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Revance Therapeutics, Inc. (RVNC)·Q3 2024 Earnings Summary

Executive Summary

  • Q3 2024 net revenue was $59.9M, up 11% year over year but down sequentially from Q2; segment mix was $30.5M RHA®, $28.3M DAXXIFY®, and $1.1M collaboration revenue .
  • EPS (continuing ops) was -$0.37; operating loss from continuing operations improved year over year to -$32.3M, with lower SG&A versus 2023 but higher transaction costs tied to the pending Crown merger .
  • Management withdrew all 2024 financial guidance and did not hold an earnings call, citing the proposed Crown transaction and related developments—raising near-term uncertainty and limiting visibility .
  • Strategic updates: extended tender offer timing with Crown; amended Teoxane distribution agreements (including exclusive ANZ rights); and Mainland China approval of DAXXIFY for glabellar lines via Fosun—key medium-term catalysts .

What Went Well and What Went Wrong

What Went Well

  • Product demand and portfolio breadth supported double-digit YoY revenue growth to $59.9M; DAXXIFY revenue grew to $28.3M and RHA® contributed $30.5M despite pricing pressure .
  • China NMPA approval for DAXXIFY (glabellar lines) and expanded Teoxane agreements (sixth amendment in U.S.; exclusive ANZ distribution) broaden global and regional commercialization optionality .
  • CEO tone heading into Q2 emphasized strong DAXXIFY momentum and RHA® outperformance versus a soft filler market, underpinning multi-quarter demand resilience: “DAXXIFY units sold were up 66% YoY and 15% QoQ… RHA Collection continued to outpace the competition…” (Mark J. Foley) .

What Went Wrong

  • Sequential revenue declined vs. Q2 (Q3 $59.9M vs. Q2 $65.4M), with management highlighting lower average selling prices across DAXXIFY and RHA®, despite higher volumes .
  • Guidance withdrawal removes visibility; transaction-related costs ($7.3M in Q3) and merger timing uncertainty complicate near-term modeling and sentiment .
  • No Q3 earnings call or transcript; limited qualitative color on account growth, unit dynamics, and therapeutic traction in the quarter vs. prior calls/releases .

Financial Results

Consolidated P&L and EPS

MetricQ1 2024Q2 2024Q3 2024
Total Net Revenue ($USD Millions)$51.94 $65.39 $59.88
Collaboration Revenue ($USD Millions)$0.22 $0.06 $1.05
Loss from Continuing Operations ($USD Millions)-$46.83 -$34.52 -$32.26
Net Loss from Continuing Operations ($USD Millions)-$49.53 -$37.47 -$38.12
Diluted EPS – Continuing Ops ($USD)-$0.54 -$0.36 -$0.37
Cost of Product Revenue ($USD Millions)$14.91 $17.64 $17.63
SG&A ($USD Millions)$68.91 $65.82 $62.58
R&D ($USD Millions)$14.39 $15.90 $11.38

Segment Product Revenue

SegmentQ1 2024Q2 2024Q3 2024
RHA® Collection ($USD Millions)$29.57 $36.63 $30.50
DAXXIFY® ($USD Millions)$22.15 $28.70 $28.32
Total Product Revenue ($USD Millions)$51.72 $65.33 $58.83

KPIs and Liquidity

KPI / BalanceQ1 2024Q2 2024Q3 2024
DAXXIFY Ordering Accounts (#)>3,500 >3,700 N/A – not disclosed
Cash, Cash Equivalents, Short-term Investments ($USD Millions)$277.1 $232.2 $184.1
Deferred Revenue – Current ($USD Millions)$9.78 $9.61 $6.33
Debt – Current ($USD Millions)$5.00 $7.50 $10.15
Debt – Non-current ($USD Millions)$424.84 $423.09 $421.04

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Total Net Product Revenue (DAXXIFY + RHA)FY 2024At least $280M (Q1 reaffirmed, Q2 reaffirmed) Withdrawn (Q3) Withdrawn
GAAP Operating Expenses (Continuing Ops)FY 2024$460M–$490M (Q1) $430M–$460M (Q2) Lowered in Q2; then Withdrawn (Q3)
Non-GAAP Operating Expenses (Continuing Ops)FY 2024$290M–$310M (Q1) $290M–$310M (Q2) Maintained in Q2; then Withdrawn (Q3)
Non-GAAP SG&A (Continuing Ops)FY 2024$240M–$255M (Q1) $240M–$255M (Q2) Maintained in Q2; then Withdrawn (Q3)
Adjusted EBITDA InflectionFY 2025Positive Adj. EBITDA targeted (Q1/Q2 commentary) Withdrawn with overall guidance (Q3) Withdrawn

Earnings Call Themes & Trends

Note: Company did not hold a Q3 earnings call; current period reflects press release disclosures .

TopicPrevious Mentions (Q1 & Q2)Current Period (Q3 2024)Trend
Product Performance (Aesthetics)DAXXIFY units +105% YoY (Q1), +65% YoY and +15% QoQ (Q2); RHA® outperformed despite soft filler market Revenue grew YoY; ASP reductions impacted mix; DAXXIFY $28.3M, RHA® $30.5M Mixed: demand strong, pricing pressure
Therapeutics (Cervical Dystonia)Launch in May; 78% commercial coverage; positive early feedback No specific CD metrics disclosed in Q3; continued portfolio references Early-stage; limited near-term revenue
Regulatory/GlobalJ-Code (Q1); China commercialization partner (Fosun) DAXXIFY China approval (glabellar lines) Improving (global catalyst)
Partnerships/DistributionTeoxane RHA® supply; Viatris biosimilar Sixth amendment with Teoxane; new ANZ DAXXIFY distribution Expanding
Merger/Corporate ActionsNoneCrown merger tender offer extended; $7.3M transaction costs; withdrew guidance; no call Heightened uncertainty
Manufacturing/SupplyAjinomoto site approval supports capitalization of manufacturing costs (context cited in Q2) No new manufacturing updates; continued inventory growth Stable

Management Commentary

  • “In our aesthetics business, we were very pleased to see DAXXIFY’s strategy resonating… DAXXIFY units sold were up 66% year-on-year and 15% in comparison to Q1’24. In addition, the RHA Collection continued to outpace the competition…” — Mark J. Foley, President & CEO (Q2 press release) .
  • “We are very pleased to see the DAXXIFY strategy change continue to drive the desired momentum and market share gains… DAXXIFY’s share increased from 3.0% in Q4’23 to 3.7% in Q1’24.” — Mark J. Foley (Q1 press release) .
  • Q3 press release emphasized strategic developments (Crown transaction timing; Teoxane amendments; China approval) and withdrew guidance citing corporate developments; no prepared remarks or quotes beyond release bullets .

Q&A Highlights

  • The company did not hold a Q3 2024 earnings call; therefore, there is no Q&A transcript or call commentary to analyze .

Estimates Context

  • S&P Global consensus estimates for Q3 2024 were unavailable due to a Capital IQ mapping issue for RVNC; as a result, estimate comparison vs. consensus could not be provided. Values would ordinarily be retrieved from S&P Global; consensus data was not accessible for RVNC at this time.*

Key Takeaways for Investors

  • Sequential revenue softness vs. Q2 driven by lower average selling prices despite volume growth; monitor pricing strategy and bundling dynamics in aesthetics to gauge margin recovery .
  • Guidance withdrawal and lack of a Q3 call materially reduce near-term visibility; model defensively until Crown tender offer clarity improves and transaction costs subside .
  • Strategic catalysts: China approval (glabellar lines) and expanded Teoxane distribution (U.S amendments, exclusive ANZ rights) broaden geographic/portfolio potential, supportive for mid-term growth .
  • Liquidity trending lower as operating losses persist; cash/short-term investments fell to $184.1M at quarter-end; watch working capital and debt maturities (current debt $10.15M; non-current ~$421M) .
  • Therapeutics (cervical dystonia) remains early-stage; prior quarters indicated coverage momentum and positive feedback, but Q3 disclosure was limited—track utilization, reimbursement traction, and physician adoption over the next 2–3 quarters .
  • With S&P Global consensus unavailable and corporate actions ongoing, estimate revisions may hinge on integration outcomes, pricing strategy stabilization, and regional rollout pace; recalibrate scenarios post-tender offer milestones.*
  • Near-term trading implications: event-driven setup around Crown tender timing and any Teoxane distribution developments; medium-term thesis rests on durable DAXXIFY differentiation, RHA® franchise resilience, and expanded global distribution .

Footnote: *S&P Global consensus estimates for RVNC were not retrievable due to a Capital IQ mapping issue. Values would ordinarily be retrieved from S&P Global.