ACADIA Pharmaceuticals Reports Second Quarter 2017 Financial Results Second Quarter Net Sales Grew to $30.5 Million Including $3.6 Million From Transition to Sell-In Method of Accounting

ACADIA Pharmaceuticals Reports

Second Quarter 2017 Financial Results

Second Quarter Net Sales Grew to $30.5 Million

Including $3.6 Million From Transition to Sell-In Method of

SAN DIEGO, CA, August 8, 2017 ACADIA Pharmaceuticals

Inc. (NASDAQ: ACAD), a biopharmaceutical company focused on the

development and commercialization of innovative medicines to

address unmet medical needs in central nervous system (CNS)

disorders, today announced its unaudited financial results for the

second quarter ended June 30, 2017.

commercial efforts continue to drive strong financial performance

with solid market uptake for NUPLAZID in patients with

Parkinson's disease psychosis, said Steve Davis,

ACADIA's President and Chief Executive Officer.

Following positive data from our Phase II study in

Alzheimer's disease psychosis and recently completed

End-of-Phase II meeting with the FDA, we are excited to start our

Phase III program in the next couple of months.

the second quarter of 2017, ACADIA generated $30.5 million of net

product sales of NUPLAZID, which includes the one-time recognition

of $3.6 million associated with the transition to the sell-in

revenue recognition method of accounting from the sell-through

with the second quarter of 2017, based on its determination it

had sufficient volume of activity to

reasonably estimate its allowances for rebates and chargebacks,

ACADIA began to recognize revenue at the point of sale to its

specialty pharmacy and specialty distributor partners, commonly

referred to as the sell-in revenue recognition

method. Previously, ACADIA had deferred the recognition of revenue

until it obtained evidence that its specialty partners had

dispensed the product to a patient or had sold the product to a

government facility, long-term care pharmacy or in-patient hospital

pharmacy. The $3.6 million one-time adjustment was deferred revenue

as of March 31, 2017 and represents product held by specialty

pharmacies and specialty distributors at such

For comparison purposes, the following table presents

NUPLAZID's pro forma quarterly net product sales under the

sell-in method, if ACADIA had been able to reasonably estimate its

allowances for rebates and chargebacks from the time of launch in

Pro Forma Reconciliation of Sell-Through to Sell-In

sales as previously reported for the quarterly periods through

March 31, 2017 utilizing the sell-through revenue recognition

impact of recognizing the deferred revenue at period-end, net of

allowances for rebates and chargebacks, had the sales been

recognized in the quarter which the product was delivered to the

specialty pharmacies and distributors.

End-of-Phase II meeting with the FDA on the Alzheimer's

disease psychosis (AD Psychosis) program.

II data with pimavanserin for AD Psychosis was accepted for

presentation at the Clinical Trials on Alzheimer's Disease

meeting in early November 2017.

penetration into the long-term care market with the deployment of

an additional 25 long-term care specialists; ACADIA currently has

approximately 155 total sales specialists.

for the 11th Annual Prix Galien

Award for Best Pharmaceutical Agent.

Forbes Magazine's List of World's Most Innovative

broad clinical development program with ongoing studies in

Alzheimer's disease agitation, schizophrenia inadequate

response, schizophrenia negative symptoms, and major depressive

product sales of NUPLAZID, which was first made available for

prescription starting in May 2016, were $30.5 million for the three

months ended June 30, 2017 compared to $0.1 million for the three

months ended June 30, 2016. For the six months ended June 30, 2017

and 2016, ACADIA reported NUPLAZID net product sales of $45.8

million and $0.1 million, respectively.

Research and Development

and development expenses for the three months ended June 30, 2017

were $34.2 million, compared to $20.5 million for the same period

of 2016. For the six months ended June 30, 2017 and 2016, research

and development expenses were $69.6 million and $43.3 million,

respectively. The increase in research and development expenses

during the 2017 periods as compared to 2016 was primarily due to

increased clinical costs related to the schizophrenia and

depression studies ACADIA initiated in the fourth quarter of 2016.

The company also incurred additional personnel and related costs

associated with its expanded research and development organization

during 2017 as compared to 2016.

Selling, General and Administrative

general and administrative expenses for the three months ended June

30, 2017 were $61.5 million, compared to $50.8 million for the same

period of 2016. For the six months ended June 30, 2017 and 2016,

selling, general and administrative expenses were $127.3 million

and $78.3 million, respectively. The increase in selling, general

and administrative expenses during the 2017 periods as compared to

2016 was primarily due to costs incurred to support ACADIA's

commercial activities for NUPLAZID.

three months ended June 30, 2017, ACADIA reported a net loss of

$67.4 million, or $0.55 per common share, compared to a net loss of

$71.3 million, or $0.63 per common share, for the same period

in2016. The net losses for the three months ended June 30, 2017 and

2016 included $18.2 million and $13.9 million,

respectively, of non-cash stock-based compensation expense. For the

six months ended June 30, 2017, ACADIA reported a net loss of

$155.3 million, or $1.27 per common share, compared to a net loss

of $121.1 million, or $1.08 per common share, for the same period

in 2016. The net losses for the six months ended June 30, 2017 and

2016 included $33.8 million and $25.8 million,

respectively, of non-cash stock-based compensation