United Therapeutics Stock Down Despite Q4 Earnings & Sales Beat

Core Viewpoint - United Therapeutics reported strong fourth-quarter 2024 earnings and revenue growth, driven by increased product sales, although Tyvaso sales fell short of expectations [1][2][4]. Financial Performance - Fourth-quarter 2024 earnings were $6.19 per share, exceeding the Zacks Consensus Estimate of $6.10, representing a 42% year-over-year increase [1]. - Revenues for the quarter reached $735.9 million, surpassing the Zacks Consensus Estimate of $725.3 million, and reflecting a 20% year-over-year growth [2]. - Full-year 2024 earnings were $24.64 per share, beating the Zacks Consensus Estimate of $24.48, with a 124.3% year-over-year increase [9]. - Total revenues for 2024 were $2.89 billion, exceeding the Zacks Consensus Estimate of $2.87 billion, and showing a 24% year-over-year growth [9]. Product Sales Breakdown - Tyvaso sales totaled $415.9 million, a 19% increase year-over-year, although it missed the Zacks Consensus Estimate of $425 million [4]. - Tyvaso dry powder inhalation (DPI) sales were $273.2 million, up 28% year-over-year, while nebulized Tyvaso sales were $142.7 million, up 4% [3]. - Remodulin sales rose 17% year-over-year to $134.5 million, and Orenitram sales increased 28% year-over-year to $107.8 million [5]. - Unituxin sales grew 25% year-over-year to $67.5 million, while Adcirca sales decreased by 31% to $4.7 million [5]. Research and Development - Research and development expenses were $133.8 million, down 12% year-over-year due to prior year costs [8]. - Selling, general, and administrative expenses increased by 27% to $168.5 million, attributed to higher personnel and legal costs [8]. Pipeline and Future Prospects - Key phase III programs include Tyvaso for chronic fibrosing interstitial lung disease and oral ralinepag for PAH [10]. - Top-line data from the TETON-2 study is expected in the second half of 2025, with potential for Tyvaso sales to exceed current levels if approved for idiopathic pulmonary fibrosis [11]. - The FDA has cleared a new drug application for a clinical study on xenotransplantation with investigational UKidney [12].