Evolus (EOLS) Q3 2024 earnings summary

Executive summary

• Q3 2024 net revenue reached $61.1M, up 22% year-over-year, with YTD growth of 33% driven by Jeuveau and customer expansion.

• Over 600 new customer accounts added in Q3, total customers since launch nearly 14,500; loyalty program surpassed 1M members and Club Evolus, a subscription-based program, was launched.

• Expanded from a single-product to a multi-product portfolio with Estyme/ Evolysse approval in Europe, positioning as one of five global injectable aesthetic companies.

• Jeuveau holds 13% U.S. toxin market share, the fastest-growing neurotoxin for four consecutive years.

• Net loss for Q3 2024 was $19.2M, compared to $17.1M in Q3 2023.

Financial highlights

• Q3 2024 net revenue: $61.1M, up from $50.0M in Q3 2023; gross profit margin 68.9%, adjusted gross profit margin 71%.

• Operating expenses: $76.6M in Q3 2024; non-GAAP operating expenses $49.6M; non-GAAP loss from operations: $6.7M.

• Cash and cash equivalents at quarter-end: $85.0M, down from $93.7M at June 30, 2024.

• Q3 2024 net loss per share: $(0.30); weighted-average shares outstanding: 63.1M.

• Operating cash flow for nine months: $(22.8)M; financing activities provided $48.7M, mainly from a follow-on equity offering.

Outlook and guidance

• Full-year 2024 net revenue guidance narrowed to $260M–$266M, representing 29%–32% growth over 2023.

• Adjusted gross profit margin expected between 68%–71% for 2024; non-GAAP operating expenses forecast at $185M–$190M.

• Positive non-GAAP operating income expected in Q4 2024 and for full year 2025; projected net revenue of at least $700M and operating margin of at least 20% by 2028.

• Profitability in 2025 may not be sustained every quarter due to Evolysse launch.

• Current capital resources expected to fund operations for at least the next twelve months.