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• Revenue: Over $365 million for 2024, a 6% increase from the previous year.

• Adjusted EBITDA: Approximately $58 million for 2024, a decrease of 4% compared to last year.

• Gross Margin: 47% of revenues for 2024, down from 48% in the previous year.

• Oncology and Hematology Revenue: Approximately $137.6 million, a 12% increase from last year.

• Infectious Diseases Revenue: Approximately $149 million, a 6% increase from the previous year.

• Operating Expenses: $119.3 million for 2024, a 10% increase compared to last year.

• Cash Flow from Operations: $36 million for 2024.

• Financial Assets: Valued at $134 million at the end of 2024.

• NCIB Share Purchases: 1.6 million shares for $9 million in 2024; 600,000 shares for $3.3 million in Q1 2025.

• 2025 Revenue Guidance: Expected between $390 million to $405 million.

• 2025 Adjusted EBITDA Guidance: Approximately 13% of revenues.

• Warning! GuruFocus has detected 6 Warning Sign with KHTRF.

Release Date: March 20, 2025

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

Positive Points

• Knight Therapeutics Inc (KHTRF) achieved record high revenues of over $365 million in 2024, marking 11 consecutive years of revenue growth.

• The company's key promoted products, which account for 75% of total revenues, grew by 16% over the prior year period.

• Knight Therapeutics Inc (KHTRF) expanded its pipeline with five new products, including Crexont and Jornay PM, and strengthened partnerships with companies like Helsinn.

• The company successfully launched several products, including Bijuva and Imvexxy in Canada, and Minjuvi in Brazil, contributing to its growth strategy.

• Knight Therapeutics Inc (KHTRF) signed a new contract for Ambisome with Brazil's Ministry of Health, ensuring continued revenue from this product in 2025.

Negative Points

• The company's adjusted EBITDA for 2024 decreased by $2 million or 4% compared to the previous year.

• Knight Therapeutics Inc (KHTRF) faced a decline in mature and branded generic products due to their life cycle and new market competitors.

• The company experienced a decrease in gross margin as a percentage of revenues, attributed to product mix changes.

• Operating expenses increased by 10% in 2024, driven by marketing, medical initiatives, and R&D costs.

• Knight Therapeutics Inc (KHTRF) anticipates a decrease in adjusted EBITDA as a percentage of revenues in 2025 due to investments in new product launches and pipeline development.

Q & A Highlights

Q: How will the acquisition of Paladin affect Knight Therapeutics' business development approach in Canada, and what is the impact on the balance sheet? A: Amal Khouri, Chief Business Officer, stated that the acquisition aligns with their strategy of acquiring profitable products to fund growth. The acquisition strengthens their profitability and cash flow, and they have sufficient capacity for future deals without concern for funding.