NovoCure Ltd (NVCR) Reports Q3 2023 Financial Results
NovoCure Ltd (NASDAQ:NVCR) reported a 3% decrease in total net revenues for Q3 2023, amounting to $127.3 million.
The company's net loss for the quarter was $49.5 million with a loss per share of $0.46.
Research, development, and clinical studies expenses increased by 3% from the same period in 2022, reaching $53.6 million.
As of September 30, 2023, the company had cash, cash equivalents, and short-term investments totaling $921.2 million.
NovoCure Ltd (NASDAQ:NVCR) released its Q3 2023 earnings report on October 26, 2023. The global oncology company reported a decrease in net revenues and an increase in operating costs compared to the same period in 2022.
Financial Performance
NovoCure's total net revenues for the quarter were $127.3 million, a decrease of 3% compared to the same period in 2022. This decrease primarily resulted from $14.5 million in reduced collections from denied or appealed claims in the U.S. The company's gross margin for the quarter was 75%.
Operating Costs and Expenses
Research, development, and clinical studies expenses for the quarter were $53.6 million, an increase of 3% from the same period in 2022. This primarily reflects the increase in quality assurance, regulatory affairs, product development, and safety costs in anticipation of clinical trial launches and regulatory filings. Sales and marketing expenses for the quarter were $58.0 million, an increase of 40% compared to the same period in 2022. This primarily reflects increased costs associated with geographic expansion and pre-launch activities intended to increase awareness of TTFields therapy in anticipation of future approvals in new indications.
Net Loss and EBITDA
Net loss for the quarter was $49.5 million with a loss per share of $0.46. Adjusted EBITDA for the quarter was $(29.1) million.
Cash Position
Cash, cash equivalents, and short-term investments were $921.2 million as of September 30, 2023.
Operational Updates
As of September 30, 2023, there were 3,639 active patients on therapy. The company received 1,467 prescriptions in the quarter, an increase of 6% compared to the same period in 2022.
Future Outlook
NovoCure is preparing to treat significantly larger patient populations in the coming years and is making considerable progress towards its goal of treating patients with non-small cell lung cancer.
Explore the complete 8-K earnings release (here) from NovoCure Ltd for further details.
This article first appeared on GuruFocus.
