Marinomed Biotech (MARI) H2 2023 earnings summary

Executive summary

• FY 2023 revenue fell to €9.18m from €11.28m as Carragelose demand normalized and partner inventories remained high; operating loss widened to €5.13m.

• Commercialization expanded into allergy and eye care; strategic options for the Carragelose business were assessed, with selected partners entering a second negotiation phase.

• Budesolv stability issues were resolved and its regulatory path cleared; Tacrosolv formulation and packaging improvements supported renewed partnering activity.

Financial highlights

• Revenue was €9.18m versus €11.28m; other income rose to €1.37m from €0.84m, mainly from grants and research premium.

• EBIT was -€5.13m versus -€4.91m; net loss was -€6.79m versus -€6.40m.

• Gross margin was 29%; R&D expenses were €7.0m versus €6.9m.

• Operating cash outflow improved to €4.53m from €5.20m; year-end cash declined to €2.59m from €8.18m.

Outlook and guidance

• Operating profitability is the primary objective, supported by Carragelose launches and partnerships, Budesolv licensing, Luoxin milestones, a Tacrosolv partnership and Solv4U growth.

• 2024 Carragelose revenue is expected to remain below pandemic records; new launches and lower partner inventories may support recovery into 2024/25.

• R&D expenses are expected to decline in 2024, with no major expenditure such as a clinical study currently planned.

• Liquidity is forecast to cover the primary forecast period through June 2025, conditional on planned license agreements and related milestone payments.