Neurocrine(NBIX)2025-05-05 20:03Sales Performance - INGREZZA net product sales reached $545.2 million in Q1 2025, up from $506.0 million in Q1 2024, reflecting strong patient demand and improved gross-to-net dynamics [97]. - CRENESSITY, launched in December 2024, generated $14.5 million in net product sales for Q1 2025 [93]. - Total net product sales for Q1 2025 were $563.7 million, compared to $509.0 million in Q1 2024, marking an increase of approximately 10.5% [97]. - Collaboration revenues increased to $8.9 million in Q1 2025 from $6.3 million in Q1 2024, primarily due to higher royalties from AbbVie and MTPC [98]. Expenses - Total research and development expenses for Q1 2025 were $263.2 million, up from $159.4 million in Q1 2024, driven by increased investment in late-stage programs [102]. - Selling, general, and administrative expenses rose to $276.5 million in Q1 2025 from $243.1 million in Q1 2024, reflecting investments in the commercial organization [110]. - Net income for Q1 2025 was $7.9 million, a decrease from $43.4 million in Q1 2024, attributed to higher development milestone expenses and increased operational costs [113]. Share Repurchase Program - The company authorized a new share repurchase program of up to $500.0 million in February 2025, in addition to a completed $300.0 million repurchase program [95]. - The 2025 Repurchase Program allows for the repurchase of up to $500.0 million of common stock, in addition to the completed $300.0 million program from 2024 [123]. - Cash flows from financing activities included $150.0 million in common stock repurchases under the 2025 Repurchase Program, with $350.0 million remaining available for future repurchases [123]. Cash Flow and Working Capital - Total cash, cash equivalents, and marketable securities decreased from $1,815.6 million on December 31, 2024, to $1,758.8 million on March 31, 2025, a decline of approximately 3.1% [115]. - Cash flows from operating activities fell significantly from $130.3 million in Q1 2024 to $64.8 million in Q1 2025, representing a decrease of about 50.2% [116]. - Cash flows from investing activities showed a positive change of $14.2 million in Q1 2025, compared to a negative $55.0 million in Q1 2024 [116]. - Total working capital decreased from $1,217.0 million on December 31, 2024, to $1,115.0 million on March 31, 2025, a reduction of approximately 8.4% [115]. Clinical Development - The company initiated a Phase 3 clinical study for osavampator in major depressive disorder, incurring a $37.5 million milestone expense in Q1 2025 [100]. Future Commitments - The company has potential future payments of up to $14.8 billion related to existing collaboration and license agreements upon achieving certain milestones [121]. Investment Portfolio - The company maintains a diversified investment portfolio with low-risk, investment-grade debt securities, and a 1% unfavorable change in interest rates would not materially affect the fair value of this portfolio [125]. Operational Focus - The company is focused on expanding its commercial organization, including the psychiatry and long-term care sales team, which was completed in September 2024 [117]. - The company experienced an increase in accounts receivable due to timing impacts of customer orders and cash collections [117]. Regulatory Status - INGREZZA qualifies for the small biotech exception under the Medicare Drug Price Negotiation Program, providing exemption from selection until 2027 [95].