Adamis Pharmaceuticals Corp. (ADMP), a specialty biopharmaceutical company, has declined 3.25% in the premarket trading session. As a result, ADMP stock was trading at $1.19 at the time of this writing. The decline has come as a consequence of profit-taking after ADMP surged 8.85% in regular trading hours on Monday and closed the day at $1.23. The surge was attributable to FDA-approved opioid overdose treatment.
ADMP product approval by FDA
On Monday, ADMP announced that FDA has approved its ZIMHI™ (naloxone HCL Injection, USP) 5 mg/0.5 mL product. ZIMHI is a high-dose naloxone injection. It is approved by FDA for usage in the treatment of opioid overdose. Naloxone is an opioid antagonist. It is considered the drug of choice for immediate administration of opioid overdose. The drug works by blocking or reversing the effects of the opioid. They include extreme drowsiness, slow breathing, and unconsciousness. Dr Dennis J. Carlo, President, and CEO of Adamis stated that the company is excited by the approval and is working with its commercial partners, US WorldMeds, to make the product available to the market. He further said that ZIMHI provides the highest systemic level of Naloxone as compared to other nasal or intramuscular products available.
Fiscal 2020 financial highlights
On 15th April 2021, AMDP reported the financial results for the fiscal year 2020 which ended on 31st December 2021. The company had cash and cash equivalents of $6.85 million on 31st December 2021. The total assets at the time were $30.86 million while the total liabilities were $27.36 million. The company generated net revenue of $16.52 million during the fiscal against $22.11 million for the fiscal year 2019. The cost of goods sold during the period stood at $14.89 million against $15.47 million for 2019. The gross profit for 2020 was $1.63 million against $6.63 million for 2019. The company suffered a loss of $49.77 million from the operations against $29.35 million during fiscal 2019. The net loss for the 12 months was $49.39 million against $27.51 million for fiscal 2019. The net loss per basic and diluted share for 2020 was $0.64 against $0.52 for the fiscal year 2019.
What’s ahead for ADMP?
ADMP stock has surged more than 21% during the last three months, mainly on the back of positive indications from the FDA regarding the approval of ZIMHI. Analysts believe that ADMP has the potential to become one of the leading stocks shortly. So, potential investors should keep a close eye on its developments.