Collegium Pharmaceutical forecasts 2025 product revenues of $735-$750 million, with adjusted EBITDA of $435-$450 million.
Quiver AI Summary
Collegium Pharmaceutical, Inc. has provided its financial guidance for 2025, projecting product revenues between $735 million and $750 million, with net revenue from Jornay PM expected to exceed $135 million. Adjusted EBITDA is anticipated to be between $435 million and $450 million, while adjusted operating expenses are forecasted to range from $220 million to $230 million. CEO Vikram Karnani highlighted the company's focus on maximizing its pain portfolio and expanding the commercial reach of Jornay PM, a treatment for ADHD, following the successful integration of Ironshore Therapeutics Inc. and an increase in Jornay PM prescriptions. The company plans to make targeted investments in Jornay PM throughout 2025 to boost growth and drive long-term shareholder value.
Potential Positives
- Product revenues, net are expected to be in the range of $735 million to $750 million, indicating strong financial performance and growth potential.
- Jornay PM net revenue is projected to exceed $135 million, highlighting its role as a significant growth driver for the company.
- Adjusted EBITDA is expected to range from $435 million to $450 million, suggesting robust profitability and operational efficiency.
- The acquisition of Ironshore has been successfully integrated and is expected to contribute to the company's future growth, indicating effective strategic execution.
Potential Negatives
- Significant reliance on Jornay PM as the lead growth driver raises concerns about over-dependence on a single product for future revenue.
- Adjusted EBITDA guidance lacks reconciliation to GAAP measures, which may create uncertainty for investors regarding the company's financial health.
- Forward-looking statements include numerous risks and uncertainties that could materially affect actual financial results, raising questions about the feasibility of the projected growth.
FAQ
What is Collegium Pharmaceutical's 2025 financial guidance?
Collegium expects product revenues between $735 million to $750 million and adjusted EBITDA of $435 million to $450 million for 2025.
How much revenue is Jornay PM expected to generate?
Jornay PM's net revenue is anticipated to exceed $135 million in 2025.
What does Collegium's adjusted operating expenses estimate for 2025?
Adjusted operating expenses for 2025 are expected to range between $220 million and $230 million.
Who is the CEO of Collegium Pharmaceutical?
Vikram Karnani is the President and CEO of Collegium Pharmaceutical since November 2024.
What strategic focus will Collegium have moving forward?
Collegium aims to expand its commercial portfolio with Jornay PM as the lead growth driver, enhancing performance across its product line.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$COLL Insider Trading Activity
$COLL insiders have traded $COLL stock on the open market 4 times in the past 6 months. Of those trades, 0 have been purchases and 4 have been sales.
Here’s a breakdown of recent trading of $COLL stock by insiders over the last 6 months:
- THOMAS B SMITH (EVP and Chief Medical Officer) sold 9,593 shares.
- SHIRLEY R. KUHLMANN (EVP and General Counsel) has traded it 3 times. They made 0 purchases and 3 sales, selling 20,225 shares.
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$COLL Hedge Fund Activity
We have seen 134 institutional investors add shares of $COLL stock to their portfolio, and 100 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- RUBRIC CAPITAL MANAGEMENT LP removed 1,083,500 shares (-46.4%) from their portfolio in Q3 2024
- PACER ADVISORS, INC. removed 818,721 shares (-24.0%) from their portfolio in Q3 2024
- JEFFERIES FINANCIAL GROUP INC. removed 302,000 shares (-85.8%) from their portfolio in Q3 2024
- BLACKROCK, INC. removed 273,576 shares (-4.7%) from their portfolio in Q3 2024
- GOLDMAN SACHS GROUP INC added 229,715 shares (+66.5%) to their portfolio in Q3 2024
- INVESCO LTD. removed 220,185 shares (-12.9%) from their portfolio in Q3 2024
- VICTORY CAPITAL MANAGEMENT INC added 215,874 shares (+43.6%) to their portfolio in Q3 2024
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
– Product Revenues, Net Expected in the Range of $735 Million to $750 Million –
– Jornay PM
®
Net Revenue Expected to be in Excess of $135 Million –
– Adjusted EBITDA* Expected in the Range of $435 Million to $450 Million –
– Adjusted Operating Expenses* Expected in the Range of $220 Million to $230 Million –
STOUGHTON, Mass., Jan. 08, 2025 (GLOBE NEWSWIRE) -- Collegium Pharmaceutical, Inc. (Nasdaq: COLL) today announced its 2025 full-year financial guidance and provided a business update.
“In 2024, we executed on our priorities of maximizing the pain portfolio and strategically deploying capital, delivering record financial results and closing the acquisition of Ironshore,” said Vikram Karnani, President and Chief Executive Officer of Collegium. “Looking ahead to 2025 and beyond, Collegium will embark upon a new phase of growth. Jornay PM, as a highly differentiated product to treat ADHD, is positioned to be our lead growth driver, and our focus will be on commercial expansion. We are committed to maximizing and delivering strong performance across our entire portfolio as we build a leading, diversified biopharmaceutical company serving people living with serious medical conditions.”
“Our 2025 financial guidance reflects expected significant top- and bottom-line growth driven by the addition of Jornay PM and continued performance from our pain portfolio. We expect Jornay PM net revenue in 2025 to be in excess of $135 million,” said Colleen Tupper, Chief Financial Officer of Collegium. “We plan to make targeted investments in Jornay PM throughout 2025, which we expect will accelerate growth in the near-term, while creating significant momentum in 2026 and beyond. In addition, we will continue to strategically deploy capital in a disciplined manner to create long-term value for our shareholders.”
Recent Business Highlights
Completed integration of Ironshore Therapeutics Inc. (Ironshore), and accelerated growth in Jornay PM average weekly prescriptions during the 2024 back-to-school season.
In November 2024, Vikram Karnani joined Collegium as President and Chief Executive Officer and was appointed to the Board of Directors.
In 2024, repurchased $60 million in shares under the $150 million share repurchase program authorized by Collegium’s Board of Directors in January 2024, including $25 million repurchased in the fourth quarter of 2024 and $35 million repurchased through an accelerated share repurchase program in May 2024.
Financial Guidance for 2025
Product revenues, net are expected in the range of $735 million to $750 million.
Adjusted EBITDA (excluding stock-based compensation) is expected in the range of $435 million to $450 million.
Adjusted operating expenses (excluding stock-based compensation) are expected in the range of $220 million to $230 million.
*
Non-GAAP financial measure. Please refer to the “Non-GAAP Financial Measures” section for details regarding these measures.
About Collegium Pharmaceutical, Inc.
Collegium is building a leading, diversified biopharmaceutical company committed to improving the lives of people living with serious medical conditions. The Company has a leading portfolio of responsible pain management medications and recently acquired Jornay PM, a treatment for ADHD, establishing a presence in neuropsychiatry. Collegium’s strategy includes growing its commercial portfolio, with Jornay PM as the lead growth driver, and deploying capital in a disciplined manner. Collegium’s headquarters are located in Stoughton, Massachusetts. For more information, please visit the Company’s website at
www.collegiumpharma.com
.
Non-GAAP Financial Measures
We have included information about certain non-GAAP financial measures in this press release. We use these non-GAAP financial measures to understand, manage and evaluate our business as we believe they provide additional information on the performance of our business. We believe that the presentation of these non-GAAP financial measures, taken in conjunction with our results under GAAP, provide analysts, investors, lenders and other third parties insight into our view and assessment of our ongoing operating performance. In addition, we believe that the presentation of these non-GAAP financial measures, when viewed with our results under GAAP and the accompanying reconciliations, where applicable, provide supplementary information that may be useful to analysts, investors, lenders, and other third parties in assessing our performance and results from period to period. We report these non-GAAP financial measures to portray the results of our operations prior to considering certain income statement elements. These non-GAAP financial measures should be considered in addition to, and not as a substitute for, or superior to, net income or other financial measures calculated in accordance with GAAP.
In this press release we discuss the following financial measures that are not calculated in accordance with GAAP.
Adjusted EBITDA
Adjusted EBITDA is a non-GAAP financial measure that represents GAAP net income (loss) adjusted to exclude interest expense, interest income, the benefit from or provision for income taxes, depreciation, amortization, stock-based compensation, and other adjustments to reflect changes that occur in our business but do not represent ongoing operations. Adjusted EBITDA, as used by us, may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies.
There are several limitations related to the use of adjusted EBITDA rather than net income (loss), which is the nearest GAAP equivalent, such as:
adjusted EBITDA excludes depreciation and amortization, and, although these are non-cash expenses, the assets being depreciated or amortized may have to be replaced in the future, the cash requirements for which are not reflected in adjusted EBITDA;
we exclude stock-based compensation expense from adjusted EBITDA although (a) it has been, and will continue to be for the foreseeable future, a significant recurring expense for our business and an important part of our compensation strategy and (b) if we did not pay out a portion of our compensation in the form of stock-based compensation, the cash salary expense included in operating expenses would be higher, which would affect our cash position;
adjusted EBITDA does not reflect changes in, or cash requirements for, working capital needs;
adjusted EBITDA does not reflect the benefit from or provision for income taxes or the cash requirements to pay taxes;
adjusted EBITDA does not reflect historical cash expenditures or future requirements for capital expenditures or contractual commitments;
we exclude impairment expenses from adjusted EBITDA and, although these are non-cash expenses, the asset being impaired may have to be replaced in the future, the cash requirements for which are not reflected in adjusted EBITDA;
we exclude restructuring expenses from adjusted EBITDA. Restructuring expenses primarily include employee severance and contract termination costs that are not related to acquisitions. The amount and/or frequency of these restructuring expenses are not part of our underlying business;
we exclude litigation settlements from adjusted EBITDA, as well as any applicable income items or credit adjustments due to subsequent changes in estimates. This does not include our legal fees to defend claims, which are expensed as incurred;
we exclude acquisition related expenses as the amount and/or frequency of these expenses are not part of our underlying business. Acquisition related expenses include transaction costs, which primarily consist of financial advisory, banking, legal, and regulatory fees, and other consulting fees, incurred to complete an acquisition, employee related expenses (severance cost and benefits) for terminated employees after the acquisition, and miscellaneous other acquisition related expenses incurred;
we exclude recognition of the step-up basis in inventory from acquisitions (i.e., the adjustment to record inventory from historic cost to fair value at acquisition) as the adjustment does not reflect the ongoing expense associated with sale of our products as part of our underlying business
we exclude losses on extinguishments of debt as these expenses are episodic in nature and do not directly correlate to the cost of operating our business on an ongoing basis; and
we exclude other expenses, from time to time, that are episodic in nature and do not directly correlate to the cost of operating our business on an ongoing basis.
Adjusted Operating Expenses
Adjusted operating expenses is a non-GAAP financial measure that represents GAAP operating expenses adjusted to exclude stock-based compensation expense, and other adjustments to reflect changes that occur in our business but do not represent ongoing operations.
We have not provided a reconciliation of our full-year 2025 guidance for adjusted EBITDA or adjusted operating expenses to the most directly comparable forward-looking GAAP measures, in reliance on the unreasonable efforts exception provided under
Item
10(e)(1)(i)(B)
of
Regulation S-K, because we are unable to predict, without unreasonable efforts, the timing and amount of items that would be included in such a reconciliation, including, but not limited to, stock-based compensation expense, acquisition related expense and litigation settlements. These items are uncertain and depend on various factors that are outside of the Company’s control or cannot be reasonably predicted. While we are unable to address the probable significance of these items, they could have a material impact on GAAP net income and operating expenses for the guidance period. A reconciliation of adjusted EBITDA or adjusted operating expenses would imply a degree of precision and certainty as to these future items that does not exist and could be confusing to investors.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. We may, in some cases, use terms such as "predicts," "forecasts," "believes," "potential," "proposed," "continue," "estimates," "anticipates," "expects," "plans," "intends," "may," "could," "might," "should" or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. Examples of forward-looking statements contained in this press release include, among others, statements related to our full-year 2025 financial guidance, including projected product revenue, adjusted operating expenses and adjusted EBITDA, current and future market opportunities for our products and our assumptions related thereto, expectations (financial or otherwise) and intentions, and other statements that are not historical facts. Such statements are subject to numerous important factors, risks and uncertainties that may cause actual events or results, performance, or achievements to differ materially from the Company's current expectations, including risks relating to, among others: unknown liabilities; risks related to future opportunities and plans for our products, including uncertainty of the expected financial performance of such products; our ability to commercialize and grow sales of our products; our ability to successfully integrate the operations of Ironshore into our organization, and realize the anticipated benefits associated with the acquisition; our ability to manage our relationships with licensors; the success of competing products that are or become available; our ability to maintain regulatory approval of our products, and any related restrictions, limitations, and/or warnings in the label of our products; the size of the markets for our products, and our ability to service those markets; our ability to obtain reimbursement and third-party payor contracts for our products; the rate and degree of market acceptance of our products; the costs of commercialization activities, including marketing, sales and distribution; changing market conditions for our products; the outcome of any patent infringement or other litigation that may be brought by or against us; the outcome of any governmental investigation related to our business; our ability to secure adequate supplies of active pharmaceutical ingredient for each of our products and manufacture adequate supplies of commercially saleable inventory; our ability to obtain funding for our operations and business development; regulatory developments in the U.S.; our expectations regarding our ability to obtain and maintain sufficient intellectual property protection for our products; our ability to comply with stringent U.S. and foreign government regulation in the manufacture of pharmaceutical products, including U.S. Drug Enforcement Agency, or DEA, compliance; our customer concentration; and the accuracy of our estimates regarding expenses, revenue, capital requirements and need for additional financing. These and other risks are described under the heading "Risk Factors" in our Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q and other filings with the SEC. Any forward-looking statements that we make in this press release speak only as of the date of this press release. We assume no obligation to update our forward-looking statements whether as a result of new information, future events or otherwise, after the date of this press release.
Investor Contact:
Argot Partners
ir@collegiumpharma.com
Media Contact:
Cheryl Wheeler
Head of Corporate Communications
communications@collegiumpharma.com
This article was originally published on Quiver News, read the full story.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
