8-K: Xeris Biopharma Achieves Record Revenue in Q4 and Full-Year 2024, Announces Optimistic 2025 Guidance

Xeris Biopharma reports record quarterly and full-year revenue, driven by strong product performance, and anticipates continued growth in 2025.

Summary

• Xeris Biopharma Holdings, Inc. announced its financial results for the fourth quarter and full year ended December 31, 2024, along with its financial guidance for 2025.
• The company achieved record quarterly revenue of $60 million and full-year revenue of $203 million, representing growth of 35% and 24% respectively, compared to the previous year.
• Recorlev revenue more than doubled compared to the prior year and grew 28% sequentially in the fourth quarter.
• Xeris ended Q4 with over $71 million in cash, generating $2 million in cash in the fourth quarter.
• The company provides full-year 2025 total revenue guidance of $255 million to $275 million, representing a growth of over 30% at the mid-point of the range.
• Adjusted EBITDA for the fourth quarter was $8.3 million and $1.2 million for the full year.
• The company anticipates Adjusted EBITDA will remain positive going forward.
• Net loss for the fourth quarter was $5.1 million, or ($0.03) per share, and $54.8 million, or ($0.37) per share, for the full year.

Sentiment

Score: 8

Explanation: The document presents a positive outlook with record revenue, strong growth in key products, and optimistic guidance for 2025. While there are some negative aspects, such as the decrease in Keveyis revenue and net losses, the overall tone is optimistic and suggests a positive trajectory for the company.

Positives

• Record quarterly and full-year total revenue achieved.
• Recorlev revenue more than doubled versus prior year.
• The company ended Q4 with over $71 million in cash.
• Positive cash flow of $2 million generated in the fourth quarter.
• Full-year 2025 total revenue guidance projects growth of over 30%.
• Adjusted EBITDA is expected to remain positive going forward.

Negatives

• Keveyis revenue decreased by approximately 21% in the fourth quarter compared to the fourth quarter of 2023.
• Royalty, contract and other revenue decreased by $4.116 million year over year.
• Net loss for the fourth quarter was $5.1 million, or ($0.03) per share, and $54.8 million, or ($0.37) per share, for the full year.

Risks

• The company's financial position and need for financing could impact its product development programs or commercialization efforts.
• Market acceptance of its products in a competitive business environment is uncertain.
• Reliance on third-party suppliers, including single-source suppliers, poses a risk.
• The ability of product candidates to compete successfully with existing and new drugs is not guaranteed.
• The company's and its collaborators' ability to protect intellectual property and proprietary technology is crucial.
• General macroeconomic conditions could affect the company's performance.

Future Outlook

Xeris anticipates 2025 total revenue of $255 to $275 million, representing over 30% growth at the mid-point, and expects Adjusted EBITDA to remain positive going forward.

Management Comments

• The Xeris team executed an exceptional 2024 with record revenue topping $203 million, said John Shannon, Xeris Chief Executive Officer.
• The continued momentum of our commercial business, our exciting pipeline, along with our unrelenting focus on execution will enable Xeris to create even more value for patients and shareholders.
• Xeris has never been financially stronger.
• Record quarterly revenue exceeding $60 million drove positive cash flow of $2 million in the fourth quarter and generated Adjusted EBITDA of over $8 million, said Steven M. Pieper, Chief Financial Officer.
• Our accelerating revenue growth, coupled with our attractive and improving margin profile and disciplined capital allocation, will result in a financially transformative 2025 for Xeris.

Industry Context

Xeris operates in the competitive biopharmaceutical industry, focusing on developing and commercializing innovative products across a range of therapies, including endocrinology and diabetes. The company's performance is influenced by factors such as market acceptance of its products, competition from existing and new drugs, and its ability to protect its intellectual property.

Comparison to Industry Standards

• It is difficult to compare Xeris directly to industry standards without more specific information on its peer group.
• However, the company's revenue growth of 24% for the full year 2024 is a positive sign, suggesting that it is gaining market share and successfully commercializing its products.
• The company's focus on innovative drug delivery technologies, such as XeriSol and XeriJect, could give it a competitive advantage over other pharmaceutical companies.
• The company's positive Adjusted EBITDA for the fourth quarter and full year 2024 is also a positive sign, indicating that it is managing its expenses effectively.

Stakeholder Impact

• Shareholders can expect continued growth and value creation.
• Employees can anticipate a stable and growing work environment.
• Patients will benefit from innovative products and therapies.
• Suppliers can expect continued business opportunities.
• Creditors can be assured of the company's financial stability.

Next Steps

• Xeris will host a conference call and webcast at 8:30 a.m. Eastern Time today to discuss the Company's financial and operational results.
• The company will continue to focus on commercializing its existing products and advancing its pipeline programs, including XP-8121.

Key Dates