Basilea Pharmaceutica (BSLN) H1 2024 earnings summary

Executive summary

• Achieved strong H1 2024 financial results and profitability, driven by robust Cresemba sales, milestone payments, and Zevtera's US FDA approval for three indications with 10 years of exclusivity.

• Expanded anti-infective pipeline with four new programs since October 2023, including phase 3-ready fosmanogepix, BAL2062, tonabacase, and a preclinical LptA inhibitor.

• Refocused strategy on anti-infectives, divesting last oncology asset and partnering with Glioblastoma Foundation.

• Fully repaid senior secured loan, reducing net financial debt and strengthening the balance sheet.

Financial highlights

• H1 2024 revenue from Cresemba and Zevtera reached CHF 73.3 million; total H1 2024 revenue was CHF 76.3 million.

• Cresemba in-market sales grew 24% year-on-year to USD 489 million for the 12 months to March 2024.

• Royalty income from Cresemba rose 16.6% year-on-year to CHF 42.8 million.

• Operating result was CHF 9.3 million; net profit CHF 20.7 million, aided by deferred tax asset recognition.

• Net debt reduced to CHF 26.2 million as of June 30, 2024; net cash from operations in H1 2024 was CHF 17.9 million.

Outlook and guidance

• Full-year 2024 revenue guidance raised: Cresemba and Zevtera-related revenue expected to grow 26% to CHF 190 million; total revenue to CHF 196 million.

• Operating result expected to increase 88% to CHF 36 million; net profit to rise 300% to CHF 42 million.

• Significant milestone payments anticipated in H2 2024, with a 25% increase in full-year milestone payments versus 2023.

• Guidance does not include potential non-dilutive funding or upfront payments from a Zevtera U.S. partnership.