Omeros(OMER) - 2023 Q4 - Annual Results

Financial Performance - Net loss for Q4 2023 was $9.1 million, or $0.15 per share, compared to a net loss of $37.8 million, or $0.60 per share in Q3 2023[4] - For the year ended December 31, 2023, net loss was $117.8 million, or $1.88 per share, compared to net income of $47.4 million, or $0.76 per share in the prior year[10] - The company expects a net loss of $34.0 to $37.0 million for Q1 2024, translating to a loss per share of $0.58 to $0.63[19] Cash Flow and Assets - Cash provided for operations for the year ended December 31, 2023 was $74.7 million, which includes a $200.0 million milestone payment received in February 2023[11] - At December 31, 2023, Omeros had $171.8 million in cash and short-term investments available for operations and debt servicing[4] - Cash and short-term investments available for operations and debt service were $171.8 million as of December 31, 2023, with cash used in operations of $34.8 million in Q4 2023[18] - Total assets decreased to $378.3 million as of December 31, 2023, from $590.9 million in the previous year[31] Revenue and Royalties - OMIDRIA royalties earned in Q4 2023 were $10.7 million on U.S. net sales of $35.7 million, compared to $10.0 million on U.S. net sales of $33.3 million in Q3 2023[12] - For the year ended December 31, 2023, OMIDRIA royalties earned were $40.6 million on U.S. net sales of $135.3 million, down from $65.4 million on U.S. net sales of $130.9 million in 2022[13] - Omeros received $115.5 million in cash from DRI for an expanded royalty interest in OMIDRIA, with potential future milestone payments of up to $55 million based on U.S. net sales[14] Operating Expenses - Total operating expenses for Q4 2023 were $39.8 million, a decrease of 8.8% from $48.2 million in Q3 2023, primarily due to timing of employee compensation costs[15] - Research and development expenses for Q4 2023 were $28.9 million, up from $26.6 million in Q4 2022, while total costs and expenses were $39.8 million[30] - Interest expense decreased to $7.1 million in Q4 2023 from $7.9 million in Q3 2023, attributed to the retirement of $95 million in convertible notes[16] Shareholder Equity - Shareholders' equity showed a deficit of $24.98 million as of December 31, 2023, compared to a positive equity of $85.68 million in 2022[31] Clinical Development - Omeros plans to initiate Phase 3 development programs for OMS906 in PNH and C3G in late 2024 and early 2025, respectively[6] - Omeros is engaged with the FDA regarding the planned resubmission of the Biologics License Application for narsoplimab in TA-TMA, with ongoing discussions about the analysis plan[4] - OMS906 clinical trials have shown statistically significant improvements in hemoglobin levels and reticulocyte counts in patients with PNH, with further data expected to be presented at a major hematology conference in mid-2024[7] - The company is advancing multiple clinical programs, including a biologics license application for narsoplimab pending with the FDA[24] Discontinued Operations - Net income from discontinued operations was $30.2 million, or $0.48 per share, in Q4 2023, compared to $13.9 million, or $0.22 per share, in Q3 2023[17]