The top pre-market NASDAQ stock market gainers are: Novavax, Sonus Networks, SodaStream International, Akorn, and A123 Systems. The top pre-market NASDAQ stock market losers are: Central European Distribution, YRC Worldwide, Avago Technologies, Exterran Partners, and Partner Communications.
Novavax, Inc. (NVAX) stock jumped 31.15 percent to $3.41 in the pre-market trading, as it received a contract worth up to $97 million from the U.S. Department of Health and Human Services over three years to develop new flu vaccine technology. Novavax's contract can be extended for another two years, which would raise its total value by $82.1 million. Novavax has been asked to develop new technology to produce vaccines using insect cells to express influenza proteins and create virus-like particles that stimulate the immune system.
Separately, Novavax said it agreed to license its proprietary, recombinant virus-like-particle (VLP) vaccine technology to LG Life Sciences, Ltd. LG Life Sciences received an exclusive license to manufacture, develop and commercialize influenza vaccines using Novavax's recombinant VLP technology in South Korea. LG Life Sciences also received a non-exclusive license to manufacture, develop and commercialize influenza VLP vaccines in certain emerging market countries.
Sonus Networks, Inc. (SONS) stock climbed 28.38 percent to $3.89 in the pre-market trading, as it guided fiscal 2011 revenue above Street view. The company expects fiscal 2011 revenue of $265 million to $285 million, while Street predicts $257.44 million.
Sonus Networks posted fourth quarter earnings of $11.4 million or 4 cents a share, compared to $10.31 million or 4 cents a share last year. Results for the quarter include stock-based compensation of $2.87 million, compared to $2.92 million last year. Adjusted profit rose to $15 million from $13.3 million. Revenue rose to $82.98 million from $68.71 million. Analysts had expected a loss of 1 cent a share on revenue of $65.10 million.
SodaStream International Ltd. (SODA) stock gained 9.56 percent to $48.46 in the pre-market trading, as its fourth quarter earnings exceeded Street view. Adjusted profit was $5.65 million or 33 cents a share. Revenue grew 58.5 percent to $66.3 million. Analysts had expected profit of 13 cents a share on revenue of $55.77 million.
SodaStream expects 2011 revenue to increase about 25 percent over 2010 revenue of 160.7 million euros ($213.17 million). The company also expects net income to increase about 40 percent over the net income of 9.7 million euros ($12.91 million) reported in 2010. On an adjusted basis, excluding the share-based payment expense, fiscal 2011 net income is expected to be about euro 17 million.
Akorn Inc. (AKRX) stock rose 4.65 percent to $5.85 in the pre-market trading, as its fourth quarter earnings and revenue exceeded Street view. Profit was $23.8 million or 23 cents a share, compared to a loss of $2.6 million or 3 cents a share last year. Revenue rose to $24.05 million from $18.18 million. Analysts had expected profit of 4 cents a share on revenue of $21.44 million.
Akorn projects fiscal 2011 revenue of $90.0 million to $94.0 million. This represents a 15 percent to 20 percent increase over 2010 core business revenue of $81.2 million, excluding sales and services provided to the Akorn-Strides, LLC joint venture in both years. Street predicts revenue of $102.55 million.
The company has 17 Abbreviated New Drug Approvals or ANDAs filed with the FDA with a combined annual market size of about $2.7 billion. The company said it has completed development work on 12 additional products with a combined annual market size of about $1.1 billion and expects to file these products with the FDA shortly.
A123 Systems, Inc. (AONE) stock increased 4.32 percent to $9.89 in the pre-market trading. Loss for fourth quarter widened to $45.66 million or $0.43 a share from $22.33 million or $0.22 a share last year. Revenue declined to $24.02 million from $24.53 million. Analysts had expected a loss of $0.37 a share on revenue of $26.44 million.
Central European Distribution Corp. (CEDC) stock fell 13.13 percent to $19.85 in the pre-market trading, as it guided fiscal 2011 earnings below Street view. The company expects fiscal 2011 comparable earnings of $1.05 to $1.25 a share and sales of $880 million to $1.08 billion, while Street predicts profit of $1.88 a share on revenue of $946.84 million.
Central European posted fourth quarter loss from continuing operations of $103.2 million or $1.46 a share, compared to a loss of $95.3 million or $1.51 a share last year. On a comparable basis, earnings were $12.2 million or $0.17 a share, down from $70.6 million or $1.12 a share last year. Sales fell to $228.4 million from $255.2 million. Analysts had expected profit of $1.13 a share on revenue of $254.75 million.
YRC Worldwide Inc. (YRCW) stock plunged 12.31 percent to $2.35 in the pre-market trading. YRC Worldwide agreed in principle with certain of its lenders and other stakeholders to restructure the company. The company said the move could result in a very substantial dilution of existing equity holders.
YRC Worldwide said the agreement in the form of a non-binding term sheet involves conversion of some of the company's debt obligations into equity, which could significantly dilute the existing equity holders. The restructuring is envisaged to close by July 2011.
YRC said the agreement makes possible deferral of interest and fees under the company's credit agreement and ABS facility through the period that the restructuring is underway. YRC also said ts lenders waived the first quarter 2011 EBITDA covenant in view of the harsh winter and as part of an anticipated revision in forward covenants under the new restructuring plan.
Avago Technologies Ltd. (AVGO) stock tumbled 4.27 percent to $32.54 in the pre-market trading. The company announced the sale of 25 million ordinary shares by certain existing shareholders to Deutsche Bank Securities Inc. and Barclays Capital Inc., as underwriters in the registered public offering of those shares.
All of the shares are being sold by existing shareholders identified in the prospectus supplement relating to the offering. In addition, the underwriters have a 30-day option to purchase from certain of the shareholders up to an additional 3,750,000 ordinary shares to cover over-allotments, if any. Avago will not receive any proceeds from this offering.
Exterran Partners, L.P. (EXLP) stock declined 4.04 percent to $28.50 in the pre-market trading. The company said it priced a previously announced secondary offering of 5.25 million common units representing limited partner interests in Exterran Partners at $28.65 a common unit. Exterran Partners did not sell any common units in this offering and will not receive any proceeds from the sale of the common units by Exterran Holdings, Inc. (EXH).
The offering is expected to close on March 4, 2011. Exterran Holdings also granted the underwriters a 30-day option to purchase up to an aggregate of 787,500 additional common units to cover over-allotments, if any. Wells Fargo Securities, BofA Merrill Lynch, Barclays Capital, J.P. Morgan and RBC are acting as joint book-running managers.
Partner Communications Company Ltd. (PTNR) stock decreased 3.09 percent to $18.20 in the pre-market trading.