Apellis reports $709 million in 2024 revenue, plans for growth

Published 01/13/2025, 09:13 AM
APLS
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WALTHAM, Mass. - Apellis Pharmaceuticals, Inc. (NASDAQ:APLS), a biopharmaceutical company, reported preliminary full-year 2024 U.S. net product revenues of approximately $709 million, maintaining its impressive revenue growth trajectory of 162% over the last twelve months. The company's lead products, SYFOVRE® and EMPAVELI®, contributed significantly to this performance with $611 million and $98 million in net revenues respectively. The fourth quarter of 2024 saw SYFOVRE® generate $167 million and EMPAVELI® $23 million in net product revenues. According to InvestingPro data, analysts anticipate continued sales growth in the current year.

The company is also preparing for the submission of a supplemental new drug application (sNDA) for EMPAVELI® for the treatment of rare kidney diseases C3G and primary IC-MPGN, with a U.S. launch anticipated in the second half of 2025 if approved. Additionally, Apellis plans to initiate Phase 3 studies for pegcetacoplan in two other nephrology indications in the latter half of 2025.

Apellis announced organizational changes, including the departure of Chief Operating Officer Adam Townsend in February, who will be succeeded by David Acheson as Executive Vice President of Commercial. The strong financial position of the company, with year-end cash of approximately $410 million, is expected to fund operations to profitability.

The company's focus remains on the treatment of geographic atrophy with SYFOVRE®, which has seen over 510,000 injections administered. Apellis is also prioritizing commercial efforts in the U.S. and plans to reduce its ex-U.S. footprint by approximately 40 employees. A Phase 1b/2 multi-dose study of APL-3007 (siRNA) + SYFOVRE® is expected to commence in the second quarter of 2025. InvestingPro analysis indicates the company is currently trading below its Fair Value, with a strong current ratio of 4.36x suggesting robust short-term financial health. For deeper insights into Apellis's financial health and growth prospects, investors can access the comprehensive Pro Research Report, available exclusively on InvestingPro, covering over 1,400 US equities.

These updates were discussed by Dr. Cedric Francois, CEO of Apellis, at the 43rd Annual J.P. Morgan Healthcare Conference on Monday, January 13, 2025. This information is based on a press release statement from the company.

In other recent news, Apellis Pharmaceuticals has experienced several significant developments. The FDA's acceptance of a revised supplemental application from competitor Astellas Pharma for its eye drug has led to a reassessment of the market outlook for Apellis' own eye drug, Syfovre, according to Jefferies and RBC Capital Markets. Despite this, Jefferies analyst Akash Tewari maintains a buy rating, noting potential near-term incremental upside for Syfovre.

Morgan Stanley (NYSE:MS) initiated coverage on Apellis with an Equalweight rating, predicting over $600 million in revenue approximately two years post-launch of Syfovre. However, the firm also anticipates a deceleration in the growth pace in the Geographic Atrophy market. Meanwhile, Piper Sandler maintained its Neutral rating on Apellis shares, following a setback for competitor Astellas Pharma, which could potentially give Apellis' Syfovre a competitive edge.

Additionally, Goldman Sachs revised its rating for Apellis from Buy to Neutral and adjusted the price target to $36.00, following insights indicating a smaller patient pool for the treatment of geographic atrophy with Apellis' Syfovre. Lastly, Apellis reported positive Phase III results for EMPAVELI in treating C3 glomerulopathy and immunoglobulin M-associated membranoproliferative glomerulonephritis, with a supplemental New Drug Application (sNDA) submission expected in early 2025. These are the recent developments for Apellis Pharmaceuticals.

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