Yahoo Finance Xeris Biopharma Holdings Inc (XERS) Q1 2024 Earnings: Revenue Growth Amidst Challenges
Revenue: Reported Q1 2024 revenue of $40.6 million, up 22% year-over-year, falling short of estimates of $41.81 million.
Net Loss: Q1 2024 net loss widened to $19.0 million from $16.8 million in Q1 2023, above the estimated net loss of $16.63 million.
Earnings Per Share (EPS): Reported EPS of -$0.14, below the estimated EPS of -$0.12.
Cash Position: Ended Q1 with $87.4 million in cash, cash equivalents, and short-term investments, up from $72.5 million at the end of the previous quarter.
Product Sales: Gvoke sales increased by 10% to $16.6 million, Keveyis sales rose by 3% to $13.1 million, and Recorlev sales surged by 137% to $10.6 million.
Research and Development: R&D expenses increased by $3.0 million to $7.8 million, reflecting continued investment in pipeline development.
Guidance: Tightened full-year 2024 revenue guidance to $175 million to $200 million.
On May 9, 2024, Xeris Biopharma Holdings Inc (NASDAQ:XERS) disclosed its financial results for the first quarter ended March 31, 2024, through an 8-K filing. The company reported a robust increase in total revenue, achieving $40.6 million, a 22% rise from the previous year, surpassing the analyst's revenue estimate of $41.81 million. However, the earnings per share (EPS) fell short, recording a loss of $0.14 per share against an anticipated loss of $0.12 per share.
Company Overview
Xeris Biopharma Holdings Inc is a dynamic biopharmaceutical entity focused on developing and commercializing novel therapies in endocrinology, neurology, and gastroenterology. The company boasts three commercially available products: Gvoke, a ready-to-use liquid glucagon for severe hypoglycemia; Keveyis, the first FDA-approved therapy for primary periodic paralysis; and Recorlev, approved for treating endogenous hypercortisolemia in adults with Cushing's Syndrome. Xeris also advances a pipeline of development programs leveraging its proprietary formulation technologies, XeriSol and XeriJect.
Financial Performance and Highlights
The first quarter saw significant revenue contributions from all three commercial products. Gvoke's revenue increased by 10% year-over-year to $16.6 million, capturing over 36% of the retail TRx glucagon market. Keveyis demonstrated resilience with a revenue increase of approximately 3% to $13.1 million. Notably, Recorlev's revenue surged by 137% to $10.6 million due to a substantial rise in patient numbers.
Despite these revenue upticks, the company's net loss widened to $19.0 million from $16.8 million in the same period last year, influenced by increased costs and expenses across the board. Research and development expenses rose by $3.0 million, primarily due to investments in the pipeline and emerging technology partnerships. Selling, general, and administrative expenses also climbed by $4.8 million, attributed to higher personnel costs and rent expenses linked to the new headquarters lease commenced in April 2023.
Strategic Developments and Future Outlook
Xeris Biopharma has been active in expanding its technological and market footprint. Noteworthy developments include entering into a worldwide license agreement for the XeriJect formulation of teprotumumab and an exclusive global agreement with Beta Bionics for a new XeriSol formulation of glucagon for bi-hormonal pumps. These partnerships are expected to bolster the company's long-term growth trajectory.
Looking ahead, Xeris has tightened its total revenue guidance for 2024 to between $175 million and $200 million, reflecting confidence in sustained growth driven by both existing products and new partnerships.
Conclusion
While Xeris Biopharma Holdings Inc (NASDAQ:XERS) showcased a strong revenue performance in Q1 2024, challenges such as increased operational costs and a widening net loss underscore the complexities of scaling in the biopharmaceutical sector. The company's strategic initiatives and robust product pipeline, however, position it well for future growth, making it a noteworthy entity for investors with an interest in biotechnology advancements.
Explore the complete 8-K earnings release (here) from Xeris Biopharma Holdings Inc for further details.
This article first appeared on GuruFocus.
