adjusted EPS at $1.57, down from $1.80 in the same quarter last year. This print missed analysts' estimates, but we care more about long-term adjusted EPS growth than short-term movements. Over the next 12 months, Wall Street expects Lantheus's full-year EPS of $6.39 to grow 4.9%. Key Takeaways from Lantheus's Q2 Results We struggled to find many positives in these results. Its full-year revenue guidance missed and its full-year EPS guidance fell short of Wall Street's estimates. Overall, this quarter was bad. The stock traded down 20.8% to $57.50 immediately following the results. Lantheus didn't show it's best hand this quarter, but does that create an opportunity to buy the stock right now? We think that the latest quarter is just one piece of the longer-term business quality puzzle. Quality, when combined with valuation, can help determine if the stock is a buy. We cover that in our actionable full research report which you can read here, it's free. Sign in to access your portfolio
Associated Press
06-08-2025
- Business
- Associated Press
Lantheus Announces FDA Acceptance of NDA for New Formulation for Market-Leading PSMA PET Imaging Agent
BEDFORD, Mass., Aug. 06, 2025 (GLOBE NEWSWIRE) -- Lantheus Holdings, Inc. ('Lantheus') (NASDAQ: LNTH), the leading radiopharmaceutical-focused company committed to enabling clinicians to Find, Fight and Follow disease to deliver better patient outcomes, today announced that the Food and Drug Administration (FDA) has accepted a New Drug Application (NDA) for a new formulation of its F 18 PSMA imaging agent filed by its affiliate, Aphelion. The FDA has set an action date goal of March 6, 2026 under the Prescription Drug User Fee Act (PDUFA). This NDA acceptance builds on the success of Lantheus' market-leading PSMA PET imaging agent, PYLARIFY, which has demonstrated high diagnostic performance and meaningful impact on clinical decision making. If approved, we expect that this new formulation will offer an efficacy consistent with the market-leading PSMA PET agent, PYLARIFY, which has demonstrated an 86% median true-positive rate based on three independent readers in a study of patients with recurrent prostate cancer based on rising PSA after therapy.1 'We are pleased the FDA accepted Aphelion's NDA for the new piflufolastat F 18 formulation, which we expect will improve patient access due to a significant increase in the number of doses per batch,' said Brian Markison, CEO, Lantheus. 'This formulation is a natural next step in our commitment to advancing PSMA imaging. There is a growing burden of prostate cancer in the U.S. and a clear need for accurate and early detection. Building on PYLARIFY's proven performance and accuracy, Lantheus is well-positioned for continued leadership in prostate cancer imaging.' This new formulation optimizes the manufacturing process and is expected to increase batch size by ~50%, allowing Lantheus to serve significantly more patients while maintaining the same high standards that has made PYLARIFY the trusted choice for providers. The new formulation increases the radioactive concentration of the agent and has the potential to expand patient access in new geographic locations. 'We have reached a key milestone and delivered on our commitment to advance prostate cancer imaging through sustainable innovation,' said Paul Blanchfield, President, Lantheus. 'By enhancing the efficiency of production, we expect to improve patient access, streamline operations, and support the broader healthcare system's ability to deliver timely diagnostic imaging.' About Prostate Cancer In the U.S., prostate cancer is the second most frequently diagnosed cancer and fifth-leading cause of cancer-related deaths among men globally. For 2025, estimates suggest nearly 315,000 new cases and more than 35,000 deaths.2 Projections indicate a significant increase in prostate cancer incidence, with annual cases expected to nearly double to 2.9 million by 2040.3 This is largely attributed to aging populations and increased life expectancy, particularly in low- and middle-income countries where healthcare access and early detection may be limited. About PYLARIFY® (piflufolastat F 18) Injection PYLARIFY® (piflufolastat F 18) injection (also known as 18F-DCFPyL or PyL) is a fluorinated small molecule PSMA-targeted PET imaging agent that enables visualization of lymph nodes, bone and soft tissue metastases to determine the presence or absence of recurrent and/or metastatic prostate cancer. For men with prostate cancer, PYLARIFY PET combines the accuracy of PET imaging, the precision of PSMA targeting and the clarity of an F 18 radioisotope for superior diagnostic performance. The recommended PYLARIFY dose is 333 MBq (9 mCi) with an acceptable range of 296 MBq to 370 MBq (8 mCi to 10 mCi), administered as a bolus intravenous injection.3-9 PYLARIFY has made a profound impact on the lives of patients battling prostate cancer. It is the number one ordered PSMA PET imaging agent in the U.S., and is a proven diagnostic backed by real-world experience, including in over 500,000 scans across 48 states, Puerto Rico and Washington, D.C. PYLARIFY® (piflufolastat F 18) Injection Indication PYLARIFY® (piflufolastat F 18) Injection is a radioactive diagnostic agent indicated for positron emission tomography (PET) of prostate-specific membrane antigen (PSMA) positive lesions in men with prostate cancer: Important Safety Information Contraindications None. Warnings and Precautions Risk of Image Misinterpretation Imaging interpretation errors can occur with PYLARIFY imaging. A negative image does not rule out the presence of prostate cancer and a positive image does not confirm the presence of prostate cancer. The performance of PYLARIFY for imaging of patients with biochemical evidence of recurrence of prostate cancer seems to be affected by serum PSA levels. The performance of PYLARIFY for imaging of metastatic pelvic lymph nodes prior to initial definitive therapy seems to be affected by risk factors such as Gleason score and tumor stage. PYLARIFY uptake is not specific for prostate cancer and may occur with other types of cancer as well as non-malignant processes and in normal tissues. Clinical correlation, which may include histopathological evaluation of the suspected prostate cancer site, is recommended. Hypersensitivity Reactions Monitor patients for hypersensitivity reactions, particularly patients with a history of allergy to other drugs and foods. Reactions may be delayed. Always have trained staff and resuscitation equipment available. Radiation Risks Diagnostic radiopharmaceuticals, including PYLARIFY, expose patients to radiation. Radiation exposure is associated with a dose-dependent increased risk of cancer. Ensure safe handling and preparation procedures to protect patients and health care workers from unintentional radiation exposure. Advise patients to hydrate before and after administration and to void frequently after administration. Adverse Reactions The most frequently reported adverse reactions were headaches, dysgeusia and fatigue, occurring at rate of ≤2% during clinical studies with PYLARIFY. In addition, a delayed hypersensitivity reaction was reported in one patient (0.2%) with a history of allergic reactions. Drug interactions Androgen deprivation therapy (ADT) and other therapies targeting the androgen pathway, such as androgen receptor antagonists, may result in changes in uptake of PYLARIFY in prostate cancer. The effect of these therapies on performance of PYLARIFY PET has not been established. To report suspected adverse reactions for PYLARIFY, call 1-800-362-2668 or contact FDA at 1-800-FDA-1088 or Please read the accompanying full Prescribing Information also available at Safe Harbor for Forward-Looking and Cautionary Statements This press release contains 'forward-looking statements' that are subject to risks and uncertainties. Forward-looking statements include, but are not limited to, statements relating to the potential FDA approval of the NDA for a new formulation of piflufolastat F18, the Company's F-18 based PET imaging agent and statements regarding Lantheus' expectations, hopes, beliefs, intentions or strategies regarding the future. Forward-looking statements may be identified by their use of terms such as 'aim,' 'designed,' 'expect,' 'expected,' 'will' and other similar terms. Such forward-looking statements are based upon current plans, estimates and expectations that are subject to risks and uncertainties that could cause actual results to materially differ from those described in the forward-looking statements, including our ability to obtain FDA approval for our new formulation of PYLARIFY, to complete the technology transfer across our PET manufacturing facilities network for such new formulation, and to obtain adequate coding, coverage and payment, as well as the risk and uncertainties discussed in our filings with the Securities and Exchange Commission (including those described in the Risk Factors section in our Annual Reports on Form 10-K and our Quarterly Reports on Form 10-Q). About Lantheus Lantheus is the leading radiopharmaceutical-focused company, delivering life-changing science to enable clinicians to Find, Fight and Follow disease to deliver better patient outcomes. Headquartered in Massachusetts with offices in New Jersey, Canada, Germany, Sweden and Switzerland, Lantheus has been providing radiopharmaceutical solutions for nearly 70 years. For more information, visit 1Morris MJ, et al; CONDOR Study Group. Diagnostic Performance of 18F-DCFPyL-PET/CT in Men with Biochemically Recurrent Prostate Cancer: Results from the CONDOR Phase III, Multicenter Study. Clin Cancer Res. 2021 Jul 1;27(13):3674-3682. doi: 10.1158/ Epub 2021 Feb 23. PMID: 33622706; PMCID: PMC8382991. 2American Cancer Society. Cancer Facts & Figures 2025. Atlanta: American Cancer Society; 2025. Available at 3Harris E. Prostate Cancer Cases Might Rise to 3 Million Globally by 2040. JAMA. 2024;331(20):1698. doi:10.1001/jama.2024.6729 4PYLARIFY® [package insert]. North Billerica, MA: Progenics Pharmaceuticals, Inc., a Lantheus company. 5Data on file. Bedford, MA: Progenics Pharmaceuticals, Inc.; 2024. 6Mena E, Lindenberg ML, Turkbey IB, et al. 18 F-DCFPyL PET/CT imaging in patients with biochemically recurrent prostate cancer after primary local therapy. JNuclMed. 2020;61(6):881-889. 7Werner RA, Derlin T, Lapa C, et al. 18 F-labeled, PSMA-targeted radiotracers: leveraging the advantages of radiofluorination for prostate cancer molecular imaging. Theranostics. 2020;10(1):1-16. 8Alipour R, Azad A, Hofman MS. Guiding management of therapy in prostate cancer: time to switch from conventional imaging to PSMA PET? Ther Adv Med Oncol. 2019;11:1-14. 9Petersen LJ, Zacho HD. PSMA PET for primary lymph node staging of intermediate and high-risk prostate cancer: an expedited systematic review. Cancer Imaging. 2020;20(1):10. Contacts: Lantheus Mark Kinarney Vice President, Investor Relations 978-671-8842 [email protected] Melissa Downs Executive Director, External Communications 646-975-2533 [email protected]
Yahoo
09-05-2025
- Business
- Yahoo
LNTH Q1 Earnings Call: Lantheus Lowers Outlook Amid Product Shifts and Divestitures
Radiopharmaceutical company Lantheus Holdings (NASDAQ:LNTH) missed Wall Street's revenue expectations in Q1 CY2025, with sales flat year on year at $372.8 million. The company's full-year revenue guidance of $1.57 billion at the midpoint came in 1.8% below analysts' estimates. Its non-GAAP profit of $1.53 per share was 7.5% below analysts' consensus estimates. Is now the time to buy LNTH? Find out in our full research report (it's free). Revenue: $372.8 million vs analyst estimates of $378.8 million (flat year on year, 1.6% miss) Adjusted EPS: $1.53 vs analyst expectations of $1.65 (7.5% miss) Adjusted EBITDA: $149.6 million vs analyst estimates of $172.9 million (40.1% margin, 13.4% miss) The company dropped its revenue guidance for the full year to $1.57 billion at the midpoint from $1.58 billion, a 0.6% decrease Management lowered its full-year Adjusted EPS guidance to $6.65 at the midpoint, a 6.3% decrease Operating Margin: 27.4%, down from 28.8% in the same quarter last year Free Cash Flow Margin: 26.5%, down from 32.2% in the same quarter last year Market Capitalization: $5.57 billion Lantheus Holdings' first quarter results were driven by a combination of steady performance from its core imaging agents and significant business transformation initiatives. Management attributed the quarter's results to the impact of contracting strategies in its radiopharmaceutical segment, ongoing competitive dynamics in its PYLARIFY product, and the divestiture of its SPECT business. CEO Brian Markison emphasized, 'We are laying the foundation for the next chapter of our business,' highlighting the importance of recent acquisitions and a focus on PET radiodiagnostics and radiotherapeutics. Looking ahead, Lantheus' downward adjustment of full-year guidance was shaped by a more cautious view on PYLARIFY's growth trajectory and anticipated integration costs from new acquisitions. Management remains focused on streamlining its portfolio, expanding its Alzheimer's disease diagnostics via the Life Molecular Imaging acquisition, and investing in early- and late-stage pipeline assets. Markison noted that these moves are designed to 'diversify our revenue streams and unlock additional value,' though leadership acknowledged ongoing headwinds in reimbursement and market competition. Lantheus' leadership pointed to ongoing portfolio realignment and competitive pressure as key influences on first quarter outcomes. The company's business update centered around the strategic sale of its SPECT business, acquisitions targeting growth in PET imaging, and the positioning of its pipeline for future expansion. Portfolio transformation underway: Management is actively shifting away from legacy SPECT imaging, opting to divest this segment to SHINE Technologies. This streamlining move is intended to focus the company on higher-margin PET diagnostics and radiotherapeutics. Acquisition-driven pipeline expansion: The completed Evergreen Theragnostics acquisition and pending Life Molecular Imaging (LMI) deal are expected to add commercial products and expand the pipeline, particularly in neuroendocrine tumor imaging and Alzheimer's diagnostics. Evergreen brings manufacturing capabilities and a pipeline that includes OCTEVY, while LMI adds NEURACEQ, a PET imaging agent for Alzheimer's disease. PYLARIFY market dynamics: PYLARIFY, Lantheus' PSMA PET imaging agent, saw continued volume growth offset by a low-single-digit decline in net price. Management cited increased competitive disruption among smaller, non-contracted imaging centers due to reimbursement changes, but believes expanded contracting and product availability will help regain momentum. Alzheimer's diagnostics opportunity: The company anticipates significant growth in the Alzheimer's PET imaging market, citing over 100 therapeutic candidates in development. Management expects its combined Alzheimer's diagnostics platform to be positioned for leadership as the market expands. Margin pressures and cost allocation: Operating margins declined in part due to increased R&D spend supporting a broader pipeline and non-recurring transaction expenses. The company expects divesting lower-margin businesses and integrating acquisitions to support future margin improvement. Management's outlook for the remainder of the year is shaped by the integration of new acquisitions, ongoing reimbursement headwinds in core imaging agents, and anticipated growth in the Alzheimer's diagnostics market. Integration of new acquisitions: Lantheus expects the addition of Evergreen and LMI to diversify its revenue base and provide new growth avenues, though near-term earnings will be diluted by integration costs and increased R&D investment. Reimbursement environment and competition: Ongoing changes in Medicare reimbursement and heightened competition, especially for PYLARIFY, are expected to impact near-term growth and pricing power. Management is focused on expanding contracting efforts to smaller imaging centers to mitigate these effects. Alzheimer's diagnostics and pipeline launches: The company believes growth in Alzheimer's disease PET imaging will accelerate with the launch of new diagnostic agents and continued development of therapeutic partnerships, positioning Lantheus to benefit from increasing demand in this area. Anthony Petrone (Mizuho Financial Group): Asked about PYLARIFY's competitive dynamics and the rationale for divesting the SPECT business; management described short-term disruptions among smaller centers and emphasized a focus on growth platforms. Roanna Ruiz (Leerink Partners): Queried about drivers for the narrowed guidance range and how resources from the SPECT sale would be redeployed; management cited more cautious PYLARIFY assumptions and a focus on PET diagnostics and radiotherapeutics. Richard Newitter (Truist Securities): Sought clarity on expected dilution from acquisitions and whether double-digit revenue growth in 2026 remains likely; management reiterated low-single-digit dilution and stated that double-digit growth is still anticipated with full-year contributions from acquisitions. Matt Taylor (Jefferies): Asked how the acquisitions would affect growth rates in 2026 and beyond; management pointed to launches of OCTEVY, PNT2003, and Alzheimer's agents as potential drivers for sustained double-digit growth. Paul Choi (Goldman Sachs): Inquired about PYLARIFY pricing trends and the outlook for Alzheimer's PET scan market growth post-acquisition; leadership highlighted ongoing payer discussions and robust growth in Alzheimer's imaging claims. In future quarters, the StockStory team will watch (1) the pace and success of Evergreen and Life Molecular Imaging integration, (2) stabilization and potential recovery in PYLARIFY's pricing and volume trends as new contracting strategies are implemented, and (3) early signs of expansion in the Alzheimer's PET imaging segment following NEURACEQ's addition. The timing of key regulatory filings and product launches will also be critical markers for the company's evolving growth trajectory. Lantheus currently trades at a forward P/E ratio of 11.2×. Is the company at an inflection point that warrants a buy or sell? The answer lies in our free research report. Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.
Yahoo
07-05-2025
- Business
- Yahoo
Lantheus (NASDAQ:LNTH) Reports Sales Below Analyst Estimates In Q1 Earnings, Stock Drops
Long-term growth is the most important, but within healthcare, a half-decade historical view may miss new innovations or demand cycles. Lantheus's annualized revenue growth of 22.3% over the last two years is below its five-year trend, but we still think the results suggest healthy demand. Reviewing a company's long-term sales performance reveals insights into its quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Over the last five years, Lantheus grew its sales at an incredible 34.3% compounded annual growth rate. Its growth beat the average healthcare company and shows its offerings resonate with customers, a helpful starting point for our analysis. Pioneering the "Find, Fight and Follow" approach to disease management, Lantheus Holdings (NASDAQGM:LNTH) develops and commercializes radiopharmaceuticals and other imaging agents that help healthcare professionals detect, diagnose, and treat diseases. "We are laying the foundation for the next chapter of Lantheus' business with the acquisition of Evergreen Theragnostics and planned acquisition of Life Molecular Imaging, both of which add growth drivers that complement our business and diversify our revenues. These transactions also add exciting new pipeline programs in both late- and early-stage development and key capabilities that enable Lantheus to progress novel programs from bench to clinic," said Brian Markison, Chief Executive Officer at Lantheus. The company dropped its revenue guidance for the full year to $1.57 billion at the midpoint from $1.58 billion, a 0.6% decrease Is now the time to buy Lantheus? Find out in our full research report . Radiopharmaceutical company Lantheus Holdings (NASDAQ:LNTH) fell short of the market's revenue expectations in Q1 CY2025, with sales flat year on year at $372.8 million. The company's full-year revenue guidance of $1.57 billion at the midpoint came in 1.5% below analysts' estimates. Its non-GAAP profit of $1.53 per share was 7.5% below analysts' consensus estimates. Story Continues Lantheus Year-On-Year Revenue Growth This quarter, Lantheus's $372.8 million of revenue was flat year on year, falling short of Wall Street's estimates. Looking ahead, sell-side analysts expect revenue to grow 7% over the next 12 months, a deceleration versus the last two years. Despite the slowdown, this projection is above the sector average and implies the market is baking in some success for its newer products and services. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Operating Margin Lantheus has managed its cost base well over the last five years. It demonstrated solid profitability for a healthcare business, producing an average operating margin of 18.4%. Analyzing the trend in its profitability, Lantheus's operating margin rose by 28.2 percentage points over the last five years, as its sales growth gave it immense operating leverage. This performance was mostly driven by its recent improvements as the company's margin has increased by 32.6 percentage points on a two-year basis. These data points are very encouraging and shows momentum is on its side. Lantheus Trailing 12-Month Operating Margin (GAAP) This quarter, Lantheus generated an operating profit margin of 27.4%, down 1.4 percentage points year on year. This reduction is quite minuscule and indicates the company's overall cost structure has been relatively stable. Earnings Per Share We track the long-term change in earnings per share (EPS) for the same reason as long-term revenue growth. Compared to revenue, however, EPS highlights whether a company's growth is profitable. Lantheus's EPS grew at an astounding 39.7% compounded annual growth rate over the last five years, higher than its 34.3% annualized revenue growth. This tells us the company became more profitable on a per-share basis as it expanded. Lantheus Trailing 12-Month EPS (Non-GAAP) We can take a deeper look into Lantheus's earnings to better understand the drivers of its performance. As we mentioned earlier, Lantheus's operating margin declined this quarter but expanded by 28.2 percentage points over the last five years. This was the most relevant factor (aside from the revenue impact) behind its higher earnings; taxes and interest expenses can also affect EPS but don't tell us as much about a company's fundamentals. In Q1, Lantheus reported EPS at $1.53, down from $1.69 in the same quarter last year. This print missed analysts' estimates, but we care more about long-term EPS growth than short-term movements. Over the next 12 months, Wall Street expects Lantheus's full-year EPS of $6.62 to grow 8.6%. Key Takeaways from Lantheus's Q1 Results We struggled to find many positives in these results. Its full-year EPS guidance missed significantly and its EPS fell short of Wall Street's estimates. Overall, this quarter could have been better. The stock traded down 8.3% to $96.07 immediately following the results. Lantheus's earnings report left more to be desired. Let's look forward to see if this quarter has created an opportunity to buy the stock. What happened in the latest quarter matters, but not as much as longer-term business quality and valuation, when deciding whether to invest in this stock. We cover that in our actionable full research report which you can read here, it's free.
Business Journals
21-04-2025
- Business
- Business Journals
In tough environment, Lantheus has cash and plans to use it
By submitting your information you are agreeing to our Privacy Policy and User Agreement . A challenging economic environment is constricting biotech deal flow. But for well-capitalized Lantheus, these tough times present an opportunity to build out its R&D pipeline. Buoyed by a new blockbuster radiodiagnostic, Lantheus Holdings Inc. is now well capitalized in a tough economic environment and rebuilding its R&D pipeline with some new deals. 'We're generating a lot of cash, and we're spending the money on really intelligent, I hope, intelligent, development programs and acquisitions,' CEO Brian Markison told the Business Journal in a recent interview at Lantheus' Bedford headquarters. Markison became CEO of Lantheus (Nasdaq: LNTH) just over one year ago in March 2024. But he's not a new face at the company. He joined Lantheus' board in 2012 and was its chairperson from 2013 until 2024, when he became the chief executive. GET TO KNOW YOUR CITY Find Local Events Near You Connect with a community of local professionals. Explore All Events When Markison first came to Lantheus, it was a very different company, he said. Lantheus was much smaller and owned by private equity. Markison said the company has been through 'a couple of tough patches,' including a 'very difficult period' when troubles with its manufacturing partner meant the supply chain for Definity, a contrasting agent used in echocardiograms, was disrupted and sales dropped. 'We had to cut a lot of expenses. We really cut R&D back,' Markison said. 'When we emerged from that kind of tough period, we invested back in the commercial engine, but we never really had the ability to reinvest in the research and development like we wanted to.' As Definity sales grew and Lantheus went public in 2015, the company had more options to rebuild its R&D engine. Rebuilding Lantheus Markison said he views his leadership as an extension of longtime CEO Mary Anne Heino, who led Lantheus for nine years. 'When I was on the board, I recruited Mary Anne and then promoted her to CEO, and it was probably one of the best moves I've ever made with people. And she did a really great job. And all I'm doing right now is trying to build on everything that she put together and take it to another level,' Markison said. Under Heino's direction, Lantheus completed its merger with New York-based oncology company Progenics Pharmaceuticals in 2020. That deal gave Lantheus Pylarify, a radioactive diagnostic agent for prostate cancer. Pylarify exceeded $1 billion in net sales in 2024, which Lantheus said made it the first-ever blockbuster radiodiagnostic. Lantheus' cash and cash equivalents grew to $912.8 million at the end of 2024, up from $713.7 million the year prior. The success of this Pylarify deal has opened the door for further acquisitions, and Lantheus is taking advantage of the opportunity to build its pipeline. 'Now we're really basically, with recent acquisitions, totally rebuilding the R&D capability,' Markison said. At the start of April 2025, Lantheus completed its acquisition of Evergreen Theragnostics Inc. This marked Lantheus' fifth deal since January 2024. Lantheus said the company's transactions and in-licensing deals in 2024 brought five new assets to its pipeline. 'If we find something that we think could be a leapfrog over internal programs, and the price is right, if you will, then we'll trade up. We'll make that bet. And we have the fortunate position where our lead assets are throwing off a lot of cash. The organization's relatively efficient, so we're able to invest that money and then reshuffle the deck, if you will,' Markison said. Lantheus is now the 21st largest life sciences company in Massachusetts, per Business Journal research. The company employed 808 people at the end of 2024, of which 783 were located in the U.S. In Massachusetts, Lantheus has facilities in North Billerica and Bedford. The life sciences industry is experiencing tough public markets and reduced venture capital availability, leaving some biotechs struggling. That presents an opportunity for companies like Lantheus who are on the hunt for deals. 'I think when a source of funding is dried up momentarily, then we become a fairly attractive source. But we're going to also want something in return, and usually we're going to want some of their promising assets,' Markison said. Don't miss out on Boston-area life science news. Subscribe to the Morning Edition or Afternoon Edition for free.
