XP Chemistries (XPC) Q3 2024 earnings summary

Executive summary

• XP Chemistries AB is advancing its patented sustainable capsaicin product, focusing on regulatory approval and commercial launch, while securing new financing and optimizing internal operations.

Financial highlights

• Net sales for Jan–Sep 2024 were SEK 229k, down from SEK 571k year-over-year; Q3 sales were SEK 29k, down from SEK 102k.

• Operating loss for Jan–Sep 2024 was SEK -6.6m, improved from SEK -7.8m; Q3 operating loss was SEK -2.1m, improved from SEK -2.5m.

• Net loss before tax for Jan–Sep 2024 was SEK -6.6m, compared to SEK -7.8m; Q3 net loss before tax was SEK -2.1m, compared to SEK -2.5m.

• Earnings per share for Jan–Sep 2024 were SEK -0.06, compared to SEK -0.21; Q3 EPS was SEK -0.02, compared to SEK -0.07.

• Cash and cash equivalents at Sep 30, 2024, were SEK 1.6m, down from SEK 6.6m a year earlier.

Outlook and guidance

• EFSA requested additional information for the capsaicin feed additive application, extending the expected approval timeline by about one month to February 2025.

• Preparations for a 2025 product launch are ongoing, focusing on production capacity and distribution partnerships.