Oncopeptides AB (STU:OND) Q3 2024 Earnings Call Highlights: Revenue Growth and Strategic Market ...

In This Article:

  • Q3 Revenue: SEK8.5 million, a slight increase from Q2.

  • 9-Month Revenue 2024: SEK21.7 million, compared to SEK5.6 million in 2023.

  • Operating Expenses: SEK225 million for the nine-month period, a 12% decrease from SEK255 million in 2023.

  • R&D Expenses Q3: Decreased from SEK49 million in 2023 to SEK22 million in 2024.

  • Marketing and Sales Costs Q3: SEK30 million, slightly up from SEK29 million in 2023.

  • Administrative Costs 9-Month: SEK53 million, consistent with the previous year.

  • Cash Position: SEK250 million at the end of Q3, influenced by a rights issue in May 2024.

  • Cash Flow Impact: Negative timing effect of SEK105 million VAT payment in Q3.

Release Date: November 07, 2024

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

Positive Points

  • Oncopeptides AB (STU:OND) reported a slight increase in Q3 revenue to SEK8.5 million compared to Q2, despite not receiving a milestone payment from SCBIO for South Korea.

  • The company has unlocked 80% of regional access in Spain, indicating strong market penetration and potential for future sales growth.

  • Year-to-date sales for the nine-month period in 2024 reached SEK21.7 million, a significant increase from SEK5.6 million in the same period of 2023.

  • Research and development expenses have decreased by 34% year-to-date compared to last year, reflecting cost efficiency.

  • Oncopeptides AB (STU:OND) has a strong cash position with SEK250 million at the end of Q3, bolstered by a rights issue completed in May 2024.

Negative Points

  • European sales in Q3 were slightly lower than in Q2, with a notable decline in the German market due to slower than expected growth.

  • Sales in Greece were very low during Q3 due to changes in ordering patterns by the authority, impacting overall revenue.

  • The company faces challenges in the Netherlands due to a strict payer environment, delaying market access and sales potential.

  • Despite efforts, the lack of local key opinion leader endorsement in Germany has hindered sales growth.

  • Oncopeptides AB (STU:OND) has not yet secured financing for its clinical program, which could delay the progression of its preclinical pipeline.

Q & A Highlights

Q: Would you say that you have experienced good repeat orders from activated accounts in Germany? A: Yes, we do see repeat orders and a positive clinical experience. However, during the third quarter, which includes the vacation period, there was a delay in ordering intervals. This is partly due to patients being able to adjust treatment schedules around holidays.