>>MGI Pharma stock plunges on loss, forecast
Carolyn Pritchard, MarketWatch
Last Update: 7:01 PM ET Jul 19, 2006
SAN FRANCISCO (MarketWatch) -- MGI Pharma Inc. shares plummeted more than 20% late Wednesday after the company said it swung to a loss in the second quarter on stock options expenses and a charge related to one of its investments.
Shares of the Minneapolis biopharmaceutical company (MOGN : MGI PHARMA Inc 21.43, +0.47, +2.2%) shed $4.35 in late trade to change hands for $17.08.
MGI said it lost $19.4 million, or 25 cents a share, in the three-month period ended June 30, including a $9.9 million impairment charge for its investment in SuperGen Inc. In the prior year, MGI earned $12.7 million, or 17 cents a share.
Revenue rose to $87.2 million from $67.2 million.
Excluding items, its loss was $6.1 million, or 8 cents a share.
Analysts polled by Thomson First Call were expecting a profit of a penny cent a share on revenue of $87.7 million.
MGI also said it now expects a generic version of Aloxi, which is used to prevent chemotherapy-induced nausea and vomiting, will become commercially available early in the fourth quarter of 2006 as opposed to prior expectations for a launch in the final week of the quarter.
The company subsequently revised its 2006 forecast, saying it now expects to post a pro forma operating loss of $15 million to $30 million, excluding items, on revenue in the range of $330 million to $350 million.<<
Looks like I get to buy my sold January 20 calls back cheap. Sigh.
Cheers, Tuck |
