Vertex Pharmaceuticals (VRTX) Q3 Earnings Overview: Key Metrics Compared to Estimates

Vertex Pharmaceuticals (VRTX) has reported its earnings for the quarter ending in September 2024, revealing a total revenue of $2.77 billion. This figure marks an increase of 11.6% compared to the same quarter last year. The company also reported an earnings per share (EPS) of $4.38, which is up from $4.08 a year ago.

The reported revenue exceeded Wall Street's expectations, showing a surprise of +3.62% over the Zacks Consensus Estimate of $2.67 billion. Additionally, with the EPS consensus set at $4.13, the earnings surprise amounted to +6.05%.

Investors often focus on the headline numbers such as revenue and earnings to guide their decisions. However, examining some critical metrics provides deeper insights into a company's performance. These metrics can help gauge how well the company is doing not just compared to past performance, but also in relation to analysts' expectations, which can be valuable for predicting stock price movements.

Revenue Breakdown by Geography

In terms of geographical performance, Vertex generated:

• United States Revenues: $1.71 billion, surpassing the average analyst estimate of $1.64 billion. This indicates a year-over-year increase of +10.3%.
• International Revenues: $1.06 billion, which is higher than the estimated $1.04 billion by analysts. This also reflects a year-over-year growth of +13.9%.

Revenue by Product

When it comes to revenue generated from specific products, Vertex's performance included:

• Other CF Products: $186.90 million, exceeding the average estimate of $167.56 million from nine analysts.
• Trikafta/Kaftrio: $2.59 billion in revenue, also surpassing the estimated $2.49 billion from nine analysts. Notably, this represents a year-over-year increase of +13.7%.

Overall, shares of Vertex have demonstrated a positive trend, returning +5.4% over the past month, in contrast to the broader S&P 500 composite, which has seen a decrease of -0.5% during the same period. Currently, Vertex holds a Zacks Rank of #3 (Hold), suggesting that its performance may align with the broader market trends in the short term.

Vertex, Earnings, Revenue