Anika Therapeutics(ANIK) - 2024 Q4 - Annual Results

Revenue Performance - Anika reported fourth quarter revenue from continuing operations of $30.6 million, a 1% increase compared to the same period in 2023[2]. - Full year 2024 total revenue from continuing operations was$ 119.9 million, a decrease of 1% relative to full-year 2023[3]. - Commercial Channel revenue increased by 17% year-over-year, while OEM Channel revenue decreased by 8% for the full year 2024[3]. - Revenue for Q4 2024 was $30,602 million, a 1.4% increase from$ 30,175 million in Q4 2023[29]. - For the three months ended December 31, 2024, total revenue was $30,602 million, a slight increase from$ 30,175 million in the same period of 2023[43]. - For the year ended December 31, 2024, total revenue was $119,907 million, slightly decreasing from$ 120,792 million in 2023[43]. Profitability and Margins - Adjusted EBITDA for the full year 2024 was $15.5 million, with an adjusted gross margin of 64%[10]. - Gross profit decreased to$ 17,125 million in Q4 2024, down 17.5% from $20,672 million in Q4 2023[29]. - Adjusted EBITDA for Q4 2024 was$ 3,586 million, down from $6,369 million in Q4 2023[36]. - The company reported an unadjusted gross margin of 56% for Q4 2024, down from 69% in Q4 2023[34]. - Gross profit for the year ended December 31, 2024, was$ 75,998 million, down from $82,532 million in 2023[43]. - Gross margin for the year ended December 31, 2024, was 63%, compared to 68% in 2023[43]. Expenses and Losses - Total operating expenses for Q4 2024 were$ 17,831 million, a decrease of 6.5% compared to $19,074 million in Q4 2023[29]. - Net loss for Q4 2024 was$ 21,865 million, significantly improved from a net loss of $63,000 million in Q4 2023[29]. - Adjusted net loss from continuing operations for Q4 2024 was$ (332) million, compared to an adjusted net income of $980 million in Q4 2023[38]. Cash and Assets - Anika maintained a strong financial position with$ 55.6 million in cash and no debt at the end of the fourth quarter[10]. - Cash and cash equivalents decreased to $55,629 million in 2024 from$ 68,740 million in 2023[31]. - Total assets decreased to $202,740 million in 2024 from$ 270,632 million in 2023[32]. - Retained earnings dropped to $71,667 million in 2024 from$ 128,052 million in 2023[32]. Channel Performance - OEM Channel revenue for the three months ended December 31, 2024, was $19,669 million, accounting for 64% of total revenue, compared to 71% in the same period of 2023[43]. - Commercial Channel revenue increased to$ 10,933 million for the three months ended December 31, 2024, representing 36% of total revenue, up from 29% in the same period of 2023[43]. - The OEM Channel contributed $77,770 million for the year ended December 31, 2024, representing 65% of total revenue, down from 70% in 2023[43]. - The Commercial Channel generated$ 42,137 million for the year ended December 31, 2024, which is 35% of total revenue, an increase from 30% in 2023[43]. Growth and Strategic Initiatives - The Integrity Implant System achieved greater than 40% sequential growth for the third consecutive quarter, with over 1,000 surgeries performed globally since its launch[5]. - International OA Pain Management grew by 22% in the fourth quarter and 16% for the full year 2024, driven by geographic expansion and market share gains[5]. - Anika achieved significant regulatory milestones for Hyalofast, with a US launch anticipated by 2026[6]. - The company completed the strategic sale of Parcus Medical to focus on core HA products, enhancing resource allocation for growth opportunities[14]. - The company expects 2025 revenue guidance for the Commercial Channel to be between $47 million and$ 49.5 million, representing a 12% to 18% increase[13]. - The company is focusing on improving gross margins and exploring new market opportunities to enhance overall performance[43].