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ZEVRA THERAPEUTICS, INC. (ZVRA)·Q4 2024 Earnings Summary
Executive Summary
- Q4 2024 net revenue was $12.0M, driven by MIPLYFFA’s early U.S. launch ($10.1M), OLPRUVA ($0.1M), French EAP reimbursements ($1.1M), and AZSTARYS royalties ($0.7M). EPS was ($0.67), and operating expenses were $24.5M .
- Management highlighted a “transformational year,” strong MIPLYFFA demand (109 enrollment forms by Dec 31), and rapid conversion of U.S. EAP patients in one quarter versus typical 12 months .
- Guidance improved: cash runway extended into 2029 and “no Going Concern” disclosure; PRV sale agreement for $150M expected to yield ~$148.3M net proceeds at closing, taking pro forma cash/investments to ~$223.8M .
- Near-term catalysts: ongoing payer coverage work for MIPLYFFA, U.S. EAP closure by end of Q2 2025, EU MAA targeted for H2 2025, and continued DiSCOVER Phase 3 enrollment for celiprolol (27 patients) .
What Went Well and What Went Wrong
What Went Well
- Rapid MIPLYFFA launch momentum: 109 enrollment forms received through Dec 31; all active U.S. EAP patients enrolled by year-end. “The early days of the MIPLYFFA launch have exceeded our expectations” .
- Record quarterly product revenue with $10.1M MIPLYFFA net revenue in Q4 (product available for last 5 weeks), including initial dispenses and refills for early enrollees .
- Balance sheet strength and visibility: PRV sale agreement for $150M with expected ~$148.3M net proceeds; extended runway into 2029 and removal of Going Concern disclosure .
What Went Wrong
- Q4 EPS ($0.67) and net loss ($35.7M) widened YoY, reflecting higher SG&A from full commercial build and launch activities; SG&A rose to $16.1M vs $14.7M in Q4 2023 .
- OLPRUVA uptake slower than desired; only 4 new enrollments in Q4 despite 76% covered lives; strategy being refined toward adult segments to mitigate reimbursement hurdles .
- French EAP reimbursements decreased sequentially due to a true-up in program access fees, and inventory obsolescence reserves impacted cost of goods in prior quarters .
Financial Results
Sequential performance (Q2–Q4 2024)
Notes: Q2 and Q3 statements present cost of product revenue and intangible amortization separately; Q4 “COGS” includes intangible amortization .
Year-over-year (Q4 2023 vs Q4 2024)
Q4 2024 revenue components
Commercial KPIs
Guidance Changes
Earnings Call Themes & Trends
Management Commentary
- “2024 was a transformational year for Zevra…The early days of the MIPLYFFA launch have exceeded our expectations.” — Neil F. McFarlane, President & CEO .
- “This was a record level of quarterly product revenue for Zevra.” — R. LaDuane Clifton, CFO, on Q4 product revenue dynamics and French EAP normalization .
- “We expect to receive net proceeds of approximately $148.3 million…our pro forma balance of cash, cash equivalents and investments will be approximately $223.8 million…our current operating forecast…extends our cash runway into 2029.” — R. LaDuane Clifton .
Q&A Highlights
- EU Filing: EMA MAA planned for H2 2025; prior EMA feedback being addressed with long-term data and consultancy support; Europe seen as more mature given miglustat and broader diagnosed base .
- Launch Trajectory: After rapid EAP conversion, focus shifts to diagnosed-but-untreated and newly diagnosed patients; management views momentum carrying into Q1/Q2 2025 .
- Payer Dynamics: Most patients get reimbursement via formulary or medical exceptions; approvals improving; limited denials addressed via appeals and assistance programs .
- Discontinuation: Too early to model; historical EAP/OLE experience suggests high continuity on MIPLYFFA + miglustat over multiple years .
Estimates Context
- We attempted to retrieve S&P Global consensus for Q4 2024 revenue and EPS; data was unavailable due to request limits. As a result, consensus comparisons could not be made. We searched for: “Primary EPS Consensus Mean,” “Revenue Consensus Mean,” “# of Estimates” for Q4 2024 using GetEstimates; SPGI returned Daily Request Limit exceeded errors. If provided, we would anchor all comparisons on S&P Global consensus.
- Implication: Without published consensus in this recap, we cannot formally classify Q4 as an estimate beat/miss.
Key Takeaways for Investors
- MIPLYFFA’s launch showed strong early adoption with 109 enrollment forms and rapid EAP conversion, underpinning Q4 product revenue leadership ($10.1M) despite limited weeks of availability .
- Cash runway extended into 2029 and “no Going Concern” disclosure signals improved financial durability; PRV monetization (~$148.3M net) adds non-dilutive capital for commercial and pipeline execution .
- Near-term stock catalysts: payer policy formalization for MIPLYFFA, U.S. EAP closure (end of Q2 2025), EU MAA submission (H2 2025), and continued DiSCOVER enrollment progress .
- OLPRUVA remains a strategic lever with targeted adult-segment focus and 76% covered lives; execution improvements (specialty pharmacy, field reimbursement) aim to enhance pull-through .
- French EAP reimbursements expected to normalize at ~$2.1M per quarter, adding a recurring contribution alongside AZSTARYS royalties .
- With payer engagements highlighting MIPLYFFA’s disease-modifying data and preference for multi-therapeutic NPC approaches, coverage should improve, supporting continued revenue ramp through 2025 .
- Pipeline optionality (celiprolol VEDS Phase 3, KP1077 strategic alternatives) offers medium-term upside while commercial pillars drive near-term revenues .
Appendix: Additional Financial Detail (FY context)
- FY 2024 net revenue $23.6M; net loss ($105.5M), EPS ($2.28); cash, cash equivalents, and investments $75.5M at Dec 31, 2024; shares outstanding 53.67M .
- Q3 2024: net revenue $3.7M; net loss ($33.2M), EPS ($0.69); cash/cash equivalents/investments $95.5M .
- Q2 2024: net revenue $4.449M; net loss ($19.925M), EPS ($0.48) .
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