Sign in

You're signed outSign in or to get full access.

CP

CUMBERLAND PHARMACEUTICALS INC (CPIX)·Q3 2025 Earnings Summary

Executive Summary

  • Q3 revenue was $8.29M, down 23.5% q/q ($10.84M in Q2) and down 8.7% y/y ($9.09M in Q3’24); diluted EPS was $(0.13) vs $(0.05) in Q2 and $(0.11) in Q3’24 .
  • No formal guidance; management emphasized seasonality with Q4 typically strongest and that performance is best evaluated annually .
  • Strategic catalysts: Talicia co-commercialization (Cumberland records sales; 50/50 net revenue share; $4M investment; Talicia 2024 sales $8M), Vibativ added to Premier GPO, Vizient starter pack availability, and Mexico approval for injectable ibuprofen; Saudi launch of Vibativ .
  • Cash flow from operations YTD improved to $4.93M; total assets $66.0M and cash $15.2M; total debt reduced by ~$10M since 12/31/24, supporting liquidity into Q4 .

What Went Well and What Went Wrong

What Went Well

  • International expansion and access: Vibativ launch in Saudi Arabia; Vizient 4‑vial starter pack; Premier GPO addition; Mexico approval for ibuprofen injection broadened geographic and hospital channel reach .
  • Pipeline and non-GAAP earnings: Ifetroban Phase II DMD showed significant 5.4% improvement in cardiac function vs natural history controls; YTD adjusted EPS $0.13 with positive YTD CFO of $4.93M .
  • Portfolio addition: “We are very pleased to add an established, FDA approved brand to our commercial portfolio,” on Talicia, with Cumberland recording sales and sharing net revenue equally .

What Went Wrong

  • Shipment delays and generics: Management cited Q3 softness from delayed Kristalose and Caldolor shipments and increased Kristalose generic substitution, pressuring revenue and EPS .
  • Revenue and earnings compression: Q3 revenue fell to $8.29M (from $10.84M in Q2 and $9.09M in Q3’24) and diluted EPS declined to $(0.13) (vs $(0.05) in Q2 and $(0.11) in Q3’24) .
  • Operating loss widened: Operating loss was $(1.97)M vs $(0.75)M in Q2 and $(1.69)M y/y; net loss $(1.94)M vs $(0.74)M in Q2 and $(1.54)M y/y .

Financial Results

Consolidated Performance vs Prior Year and Prior Quarter

MetricQ3 2024Q2 2025Q3 2025
Revenue ($)$9,085,826 $10,837,363 $8,292,362
Diluted EPS ($)$(0.11) $(0.05) $(0.13)
Operating Income (Loss) ($)$(1,694,432) $(747,478) $(1,965,260)
Net Income (Loss) attributable to common ($)$(1,544,081) $(740,740) $(1,940,764)
Gross Profit Margin %85.4% (calc from Rev/COGS) 81.5% (calc from Rev/COGS) 88.1% (calc from Rev/COGS)
Net Income Margin %(17.0%) (calc from Rev/NI) (6.8%) (calc from Rev/NI) (23.4%) (calc from Rev/NI)
Adjusted EPS (non‑GAAP) ($)$(0.02) $0.02 $(0.06)

Notes: Gross margin calculated as (Revenue − COGS)/Revenue using cited figures; Net margin as Net income/Revenue using cited figures.

Product Revenue Mix

Product Revenue ($)Q2 2025Q3 2025
Kristalose®$2,800,000 $1,200,000
Sancuso®$3,100,000 $3,200,000
Vibativ®$2,700,000 $2,600,000
Caldolor®$1,600,000 $900,000
Total$10,800,000 $8,300,000

KPIs and Balance Sheet

KPIQ2 2025Q3 2025
Cash from Operations (YTD) ($)$4,742,318 $4,929,498
Cash & Equivalents ($)$16,087,281 $15,196,745
Total Assets ($)$67,907,149 $65,898,560
Total Liabilities ($)$40,228,222 $40,097,856
Revolving Line of Credit (LT) ($)$5,240,733 $5,240,733
Shareholders’ Equity ($)$27,989,795 $26,119,854

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
RevenueFY 2025Not providedNot provided; management reiterated Q4 seasonality (“often our strongest”) and annual evaluation focus Maintained (no formal guidance)
EPSFY 2025Not providedNot providedMaintained
Margins/OpEx/Tax RateFY 2025Not providedNot provided; company notes use of NOLs for minimal income taxes Maintained
Product/SegmentFY 2025Not providedTalicia addition to portfolio; Cumberland to record sales and share net revenues equally New strategic addition

Earnings Call Themes & Trends

TopicPrevious Mentions (Q1 & Q2)Current Period (Q3 2025)Trend
International expansionChina approval for Vibativ; preparing launch; Saudi Tabuk partnership initiated Vibativ launch in Saudi Arabia; preparing for China commercialization Improving
Hospital channel accessVizient starter pack availability announced Vizient starter pack reiterated; Premier national GPO addition Improving
Talicia co‑commercializationNot discussed in Q1/Q2Added established FDA‑approved Talicia to portfolio; Cumberland records sales; 50/50 net revenue share; $4M investment New positive catalyst
Sancuso promotionOncology sales force expansion; sampling and hub services launched Favorable sales; new website and digital campaigns Improving
Kristalose dynamicsMedicaid coverage focus; marketing updates; specialty distribution plans Increased generic substitution pressure; shipment delays impacted Q3 sales Mixed/Negative
Caldolor pediatric indicationFDA pediatric labeling highlighted; children’s hospital adoption Shipment delays impacted Q3; continued pediatric positioning Mixed
Vaprisol manufacturingNew partner producing; awaiting FDA site inspection Awaiting FDA GMP certification; plan to file for branded manufacture post‑clearance Stable/Pending
Ifetroban R&D (DMD, SSc, IPF)Positive Phase II DMD top‑line; SSc enrollment complete; IPF enrollment underway DMD 5.4% LVEF improvement vs controls; end‑of‑Phase II meeting held; SSc database lock prep; IPF interim analyses planned Progressing

Management Commentary

  • “We are very pleased to add an established, FDA approved brand to our commercial portfolio.” — A.J. Kazimi (CEO) on Talicia addition .
  • “The fourth quarter is often our strongest… we continue to believe our financial performance is best evaluated on an annual basis.” — A.J. Kazimi (CEO) .
  • “We’re pleased to expand the availability of Vibativ through Premier’s extensive network.” — A.J. Kazimi (CEO) .
  • CFO noted total debt reduction by ~$10M since year‑end 2024 and highlighted positive cash flow from operations YTD .

Q&A Highlights

  • No analyst Q&A conducted on the call; the company invited shareholders to schedule private discussions post‑call .
  • No guidance clarifications beyond reiteration of Q4 seasonality and annual evaluation emphasis .

Estimates Context

  • S&P Global consensus estimates were not available for Q3 2025 EPS and revenue for CPIX; the S&P tool returned actual revenue only (no consensus) and no EPS estimates, so a beat/miss assessment vs Street is not possible at this time [Values retrieved from S&P Global]*.
MetricQ3 2025 ActualQ3 2025 Consensus# of Estimates
Revenue ($)$8,292,362 N/A*N/A*
Primary EPS ($)$(0.13) N/A*N/A*

*Values retrieved from S&P Global.

Key Takeaways for Investors

  • Q3 softness appears transitory, driven by shipment timing and Kristalose generic substitution; management expects a stronger seasonal Q4 and emphasizes annual performance evaluation .
  • Strategic optionality improves: Talicia addition (Cumberland records sales; equal net revenue share) should add GI revenue streams; monitor early execution and incremental OpEx commitments ($4M investment, marketing support) .
  • Hospital channel access for Vibativ expanded via Vizient and Premier, potentially supporting HABP/VABP and cSSSI demand; watch U.S. and Saudi traction and China commercialization developments .
  • Liquidity and balance sheet stable with $15.2M cash and positive YTD CFO ($4.93M); debt reduced by ~$10M since YE’24 improves flexibility into Q4 .
  • Non‑GAAP trend: YTD adjusted EPS $0.13, but Q3 adjusted EPS $(0.06); a Q4 seasonal uplift and Talicia onboarding are key to sustaining full‑year non‑GAAP profitability .
  • With Street estimates unavailable, near‑term stock reaction should hinge on operational catalysts (Talicia, GPO access, international approvals) and Q4 delivery vs management’s seasonality commentary .
  • Risk watch: Kristalose generic substitution, Vaprisol GMP certification timing, and shipment execution remain operational headwinds to monitor .