Henry Scott Robert, a director at Nexgel Inc. (NASDAQ:NXGL), has reported a recent acquisition of company common stock. According to the latest SEC filing, Robert purchased 1,818 shares at a price of $2.75 per share, totaling approximately $4,999. This transaction took place on November 20, 2024, and brings his total direct ownership to 147,553 shares.
Additionally, Robert received 909 warrants to purchase common stock, exercisable at $4.25 per share. These warrants were part of a registered direct offering by Nexgel. Under the terms of this offering, Robert has agreed not to sell or otherwise dispose of these new shares or the underlying shares for a period of 180 days following the transaction date.
In other recent news, NEXGEL, a specialty hydrogel producer, announced a record revenue of $2.94 million in Q3 2024, marking a 141% increase year-over-year. This significant growth was driven by the acquisition of the Silly George brand and a robust performance in contract manufacturing. Despite the revenue growth, NEXGEL reported a net loss of $754,000, an increase from the $552,000 loss in the same quarter of the previous year.
In addition, the company launched Histasolv in collaboration with STADA and entered a distribution agreement with Cintas (NASDAQ:CTAS) for SilverSeal. A human trial for a hydrogel application in laser hair removal is ongoing, with results expected in Q4 2024.
Furthermore, NEXGEL anticipates exceeding $3 million in revenue in Q4 2024, and it expects potential revenue from a laser hair removal study in the first half of 2025. Despite these positive developments, the company's selling, general, and administrative expenses rose by approximately 118% to $2.07 million, largely due to increased advertising and marketing costs. These are the recent developments for NEXGEL.
InvestingPro Insights
The recent insider purchase by Henry Scott Robert aligns with several positive trends for Nexgel Inc. (NASDAQ:NXGL). According to InvestingPro data, the company has demonstrated impressive revenue growth, with a 90.57% increase over the last twelve months as of Q3 2024. This growth trajectory is further supported by an InvestingPro Tip indicating that analysts anticipate continued sales growth in the current year.
Nexgel's stock performance has been notably strong, with a 77.72% price total return over the past year. The company is currently trading near its 52-week high, with its price at 93.52% of the highest point. This upward momentum is reflected in another InvestingPro Tip, which highlights the strong return over the last three months.
While these metrics paint a picture of a growing company with positive market sentiment, it's important to note that Nexgel is not yet profitable. An InvestingPro Tip suggests that analysts do not anticipate the company will be profitable this year. This context adds significance to Robert's insider purchase, potentially signaling confidence in the company's long-term prospects despite current profitability challenges.
For investors seeking a more comprehensive analysis, InvestingPro offers additional insights with 10 tips available for Nexgel Inc. These tips can provide a deeper understanding of the company's financial health and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.