Supernus Pharmaceuticals ((SUPN)) has held its Q1 earnings call. Read on for the main highlights of the call.
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Supernus Pharmaceuticals’ recent earnings call revealed a mixed sentiment, highlighting both growth and challenges. The company showcased strong performance in its core products, Qelbree and GOCOVRI, and introduced a promising new product, ONAPGO. Despite these achievements, significant declines in legacy products and an increased operating loss led to an overall net loss for the quarter.
Double-Digit Revenue Growth
Supernus Pharmaceuticals reported a robust 26% increase in total revenues for the first quarter, excluding its legacy products Trokendi XR and Oxtellar XR. This growth underscores the company’s successful focus on its core products and strategic initiatives.
Qelbree Performance
Qelbree, one of Supernus’ flagship products, demonstrated impressive growth with a 22% increase in prescriptions and a 44% rise in net sales. March saw an all-time high in monthly prescriptions, marking a 25% increase compared to the previous year.
GOCOVRI Growth
GOCOVRI also showed positive momentum, with a 12% increase in prescriptions and a 16% boost in net sales. Notably, 84% of Medicare prescriptions cost patients less than $25, enhancing its accessibility and appeal.
Launch of ONAPGO
The launch of ONAPGO, a new product for Parkinson’s disease, was met with a positive response from the medical community. More than 75% of sales territories have already generated patient enrollment forms, indicating strong initial interest.
Strong Cash Position
Supernus maintained a solid financial foundation with approximately $463.6 million in cash, cash equivalents, and marketable securities, ensuring stability and capacity for future investments.
Legacy Products Decline
The company’s legacy products, Trokendi XR and Oxtellar XR, experienced a 46% decline in net sales for the first quarter, with expectations of further erosion, highlighting a significant challenge for Supernus.
Operating Loss
Supernus reported an operating loss of $10.3 million on a GAAP basis for the first quarter of 2025, a notable increase from the previous year’s $3.2 million loss, primarily due to higher contingent consideration loss.
GAAP Net Loss
The company faced a GAAP net loss of $11.8 million for the quarter, a stark contrast to the net earnings of $124,000 in the same period last year, reflecting the financial pressures from declining legacy products and increased operational costs.
Forward-Looking Guidance
Supernus Pharmaceuticals reiterated its guidance for the full year, projecting total revenues between $600 million and $630 million, driven by net product sales and royalty revenue. The company expects non-GAAP operating earnings to range from $105 million to $130 million, while GAAP operating earnings could vary from a $15 million loss to a $10 million profit. Despite challenges, the company remains optimistic about the continued growth of Qelbree and GOCOVRI, as well as the successful launch of ONAPGO.
In summary, Supernus Pharmaceuticals’ earnings call painted a picture of both growth and challenges. While the company celebrated significant achievements with its core products and a strong cash position, it also faced hurdles with declining legacy products and increased losses. The forward-looking guidance remains optimistic, focusing on the potential of its new and existing products to drive future success.