Xeris Pharmaceuticals ((XERS)) has held its Q1 earnings call. Read on for the main highlights of the call.
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Xeris Pharmaceuticals’ recent earnings call was imbued with a strong positive sentiment, highlighting significant revenue growth and strategic milestones. The company showcased a robust performance, underscored by a successful product portfolio and strategic FDA approval, despite an uptick in SG&A expenses. The overall financial health and promising pipeline developments further reinforced the optimistic outlook.
Record-Breaking Revenue Growth
Xeris Pharmaceuticals reported a remarkable 48% year-over-year increase in total revenue, reaching $60.1 million. This marks the fourteenth consecutive quarter of over 20% product revenue growth, showcasing the company’s consistent upward trajectory in financial performance.
Strong Performance of Recorlev
The company highlighted the impressive performance of Recorlev, which achieved a net revenue of $25.5 million, reflecting a 141% increase compared to the previous year. This growth was supported by a 24% rise in the average number of patients, indicating strong market acceptance and demand.
FDA Approval for Gvoke VialDx
A significant milestone was the FDA approval of Gvoke VialDx, which expands its application as a diagnostic aid during radiologic examinations. This approval, in collaboration with American Regent, is expected to enhance the product’s market reach and utility.
Positive Adjusted EBITDA
Xeris achieved a positive adjusted EBITDA of $4.4 million for the quarter, reinforcing its commitment to maintaining positive adjusted EBITDA in future quarters. This financial metric underscores the company’s operational efficiency and profitability.
Strong Gross Margin
The gross margin for the quarter stood at an impressive 85%, with a sequential improvement of 200 basis points. This was attributed to a favorable product mix, highlighting the company’s ability to optimize its product offerings effectively.
Pipeline Progress with XP-8121
Xeris continues to make strides in its pipeline development, particularly with XP-8121, which addresses unmet needs in the hypothyroidism market. The company plans to provide further updates at the upcoming analyst and investor day, keeping stakeholders informed of its progress.
Increased SG&A Expenses
The earnings call also noted a 15% increase in selling, general, and administrative expenses, totaling $44 million. This rise was primarily due to commercial expansion and personnel costs, reflecting the company’s strategic investments in growth.
Forward-Looking Guidance
Looking ahead, Xeris Biopharma Holdings, Inc. provided optimistic guidance for the first quarter of 2025, with total revenue expected to grow by 48% year-over-year. The company raised the lower end of its full-year revenue guidance to $260 million, indicating a nearly 32% growth at the midpoint. Strategic advancements, such as the FDA approval of Gvoke VialDx and partnerships, are expected to drive future growth. The company aims to maintain financial discipline with projected SG&A and R&D expenses growth in the mid to high single digits, while remaining adjusted EBITDA positive.
In summary, Xeris Pharmaceuticals’ earnings call conveyed a strong positive sentiment, driven by impressive revenue growth, strategic FDA approvals, and robust financial metrics. The company’s commitment to innovation and strategic partnerships positions it well for continued success in the pharmaceutical market.