In This Article:
-
Revenue: Over $91 million in Q3 2024, an increase of $9.8 million or 12% versus prior year on a constant currency basis.
-
Adjusted EBITDA: $13.5 million in Q3 2024, a decrease of 13% compared to the same period last year.
-
Gross Margin: $43 million or 47% of revenues in Q3 2024, compared to 52% in the same period last year.
-
Oncology and Hematology Revenue: Approximately $37 million, a growth of 18% or 22% on a constant currency basis.
-
Infectious Disease Revenue: Approximately $34 million, an increase of 16% or 24% on a constant currency basis.
-
Operating Expenses: $30.5 million in Q3 2024, an increase of 11% compared to the same period last year.
-
Net Unrealized Gain on Financial Assets: $11.7 million in Q3 2024.
-
Cash Flows from Operations: $5 million in Q3 2024.
-
Financial Assets: Valued at $126 million at the end of Q3 2024.
Release Date: November 07, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
-
Knight Therapeutics Inc (KHTRF) reported record revenues of over $271 million and adjusted EBITDA of over $42 million for the nine months ended September 30, 2024.
-
The company's innovative promoted portfolio delivered a growth of 17% on a constant currency basis, driven by key products like Lenvima, Trelstar, and Cresemba.
-
Knight Therapeutics Inc (KHTRF) advanced its pipeline with regulatory approval of Minjuvi in Mexico and expects to launch it in the first half of 2025.
-
The company has a strong cash position with over $150 million in cash, cash equivalents, and marketable securities at the end of the quarter.
-
Knight Therapeutics Inc (KHTRF) maintains its financial guidance for 2024, expecting revenues between $355 million to $365 million and an adjusted EBITDA of approximately 16% of revenues.
Negative Points
-
The company experienced a decrease in gross margin percentage from 52% to 47% due to a product mix with a higher proportion of lower-margin sales.
-
Operating expenses increased by 11% compared to the same period last year, driven by higher marketing spend and R&D costs.
-
Adjusted EBITDA for the third quarter decreased by 13% compared to the same period last year, impacted by higher operating expenses.
-
The company faces currency headwinds, with foreign exchange depreciation impacting financial results, particularly in Brazil.
-
There is potential risk from generic competition for key products like Lenvima, which could impact future revenues, especially in markets like Brazil and Chile.
Q & A Highlights
Q: Can you provide more details on the investments in sales and marketing for new product launches? A: We are currently in launch mode for Minjuvi in Brazil, involving physician education, conferences, and reimbursement efforts. Similar activities are ongoing for Veova, and we are preparing for Journey PM in Canada and Minjuvi in Mexico. We will expand our sales force in both Mexico and Canada to support these efforts. Samira Sakhia, President, CEO