Coherus BioSciences Inc (CHRS) Q3 2024 Earnings Call Highlights: Strong Revenue Growth Amid ...

In This Article:

  • Total Net Product Revenue: $70.6 million, a 21% increase over Q2.

  • Net Revenue: $66 million, a 30% increase quarter over quarter and a 100% increase over Q3 2023.

  • Icca Revenue: $66 million, 100% growth since Q3 2023.

  • Icca Market Share: Nearly 30% share, maintaining the number two position.

  • Lact Sales: $5.8 million in Q3, a 54% increase quarter over quarter.

  • Cost of Goods Sold: $20.7 million, down $12 million from Q3 last year.

  • Gross Profit Improvement: 20% improvement or $8.2 million.

  • R&D Expense: $21.7 million, a decrease of 15% from Q3 a year ago.

  • SG&A Expense: $34.7 million, a decrease of 28% compared to the prior year.

  • Interest Expense: $5.4 million, a decrease of 48% from Q3 last year.

  • Net Loss: $10.8 million or 9 per diluted share.

  • Non-GAAP Net Loss: $1.7 million or 1 per diluted share.

  • Cash and Investments: $97.7 million as of September 30, 2024.

  • 2024 Expense Guidance: Combined R&D and SG&A expenses expected to be $250 million to $260 million.

Release Date: November 06, 2024

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

  • Coherus BioSciences Inc (NASDAQ:CHRS) reported a 100% revenue growth for the Icca franchise since Q3 2023, reaching $66 million in revenue this quarter.

  • The company successfully maintained its number two market position for Icca with nearly 30% market share.

  • Coherus BioSciences Inc (NASDAQ:CHRS) achieved a 54% increase in sales for its newly launched product, Latur, quarter over quarter.

  • The company has made significant progress in expanding its supply chain capacity, with plans to double its labeling and packaging capacity to over 1 million units annually.

  • Coherus BioSciences Inc (NASDAQ:CHRS) reported a 20% improvement in quarterly gross profit compared to the previous year, driven by reduced expenditures and improved gross margins.

Negative Points

  • There was a supply interruption for Icca, which impacted the company's ability to meet demand and affected Q4 sales projections.

  • The resupply of Icca is expected to take several weeks, with full market availability anticipated by late November to early December.

  • The company faced a temporary decline in overall franchise demand for Icca by 3% quarter over quarter due to the supply interruption.

  • Coherus BioSciences Inc (NASDAQ:CHRS) experienced a net loss of $10.8 million in Q3 2024, although this was an improvement from the previous year.

  • The direct impact of the temporary supply interruption on net revenue will primarily be realized in Q4 earnings, with cash impact lagging to Q1 2025.

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