Valeo Pharma Inc. (TSX:VPH, OTCQB:VPHIF) has reported its seventh consecutive rise in revenues to a quarterly record due to strong growth in its Enerzair and Atectura asthma therapies.
The Canadian pharmaceutical company posted a 132% increase in revenue to $14.1 million for the third quarter of its financial year, with Enerzair and Acetura up 234%. Adjusted gross profit more than doubled to $5.1 million from a year earlier.
The company noted that Enerzair and Atectura prescribing physicians reached 2,503 at the end of July, showing 23% growth for the quarter and 221% increase year-over-year. Prescriptions for the two therapies rose 163% from a year earlier to a total of 18,384, taking the total subscriptions for the previous 12 months to 56,021.
"Our record third-quarter revenue and year-to-date results demonstrate our ability to generate sequential quarterly growth,” Valeo CEO Steve Saviuk commented in a statement.
“Our key innovative products are well positioned in their respective market segments and we expect their organic growth trend to continue for many quarters to come. Enerzair and Atectura are leading the way for us confirming their strong position as important therapies in the large Canadian asthma market.”
The company recorded an adjusted underlying (EBITDA) loss of $2.5 million for the quarter, a 28% reduction from the $3.5 million reported for 3Q 2022. Its net loss amounted to $5.8 million compared to $5.4 million a year earlier.
"Our quarterly and year-to-date results when compared to previous year periods show that we are on the right track,” Valeo’s senior vice president and chief financial officer Luc Mainville added.
“Our Revenues, margins and EBITDA results for Q3-23 have been impacted by an increase in revenue provisions related to Group Purchasing Organization and Product Listing Agreement coverage on our basket of products while our operating expense included high level of sample costs compared to prior quarters. With projected revenues and margins growth and continued strict control over OPEX, we remain focus on achieving EBITDA profitability and are taking commercial and operational initiatives to achieve this objective.”
Following the end of the quarter, Mainville noted that Valeo had also strengthened its working capital with a $4.5 million private placement and debt financing, which he said better positioned the company for its “ambition growth objectives.”
Valeo Pharma is dedicated to the commercialization of innovative prescription products in Canada with a focus on Respiratory/Allergy, Ophthalmology and Hospital Specialty Products.
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