Pharming Group (PHGUF) Q4 2024 Earnings Call Highlights: Strong Revenue Growth and Strategic ...

In This Article:

  • Full-Year Revenue: Increased by 21% to $297 million.

  • RUCONEST Revenue: Grew 11% to $252 million.

  • Joenja Revenue: Increased by 147% to $45 million.

  • Q4 Revenue Growth: 14% increase compared to Q4 2023.

  • Gross Profit Growth: Increased by 9% despite a one-off inventory impairment.

  • Operating Profit: Increased by $5.6 million, marking the second consecutive quarter of operating profit.

  • Net Profit: Transitioned from a loss in Q4 2023 to a net profit in Q4 2024.

  • Operating Cash Flow: Positive for the second consecutive quarter.

  • 2025 Revenue Guidance: Expected between $315 million and $335 million, indicating a growth rate of 6% to 13%.

  • Operating Expenses: Expected to remain flat in 2025, excluding Abliva-related costs.

  • Abliva Acquisition Cost: $66.1 million, funded with available cash.

Release Date: March 13, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

  • Pharming Group (PHGUF) reported a 21% increase in full-year 2024 revenues, reaching $297 million, surpassing their guidance range.

  • RUCONEST sales grew by 11% to $252 million, driven by a 24% increase in new patient enrollments and an 11% expansion of the prescriber base.

  • Joenja revenue increased by 147% to $45 million, with significant growth expected from new patient enrollments and geographic expansion.

  • The acquisition of Abliva is seen as a strategic move to enhance Pharming's pipeline, particularly in the area of primary mitochondrial diseases.

  • Pharming Group (PHGUF) maintained positive operating cash flow and operating profits for the last two quarters of 2024, indicating strong financial health.

Negative Points

  • Gross profit growth was lower than revenue growth due to a one-off inventory impairment related to RUCONEST production issues.

  • Operating expenses increased by 10% due to investments in Joenja, which may impact profitability if not managed carefully.

  • The company faces potential challenges from new competition in the HAE market, which could impact RUCONEST's market share.

  • There are concerns about potential US tariffs affecting drug pricing and supply chain, which could impact Pharming's operations.

  • The integration of Abliva and associated costs, estimated at $30 million for 2025, could strain resources if not managed effectively.

Q & A Highlights

Q: Could you elaborate on the target population for KL133 in primary mitochondrial disease and the potential treatment eligibility? A: Anurag Relan, Chief Medical Officer, explained that the target population for KL133 includes patients with mitochondrial DNA mutations, which represent 80% of all primary mitochondrial diseases (PMDs). The estimated addressable population is about 30,000 patients in the US and large European markets.