MediPharm Labs Reports Full Year & Fourth Quarter 2024 Results
Canada NewsWire
TORONTO, March 31, 2025
Annual Net Revenue Increase of 27% to $42M, Driven by Record $18M International Medical Cannabis Revenue and Approaching Positive Adjusted EBITDA(1) for Q4.
TORONTO, March 31, 2025 /CNW/ - MediPharm Labs Corp. (TSX: LABS) (OTCQB: MEDIF) (FSE: MLZ) ("MediPharm", "MediPharm Labs" or the "Company") a pharmaceutical company specialized in precision-based cannabinoids, today announced its financial results for the full year and three months ended December 31, 2024.
Success on Path to Profitability with $8M Adjusted EBITDA(1) Improvement in 2024 versus 2023.
MediPharm significantly improved profitability in 2024, addressing cost structure and gross profit while simultaneously reducing operating expenses and substantially growing revenues. The Company is in a strong cash position, is materially debt free, up to date on all cannabis excise duties and regulatory fees and currently has full unencumbered ownership of all production facilities.
Full Year 2024 Highlights
-- Net revenue increased by $9M or 27% to $42M versus prior year of $33M
-- Gross profit of $12.8M or 31% representing a significant improvement over
2023 of $5.8M or 18%
-- Adjusted EBITDA(1) loss of $1.9M which improved $8.3M or 81% versus 2023.
Adjusted EBITDA(1) continues to improve driven by margin expansion
initiatives and cost reductions
-- Key operations from the Hope facility were transitioned to the Barrie
facility resulting in over $1M in annualized savings. Subsequent to Q4
2024, MediPharm announced the sale of its Hope facility for $4.5M, which
is anticipated to close within the second quarter, subject to customary
closing conditions and receipt of all necessary approvals, as
applicable.(2)
-- Repaid $2M of convertible debt leaving the Company materially debt free.
Q4 2024 Highlights
-- Revenue of $12M increased $2.9M or 32% versus Q4 2023
-- Gross profit of $3.6M or 30% representing a significant improvement over
Q4 2023 of $2.2M or 24%
-- Adjusted EBITDA(1) loss of $0.1M improved $1.5M or 94% versus Q4 2023
-- International revenue represented 54% of revenue versus 27% in Q4 2023
-- Strong balance sheet, relative to many peer companies, with $11.7M
million of cash and materially debt-free
Three months ended
31-Dec-24 30-Sep-24 30-Jun-24 31-Mar-24 31-Dec-23
$'000s $'000s $'000s $'000s $'000s
Revenue 12,042 9,798 10,350 9,771 9,131
Gross Profit 3,616 3,120 3,418 2,651 2,196
Opex (1) (5,109) (5,442) (5,382) (5,648) (5,020)
Adjusted EBITDA (2) (96) (743) (124) (949) (1,579)
(1) Opex includes general administrative expense, marketing
and selling expenses and R&D expenses.
(2) Adjusted EBITDA is a non-IFRS measure. See "Non-IFRS
Measures".
International Medical Cannabis Revenue growth of 83% in 2024 vs. Prior Year
-- International Medical Cannabis 2024 revenue of $17.7M increased 83% from
$9.7M in 2023 driven by further market penetration, new product launches
in Germany and Australia, and new global and domestic partnerships.
-- International revenue accounted for 54% of Q4 revenue and increased from
$2.4M in Q4 2023 to $6.5M in Q4 2024.
-- Achieved Pharmaceutical GMP certification with Brazilian Health
Regulatory Agency (ANVISA) and is one of just a few North American
companies to receive multiple sanitary authorizations for cannabis
products while holding an ANVISA GMP license.
-- MediPharm continues to focus on innovative and complex pharmaceutical
cannabinoid solutions with global applications, including Dronabinol and
the previously announced global licensing agreement with Remidose
Aerosols Inc. for advanced metered dose inhalers.
Committed to Advancing Patient Outcomes & Consumer Wellness with Premium Products, Clinical Research & CBD Natural Health Product Consultation.
-- MediPharm continues to participate in Health Canada consultations on
Natural Health Products Containing CBD ("NHPCC") and is uniquely
positioned for success in that future channel(2), with a strong
foundation for potential NHPCC products, given our leadership in CBD
products, GMP facility, and DEL licence.
-- MediPharm remains committed to patients in Canada and abroad, including
engagement in Clinical Research to support pharmaceutical cannabinoid
innovation and clinical advancements. Academic and commercial research
partners have selected MediPharm's pharma-grade products for their
clinical research, with various clinical trials advanced to Phase 1 and
Phase 2 in 2024. Please see the table below for updates on active
research engagements.
Researcher Indication Phase Recent Milestone
USC (University of Treatment of Phase 2 FDA approval of
Southern California) Alzheimer's Investigational New
Keck School of Agitation Disorder Drug
Medicine $(IND.AU)$Clinical trial
material ("CTM")
delivered, and
enrollment
commenced in Q3
2023Second CTM
delivery
occurred in Q4 2023.
McMaster University Treatment of Phase 2 CTM delivered and
post-surgical enrollment commenced
pain in
Q1 2023Patient dosing
commenced in
Q2 2023 with last
patient
dosing expected early
Q1
2025. (2)Additional
CTM delivered in
Q1 2024. Enrollment
completed in Q4 2024.
University Health Improving Pain Pilot CTM Delivered and
Network -- Toronto Disability with enrollment clinic in
The Use Of Oral Q1 2023.Additional
Cannabinoids CTM delivered in
Q1 2024.
McMaster University Insomnia in depressive Phase 2 CTM Shipment in Q1
disorder 2023Patient dosing
commenced
in Q2 2023 with 2/3
of
patients
enrolled.Additional
CTM delivered in
Q1 2024. Enrollment
completed in Q4 2024.
Centre for Medical PK of single dose Phase 1 Patient dosing
Cannabis Research THC/CBD in completed
healthy adult controls and data analysis by
and PI
kidney disease underway.
University of Manitoba Chronic Headaches in Phase 2 Health Canada
Adolescents approval Dec
2022. CTM shipment in
Q1
2023.Additional CTM
delivered in
Q1 2024.
University of Manitoba Tolerability Study of Phase 2 Health Canada
Cannabinoids for approvalobtained (No
symptommanagement in ObjectionLetter).Mate
pediatriconcology rial shipped in
Q32024.
University Health Restless Legs Syndrome Phase 2 PI has submitted
Network -- Toronto application
to HC and awaiting
approval.
University of Manitoba Drug Resistant Phase 2 Regulatory package in
Epilepsy
preparation with
submission
Q4 24. (2)
BC Cancer Agency Symptom Management in Phase 2 CTM shipments in Q1,
Cancer Patients Q2,
Q3, and Q4 2024.
Management Commentary
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