Valeo Pharma Inc. (TSX:VPH, OTCQB:VPHIF) has reported record quarterly revenues of $13.6 million for its second quarter ending April 30, 2023, representing a substantial increase of 184% compared to the same period last year.
The growth was primarily driven by the success of Enerzair and Atecura, which experienced a remarkable surge of 271% in revenues.
In the results statement, Steve Saviuk, Valeo's CEO, commented: "Enerzair and Atectura's revenue and prescription growth is reflecting broadening adoption. As we are still in the early stages of their commercialization, we expect this trend to continue to gain traction in the coming quarters.
"Organic growth for our product portfolio, as well as the important contribution of our new ophthalmology business unit, are key elements in growing our overall revenues and sharply improving our financial performance. This trend will continue in quarters to come as we progress towards profitability."
Luc Mainville, the CFO of Valeo added: "Q2 2023 delivered yet again another sequential financial performance improvement. The combination of growing revenues, product margins and strict control over opex has contributed to reduce our quarterly adjusted EBITDA loss for a sixth consecutive quarter. We anticipate this trend to continue for the coming quarters and remain focused on achieving breakeven status as rapidly as possible. After significant investments in our working capital to support our growth and the addition of new commercial assets earlier in fiscal year 2023, our cash position remained strong at the end of Q2 2023 at $10.1 million, down $800,000 compared with the prior quarter."
Valeo Pharma's financial statements for the second quarter revealed 39% organic revenue growth, while its year-to-date revenues reached a record $26.7 million, a 197% increase compared to the previous year. The company said it remains committed to growing its product portfolio and achieving profitability as it progresses forward.
Despite the impressive revenue growth, Valeo Pharma reported a net loss of $6.5 million for the second quarter, reflecting increased financial and sales and marketing expenses. However, the company's adjusted gross profit reached a record $5.0 million, up 181% from the previous year.
Valeo Pharma also provided updates on recent developments, including the election of directors during its annual shareholder meeting and the addition of new options for executives. The company's webcast and conference call to discuss the second-quarter results will be held on June 14, 2023.
Contact the author at jon.hopkins@proactiveinvestors.com