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Dec 31, 2024

Anika Q4 2024 Earnings Report

Anika reported a slight revenue increase, with strong growth in the Commercial Channel but a decline in OEM Channel revenue.

Key Takeaways

Anika's Q4 2024 revenue was $30.6 million, reflecting a 1% year-over-year increase. The Commercial Channel grew 25%, driven by the Integrity Implant System and International OA Pain Management, while the OEM Channel declined 8%. The company reported a net loss of $2.5 million and an adjusted net loss of $0.3 million.

Total revenue for Q4 2024 was $30.6 million, up 1% year-over-year.

Commercial Channel revenue increased by 25% to $10.9 million.

OEM Channel revenue declined by 8% to $19.7 million.

Net loss from continuing operations was $2.5 million, with an adjusted net loss of $0.3 million.

Total Revenue
$30.6M
Previous year: $43M
-28.8%
EPS
-$0.03
Previous year: $0.05
-160.0%
Revenue Growth
1%
Net Loss Margin
-8.1%
Adjusted EBITDA
$3.59M
Gross Profit
$17.1M
Previous year: $26.3M
-35.0%
Cash and Equivalents
$55.6M
Previous year: $72.9M
-23.7%
Total Assets
$203M
Previous year: $271M
-25.1%

Anika

Anika

Anika Revenue by Segment

Anika Revenue by Geographic Location

Forward Guidance

Anika expects 2025 revenue growth in the Commercial Channel, while the OEM Channel is projected to decline due to lower pricing forecasts.

Positive Outlook

  • Commercial Channel revenue is expected to grow by 12%-18% in 2025.
  • Continued growth in International OA Pain Management and Integrity Implant System.
  • Regulatory advancements for Hyalofast and Cingal continue as planned.
  • Completion of strategic transactions to focus on high-growth areas.
  • Strong cash balance of $56 million with no debt.

Challenges Ahead

  • OEM Channel revenue expected to decline by 12%-18% due to pricing pressure.
  • Adjusted EBITDA margin expected to be 8%-10%, lower than prior projections.
  • Stock repurchase plan completed early, reducing available liquidity.
  • Transition of Parcus Medical and Arthrosurface may impact short-term operations.
  • Macroeconomic challenges could affect end-market demand.

Revenue & Expenses

Visualization of income flow from segment revenue to net income