NASDAQ$NVCR

Novocure Ltd · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Reported solid execution with strategic investments across clinical, product development, and commercial initiatives.

Novocure reported net revenues of $133.6 million, representing a 1% increase compared to Q3 2020. The company invested $48 million in research, clinical, and product development initiatives. Enrollment was completed in the phase 3 INNOVATE-3 trial and the phase 2 EF-31 trial, and a new collaboration with Roche was announced.

  • Net revenues reached $133.6 million, a 1% increase year-over-year.
  • Gross margin was 77%.
  • Completed enrollment in the phase 3 INNOVATE-3 trial for recurrent ovarian cancer.
  • Announced a clinical trial collaboration with Roche to evaluate TTFields together with atezolizumab for metastatic pancreatic cancer.

Headline financials

Total Revenue

$134M

Previous: $133M+0.7%
EPS (adj)

-$0.13

Previous: $0.09-244.4%
Total Active Patients

3.5K

Previous: 3.4K+4.2%
Capital Expenditures

-$3.3M

Previous: -$2.78M-18.5%
Free Cash Flow

-$16.4M

Previous: $6.5M-352.6%
Net Income

-$13.1M

Previous: $9.28M-241.4%
Operating Income

-$8.55M

Previous: $15M-156.9%
Gross Profit

$103M

Previous: $104M-0.8%
Cash & Equivalents

$690M

Previous: $234M+194.2%
Total Assets

$1.12B

Previous: $431M+159.9%
Stock-Based Comp

$25.8M

Previous: $20.1M+28.0%

Revenue & EPS history

Novocure · Revenue · Quarterly

$134M

Q3 2021+0.7%vs Q3 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Forward guidance

Novocure is nearing a key inflection point as several late-stage clinical trials approach full enrollment, with the LUNAR trial expected to enroll the final patient by year-end.

Tailwinds

  • FDA granted breakthrough device designation to the NovoTTF-200T™ system for the treatment of advanced liver cancer.
  • Announced a clinical trial collaboration with Roche to evaluate TTFields together with atezolizumab for the treatment of metastatic pancreatic cancer.
  • The last patient was enrolled in the phase 2 pilot EF-31 trial for the treatment of gastric cancer.
  • The last patient was enrolled in the phase 3 pivotal INNOVATE-3 trial for the treatment of recurrent ovarian cancer.
  • Actively designing a phase 3 pivotal trial studying the efficacy of TTFields together with atezolizumab and bevacizumab for the first-line treatment of patients with unresectable or metastatic liver cancer.

Headwinds

  • Data from phase 2 pilot EF-31 trial in gastric cancer (2022)
  • Data from phase 2 pilot EF-33 trial with high-intensity arrays in recurrent glioblastoma (2022)
  • Final data from phase 3 pivotal LUNAR trial in NSCLC (2022)
  • Last patient enrollment in phase 3 pivotal PANOVA-3 trial in locally advanced pancreatic cancer (2023)
  • Data from phase 3 pivotal METIS trial in brain metastases (2023)

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

-0.5%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+2.6%

Avg return

30 days after

49%

21 / 43 earnings

Positive

+27.5%

Q1 2026

Best reaction

-34.3%

Q2 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+27.5%+33.1%+42.8%
Q4 2025-7.9%-11.3%-26.8%
Q3 2025-4.7%-11.0%-5.0%
Q2 2025-0.3%+3.9%+4.6%
Q1 2025+4.4%+2.9%+4.3%
Q4 2024-12.4%-17.2%-14.1%
Q3 2024-10.1%-1.8%+18.7%
Q2 2024+1.2%+24.2%-4.1%
Q1 2024+16.0%+21.9%+72.8%
Q4 2023-2.6%+4.4%-15.4%
Q3 2023-10.2%-5.5%-11.4%
Q2 2023-17.4%-19.1%-26.2%
Q1 2023+3.5%+6.2%+20.6%
Q4 2022-6.1%-6.1%-30.3%
Q3 2022+3.5%+8.1%+10.8%
Q2 2022-8.1%-5.1%+11.9%
Q1 2022-0.5%+8.9%+9.1%
Q4 2021+10.1%+10.5%+9.8%
Q3 2021-7.4%-2.8%-12.4%
Q2 2021-15.3%-18.0%-25.9%
Q1 2021-0.7%-4.0%-0.7%
Q4 2020-13.9%-11.6%-28.1%
Q3 2020+5.8%-1.4%+9.9%
Q2 2020+11.5%+14.9%+20.6%
Q1 2020-17.8%-12.8%-8.3%
Q4 2019-8.4%-12.7%-17.6%
Q3 2019+1.5%+4.3%+24.1%
Q2 2019+11.2%+17.3%+30.3%
Q1 2019+13.0%+10.0%+22.7%
Q4 2018+4.0%-2.5%-10.8%
Q3 2018-23.6%-22.9%-29.6%
Q2 2018-6.7%-9.2%+6.8%
Q1 2018+11.2%+14.3%+25.7%
Q4 2017-10.4%-1.9%+1.9%
Q3 2017+7.5%+19.3%+4.7%
Q2 2017+4.3%+2.3%+2.1%
Q1 2017+3.2%+8.2%+16.4%
Q4 2016-3.5%+6.3%-1.4%
Q3 2016+13.4%+21.8%+34.5%
Q2 2016-34.3%-31.6%-31.6%
Q1 2016+2.3%
Q4 2015+24.7%
Q3 2015+22.3%
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2014

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