Loading...
•
Sep 30, 2023
Heron Therapeutics Q3 2023 Earnings Report
Heron Therapeutics reported third quarter 2023 financial results and updated financial guidance.
Key Takeaways
Heron Therapeutics announced its near completion of the corporate restructuring plan and provided an optimistic outlook for profitability. The company updated its full-year 2023 net product sales guidance for the oncology care franchise to a range of $104 million to $106 million and anticipates full-year 2023 net product sales to be in the range of $123 million to $125 million.
Increased full-year 2023 Net Product Sales guidance for the oncology care franchise to a range of $104 million to $106 million from a prior range of $99 million to $103 million.
Anticipate full-year 2023 Net Product Sales to be in the range of $123 million to $125 million and full-year 2024 Net Product Sales to be in the range of $138 million to $158 million.
Full-year 2024 EBITDA (excluding stock compensation) expected to be in the range of ($22 million) to $3 million.
Cost reduction plan implemented decreasing operating expenses (excluding stock compensation and depreciation and amortization) by 26% in 2023 compared to 2022.
Heron Therapeutics
Heron Therapeutics
Heron Therapeutics Revenue by Segment
Revenue by Segment
CINVANTI Revenue
CapyFin.comSUSTOL Revenue
CapyFin.comZYNRELEF Revenue
CapyFin.comAPONVIE Revenue
CapyFin.com Forward Guidance
Heron Therapeutics is updating guidance for the remainder of 2023 and establishing guidance for the full year 2024.
Positive Outlook
- Full-year 2023 net product sales are expected to be in the range of $123 million to $125 million.
- Full-year 2023 net product sales guidance for the oncology care franchise is being increased to a range of $104 million to $106 million from a prior range of $99 million to $103 million.
- EBITDA (excluding stock compensation) expected in the range of ($10 million) to ($6 million) in the fourth quarter of 2023.
- Full-year 2024 net product sales are expected to be in the range of $138 million to $158 million, with our oncology care franchise growing 3% to 5% in 2024 over 2023. and the acute care franchise growing in excess of 48% year-over-year.
- Full-year 2024 operating expenses (excluding stock compensation, depreciation and amortization) are expected to be in the range of $108 million to $116 million
Challenges Ahead
- Full-year 2024 EBITDA (excluding stock compensation) expected to be in the range of ($22 million) to $3 million.
- Positive EBITDA (excluding stock compensation) is expected during the fourth quarter of 2024.
- Expected year-end 2023 cash, cash equivalents, and short-term investments to exceed $65 million with additional access to $25 million from our working capital facility.
- Gross margin is expected to improve from 41% in 2023 to 69% in 2024, and to over 75% in 2025 and beyond.
- Inventory write-offs during the quarter totaled $7.5 million as a reflection of our reforecast of the ZYNRELEF® product launch.
Revenue & Expenses
Visualization of income flow from segment revenue to net income