Sep 30, 2023

Halozyme Q3 2023 Earnings Report

Halozyme's Q3 2023 financial performance was marked by strong revenue and earnings growth, driven by increased royalty revenue and efficient expense management.

Key Takeaways

Halozyme reported a 3% increase in revenue to $216.0 million, driven by growth in ENHANZE® revenue streams. Royalty revenue increased 15% year-over-year to $114.4 million. GAAP diluted EPS was $0.61, and non-GAAP diluted EPS was $0.75. The company raised its EBITDA and non-GAAP EPS guidance for the full year 2023.

Royalty revenue increased 15% year-over-year to a record $114.4 million.

The company announced an acceleration of the remaining $250 million share repurchase program.

GAAP diluted EPS was $0.61, and non-GAAP diluted EPS was $0.75.

Revenue was $216.0 million compared to $209.0 million in the third quarter of 2022.

Total Revenue
$216M
Previous year: $209M
+3.4%
EPS
$0.75
Previous year: $0.74
+1.4%
Gross Profit
$141M
Previous year: $162M
-12.9%
Cash and Equivalents
$274M
Previous year: $147M
+86.3%
Free Cash Flow
$129M
Previous year: $68.6M
+88.7%
Total Assets
$1.89B
Previous year: $1.86B
+1.5%

Halozyme

Halozyme

Halozyme Revenue by Segment

Forward Guidance

The Company is raising its EBITDA and non-GAAP EPS guidance ranges to reflect strong expense management. For the full year 2023, the Company now expects total revenue of $825 million to $845 million, EBITDA of $430 million to $445 million, and Non-GAAP diluted earnings per share of $2.70 to $2.80.

Positive Outlook

  • Total revenue of $825 million to $845 million, representing growth of 25% to 28% over 2022 total revenue
  • Revenue from royalties of $445 million to $455 million, representing growth of 23% to 26%.
  • EBITDA of $430 million to $445 million, representing growth of >30% over 2022.
  • Non-GAAP diluted earnings per share of $2.70 to $2.80, representing growth of 22% over 2022.
  • Continued strength in Wave 2 products, including DARZALEX® SC and Phesgo® utilizing ENHANZE®, as well as full year auto-injector royalty and product contribution.

Revenue & Expenses

Visualization of income flow from segment revenue to net income