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Jun 30, 2024

2Seventy Bio Q2 2024 Earnings Report

Reported financial results and operational progress for the second quarter of 2024.

Key Takeaways

2seventy bio reported a transformative quarter with a focus on Abecma, highlighted by $54 million in U.S. commercial revenue, a 43% reduction in operating expenses, and a strengthened balance sheet. The company completed the sale of its oncology R&D business to Regeneron and its Hemophilia A program to Novo Nordisk, positioning it to achieve profitability by the end of 2025.

Abecma generated $54 million in U.S. commercial revenue with growth in demand.

Completed sale of Hemophilia A and gene editing technology to Novo Nordisk for up to $40 million.

Operating expenses decreased by 43% due to the sale of R&D business to Regeneron.

Ended the quarter with approximately $202 million in cash, cash equivalents, and marketable securities, extending cash runway beyond 2027.

Total Revenue
$8.97M
Previous year: $36M
-75.1%
EPS
-$0.29
Previous year: -$0.83
-65.1%
Net cash spend
$40M
Gross Profit
$5.51M
Previous year: $31.5M
-82.5%
Cash and Equivalents
$202M
Previous year: $96M
+110.3%
Free Cash Flow
-$23.2M
Previous year: -$36.6M
-36.7%
Total Assets
$518M
Previous year: $706M
-26.6%

2Seventy Bio

2Seventy Bio

2Seventy Bio Revenue by Segment

Forward Guidance

2seventy bio is focused on commercial growth of Abecma, supported by a streamlined cost structure and a strengthened balance sheet, with the goal of achieving quarterly profitability by the end of 2025.

Positive Outlook

  • Continued execution of the third line launch in the second half of 2024.
  • Anticipated continued growth for Abecma.
  • Strategic realignment to focus on Abecma development and commercialization.
  • Expected cost savings from the sale of oncology and autoimmune R&D programs.
  • Strengthened balance sheet through recent transactions.

Challenges Ahead

  • Risk that Abecma will not be as commercially successful as anticipated.
  • Risk that strategic realignment may not be as successful as anticipated.
  • Risk of failure to achieve anticipated cost savings.
  • Risk of disruptions in business that could make it difficult to achieve strategic objectives.
  • Risk of inability to manage operating expenses or cash use for operations.

Revenue & Expenses

Visualization of income flow from segment revenue to net income