Valneva (VLA) Q3 2024 earnings summary

Executive summary

• Product sales for the first nine months of 2024 reached €112.5 million, with total revenues of €116.6 million and a net profit of €24.7 million, reversing a €69.3 million loss last year, driven by a €90.8 million gain from the sale of a Priority Review Voucher.

• Cash position stood at €156.3 million, including €61.2 million from a private placement, supporting ongoing R&D and operations.

• Strong R&D execution with progress in Lyme, chikungunya, and shigella vaccine programs; strategic partnerships and publications in leading journals.

• Commercial business expected to be cash-flow positive in 2024 (excluding IXCHIQ®), with sustained profitability targeted from 2027, driven by the Lyme vaccine.

Financial highlights

• Product sales increased 12% year-over-year to €112.5 million, with IXIARO®/JESPECT® up 31% to €66.0 million and DUKORAL® up 6% to €22.3 million; total revenues were €116.6 million versus €111.8 million in 2023.

• Operating profit was €34.2 million, reversing a €57.2 million loss in the prior year; adjusted EBITDA improved to €48.6 million from a €46.0 million loss.

• Net profit for the period was €24.7 million, compared to a €69.3 million loss year-over-year, mainly from the PRV sale.

• Cash position at September 30, 2024, was €156.3 million; cash used in operating activities dropped to €76.7 million from €136 million.

• Sale of PRV generated €90.8 million in income.

Outlook and guidance

• Product sales guidance narrowed to €160–170 million; total revenue guidance set at €170–180 million for 2024.

• Other income, including PRV proceeds, expected at €100–110 million; R&D expense forecasted at €65–75 million.

• Commercial business expected to be cash-generative from 2025, with improved margins and top-line growth.

• Sustained profitability targeted from 2027, contingent on Lyme vaccine success.

• IXCHIQ® mid-term guidance of ~€100 million to be reviewed; further R&D support anticipated from non-dilutive funding.