Biofrontera(BFRI) - 2025 Q3 - Quarterly Results

Revenue Performance - Revenues for the first nine months of 2025 were stable at $24.6 million, compared to $24.8 million for the same period in 2024[5] - In Q3 2025, revenues were $7.0 million, a 22% decline from $9.0 million in Q3 2024, primarily due to advanced purchases ahead of a price increase[11] - Total revenues for Q3 2025 were $6,988 million, a decrease of 22.5% compared to $9,012 million in Q3 2024[29] Operating Expenses - Operating expenses decreased by 5% year-over-year in Q3 2025, totaling $13.3 million compared to $14.0 million in Q3 2024[12] - Operating expenses for Q3 2025 totaled $13,266 million, slightly down from $13,972 million in Q3 2024[29] - Total operating expenses for the nine months ended September 30, 2025, were $40,512 million, slightly up from $40,260 million in 2024[29] Net Loss - The net loss for Q3 2025 was $6.6 million, compared to a net loss of $5.7 million in the prior-year quarter[14] - Net loss for Q3 2025 was $6,649 million, compared to a net loss of $5,669 million in Q3 2024, representing an increase in loss of 17.3%[31] - Loss from operations for the nine months ended September 30, 2025, was $(15,907) million, compared to $(15,498) million for the same period in 2024[29] Adjusted EBITDA - Adjusted EBITDA for Q3 2025 was negative $6.0 million, compared to negative $4.6 million for Q3 2024[15] - Adjusted EBITDA for Q3 2025 was $(5,987) million, with an adjusted EBITDA margin of -85.7%, compared to $(4,575) million and -50.8% in Q3 2024[31] Financing and Assets - The company closed the purchase of all Ameluz and RhodoLED US assets from Biofrontera AG, with a new earnout structure reducing payment rates to 12%-15% of U.S. net sales[5] - The company received the final $2.5 million of an $11 million financing led by existing investors in October 2025[10] - The divestiture of the Xepi antibiotic cream to Pelthos Pharmaceuticals was announced for $3 million at closing, with potential milestone payments of up to $6 million[5] Cash and Liabilities - The cash balance as of September 30, 2025, was $3.4 million, down from $5.9 million at the end of 2024[26] - Total liabilities as of September 30, 2025, were $17.996 million, compared to $17.668 million at the end of 2024[26] Research and Development - Research and development expenses increased to $854 million in Q3 2025 from $669 million in Q3 2024, reflecting a growth of 27.7%[29] Earnings Per Share - Basic and diluted loss per common share for Q3 2025 was $(0.62), compared to $(0.98) in Q3 2024[29] Interest Expense and Fair Value Changes - Interest expense, net for Q3 2025 was $(111) million, compared to $8 million in Q3 2024[31] - The company reported a change in fair value of warrants resulting in a loss of $(285) million in Q3 2025, compared to a loss of $(680) million in Q3 2024[31]