VIVUS (VVUS) Tops Q2 EPS by 5c

VIVUS (NASDAQ: VVUS) reported Q2 EPS of ($0.19), $0.05 better than the analyst estimate of ($0.24). Revenue for the quarter came in at $23 million versus the consensus estimate of $18.76 million.

"The U.S. market for branded anti-obesity pharmacotherapeutics has developed at a substantially lower rate than expected, held in check by a number of factors," said Seth H. Z. Fischer, CEO. "As stated previously, we have watched this trend closely while controlling our costs throughout the first half of 2015, and we have undertaken a further review of all aspects of the Company's operations. In order to reallocate resources most efficiently in support of Qsymia and other projects, VIVUS is announcing, effective immediately, a corporate restructuring that will reduce headcount and expenses with an objective of achieving neutral or positive operating cash flows by year-end 2016. We will be reducing our Qsymia sales force to fifty territories and streamlining further our headquarters staff. We believe that this cost-saving restructuring is timely, prudent and consistent with evolving obesity market realities and the opportunity as it currently exists. Going forward, we will continue to monitor market conditions for any positive developments with physicians, payors, and patients that may indicate an increased investment is warranted."

Mr. Fischer continued, "We are working with leading cardiovascular outcome trial experts in planning substantial revisions to the original design and execution of the FDA-required Qsymia cardiovascular outcomes trial (CVOT) known as AQCLAIM, with the goal of reducing costs while also fulfilling the requirement of further demonstrating the long-term cardiovascular safety of Qsymia. We met recently with the FDA to provide a CVOT program update. This dialog is ongoing, and we are committed to involving the FDA in reviewing alternative proposals that will satisfy the existing requirements."

For earnings history and earnings-related data on VIVUS (VVUS) click here.

You May Also Be Interested In

• Amphenol (APH) Tops Q1 EPS by 7c, offers guidance
• Fisker (FSR) files form 10-K, sees more job cuts, reiterates going concern doubts
• PROG Holdings Inc (PRG) Tops Q1 EPS by 9c