CytoSorbents anticipates strong fourth quarter growth and improved margins, while preparing for FDA decisions on DrugSorb-ATR.
Quiver AI Summary
CytoSorbents Corporation announced its preliminary financial results for the fourth quarter and full year of 2024, reporting an estimated 22% to 25% year-over-year growth in product revenue, reaching between $9.0 million and $9.2 million for the quarter. The company's full-year revenue is projected to be around $35.4 million to $35.6 million, marking a 14% increase from the previous year. The gross margin for the fourth quarter is estimated at approximately 70%, showing improvement from previous quarters. CytoSorbents is also advancing its investigational medical device, DrugSorb-ATR, for reducing perioperative bleeding in patients undergoing surgery while on blood thinners, with regulatory reviews ongoing in the U.S. and Canada. Management is set to hold in-person investor meetings during the J.P. Morgan Healthcare Conference from January 13-16, 2025.
Potential Positives
- Estimated fourth quarter product revenue growth of 22% to 25% year-over-year, showcasing strong market demand and business performance.
- Improvement in fourth quarter gross margin to approximately 70%, indicating successful resolution of prior production issues and operational efficiencies.
- FDA and Health Canada are currently reviewing the marketing application for DrugSorb™-ATR, positioning the company for potential new revenue streams in 2025.
- Management's upcoming in-person investor meetings during the J.P. Morgan Healthcare Conference may enhance investor relations and visibility in the market.
Potential Negatives
- Preliminary results are unaudited, raising concerns about the reliability of the financial figures presented.
- The company is still awaiting regulatory approvals for DrugSorb-ATR, representing a significant risk if those approvals are delayed or denied.
- Despite reported revenue growth, the gross margin decreased compared to the previous year's fourth quarter, indicating potential challenges in cost management or pricing strategy.
FAQ
What is the estimated product revenue growth for CytoSorbents in Q4 2024?
The estimated product revenue growth for Q4 2024 is between 22% to 25% year-over-year.
What is the expected gross margin for CytoSorbents in Q4 2024?
The expected gross margin for Q4 2024 is approximately 70%, showing improvement from previous quarters.
When will CytoSorbents report full year 2024 audited results?
CytoSorbents will report full audited results for the year ended December 31, 2024, on March 6, 2025.
What is DrugSorb-ATR and its significance for CytoSorbents?
DrugSorb-ATR is an investigational device to reduce perioperative bleeding in CABG surgery, pending FDA and Health Canada approvals.
When are the investor meetings scheduled for CytoSorbents?
Investor meetings are scheduled during the J.P. Morgan Healthcare Conference week from January 13-16, 2025, in San Francisco.
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.
$CTSO Insider Trading Activity
$CTSO insiders have traded $CTSO stock on the open market 3 times in the past 6 months. Of those trades, 3 have been purchases and 0 have been sales.
Here’s a breakdown of recent trading of $CTSO stock by insiders over the last 6 months:
- PETER J MARIANI (Chief Financial Officer) has traded it 3 times. They made 3 purchases, buying 51,363 shares and 0 sales.
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$CTSO Hedge Fund Activity
We have seen 16 institutional investors add shares of $CTSO stock to their portfolio, and 19 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- GRANAHAN INVESTMENT MANAGEMENT, LLC removed 568,929 shares (-21.4%) from their portfolio in Q3 2024
- NEUBERGER BERMAN GROUP LLC added 244,846 shares (+15.9%) to their portfolio in Q3 2024
- SARGENT INVESTMENT GROUP, LLC added 192,747 shares (+13.4%) to their portfolio in Q3 2024
- SKYLANDS CAPITAL, LLC removed 85,351 shares (-3.0%) from their portfolio in Q3 2024
- AMH EQUITY LTD added 82,800 shares (+inf%) to their portfolio in Q3 2024
- SUSQUEHANNA INTERNATIONAL GROUP, LLP removed 78,755 shares (-87.7%) from their portfolio in Q3 2024
- CM MANAGEMENT, LLC removed 50,000 shares (-5.9%) from their portfolio in Q3 2024
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
Fourth quarter product revenue growth estimated at 22% to 25% year-over-year
Fourth quarter gross margin estimated to improve to approximately 70%
Management will host in-person investor meetings in San Francisco during J.P. Morgan Healthcare Conference week
PRINCETON, N.J., Jan. 03, 2025 (GLOBE NEWSWIRE) --
CytoSorbents Corporation
(NASDAQ: CTSO), a leader in the treatment of life-threatening conditions in the intensive care unit and cardiac surgery using blood purification, today announced preliminary, selected, unaudited fourth quarter and full-year 2024 financial results and business updates.
Preliminary, Selected Fourth Quarter and Full-Year 2024 Financial Results and Business Updates
Fourth quarter product revenue (excluding grant income) is estimated to be in the range of $9.0 million to $9.2 million, representing 22% to 25% growth versus $7.35 million in the fourth quarter of 2023
Full-year product revenue (excluding grant income) is estimated to be in the range of $35.4 million to $35.6 million, representing approximately 14% growth versus $31.1 million for the full-year 2023
Fourth quarter product gross margin is estimated to be approximately 70%, compared to 61% in the prior quarter and 72% in the fourth quarter of 2023. This sequential improvement reflects the successful resolution of both a planned production slowdown to rebalance inventory and a short-term manufacturing issue which reduced product gross margins in the third quarter of 2024
On December 23, 2024, the Company commenced a rights offering with a subscription period that ends on January 10, 2025
U.S. Food and Drug Administration (FDA) and Health Canada substantive and interactive reviews are underway for the marketing application for DrugSorb™-ATR, the Company’s investigational medical device to reduce the severity of perioperative bleeding in patients on Brilinta
®
(ticagrelor, AstraZeneca) undergoing coronary artery bypass graft (CABG) surgery. The Company continues to expect regulatory decisions for DrugSorb-ATR in the U.S. and Canada in 2025.
“We are pleased with our topline performance in the quarter. Our strong year-over-year growth represents solid execution in our core international business, and underscores the importance of CytoSorb
®
, our flagship product, in addressing a diverse range of critical care and cardiac surgery indications,”
commented
Dr. Phillip Chan, Chief Executive Officer of CytoSorbents.
“This strong top-line close to 2024, as well as our return to more normalized product gross margins, positions us well to drive improved efficiencies in our core business as we prepare to enter the North American market with DrugSorb-ATR to reduce the severity of perioperative bleeding in CABG surgery due to Brilinta
®
, pending FDA and Health Canada approvals.”
The results disclosed in this press release are preliminary and unaudited. The Company expects to report full, audited results for the fourth quarter and year ended December 31, 2024, on March 6, 2025.
Management will host in-person investor meetings in San Francisco alongside the 43rd Annual J.P. Morgan Healthcare Conference being held January 13-16, 2025, in San Francisco, CA.
ICR Healthcare
is coordinating meetings on the Company’s behalf. To schedule a meeting with Dr. Phillip Chan, Chief Executive Officer, and Peter J. Mariani, Chief Financial Officer, please send requests to ICR Healthcare at ir@cytosorbents.com.
About CytoSorbents Corporation (
NASDAQ: CTSO
)
CytoSorbents Corporation
is a leader in the treatment of life-threatening conditions in the intensive care unit and cardiac surgery through blood purification. CytoSorbents’ proprietary blood purification technologies are based on biocompatible, highly porous polymer beads that can actively remove toxic substances from blood and other bodily fluids by pore capture and surface adsorption. Cartridges filled with these beads can be used with standard blood pumps already in the hospital (e.g. dialysis, ECMO, heart-lung machines). CytoSorbents’ technologies are used in a number of broad applications. Specifically, two important applications are 1) the removal of blood thinners during and after cardiothoracic surgery to reduce the risk of severe bleeding and 2) the removal of inflammatory agents in common critical illnesses such as sepsis, burn injury, trauma, lung injury, liver failure, cytokine release syndrome, and pancreatitis that can lead to massive inflammation, organ failure and patient death. In these diseases, the risk of death can be extremely high, and there are few, if any, effective treatments.
CytoSorbents’ lead product,
CytoSorb
®
, is approved in the European Union and distributed in 76 countries worldwide, with more than a quarter million devices used cumulatively to date. CytoSorb was originally launched in the European Union under CE mark as the
first cytokine adsorber
. Additional CE mark extensions were granted for
bilirubin and myoglobin removal
in clinical conditions such as liver disease and trauma, respectively, and for
ticagrelor
and
rivaroxaban
removal in cardiothoracic surgery procedures. CytoSorb has also received
FDA Emergency Use Authorization
in the United States for use in adult critically ill COVID-19 patients with impending or confirmed respiratory failure, to reduce pro-inflammatory cytokine levels. CytoSorb is not yet approved in the United States.
In the U.S. and Canada, CytoSorbents is developing the
DrugSorb™-ATR
antithrombotic removal system, an investigational device based on an equivalent polymer technology to CytoSorb, to reduce the severity of perioperative bleeding in high-risk surgery due to blood thinning drugs. It has received
two FDA Breakthrough Device Designations
: one for the
removal of ticagrelor
and another for the
removal of the direct oral anticoagulants (DOAC) apixaban and rivaroxaban
in a cardiopulmonary bypass circuit during urgent cardiothoracic procedures. In September 2024, the Company
submitted a De Novo medical device application to the U.S. FDA
requesting marketing approval to reduce the severity of perioperative bleeding in CABG patients on the antithrombotic drug ticagrelor, which was
accepted for substantive review in October 2024
. In November 2024, the Company received its
Medical Device Single Audit Program (MDSAP) certification and submitted its Medical Device License (MDL) application to Health Canada
. DrugSorb-ATR is not yet granted or approved in the United States and Canada, respectively.
The Company has numerous marketed products and products under development based upon this unique blood purification technology protected by many issued U.S. and international patents and registered trademarks, and multiple patent applications pending, including ECOS-300CY
®
, CytoSorb-XL™, HemoDefend-RBC™, HemoDefend-BGA™, VetResQ
®
, K+ontrol™, DrugSorb™, ContrastSorb, and others. For more information, please visit the Company’s website at
https://ir.cytosorbents.com/
or follow us on
Facebook
and
X
.
Forward-Looking Statements
This press release includes forward-looking statements intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements about our plans, objectives, future targets and outlooks for our business, representations and contentions, and the outcome of our regulatory submissions, and are not historical facts and typically are identified by use of terms such as “may,” “should,” “could,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “continue” and similar words, although some forward-looking statements are expressed differently. You should be aware that the forward-looking statements in this press release represent management’s current judgment and expectations, but our actual results, events and performance could differ materially from those in the forward-looking statements. Factors which could cause or contribute to such differences include, but are not limited to, the risks discussed in our Annual Report on Form 10-K, filed with the SEC on March 14, 2024, as updated by the risks reported in our Quarterly Reports on Form 10-Q, and in the press releases and other communications to shareholders issued by us from time to time which attempt to advise interested parties of the risks and factors which may affect our business. We caution you not to place undue reliance upon any such forward-looking statements. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, other than as required under the Federal securities laws.
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U.S. Company Contact:
Peter J. Mariani
Chief Financial Officer
pmariani@cytosorbents.com
Investor Relations Contact:
Aman Patel, CFA
Investor Relations, ICR Healthcare
(443) 450-4191
ir@cytosorbents.com
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