Poxel (POXEL) Q3 2024 TU earnings summary

Executive summary

• TWYMEEG® sales in Japan rose 5% sequentially and 23% year-over-year for Q3 2024, with net sales expected to reach at least JPY 5 billion (EUR 30.6 million) soon, triggering 10% royalties and a JPY 500 million (EUR 3.1 million) sales-based payment to Poxel.

• Cash and cash equivalents stood at EUR 13.1 million as of September 30, 2024, up from EUR 2.8 million at June 30, 2024, following a non-dilutive financing agreement with OrbiMed and full drawdown of the IRIS equity-linked facility.

• Poxel expects its resources to fund operations and capital expenditures through the end of 2025, supported by strict cost control and recent financing.

• Poxel regained Imeglimin rights for Asian countries outside Japan and has initiated development and marketing discussions for China.

Financial highlights

• Q3 2024 revenue was EUR 854 thousand; nine-month revenue reached EUR 2,016 thousand, up from EUR 1,619 thousand for the same period in 2023.

• Royalty revenue from Sumitomo Pharma accounted for most of the nine-month revenue, representing 8% of TWYMEEG® net sales in Japan.

• Cash and cash equivalents increased to EUR 13.1 million at September 30, 2024, from EUR 2.8 million at June 30, 2024.

Outlook and guidance

• TWYMEEG® net sales in Japan are expected to reach at least JPY 5 billion in the near term, entitling Poxel to 10% royalties and a JPY 500 million sales-based payment.

• Beyond 2024, Poxel anticipates escalating double-digit royalties and additional sales-based payments as contractual thresholds are met.

• Resources are forecasted to be sufficient to fund operations through end-2025.