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Dec 31, 2024

Rockwell Medical Q4 2024 Earnings Report

Rockwell Medical reported its Q4 2024 results, achieving a 12% increase in net sales and improved profitability metrics.

Key Takeaways

Rockwell Medical delivered strong fourth-quarter results with a notable 12% increase in net sales, improved gross profit, and a narrowed net loss compared to the prior year. The company achieved profitability on an adjusted EBITDA basis and introduced significant agreements positioning it for future growth.

Net sales for Q4 2024 were $24,700,000, up 12% year-over-year.

Gross profit for the quarter reached $3,600,000, a 27% increase.

Net loss narrowed to $755,000, a 50% improvement versus Q4 2023.

Adjusted EPS was reported at $0.04, doubling from $0.02 in Q4 2023.

Total Revenue
$24.7M
Previous year: $22.1M
+11.8%
EPS
$0.04
Previous year: $0.02
+100.0%
Gross Profit
$3.63M
Previous year: $2.87M
+26.5%
Cash and Equivalents
$21.6M
Previous year: $10.9M
+97.5%
Total Assets
$59.2M
Previous year: $52.2M
+13.5%

Rockwell Medical

Rockwell Medical

Forward Guidance

Rockwell Medical provided 2025 guidance indicating net sales between $65 million and $70 million, with expected gross margins of 16% to 18% and adjusted EBITDA ranging from a $0.5 million loss to a $0.5 million gain.

Positive Outlook

  • Expected net sales between $65 million and $70 million in 2025.
  • Gross margin anticipated to range from 16% to 18%.
  • Adjusted EBITDA guidance ranges from a slight loss to a slight gain, indicating potential for near-term profitability.
  • Strong focus on manufacturing optimization and margin improvements.
  • Continued product and business development opportunities to diversify revenue.

Challenges Ahead

  • Loss of the largest customer expected to result in a $34 million revenue reduction in 2025.
  • Transition period due to changes within the customer base may create short-term financial pressure.
  • Management anticipates headwinds from volume shifts impacting revenue streams.
  • Incremental price increases may not fully offset lost volumes.
  • Operational expense reductions required to counterbalance revenue declines.