Alkermes plc (NASDAQ:ALKS) Q4 2019 Earnings Conference Call - Final Transcript
Feb 13, 2020 • 08:00 am ET
Greetings and welcome to the Alkermes Fourth Quarter and Year End 2019 Financial Results Conference Call. My name is Rob and I'll be your operator for today's call. [Operator Instructions] Please note that this conference is being recorded. I will now turn the call over to Sandy Coombs, Vice President of Investor Relations, Sandy, you may begin.
Thank you. Good morning. Welcome to the Alkermes plc conference call to discuss our financial results and business update for the quarter and year ended December 31, 2019. With me today are Richard Pops, our CEO; Jim Frates, our CFO; and Iain Brown, our SVP of Finance.
Before we begin I encourage everyone to go to the Investors section of alkermes.com to find our press release and related financial tables, including a reconciliation of the GAAP to non-GAAP financial measures that we'll discuss today. We believe the non-GAAP financial results in conjunction with the GAAP results are useful in understanding the ongoing economics of our business.
Our discussions during this call will include forward-looking statements. Actual results could differ materially from these forward-looking statements. Please see slide 2 of the accompanying presentation, our press release issued this morning and our most recent annual and quarterly reports filed with the SEC for important risk factors that could cause our actual results to differ materially from those expressed or implied in the forward-looking statements.
Our prepared remarks today will include preliminary data from the ARTISTRY clinical programs. These data may change as patient enrollment continues and as more patient data becomes available and may not be indicative of final data from such trials or results of future clinical trials. We undertake no obligation to update or revise the information provided on this call or in the accompanying presentation as a result of new information or future results or developments. After our prepared remarks, we'll open the call for Q&A. Now I'll turn the call over to Jim.
James M. Frates
Thank you, Sandy. In 2019, we achieved $1 billion in revenue for the second consecutive year. The back half of the year was particularly active for us. We saw the addition of a new revenue stream with the approval of VUMERITY and set the stage for the potential addition of another revenue stream with the submission of our NDA for ALKS 3831 for the treatment of schizophrenia and bipolar I disorder. We implemented a restructuring in the fourth quarter that recalibrated our cost structure and focused our R&D investments in programs with the highest potential value and we acquired Rodin Therapeutics, which further diversified our pipeline.
I'll start with an overview of our key financial and commercial highlights. For the full year 2019, total revenues grew 7% year-over-year to $1.17 billion and we recorded non-GAAP net income of $112.2 million that was ahead of our expectations. For the fourth quarter, we recorded total revenue of $412.7 million and non-GAAP net income of $131.4 million. These results were driven by growth of our proprietary product sales, continued strength of our