With MS approval looming, Alkermes restructures to seek sustainable profits

Alkermes expects cost savings from a newly announced restructuring, combined with payments due to the company upon the anticipated approval of a new MS therapy, will allow it to maintain profitability in the coming years.

"Over the next few years, we expect to capture total savings of several hundred million dollars, helping us to achieve sustained non-GAAP profitability on an ongoing basis," SVP and CFO James Frates said on a conference call Wednesday. Chairman and CEO Richard Pops said the restructuring will also allow Alkermes to focus on specific R&D and commercial priorities, as well as add flexibility for complementary business development opportunities...