Mar 31

Journey Medical Q1 2025 Earnings Report

Journey Medical reported stable revenue in Q1 2025 with a net loss of $4.1 million, supported by the strong launch of Emrosi and improved gross margins.

Key Takeaways

Journey Medical generated $13.1 million in net revenue for Q1 2025, supported by a $2.1 million contribution from the commercial launch of Emrosi. Despite flat revenue year-over-year, the company improved its gross margin to 64% and reduced its overall net loss. Operating expenses were driven by Emrosi-related sales activity, with no R&D spending in the quarter.

Total revenue was $13.1 million, nearly flat YoY but included $2.1 million from Emrosi’s launch.

Gross margin improved to 64%, up from 54% in Q1 2024.

Reported a net loss of $4.1 million, or $(0.18) per share.

Cash and cash equivalents increased to $21.1 million at the end of the quarter.

Total Revenue
$13.1M
Previous year: $13M
+0.8%
EPS
-$0.18
Previous year: -$0.53
-66.0%
Gross margin
64%
Previous year: 54%
+18.5%
Gross Profit
$8.35M
Previous year: $6.21M
+34.4%
Cash and Equivalents
$21.1M
Previous year: $24.1M
-12.4%
Total Assets
$85M
Previous year: $66.6M
+27.6%

Journey Medical

Journey Medical

Journey Medical Revenue by Segment

Forward Guidance

Journey Medical expects continued momentum from Emrosi to support financial performance in 2025, aiming for sustained positive EBITDA and profitability.

Positive Outlook

  • Strong commercial launch of Emrosi contributed $2.1M in Q1 revenue
  • Emrosi included in updated National Rosacea Society treatment guidelines
  • Phase 3 results published in JAMA Dermatology showing superiority over Oracea and placebo
  • Gross margin improved significantly due to product mix and reduced non-recurring costs
  • Cash reserves increased to $21.1M providing operational flexibility

Challenges Ahead

  • Total revenue remained flat YoY despite new product launch
  • Selling, general, and administrative expenses increased due to commercialization activities
  • No R&D spending reported in Q1 2025
  • Net loss of $4.1M though reduced from prior year
  • Adjusted EBITDA remained negative at -$0.9M