Coherus BioSciences Reports Fourth Quarter, Full Year 2024 Financial Results and Provides Business Update

Core Insights - Coherus BioSciences reported a 4% increase in annual net revenue to $267.0 million for 2024, despite significant divestitures [1][12] - The company is focused on maximizing revenue potential for LOQTORZI and advancing its oncology pipeline, including casdozokitug and CHS-114 [3][8] - The divestiture of UDENYCA is on track, with expected cash of approximately $250 million post-transaction, providing a cash runway exceeding two years [1][24] Financial Performance - UDENYCA net revenue increased by 62% year-over-year, reaching $206.0 million for FY 2024 [1][14] - LOQTORZI net revenue for Q4 2024 was $7.5 million, a 29% increase from Q3 2024, with total FY 2024 sales of $19.1 million [1][7] - Total net product revenue for FY 2024 was $259.7 million, a slight increase from $256.6 million in FY 2023 [10][12] Divestiture and Strategic Focus - The UDENYCA divestiture is expected to close late in Q1 or early in Q2 2025, with a special meeting of shareholders scheduled for March 11, 2025 [1][4] - Following the divestiture, the company plans to reduce its headcount by approximately 30% [1][24] - The company aims to leverage its innovative oncology pipeline, with multiple clinical data readouts anticipated in 2025 and 2026 [1][3] Cost Management - Cost of goods sold (COGS) decreased significantly, from $159.0 million in 2023 to $117.6 million in 2024, primarily due to divestitures [15][16] - Research and development (R&D) expenses decreased to $93.3 million in 2024 from $109.4 million in 2023, attributed to reduced headcount and lower costs from divestitures [17] - Selling, general and administrative (SG&A) expenses also declined to $167.7 million in 2024 from $192.0 million in 2023, driven by lower operating costs [18] Cash Position and Outlook - As of December 31, 2024, cash, cash equivalents, and investments totaled $126.0 million, up from $117.7 million in 2023 [23] - The company projects a cash position of approximately $250 million post-UDENYCA divestiture, with a cash runway exceeding two years [1][24] - Coherus is focused on advancing its pipeline and exploring external partnerships for additional label expansions in 2025 [13][24]