Poxel (POXEL) Q2 2024 TU earnings summary

Executive summary

• TWYMEEG® sales in Japan for Q2 2024 rose 62% over Q1, reaching JPY 1.7 billion (EUR 10.1 million).

• Exclusive negotiations are underway to monetize royalties from TWYMEEG® sales in Japan.

• Cash and cash equivalents stood at EUR 2.8 million as of June 30, 2024, with a cash horizon sufficient until the royalty monetization transaction closes.

• Topline results from the TWINKLE study confirmed TWYMEEG®'s safety for type 2 diabetic patients with renal impairment.

Financial highlights

• Revenue for H1 2024 was EUR 1,162 thousand, up from EUR 955 thousand in H1 2023, reflecting 8% royalties on TWYMEEG® net sales.

• Q2 2024 revenue was EUR 713 thousand, up from EUR 506 thousand in Q2 2023.

• Cash and cash equivalents increased to EUR 2.8 million at June 30, 2024, from EUR 2.3 million at December 31, 2023.

• Net financial debt (excluding IFRS16 and derivatives) was EUR 46.6 million at June 30, 2024.

Outlook and guidance

• Sumitomo Pharma forecasts FY 2024 TWYMEEG® gross sales of JPY 11.3 billion (EUR 69.1 million), a 150% increase over FY 2023.

• Poxel expects to receive at least 10% royalties on TWYMEEG® net sales in Japan for FY 2024, with potential to reach 12% if net sales hit JPY 10 billion.

• Cash resources are expected to last until the completion of the royalty monetization process, assuming no R&D expenses and strict cost control.