HLS Therapeutics (HLS) Q4 2024 earnings summary

Executive summary

• 2024 marked a significant transition with leadership changes, operational recalibration, and a focus on core product growth, resulting in both Vascepa and Clozaril becoming profitable contributors by year-end.

• Vascepa achieved its first profitable quarter since launch, with strong revenue and unit demand growth.

• Operating expenses were reduced by double digits, and over $20 million in debt was repaid, strengthening the balance sheet.

• The company exited the Pfizer promotional agreement, brought Vascepa sales in-house, and divested non-core assets, including the Xenpozyme royalty interest.

• Christine Elliott, former Ontario Minister of Health, joined the Board of Directors in March 2025.

Financial highlights

• 2024 revenue was $56.6 million, at the lower end of guidance and down 10% year-over-year.

• Adjusted EBITDA for 2024 was $16.6 million, near the top end of guidance, down from $21.1 million in 2023.

• Q4 2024 revenue was $15.5 million (down 2% year-over-year); Q4 adjusted EBITDA was $5.6 million (up from $5.3 million in Q4 2023).

• Net loss for 2024 was ($19.7 million), or ($0.62) per share, improved from ($27.5 million) or ($0.85) per share in 2023.

• Cash from operations was $8.0 million in 2024, down from $15.8 million in 2023; year-end cash was $17.5 million.

Outlook and guidance

• 2025 Canadian Vascepa net sales expected at CAD 26.5–28.5 million (18–26% growth); Clozaril expected flat at CAD 35.5–36 million.

• U.S. Clozaril net sales expected to decline 2–4% to $12–12.3 million.

• 2025 consolidated adjusted EBITDA guidance is $19.5–20.5 million, up 17–23% year-over-year.

• Overall Canadian business projected to grow 6–11% in local currency.

• Revenue projections impacted by Canadian dollar weakness; 2025 revenue would be $1.6 million higher at prior exchange rates.