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Biotechnology company United Therapeutics (NASDAQ:UTHR) reported Q1 CY2025 results exceeding the market’s revenue expectations , with sales up 17.2% year on year to $794.4 million. Its non-GAAP profit of $7.28 per share was 11.3% above analysts’ consensus estimates.
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United Therapeutics (UTHR) Q1 CY2025 Highlights:
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Revenue: $794.4 million vs analyst estimates of $752.6 million (17.2% year-on-year growth, 5.6% beat)
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Adjusted EPS: $7.28 vs analyst estimates of $6.54 (11.3% beat)
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Adjusted EBITDA: $420.2 million vs analyst estimates of $379 million (52.9% margin, 10.9% beat)
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Operating Margin: 48.2%, down from 52.6% in the same quarter last year
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Free Cash Flow Margin: 50.4%, similar to the same quarter last year
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Market Capitalization: $13.88 billion
StockStory’s Take
United Therapeutics reported a first-quarter performance driven by sustained demand for its treprostinil-based therapies, including Tyvaso, Orenitram, and Remodulin. Management attributed the quarter’s revenue growth to increased patient referrals and deeper engagement among healthcare providers, particularly within the pulmonary hypertension field. President Michael Benkowitz emphasized, “We continue to see very strong referrals, starts and patient shipments for all of our treprostinil products.”
Looking ahead, United Therapeutics’ leadership highlighted a robust late-stage pipeline, ongoing regulatory milestones, and the company’s disciplined approach to capital allocation as key factors in its guidance. CEO Dr. Martine Rothblatt outlined expectations for further expansion into new indications and organ transplantation programs, noting, “We have entered a sustained period of clinical and regulatory events poised to propel our business forward.” Management also reiterated confidence in maintaining double-digit growth, citing upcoming data readouts and planned product launches.
Key Insights from Management’s Remarks
Management pointed to broad-based commercial momentum and disciplined investment as the main drivers of first-quarter results, while emphasizing the strategic importance of pipeline development and manufacturing expansion.
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Treprostinil Product Expansion: Growth was fueled by strong demand for Tyvaso (including both DPI and nebulizer forms), Orenitram, and Remodulin, with a notable increase in both prescriber base and depth of prescribing. Management stated that treprostinil therapies remain central to pulmonary hypertension treatment despite new market entrants.
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Tyvaso DPI Uptake: Tyvaso DPI (dry powder inhaler) continued gaining share, with new patient starts stabilizing at roughly two-thirds DPI versus one-third nebulizer. Leadership underscored device convenience and dosing flexibility as differentiators supporting sustained uptake.
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Pricing and Payer Environment: A routine price increase for Tyvaso and Orenitram contributed to revenue, while the impact from Medicare Part D redesign was described as modest and largely offset by manufacturer obligations under the new structure.
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Pipeline and R&D Progress: Five registration-phase clinical studies are underway, including the TETON trials in idiopathic pulmonary fibrosis and new organ transplantation programs. The company reported positive regulatory feedback on its UTHYMOKIDNEY and UHeart programs, enabling advancement without further animal studies.
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Manufacturing and Capital Allocation: Ongoing investments include expansion of Tyvaso DPI manufacturing capacity and the commissioning of specialized facilities for organ development. Management highlighted its balanced capital deployment across R&D, corporate development (including the IVIVA and Miromatrix acquisitions), and shareholder returns.