Pacira BioSciences (PCRX) Q4 2023 earnings summary

Executive summary

• FY 2023 revenue reached a record $675.0M, up 1% YoY; GAAP net income was $42.0M and adjusted EBITDA was $214.5M.

• 2024 priorities include launching EXPAREL in two lower-extremity nerve block indications, preparing for NOPAIN reimbursement in 2025, and reallocating resources toward U.S. growth.

• EXPAREL has surpassed 14M patients; an FDA-approved 200-liter manufacturing suite is expected to begin commercial production later in 2024.

Financial highlights

• Q4 2023 revenue was $181.2M, up 5% YoY; FY revenue was $675.0M versus $666.8M in 2022.

• Q4 GAAP net income was $24.9M versus a $10.1M loss; FY GAAP net income was $42.0M versus $15.9M in 2022.

• FY operating expenses were $587.3M versus $606.8M; R&D expense was $76.3M and SG&A was $269.4M.

• Q4 adjusted EBITDA was $65.4M, up 11% YoY; FY adjusted EBITDA was $214.5M, up 1%.

Outlook and guidance

• 2024 revenue guidance is $680M–$705M; non-GAAP gross margin guidance is 74%–76%.

• 2024 non-GAAP R&D guidance is $70M–$80M; non-GAAP SG&A is $245M–$265M; stock-based compensation is $50M–$55M.

• EXPAREL sales from the lower-extremity nerve block opportunity are expected to exceed $100M annually over time; the 200-liter suite is expected to support product mix and gross margins.