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Apellis Q1 2025 Earnings Report
Apellis Pharmaceuticals, Inc. reported its earnings for the first quarter of 2025, showing a decrease in total revenue and an increased net loss compared to the previous year.
Key Takeaways
Apellis Pharmaceuticals, Inc. experienced a decrease in total revenue to $166,797 thousand in Q1 2025 from $172,325 thousand in Q1 2024, primarily due to a decline in product revenue from SYFOVRE and EMPAVELI. The company's net loss increased to $92,225 thousand from $66,423 thousand in the prior year, driven by higher cost of sales and increased interest expense.
Total revenue for Q1 2025 was $166,797 thousand, a decrease of 3% from Q1 2024.
Net loss for Q1 2025 was $92,225 thousand, an increase of 39% from Q1 2024.
Product revenue, net, decreased by 8% to $149,900 thousand, primarily due to increased rebates for SYFOVRE and competitive pressure for EMPAVELI.
Cost of sales increased by 70% to $34,360 thousand, driven by higher volumes of product supplied to Sobi and increased expenses for excess/obsolete inventory.
Apellis
Apellis
Apellis Revenue by Segment
Apellis Revenue by Geographic Location
Revenue by Segment
SYFOVRE U.S. Net Product Revenue
CapyFin.comEMPAVELI U.S. Net Product Revenue
CapyFin.comLicensing and Other Revenue
CapyFin.comRevenue by Geographic Location
U.S. Net Product Sales Revenue
CapyFin.com Forward Guidance
Apellis Pharmaceuticals expects its current cash and cash equivalents, combined with anticipated sales generation from EMPAVELI and SYFOVRE, to be sufficient to fund projected operating expenses and capital expenditure requirements for at least the next 12 months, as well as longer-term cash needs. The company anticipates continued significant commercialization expenses and ongoing development costs for its product candidates.
Positive Outlook
- Cash and cash equivalents are expected to fund operations for at least the next 12 months.
- Anticipated cash generation from sales of EMPAVELI and SYFOVRE will contribute to funding.
- Potential to access additional short-term liquidity through a second draw of $100.0 million under the Credit Facility.
- Continued development of systemic pegcetacoplan and focus on high potential opportunities.
- Plans to initiate two registrational clinical trials for EMPAVELI in the second half of 2025 for FSGS and DGF.
Challenges Ahead
- Expects to continue to incur significant annual net operating losses for at least the current year.
- Anticipates continued significant commercialization expenses for EMPAVELI and SYFOVRE.
- Uncertainty in estimating increased capital outlays and operating expenses due to numerous risks in commercialization and development.
- Future funding requirements depend on various factors, including regulatory approvals and market acceptance.
- No committed external source of funds currently available beyond existing resources.