NASDAQ$ETON

Eton Pharmaceuticals Inc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Eton reported eleventh straight quarter of product sales and royalty revenue growth and reached cash flow break-even ahead of schedule.

Eton Pharmaceuticals reported a net revenue of $7.0 million, a 118% increase compared to the prior year period. The company achieved positive cash flow from operations and ended the quarter with $22.1 million in cash on hand. They also acquired Nitisinone Capsules, an ultra-rare disease product.

  • Product sales and royalty revenue increased by 118% compared to Q3 2022, reaching $7.0 million.
  • The company generated $0.9 million in positive cash flow from operations.
  • Cash on hand increased to $22.1 million.
  • Nitisinone Capsules were acquired, adding a fourth commercial rare disease product to the portfolio.

Headline financials

Total Revenue

$7.03M

Previous: $3.22M+118.3%
EPS (adj)

-$0.02

Previous: -$0.12+83.3%
Capital Expenditures

$0.00

Previous: -$26K+100.0%
Free Cash Flow

-$579K

Previous: -$3.07M+81.1%
Net Income

-$579K

Previous: -$3.05M+81.0%
Operating Income

-$548K

Previous: -$2.9M+81.1%
Gross Profit

$4.4M

Previous: $2.02M+118.2%
Cash & Equivalents

$22.1M

Previous: $13.4M+65.0%
Total Assets

$31.5M

Previous: $21.5M+46.5%
R&D Expense

$615K

No prior period
Stock-Based Comp

$730K

Previous: $949K-23.1%

Revenue & EPS history

Eton · Revenue · Quarterly

$7.03M

Q3 2023+118.3%vs Q3 2022
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Revenue by segment

Eton · $7M total across 1 segment · Q3 2023

  • Product Sales and Royalties
    $7M+118.8%

Forward guidance

Eton anticipates strong organic growth for its existing commercial products, potential near-term launches of Nitisinone and ET-400, a strong balance sheet, and a favorable M&A environment.

Tailwinds

  • Strong organic growth prospects for existing commercial products.
  • Potential near-term launches of Nitisinone and ET-400.
  • Strong balance sheet.
  • Favorable M&A environment.
  • Combined peak sales of ET-400 and ALKINDI SPRINKLE could exceed $50 million annually.

Headwinds

  • Risks associated with discovering, developing, and commercializing drugs.
  • Uncertainties related to regulatory filings and approvals.
  • Risks related to building a business around such drugs.
  • Dependence on successful development and commercialization of product candidates.
  • Competition from other pharmaceutical companies.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

+0.6%

Avg return

Earnings day

+2.3%

Avg return

5 days after

+1.3%

Avg return

30 days after

48%

15 / 31 earnings

Positive

+36.0%

Q2 2023

Best reaction

-14.1%

Q4 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025+7.5%-4.7%
Q1 2026-3.0%+6.7%+2.4%
Q3 2025-11.4%-8.8%-15.0%
Q2 2025+12.5%+12.2%+15.8%
Q1 2025+0.4%+14.6%-16.2%
Q4 2024-4.0%-7.0%-6.2%
Q3 2024+9.2%+3.2%+25.2%
Q2 2024+6.6%+8.0%+31.5%
Q1 2024-7.8%-2.4%-3.0%
Q4 2023-14.1%-21.0%-23.7%
Q3 2023-13.7%-16.6%-19.1%
Q2 2023+36.0%+79.5%+83.7%
Q1 2023+2.8%+2.6%+10.3%
Q4 2022+2.6%+7.1%-7.4%
Q3 2022+18.5%+20.9%+22.8%
Q2 2022-1.0%-19.4%-22.8%
Q1 2022+1.3%+6.5%-4.9%
Q4 2021+6.1%+8.7%-1.5%
Q3 2021-3.4%-9.2%-20.7%
Q2 2021-5.0%-0.2%+12.7%
Q1 2021+5.2%+7.5%-13.4%
Q4 2020-0.7%-1.1%+5.9%
Q3 2020-1.5%+2.9%+19.9%
Q2 2020-2.2%+4.4%+12.4%
Q1 2020-9.2%-10.3%-1.1%
Q4 2019-8.4%-21.9%-39.8%
Q3 2019+1.9%+2.3%+9.2%
Q2 2019+1.6%-1.8%-14.2%
Q1 2019+3.2%+12.2%+5.9%
Q4 2018-2.3%+2.6%-5.8%
Q3 2018-8.1%-4.8%-3.2%
Q2 2018
Q1 2018
Q4 2017
Q3 2017
Q2 2017

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