Anika Therapeutics(US:ANIK)2025-05-09 18:30Revenue Performance - Revenue for the three-month period ended March 31, 2025 was $26.2 million, a decrease of $2.9 million, or 10%, compared to the same period in 2024[90]. - Revenue from the OEM Channel decreased by 23% for the three-month period ended March 31, 2025, primarily due to lower pricing and sales to J&J MedTech[92]. - Revenue from the Commercial Channel increased by 18% for the three-month period ended March 31, 2025, driven by higher international sales of OA Pain Management products[93]. Profitability - Gross profit for the three-month period ended March 31, 2025 decreased by $4.3 million to $14.7 million, representing a gross margin of 56%, down from 65% in the prior year[94]. - Adjusted EBITDA for the three-month period ended March 31, 2025, decreased by $2.6 million to $127,000 compared to $2.7 million in the same period in 2024, primarily due to a decrease in OEM Channel revenues and lower gross profit[104]. - Adjusted net loss for the three-month period ended March 31, 2025, was $(895,000), a decrease of $2.8 million compared to adjusted net income of $1.9 million in the same period in 2024[106]. - Adjusted diluted loss per share for the three-month period ended March 31, 2025, was $(0.06), a decrease of $0.19 compared to adjusted diluted earnings per share of $0.13 in the same period in 2024[107]. - Loss from continuing operations for the three-month period ended March 31, 2025 was $4.0 million, compared to a loss of $2.0 million for the same period in 2024[97]. Expenses - Research and development expenses for the three-month period ended March 31, 2025 were $6.1 million, a decrease of $0.3 million compared to the same period in 2024[95]. - Selling, general and administrative expenses for the three-month period ended March 31, 2025 were $12.9 million, a decrease of $2.2 million compared to the same period in 2024[96]. Cash Flow and Liquidity - Cash and cash equivalents totaled $53.4 million as of March 31, 2025, down from $55.6 million at December 31, 2024[108]. - Cash used in operating activities was $(130,000) for the three-month period ended March 31, 2025, compared to $(126,000) in the same period in 2024[110]. - Cash provided by investing activities was $1.7 million for the three-month period ended March 31, 2025, compared to cash used of $(1.8 million) in the same period in 2024, primarily due to proceeds from the sale of Parcus Medical[112]. - Cash used in financing activities increased to $(5.4 million) for the three-month period ended March 31, 2025, compared to $(2.3 million) in the same period in 2024, mainly due to a $4.0 million share repurchase program[113]. - Working capital decreased to $84.6 million as of March 31, 2025, from $90.3 million at December 31, 2024[108]. - The company has no outstanding borrowings under its $75.0 million revolving line of credit as of March 31, 2025[109]. - The company anticipates an increase in cash requirements to fund operating activities and capital expenditures as operations expand[108]. Strategic Initiatives - The company announced a strategic shift to focus on OA Pain Management and Regenerative Solutions, involving the sale of Arthrosurface in October 2024 and Parcus Medical in March 2025[86]. - Cingal, a novel OA Pain Management product, is designed to provide pain relief for at least six months and is currently sold in over 35 countries[87]. - The Integrity Implant System, launched in 2024, is part of the company's growth strategy in the regenerative solutions market[89].