Collegium Pharmaceutical (COLL) Q1 2025 earnings summary

Executive summary

• Q1 2025 net product revenues reached $177.8M, up 23% year-over-year, driven by strong growth in both ADHD and pain portfolios, including Jornay PM's 24% prescription growth and $28.5M in net revenue.

• The Ironshore acquisition expanded the portfolio into ADHD, contributing $28.5M in new revenue and establishing Jornay PM as a lead growth driver.

• Expanded ADHD sales force to 180 representatives and launched new digital marketing initiatives to accelerate Jornay's growth.

• Pain portfolio (BELBUCA, XTAMPZA, NUCYNTA) delivered $149.2M in sales, up 3% year-over-year, with all three medicines showing single-digit growth.

• Board authorized a $25M accelerated share repurchase program as part of a $150M program, with $90M remaining.

Financial highlights

• Net product revenues were $177.8M for Q1 2025, up from $144.9M in Q1 2024.

• GAAP net income was $2.4M, down from $27.7M in Q1 2024, impacted by acquisition and executive transition expenses.

• Adjusted EBITDA was $95.2M, up 3% year-over-year; adjusted net income was $57.4M–$58.8M, with adjusted EPS of $1.49.

• Cash from operations was $55.4M, ending Q1 with $197.8M in cash, cash equivalents, and marketable securities.

• Operating expenses rose to $75.6M, mainly due to higher SG&A and integration costs; adjusted operating expenses were $62.2M.

Outlook and guidance

• Reaffirmed 2025 guidance: net product revenues of $735M–$750M (18% year-over-year growth), adjusted EBITDA of $435M–$450M, and adjusted operating expenses of $220M–$230M.

• Jornay PM expected to generate over $135M in net revenue for 2025, at least 34% annual growth.

• Adjusted EBITDA margin expected to improve beginning in 2026 as Jornay PM investments yield results.

• Net leverage expected to fall below 1x by year-end 2025.

• Management expects current liquidity and product cash flows to fund operations, debt service, and capital needs for the foreseeable future.