Medicure (MPH) Q4 2024 earnings summary

Executive summary

• Net revenue for 2024 was CAD 21.9 million, a slight increase from CAD 21.7 million in 2023, with Q4 revenue at $5.9 million versus $5.1 million in Q4 2023, driven by growth in ZYPITAMAG and Marley Drug but offset by lower AGGRASTAT revenue.

• Net loss for 2024 was approximately CAD 1 million or $0.10 per share, compared to a net loss of $922,000 or $0.09 per share last year, mainly due to non-cash expenses and increased R&D.

• Adjusted EBITDA for 2024 was negative $437,000, down from positive $1.9 million in 2023, reflecting higher Marley Drug costs, lower AGGRASTAT revenue, and increased R&D.

• Focus areas include AGGRASTAT, ZYPITAMAG, Marley Drug, MC1 for PNPO deficiency, and a new chemical entity with significant market potential.

Financial highlights

• AGGRASTAT revenue declined to CAD 8.1 million from CAD 9.7 million year-over-year due to generic competition and lower volume.

• ZYPITAMAG revenue through insurance channels increased to CAD 3 million from CAD 2.4 million, and Marley Drug revenue rose to CAD 10.8 million from CAD 9.6 million.

• ZYPITAMAG total revenue rose to $6.2 million in 2024 from $5.0 million in 2023, with growth in both insured and Marley Drug channels.

• Gross profit for 2024 was $13.1 million, down from $14.0 million in 2023.

• Cash at year-end was CAD 7.2 million, up from CAD 6.4 million, with no debt.

Outlook and guidance

• Legal fees are expected to remain significant in 2025.

• R&D expenses are forecasted to remain around $3 million in 2025, with continued investment in MC1 and new IP.

• All patients for the MC1 phase 3 trial are expected to be enrolled in 2025, with a 12-month study period and accelerated review due to orphan disease status.

• Management expresses caution due to risks including product revenue uncertainty, regulatory approvals, and market competition.

• Plans to hold an investor call in May 2025 to discuss Q1 2025 results.