Theratechnologies And Egrifta In NASH: A Hidden Gem Summary seekingalpha
Theratechnologies, a Canadian company, does not yet have the name recognition in the US like other biopharmas in the NASH landscape, this may change soon.
Theratechnologiesis is a small cap, rapidly growing commercial stage specialty biopharma with two FDA-approved therapeutics, Egrifta and Trogarzo. The Phase 2 NASH HIV data readout is imminent.
Egrifta is approved for the treatment of lipodystrophy or excess abdominal visceral adipose tissue in HIV-infected patients and currently serves less than 1,000 patients in the US and Canada.
Should Egrifta prove efficacious in HIV patients with NASH in the imminent data release, several options for further investigation and commercialization exist.
I recently discussed everything about Egrifta and Visceral Adipose Tissue and fat with CMO & Senior Vice President, Dr. Christian Marsolais.
At the end of November, 2018, cash, cash equivalents and bonds amounted to $54M (i.e. $71M CAD). Theratechnologies is expected to observe significant earnings growth in upcoming years and is already generating positive EBITDA. At the end of Q4/2018, Theratechnologies reported a 36.6% increase in revenue at $44M (i.e. $58MCAD) versus Q4/2017. Specifically, sales revenue from Egrifta were up 10% at $35M (i.e. $46M CAD) in Q4/2018 vs. Q4/2017. Trogarzo reported sale revenue of $8.7M (i.e. $11.6MCAD).
The company also announced that it is converting to reporting its financial results in US dollars from Canadian dollars, which some believe is a precursor for the company listing its shares on NASDAQ. If the NASH trial results are favorable, a NASDAQ listing seems inevitable.