United Therapeutics Corporation Reports Fourth Quarter and Full Year 2022 Financial Results
“We’re building momentum for our commercial business with continued double-digit revenue growth for our treprostinil products,” said
“We are tremendously proud of reaching our goal of doubling the number of patients on Tyvaso therapy since the Tyvaso PH-ILD approval in early 2021,” said
Fourth Quarter and Full Year 2022 Financial Results
Key financial highlights include (in millions, except per share data):
| Three Months Ended
|
| Year Ended
| ||||||||||||
| 2022 |
| 2021 |
| 2022 |
| 2021 | ||||||||
|
|
|
|
|
|
|
| ||||||||
Total revenues | $ | 491.5 |
| $ | 415.2 |
| $ | 1,936.3 |
| $ | 1,685.5 | ||||
Net income | $ | 132.1 |
|
| $ | 112.2 |
|
| $ | 727.3 |
|
| $ | 475.8 |
|
Net income, per basic share | $ | 2.88 |
|
| $ | 2.49 |
|
| $ | 15.98 |
|
| $ | 10.60 |
|
Net income, per diluted share | $ | 2.67 |
|
| $ | 2.35 |
|
| $ | 15.00 |
|
| $ | 10.06 |
|
Revenues
The table below summarizes the components of total revenues (dollars in millions):
| Three Months Ended
|
| Dollar
|
| Percentage
|
| Year Ended
|
| Dollar
|
| Percentage
| ||||||||||||||||||
| 2022 |
| 2021 |
|
|
| 2022 |
| 2021 |
|
| ||||||||||||||||||
Net product sales: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Tyvaso®(1) | $ | 242.3 |
| $ | 166.5 |
| $ | 75.8 |
|
| 46 | % |
| $ | 873.0 |
| $ | 607.5 |
| $ | 265.5 |
|
| 44 | % | ||||
Remodulin®(2) |
| 122.5 |
|
|
| 118.3 |
|
|
| 4.2 |
|
| 4 | % |
|
| 500.2 |
|
|
| 513.7 |
|
|
| (13.5 | ) |
| (3 | )% |
Orenitram® |
| 75.8 |
|
|
| 72.3 |
|
|
| 3.5 |
|
| 5 | % |
|
| 325.1 |
|
|
| 306.1 |
|
|
| 19.0 |
|
| 6 | % |
Unituxin® |
| 36.7 |
|
|
| 50.0 |
|
|
| (13.3 | ) |
| (27 | )% |
|
| 182.9 |
|
|
| 202.3 |
|
|
| (19.4 | ) |
| (10 | )% |
Adcirca® |
| 10.4 |
|
|
| 8.1 |
|
|
| 2.3 |
|
| 28 | % |
|
| 41.3 |
|
|
| 55.9 |
|
|
| (14.6 | ) |
| (26 | )% |
Other |
| 3.8 |
|
|
| — |
|
|
| 3.8 |
|
| NM | (3) |
|
| 13.8 |
|
|
| — |
|
|
| 13.8 |
|
| NM | (3) |
Total revenues | $ | 491.5 |
|
| $ | 415.2 |
|
| $ | 76.3 |
|
| 18 | % |
| $ | 1,936.3 |
|
| $ | 1,685.5 |
|
| $ | 250.8 |
|
| 15 | % |
(1) | Net product sales include both the drug product and the respective inhalation devices for both nebulized Tyvaso Inhalation Solution and the dry powder version known as Tyvaso DPI®. | |
(2) | Net product sales include sales of infusion devices, such as the Remunity® Pump. | |
(3) | Calculation is not meaningful. |
Net product sales from our treprostinil-based products (Tyvaso, Remodulin, and Orenitram) grew by
Net product sales from our treprostinil-based products (Tyvaso, Remodulin, and Orenitram) grew by
Expenses
Cost of sales. The table below summarizes cost of sales by major category (dollars in millions):
| Three Months Ended
|
| Dollar
|
| Percentage
|
| Year Ended
|
| Dollar
|
| Percentage
| ||||||||||||||||||
| 2022 |
| 2021 |
|
|
| 2022 |
| 2021 |
|
| ||||||||||||||||||
Category: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Cost of sales | $ | 55.9 |
| $ | 32.8 |
| $ | 23.1 |
| 70 | % |
| $ | 146.7 |
| $ | 116.7 |
| $ | 30.0 |
|
| 26 | % | |||||
Share-based compensation expense(1) |
| 2.9 |
|
|
| 1.8 |
|
|
| 1.1 |
|
| 61 | % |
|
| 4.9 |
|
|
| 5.8 |
|
|
| (0.9 | ) |
| (16 | )% |
Total cost of sales | $ | 58.8 |
|
| $ | 34.6 |
|
| $ | 24.2 |
|
| 70 | % |
| $ | 151.6 |
|
| $ | 122.5 |
|
| $ | 29.1 |
|
| 24 | % |
(1) | Refer to Share-based compensation below. |
Cost of sales, excluding share-based compensation. The increase in cost of sales for the quarter and year ended
Research and development expense. The table below summarizes the nature of research and development expense by major expense category (dollars in millions):
| Three Months Ended
|
| Dollar
|
| Percentage
|
| Year Ended
|
| Dollar
|
| Percentage
| ||||||||||||||||||
| 2022 |
| 2021 |
|
|
| 2022 |
| 2021 |
|
| ||||||||||||||||||
Category: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
External research and development(1) | $ | 46.7 |
| $ | 42.4 |
| $ | 4.3 |
|
| 10 | % |
| $ | 168.8 |
|
| $ | 156.7 |
| $ | 12.1 |
|
| 8 | % | |||
Internal research and development(2) |
| 35.4 |
|
|
| 30.1 |
|
|
| 5.3 |
|
| 18 | % |
|
| 131.4 |
|
|
| 117.2 |
|
|
| 14.2 |
|
| 12 | % |
Share-based compensation expense(3) |
| 11.0 |
|
|
| 7.4 |
|
|
| 3.6 |
|
| 49 | % |
|
| 23.8 |
|
|
| 24.4 |
|
|
| (0.6 | ) |
| (2 | )% |
Impairments(4) |
| — |
|
|
| — |
|
|
| — |
|
| NM | (6) |
|
| — |
|
|
| 130.0 |
|
|
| (130.0 | ) |
| (100 | )% |
Other(5) |
| 0.8 |
|
|
| 3.0 |
|
|
| (2.2 | ) |
| (73 | )% |
|
| (1.1 | ) |
|
| 111.8 |
|
|
| (112.9 | ) |
| (101 | )% |
Total research and development expense | $ | 93.9 |
|
| $ | 82.9 |
|
| $ | 11.0 |
|
| 13 | % |
| $ | 322.9 |
|
| $ | 540.1 |
|
| $ | (217.2 | ) |
| (40 | )% |
(1) | External research and development primarily includes fees paid to third parties (such as clinical trial sites, contract research organizations, and contract laboratories) for preclinical and clinical studies and payments to third-party contract manufacturers before FDA approval of the relevant product. | |
(2) | Internal research and development primarily includes salary-related expenses for research and development functions, internal costs to manufacture product candidates before FDA approval, and internal facilities-related expenses, including depreciation, related to research and development activities. | |
(3) | Refer to Share-based compensation below. | |
(4) | Impairments primarily includes impairment charges to write-down the carrying value of in-process research and development (IPR&D) and of certain property, plant, and equipment as a result of research and development activities. | |
(5) | Other primarily includes upfront fees and milestone payments to third parties under license agreements related to development-stage products, adjustments to the fair value of our contingent consideration obligations, and a one-time expense associated with the redemption of a pediatric disease priority review voucher in 2021. | |
(6) | Calculation is not meaningful. |
Research and development, excluding share-based compensation. The decrease in research and development expense for the year ended
Selling, general, and administrative expense. The table below summarizes selling, general, and administrative expense by major category (dollars in millions):
| Three Months Ended
|
| Dollar
|
| Percentage
|
| Year Ended
|
| Dollar
|
| Percentage
| ||||||||||||||||||
| 2022 |
| 2021 |
|
|
| 2022 |
| 2021 |
|
| ||||||||||||||||||
Category: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
General and administrative | $ | 89.3 |
| $ | 76.0 |
| $ | 13.3 |
| 18 | % |
| $ | 333.2 |
| $ | 294.3 |
| $ | 38.9 |
|
| 13 | % | |||||
Sales and marketing |
| 23.0 |
|
|
| 16.4 |
|
|
| 6.6 |
|
| 40 | % |
|
| 70.8 |
|
|
| 64.4 |
|
|
| 6.4 |
|
| 10 | % |
Share-based compensation expense(1) |
| 50.9 |
|
|
| 35.5 |
|
|
| 15.4 |
|
| 43 | % |
|
| 78.1 |
|
|
| 108.3 |
|
|
| (30.2 | ) |
| (28 | )% |
Total selling, general, and administrative expense | $ | 163.2 |
|
| $ | 127.9 |
|
| $ | 35.3 |
|
| 28 | % |
| $ | 482.1 |
|
| $ | 467.0 |
|
| $ | 15.1 |
|
| 3 | % |
(1) | Refer to Share-based compensation below. |
General and administrative, excluding share-based compensation. The increase in general and administrative expense for the quarter and year ended
Share-based compensation. The table below summarizes share-based compensation expense by major category (dollars in millions):
| Three Months Ended
|
| Dollar
|
| Percentage
|
| Year Ended
|
| Dollar
|
| Percentage
| ||||||||||||||||||
| 2022 |
| 2021 |
|
|
| 2022 |
| 2021 |
|
| ||||||||||||||||||
Category: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Stock options | $ | 5.8 |
| $ | 5.6 |
| $ | 0.2 |
|
| 4 | % |
| $ | 22.6 |
| $ | 25.4 |
| $ | (2.8 | ) |
| (11 | )% | ||||
Restricted stock units |
| 12.1 |
|
|
| 6.3 |
|
|
| 5.8 |
|
| 92 | % |
|
| 35.7 |
|
|
| 24.7 |
|
|
| 11.0 |
|
| 45 | % |
Share tracking awards plan (STAP) |
| 46.5 |
|
|
| 32.3 |
|
|
| 14.2 |
|
| 44 | % |
|
| 46.7 |
|
|
| 86.6 |
|
|
| (39.9 | ) |
| (46 | )% |
Employee stock purchase plan |
| 0.4 |
|
|
| 0.5 |
|
|
| (0.1 | ) |
| (20 | )% |
|
| 1.8 |
|
|
| 1.8 |
|
|
| — |
|
| — | % |
Total share-based compensation expense | $ | 64.8 |
|
| $ | 44.7 |
|
| $ | 20.1 |
|
| 45 | % |
| $ | 106.8 |
|
| $ | 138.5 |
|
| $ | (31.7 | ) |
| (23 | )% |
The increase in share-based compensation expense for the quarter ended
Other (expense) income, net. The changes in other (expense) income, net for the quarter and year ended
Income tax expense. Income tax expense was
Webcast
We will host a webcast to discuss our fourth quarter and full year 2022 financial results on
At
You can learn more about what it means to be a PBC here: unither.com/PBC.
Forward-Looking Statements
Statements included in this press release that are not historical in nature are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, among others, statements related to: potential revenue growth, including through continued uptake of Tyvaso and Tyvaso DPI and the goal of doubling our revenue run rate by the end of 2025, progress in our clinical trials for Tyvaso in idiopathic pulmonary fibrosis and ralinepag in pulmonary arterial hypertension, and our goals of innovating for the unmet medical needs of our patients and to benefit our other stakeholders and furthering our public benefit purpose of developing novel pharmaceutical therapies and technologies that expand the availability of transplantable organs. These forward-looking statements are subject to certain risks and uncertainties, such as those described in our periodic reports filed with the
ORENITRAM, REMODULIN, REMUNITY, TYVASO, TYVASO DPI, and UNITUXIN are registered trademarks of
ADCIRCA is a registered trademark of Eli Lilly and Company.
CONSOLIDATED STATEMENTS OF OPERATIONS (In millions, except per share data) | |||||||||||||||
|
|
|
| ||||||||||||
| Three Months Ended
|
| Year Ended
| ||||||||||||
| 2022 |
| 2021 |
| 2022 |
| 2021 | ||||||||
Total revenues | $ | 491.5 |
|
| $ | 415.2 |
|
| $ | 1,936.3 |
|
| $ | 1,685.5 |
|
Operating expenses: |
|
|
|
|
|
|
| ||||||||
Cost of sales |
| 58.8 |
|
|
| 34.6 |
|
|
| 151.6 |
|
|
| 122.5 |
|
Research and development |
| 93.9 |
|
|
| 82.9 |
|
|
| 322.9 |
|
|
| 540.1 |
|
Selling, general, and administrative |
| 163.2 |
|
|
| 127.9 |
|
|
| 482.1 |
|
|
| 467.0 |
|
Total operating expenses |
| 315.9 |
|
|
| 245.4 |
|
|
| 956.6 |
|
|
| 1,129.6 |
|
Operating income |
| 175.6 |
|
|
| 169.8 |
|
|
| 979.7 |
|
|
| 555.9 |
|
Interest income |
| 20.8 |
|
|
| 4.2 |
|
|
| 45.2 |
|
|
| 16.7 |
|
Interest expense |
| (12.3 | ) |
|
| (4.7 | ) |
|
| (32.4 | ) |
|
| (18.6 | ) |
Other (expense) income, net |
| (5.3 | ) |
|
| (28.8 | ) |
|
| (40.2 | ) |
|
| 42.2 |
|
Impairments of investments in privately-held companies |
| — |
|
|
| — |
|
|
| (1.7 | ) |
|
| (2.3 | ) |
Total other income (expense), net |
| 3.2 |
|
|
| (29.3 | ) |
|
| (29.1 | ) |
|
| 38.0 |
|
Income before income taxes |
| 178.8 |
|
|
| 140.5 |
|
|
| 950.6 |
|
|
| 593.9 |
|
Income tax expense |
| (46.7 | ) |
|
| (28.3 | ) |
|
| (223.3 | ) |
|
| (118.1 | ) |
Net income | $ | 132.1 |
|
| $ | 112.2 |
|
| $ | 727.3 |
|
| $ | 475.8 |
|
Net income per common share: |
|
|
|
|
|
|
| ||||||||
Basic | $ | 2.88 |
|
| $ | 2.49 |
|
| $ | 15.98 |
|
| $ | 10.60 |
|
Diluted | $ | 2.67 |
|
| $ | 2.35 |
|
| $ | 15.00 |
|
| $ | 10.06 |
|
Weighted average number of common shares outstanding: |
|
|
|
|
|
|
| ||||||||
Basic |
| 45.8 |
|
|
| 45.1 |
|
|
| 45.5 |
|
|
| 44.9 |
|
Diluted |
| 49.4 |
|
|
| 47.8 |
|
|
| 48.5 |
|
|
| 47.3 |
|
SELECTED CONSOLIDATED BALANCE SHEET DATA (In millions) | |||||||
| |||||||
| 2022 |
| 2021 | ||||
Cash, cash equivalents, and marketable investments | $ | 4,154.9 |
| $ | 3,580.6 | ||
Total assets |
| 6,044.5 |
|
|
| 5,169.1 |
|
Total liabilities |
| 1,247.8 |
|
|
| 1,210.2 |
|
Total stockholders' equity |
| 4,796.7 |
|
|
| 3,958.9 |
|
Category: Earnings
View source version on businesswire.com: https://www.businesswire.com/news/home/20230222005148/en/
[email protected]
Source: