Enorama Pharma (ERMA) Q1 2025 earnings summary

Executive summary

• Focus shifted to white snus and PMTA process for long-term profitability; NRT business divestment ongoing with three potential buyers.

• Cost-saving and restructuring measures implemented, including staff changes and CFO transition.

• New licensing agreement with Habit Factory Norden AB and termination of exclusive US distribution with Premier Manufacturing.

• Patent application for NRT gum faced no opposition during the review period.

Financial highlights

• Net sales for Q1 2025 were 449 KSEK, down 83% sequentially from Q4 2024 and up from -10 KSEK year-over-year.

• Operating loss was -16,678 KSEK, compared to -10,026 KSEK in Q1 2024 and -26,673 KSEK in Q4 2024.

• Pre-tax loss was -22,511 KSEK, versus -7,906 KSEK in Q1 2024 and -22,006 KSEK in Q4 2024.

• EPS was -0.37 SEK, compared to -0.17 SEK in Q1 2024.

• Cash flow for the quarter was -2,695 KSEK; cash at period end was 4,648 KSEK.

Outlook and guidance

• Additional financing required to complete the PMTA process, which is critical for permanent FDA approval.

• If no concrete bids for NRT business are received by summer, the divestment process will be terminated.

• Focus remains on building the NIC-S® brand and licensing model in the US.