Loading...
•
Mar 31, 2020
Optinose Q1 2020 Earnings Report
Optinose reported first quarter 2020 results with XHANCE net revenue of $7.1 million.
Key Takeaways
Optinose reported a net product revenue of $7.1 million for the first quarter of 2020. The company has adapted to the COVID-19 environment by virtualizing commercial activities and reducing operating expenses. XHANCE prescriptions increased by 149% compared to the first quarter of 2019.
XHANCE net revenue was $7.1 million in Q1 2020.
XHANCE prescriptions increased 149% from Q1 2019.
The company is adapting to the COVID-19 environment by transitioning to virtual commercial activities.
Operating expenses are being reduced while sustaining the ability to drive growth.
Optinose
Optinose
Forward Guidance
The company expects XHANCE average net revenue per prescription to improve substantially through the remainder of 2020. Total GAAP operating expenses for 2020 are expected to be in the range of $131 - $136 million, of which stock-based compensation is expected to be approximately $11 million. Top-line results from chronic sinusitis clinical trials are expected in the second half of 2021.
Positive Outlook
- XHANCE average net revenue per prescription is expected to improve substantially through the remainder of 2020.
- Company received $30 million of cash following the issuance of the First Delayed Draw Notes.
- The company expects top-line results from both of its clinical trials evaluating XHANCE as a potential treatment for Chronic Sinusitis in the second half of 2021.
- XHANCE prescriptions have grown during this initial COVID-19 period.
- Specific plans to accelerate growth as the crisis begins to ease.
Challenges Ahead
- Due to the adverse effect of the COVID-19 pandemic on the XHANCE prescription growth rate to date as well as the unknown effect in the future, the Company is withdrawing its previous XHANCE revenue guidance for 2020.
- The rate of growth was below the Company's pre-pandemic expectations.
- Large COVID-19 related reductions in patient flow through physician offices negatively influence the entire new prescription market
- Pauses in patient enrollment due to factors related to COVID-19 have had, and may continue to have, varying effects in different countries and over time.
- As we emerge into an uncertain 're-opening' period, we will leverage the comparative strength of XHANCE during the worst of the 'shelter at home' period and work closely with our physician audiences to meet needs that we expect to vary by geography and time to help optimize patient care with XHANCE.