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Jun 30, 2021

Novocure Q2 2021 Earnings Report

Reported financial results with commercial strength and strategic investment.

Key Takeaways

Novocure reported a strong second quarter with net revenues of $133.5 million, a 15% increase compared to Q2 2020, and a gross margin of 79%. The company invested a record $50 million in research and development initiatives. However, the company's net loss was $14.6 million compared to a net income of $1.7 million for the same period in 2020.

Net revenues reached $133.5 million, a 15% increase year-over-year.

Gross margin was 79%.

Invested a record $50 million in research and development.

FDA approved IDE supplement for the phase 3 pivotal LUNAR trial in non-small cell lung cancer (NSCLC).

Total Revenue
$134M
Previous year: $116M
+15.2%
EPS
-$0.14
Previous year: $0.02
-800.0%
Active Patients
3.49K
Previous year: 3.28K
+6.4%
Prescriptions Received
1.45K
Previous year: 1.42K
+2.0%
Gross Profit
$105M
Previous year: $90.5M
+15.9%
Cash and Equivalents
$349M
Previous year: $197M
+77.4%
Free Cash Flow
$23.6M
Previous year: $9.43M
+149.9%
Total Assets
$1.1B
Previous year: $529M
+107.4%

Novocure

Novocure

Forward Guidance

Novocure anticipates several clinical milestones in the coming quarters and years, including interim analyses and data releases from ongoing phase 2 and phase 3 trials in various cancer types. Enrollment timelines for the METIS trial have been delayed by two quarters, with final data now expected in 2023.

Positive Outlook

  • Interim analysis of phase 3 pivotal INNOVATE-3 trial in recurrent ovarian cancer (Q3 2021)
  • Data from phase 2 pilot EF-31 trial in gastric cancer (2022)
  • Interim analysis of phase 3 pivotal PANOVA-3 trial in locally advanced pancreatic cancer (2022)
  • Data from phase 2 pilot EF-33 trial with high-intensity arrays in recurrent glioblastoma (2022)
  • Final data from phase 3 pivotal LUNAR trial in NSCLC (2022)

Challenges Ahead

  • Data from phase 3 pivotal METIS trial in brain metastases (2023)
  • Final data from phase 3 pivotal INNOVATE-3 trial in recurrent ovarian cancer (2023)
  • Final data from phase 3 pivotal PANOVA-3 trial in locally advanced pancreatic cancer (2023)
  • Enrollment timelines for our METIS trial are reliant on clinical site expansion in regions that continue to be materially delayed as clinical sites devote significant resources to the COVID-19 global pandemic.
  • Anticipate a two-quarter delay in last patient enrollment for METIS, with final data in 2023.