Sepracor Inc. (SEPR) reported financial results for the second quarter of 2009 on Jul 24, 2009. Total revenues for the second quarter increased 11% to $326.2 million, well above our estimate of $279 million. Revenues for the reported quarter included $16.9 million of previously deferred license revenue whose recognition was accelerated following the termination of the company’s agreement with GlaxoSmithKline (GSK) for Lunivia. Non-GAAP net income totaled $82.3 million, or $0.72 per share, up significantly from the year ago non-GAAP earnings of $7.5 million or $0.06 per share. Non-GAAP net income for the reported quarter excluded a milestone charge and the accelerated GSK license revenue and included a favorable adjustment to income taxes to reflect Sepracor’s estimated annual effective cash-basis tax rate. Second quarter 2009 EPS easily beat our and the consensus estimates of $0.44 and $0.39, respectively. GAAP net income totaled $44.9 million, or ...

Business fundamentals at Sepracor (SEPR) have been poor over the past several quarters. Lunesta growth disappointed throughout 2008 and guidance for 2009 assumes sales will decline between 5% and 10%. Likewise, Xopenex and Xopenex HFA also disappointed throughout 2008.Sales will also decline in 2009. Brovana, a product which on the cusp seems to offer blockbuster potential, continues to struggle with sales tracking far below $100 million - a level we originally believed Brovana would eclipse only a few quarters after launch.New products, Alvesco and Omnaris, which management believes offer multi-hundred million dollar potential, also continue to struggle, and guidance for 2009 sales was very disappointing. In fact, total revenues in 2009 will likely decline between 5% and 10%.Earnings in 2009, however, will skyrocket by 55% to our forecast of $2.50. This is driven by a massive cost-cutting and workforce restructuring announced in ...

For Immediate Release

Chicago, IL - May 4, 2009 - Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Sepracor, Inc. (SEPR), Raytheon Co. (RTN), AstraZeneca PLC (AZN), GATX Corporation (GMT) and Tetra Tech, Inc. (TTEK).

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Here are highlights from Friday's Analyst Blog:

Sepracor Building a Base

Business fundamentals at Sepracor, Inc. (SEPR) have been poor over the past several quarters. Lunesta growth disappointed throughout 2008 and guidance for 2009 assumes sales will decline between 5% and 10%.

Likewise, Xopenex and Xopenex HFA also disappointed

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Business fundamentals at Sepracor, Inc. (SEPR) have been poor over the past several quarters. Lunesta growth disappointed throughout 2008 and guidance for 2009 assumes sales will decline between 5% and 10%.Likewise, Xopenex and Xopenex HFA also disappointed throughout 2008. Sales will also decline in 2009. Brovana, a product which on the cusp seems to offer blockbuster potential, continues to struggle with sales tracking far below $100 million -- a level we originally believed Brovana would eclipse only a few quarters after launch. New products, Alvesco and Omnaris, which management believes offer multi-hundred million dollar potential, also continues to struggle and guidance for 2009 sales was very disappointing. In fact, total revenues in 2009 will likely decline between 5% and 10%.Earnings in 2009, however, will skyrocket by 60% to our forecast of $2.59. This is driven by a massive cost-cutting and workforce restructuring announced in ...