Why Y-mAbs Therapeutics Stock Was Mashed On Monday

Cancer drug developer Therapeutic Y-mAbs (YMAB -11.24%) the stock trading week hasn’t exactly started. The company’s shares ended the day more than 11% lower in price after the release of its latest set of quarterly results. This contrasted unfavorably with the bell’s performance S&P 500 index, which marked that session.

A double miss for the second quarter

Y-mAbs is a commercial biotech, and its only commercialized product, Danyelza, brought in $22.8 million for the second quarter and was responsible for all of the company’s net revenue. These sales were up 10% year over year. Y-mAbs said much of this was due to higher international sales of the drug; cited Western Europe and recent commercial launches in Brazil and Mexico as three markets with relatively high growth.

All in all, Y-mAbs posted a net loss of $9.2 million, or $0.21 per share. That was larger than its $6.3 million shortfall in the second quarter of 2023.

Analysts following the biotech had expected a significantly better performance. On average, they were modeling just over $23 million on the top line and just $0.12 per share for the net loss.

Revenue guidance for 2024 is a bit short

Another negative was Y-mAbs guidance, which also fell short of prognosticators’ expectations. The company expects to earn net income of $87 million to $95 million for the full year; however, the average analyst estimate is slightly above the upper end of the range at nearly $95.2 million. Meanwhile, the company expects its operating expenses to be $115 million to $120 million. It did not provide a range for the net loss.