DUBLIN - Avadel Pharmaceuticals plc (NASDAQ:AVDL) reported preliminary fourth quarter revenue below analyst expectations, sending shares tumbling 20% in after-hours trading.
The biopharmaceutical company, focused on sleep disorder treatments, estimated Q4 net product revenue of approximately $50.0 million, falling short of the $52.7 million consensus estimate.
Despite missing expectations, Avadel's Q4 revenue represents a more than 150% increase compared to $19.5 million in the same quarter last year. The company noted that fourth quarter revenue was impacted by approximately $6.0 million due to an estimated 1.5 fewer weeks of inventory in the channel at December 31, 2024, compared to September 30, 2024.
For the full year 2024, Avadel generated net product revenue of approximately $169.0 million, up significantly from $28.0 million in 2023. The company ended the quarter with a positive cash flow, reporting approximately $73.0 million in cash, cash equivalents and marketable securities as of December 31, 2024.
Greg Divis, Chief Executive Officer of Avadel Pharmaceuticals, commented on the results: "2024 was a pivotal year for Avadel, marked by consistent patient adoption of LUMRYZ and overwhelmingly positive feedback from both patients and providers about the transformative benefits of once-nightly dosing."
Looking ahead, Avadel provided guidance for LUMRYZ net product revenue of $240 – $260 million in 2025, representing 50% YoY growth at the midpoint. The company also reported 2,500 patients on LUMRYZ as of December 31, 2024, including 600 patients that initiated therapy in the fourth quarter.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.