Fennec Pharmaceuticals (TSE:FRX)
TSX:FRX
Top Page
Fennec Pharmaceuticals
(TSX:FRX)
Select Model
Select Model
Rating:51Neutral
Price Target:
C$8.50
▼(-5.97% Downside)
Action:ReiteratedDate:03/31/26
The score is held back primarily by inconsistent profitability and cash flow despite strong gross margins and improving balance-sheet strength. Technicals are also weak (price below key moving averages with negative MACD). Offsetting these, the earnings call points to accelerating sales growth, improved financial flexibility (debt eliminated), and extended exclusivity to 2033, which supports a moderate—but not high—overall score.
Positive Factors
High gross margins and durable revenue ramp
Sustained ~92–94% gross margins and a multi‑year revenue ramp to ~$45M indicate durable product-level economics and pricing power for PEDMARK. High gross margins allow reinvestment behind commercialization and medical affairs while insulating core profitability from modest cost increases.
Negative Factors
Inconsistent and negative recent cash generation
Volatile cash generation—positive one year and material burn the next—signals execution and working‑capital variability. This inconsistency raises the risk that operating losses could force future financing or constrain marketing and medical investments unless management sustains collection improvements and recurring positive OCF.
Read all positive and negative factors
Positive Factors
Negative Factors
High gross margins and durable revenue ramp
Sustained ~92–94% gross margins and a multi‑year revenue ramp to ~$45M indicate durable product-level economics and pricing power for PEDMARK. High gross margins allow reinvestment behind commercialization and medical affairs while insulating core profitability from modest cost increases.
Read all positive factors
Fennec Pharmaceuticals (FRX) vs. iShares MSCI Canada ETF (EWC)
Market Cap
C$311.66M
Dividend YieldN/A
Average Volume (3M)515.00
Price to Earnings (P/E)―
Beta (1Y)1.74
Revenue Growth-19.08%
EPS Growth-451.99%
CountryCA
Employees32
SectorHealthcare
Sector Strength45
IndustryBiotechnology
Share Statistics
EPS (TTM)-0.23
Shares Outstanding34,475,178
10 Day Avg. Volume322
30 Day Avg. Volume515
Financial Highlights & Ratios
PEG Ratio-0.01
Price to Book (P/B)6.29
Price to Sales (P/S)4.86
P/FCF Ratio-15.03
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
C$20.78Price Target Upside129.85% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering5
EPS Forecast (FY)0.25
Revenue Forecast (FY)C$99.86M
Fennec Pharmaceuticals Business Overview & Revenue Model
Company Description
Fennec Pharmaceuticals Inc. operates as a biopharmaceutical company. Its product candidate in the clinical stage of development is PEDMARK, a formulation of sodium thiosulfate for the prevention of platinum-induced ototoxicity in pediatric cancer ...
How the Company Makes Money
Fennec primarily makes money by commercializing PEDMARK in the United States. Revenue is generated from product sales to the healthcare system (typically through specialty distributors and/or specialty pharmacy channels) based on demand driven by ...
Fennec Pharmaceuticals Earnings Call Summary
Earnings Call Date:Mar 24, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 19, 2026
Earnings Call Sentiment Positive
The call highlighted substantial commercial momentum (FY sales +50%, Q4 sales +75%), strengthened balance sheet through a $42M capital raise and full debt redemption, a favorable patent settlement extending exclusivity to 2033, and strong progress on clinical evidence and international rollout (Norgine). These positives were balanced by meaningful increases in operating expenses, higher noncash stock compensation, a planned rise in cash OpEx for 2026 (~$35M to ~$50M), and timing/lumpiness risks around revenue and cash collections. On balance, the operational and commercial achievements, plus the legal settlement and capital raise, outweigh the near‑term expense increases and timing risks, leaving the company positioned for growth provided the planned commercial and medical investments ramp as expected.Positive Updates
Record Net Product Sales and Accelerating Growth
Net product sales of $44.6 million in FY2025 versus $29.6 million in FY2024 (+50% year-over-year). Fourth quarter net product sales of $13.8 million versus $7.9 million in Q4 2024 (≈+75% year-over-year). Fifth consecutive quarter of net product sales growth, driven by increased patient treatment and account expansion.
Negative Updates
Rising Selling, Marketing and G&A Expenses
Q4 selling & marketing expenses rose to $6.1 million from $3.9 million in Q4 2024 (≈+56%). Q4 G&A increased to $8.9 million from $4.2 million in Q4 2024 (≈+112%). Full‑year G&A was $28.8 million in 2025 vs $23.1 million in 2024 (≈+25%). Increases driven by payroll, expanded headcount, legal/IP expenses and equity‑based remuneration.
Read all updates
Q4-2025 Updates
Positive
Negative
Record Net Product Sales and Accelerating Growth
Net product sales of $44.6 million in FY2025 versus $29.6 million in FY2024 (+50% year-over-year). Fourth quarter net product sales of $13.8 million versus $7.9 million in Q4 2024 (≈+75% year-over-year). Fifth consecutive quarter of net product sales growth, driven by increased patient treatment and account expansion.
Read all positive updates
Company Guidance
The company provided detailed financial and operational guidance: Q4 net product sales were $13.8M (up ~75% from $7.9M year‑over‑year) and full‑year 2025 sales were $44.6M (vs. $29.6M, +~50%), cash & cash equivalents were $36.8M as of 12/31/25 after raising >$42M net proceeds and using ~$21.5M to fully redeem debt (now $0 debt), and management expects positive operating cash flow in Q1 2026. They forecast cash operating expenses rising from ~ $35M in 2025 to ~ $50M in 2026 (with >60% of spend in H1), a gross‑to‑net conversion of ~85%, COGS in the mid‑single digits, noncash stock‑based comp roughly flat (was +~$2M YoY in 2025), and project material commercial uplift from hires and Norgine launches (8–10 countries in 2026, UK price ~£8,000; Germany pricing mid‑year) to flow into revenues in H2 2026; every additional 100 treated patients could add ~ $30M net revenue and an estimated ~$0.70 per‑share in cash EPS, the AYA addressable market is >20,000 patients annually, and the Cipla settlement prevents generic entry until 9/1/2033, reducing future G&A.Fennec Pharmaceuticals Financial Statement Overview
Summary
Income Statement
48
Neutral
Balance Sheet
55
Neutral
Cash Flow
42
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 45.42M | 47.54M | 21.25M | 1.53M | 0.00 |
| Gross Profit | 41.59M | 44.35M | 19.99M | 1.45M | 0.00 |
| EBITDA | -6.86M | 4.80M | -12.65M | -22.74M | -17.18M |
| Net Income | -10.27M | -436.00K | -16.05M | -23.86M | -17.46M |
Balance Sheet | |||||
| Total Assets | 70.07M | 44.95M | 26.86M | 26.94M | 22.41M |
| Cash, Cash Equivalents and Short-Term Investments | 36.72M | 26.63M | 13.27M | 23.77M | 21.10M |
| Total Debt | 0.00 | 19.34M | 30.95M | 24.90M | 4.99M |
| Total Liabilities | 35.02M | 50.82M | 38.49M | 29.51M | 6.64M |
| Stockholders Equity | 35.05M | -5.87M | -11.62M | -2.57M | 15.77M |
Cash Flow | |||||
| Free Cash Flow | -14.67M | 26.98M | -17.14M | -18.06M | -14.22M |
| Operating Cash Flow | -14.67M | 26.98M | -17.14M | -18.06M | -14.22M |
| Investing Cash Flow | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financing Cash Flow | 25.01M | -13.62M | 6.64M | 20.73M | 4.98M |
Fennec Pharmaceuticals Technical Analysis
Negative
9.04
Price Trends
10.33
Negative
10.55
Negative
11.27
Negative
Market Momentum
-0.47
Negative
41.79
Neutral
100.00
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:FRX, the sentiment is Negative. The current price of 9.04 is below the 20-day moving average (MA) of 9.34, below the 50-day MA of 10.33, and below the 200-day MA of 11.27, indicating a bearish trend. The MACD of -0.47 indicates Negative momentum. The RSI at 41.79 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:FRX.
Fennec Pharmaceuticals Risk Analysis
Fennec Pharmaceuticals disclosed 69 risk factors in its most recent earnings report. Fennec Pharmaceuticals reported the most risks in the "Tech & Innovation" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Fennec Pharmaceuticals Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% | |
51 Neutral | C$311.66M | -21.47 | -236.42% | ― | -19.08% | -451.99% | |
49 Neutral | C$605.14M | -10.51 | -59.46% | ― | ― | ― | |
46 Neutral | C$143.59M | -55.85 | -66.34% | ― | ― | 59.00% | |
44 Neutral | C$179.36M | -4.57 | -51.42% | ― | ― | 27.53% |
* Healthcare Sector Average
TSE:FRX
Fennec Pharmaceuticals
9.04
1.99
28.23%
TSE:MSCL
Satellos Bioscience
8.61
1.05
13.89%
TSE:HBP
Helix BioPharma
1.88
1.11
144.16%
TSE:EPRX
Eupraxia Pharmaceuticals
9.75
5.61
135.51%
TSE:METX
ME Therapeutics Holdings, Inc.
2.50
-6.50
-72.22%
Fennec Pharmaceuticals Corporate Events
Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing
Fennec Posts Record PEDMARK Sales in 2025 as Clinical and Commercial Momentum Builds
Positive
Mar 27, 2026
Fennec Pharmaceuticals reported record 2025 net PEDMARK sales of $44.6 million, up 50% year over year, with fourth-quarter sales rising 75%, driven by higher patient enrollments, improved conversion rates, and accelerating adoption at key accounts...
Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing
Fennec Pharmaceuticals Posts Record PEDMARK Sales and Broadens Clinical Footprint in 2025
Positive
Mar 24, 2026
Fennec Pharmaceuticals reported record 2025 results, with PEDMARK net product sales rising 50% year over year to $44.6 million and fourth-quarter sales up 75% to $13.8 million, underscoring accelerating adoption across key accounts and patient seg...
Business Operations and StrategyFinancial Disclosures
Fennec to Report 2025 Results as Global Rollout of PEDMARK Advances
Positive
Mar 18, 2026
Fennec Pharmaceuticals will release its full-year and fourth-quarter 2025 financial results before U.S. markets open on March 24, 2026, followed by a management-hosted conference call and webcast for investors and analysts. The scheduled disclosur...
Business Operations and StrategyLegal Proceedings
Fennec Secures PEDMARK Market Protection With Cipla Patent Litigation Settlement
Positive
Mar 16, 2026
Fennec Pharmaceuticals has reached a settlement with Cipla Limited and Cipla USA over litigation related to Cipla’s bid to market a generic version of PEDMARK. Under the agreement, the case will be dismissed with each side covering its own c...
Business Operations and StrategyProduct-Related Announcements
Fennec Showcases Real-World Data Backing PEDMARK Use in Adult Head and Neck Cancer
Positive
Feb 20, 2026
Fennec Pharmaceuticals reported new real-world data indicating that PEDMARK can be safely administered at least six hours after cisplatin in adults with head and neck cancers and integrated smoothly into routine care without disrupting curative tr...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.