Y-Mabs Therapeutics ((YMAB)) has held its Q4 earnings call. Read on for the main highlights of the call.
Y-mAbs Therapeutics’ recent earnings call painted a mixed picture of the company’s performance. While there were notable achievements such as international revenue growth and advancements in their radiopharmaceutical platform, these were tempered by challenges like a decline in U.S. revenue, increased net losses, and difficulties in patient enrollment for trials. The company is optimistic that its strategic realignment will help address some of these issues.
DANYELZA Revenue Growth
The company reported total DANYELZA net product revenues of $85.2 million for the full year 2024, marking a 5% increase in Q4 2024 revenue compared to Q4 2023. This growth was largely driven by strong performance in international markets.
Radiopharmaceutical Platform Progress
Y-mAbs achieved a significant milestone with its SADA PRIT platform, demonstrating proof of concept in the GD2-SADA Phase I trial. The trial showed no dose-limiting toxicities and positive tumor targeting and binding, indicating promising potential for this platform.
Strong International Performance
The company saw a remarkable 78% increase in ex-U.S. DANYELZA revenues in Q4 2024 compared to Q4 2023. This surge was fueled by successful launches in Western Asia and increased sales in Eastern Asia and Latin America.
Financial Position
Y-mAbs ended 2024 with $67.7 million in cash and cash equivalents, with an annual cash investment of $11.4 million, which was below their stated guidance. This strong financial position supports their operational plans into 2027.
Business Realignment Strategy
The company has implemented a strategic realignment, focusing on two distinct business units: DANYELZA and Radiopharmaceuticals. This move aims to accelerate development and improve capital efficiency.
U.S. DANYELZA Revenue Decline
In contrast to international growth, U.S. DANYELZA net product revenues decreased by 12% in Q4 2024 compared to Q4 2023. This decline was primarily due to an unfavorable price mix.
Increased Net Loss
Y-mAbs reported a net loss of $6.8 million in Q4 2024, up from $1 million in Q4 2023. This increase was mainly driven by higher operating expenses and the negative impact of foreign currency transactions.
Challenges in CD38 SADA Patient Enrollment
The company faced difficulties in enrolling patients for the CD38-SADA Phase I trial, with challenges related to patient qualification and health status impacting progress.
Increased Operating Expenses
Selling and general administrative expenses rose by $9.8 million for the year ended December 31, 2024. This increase was partly due to legal settlements and restructuring charges.
Forward-Looking Guidance
Looking ahead, Y-mAbs anticipates total net revenue for 2025 to be between $75 million and $90 million, with Q1 2025 revenue expected to range from $18 million to $21 million. Operating expenses, excluding the cost of goods sold, are projected to be between $116 million and $121 million for 2025. The company plans to advance its SADA PRIT radiopharmaceutical platform, with additional data expected in Q2 2025.
In summary, Y-mAbs Therapeutics’ earnings call highlighted a balance of achievements and challenges. While international growth and platform advancements are promising, the company faces hurdles in the U.S. market and trial enrollments. The strategic realignment and financial positioning provide a foundation for addressing these challenges and pursuing future growth.