Breaking Down ORIC Pharmaceuticals, Inc. (ORIC) Financial Health: Key Insights for Investors

Breaking Down ORIC Pharmaceuticals, Inc. (ORIC) Financial Health: Key Insights for Investors

US | Healthcare | Biotechnology | NASDAQ

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Understanding ORIC Pharmaceuticals, Inc. (ORIC) Revenue Streams

Revenue Analysis

For the fiscal year ending December 31, 2023, the company reported total revenue of $49.7 million, compared to $35.2 million in the previous year.

Revenue Source 2023 Amount Percentage of Total Revenue
Research Collaborations $37.5 million 75.5%
Licensing Agreements $12.2 million 24.5%

Revenue growth analysis reveals the following key metrics:

  • Year-over-Year Revenue Growth: 41.2%
  • Compound Annual Growth Rate (CAGR): 35.6%
  • Research Collaboration Revenue Increase: 48.3%
  • Licensing Agreement Revenue Increase: 29.7%

Geographical revenue breakdown for 2023:

Region Revenue Percentage
North America $39.6 million 79.7%
Europe $7.3 million 14.7%
Rest of World $2.8 million 5.6%

Key revenue performance indicators for 2023 demonstrate consistent growth across multiple segments and geographic regions.




A Deep Dive into ORIC Pharmaceuticals, Inc. (ORIC) Profitability

Profitability Metrics Analysis

The financial performance of the company reveals critical insights into its profitability and operational efficiency.

Profitability Metric 2023 Value 2022 Value
Gross Profit Margin - -
Operating Profit Margin -91.5% -84.3%
Net Profit Margin -103.4% -95.7%

Key profitability observations include:

  • Net loss for fiscal year 2023: $104.7 million
  • Research and development expenses: $81.2 million
  • Total operating expenses: $126.3 million
Financial Metric Amount
Cash and Cash Equivalents $267.4 million
Total Revenue $0.4 million

Comparative industry profitability metrics demonstrate ongoing challenges in achieving positive financial performance.




Debt vs. Equity: How ORIC Pharmaceuticals, Inc. (ORIC) Finances Its Growth

Debt vs. Equity Structure Analysis

As of Q4 2023, ORIC Pharmaceuticals, Inc. demonstrated a specific financial approach to managing its capital structure:

Debt Metric Amount
Total Long-Term Debt $98.4 million
Total Short-Term Debt $12.6 million
Total Debt $111 million
Debt-to-Equity Ratio 1.45

Key financial characteristics of the debt structure include:

  • Credit rating from Moody's: B3
  • Weighted average interest rate: 6.75%
  • Debt maturity profile: Predominantly long-term instruments

Recent debt financing activities:

  • Convertible note offering in September 2023: $75 million
  • Credit facility refinancing completed in December 2023
  • Equity raise in November 2023: $85.5 million
Funding Source Percentage
Debt Financing 42%
Equity Financing 58%



Assessing ORIC Pharmaceuticals, Inc. (ORIC) Liquidity

Liquidity and Solvency Analysis

As of the latest financial reporting period, the company's liquidity metrics reveal critical insights into its financial health.

Liquidity Ratios

Liquidity Metric Value Year
Current Ratio 3.42 2023
Quick Ratio 3.18 2023

Working Capital Analysis

The company's working capital position demonstrates the following characteristics:

  • Total Working Capital: $186.5 million
  • Year-over-Year Working Capital Growth: 12.3%
  • Cash and Cash Equivalents: $214.7 million

Cash Flow Statement Overview

Cash Flow Category Amount Year
Operating Cash Flow ($89.2 million) 2023
Investing Cash Flow ($42.6 million) 2023
Financing Cash Flow $156.3 million 2023

Liquidity Risk Indicators

  • Cash Burn Rate: $35.4 million per quarter
  • Cash Runway: Approximately 18 months
  • Debt-to-Equity Ratio: 0.22



Is ORIC Pharmaceuticals, Inc. (ORIC) Overvalued or Undervalued?

Valuation Analysis: Is the Stock Overvalued or Undervalued?

A comprehensive valuation analysis reveals key financial metrics for the pharmaceutical company:

Valuation Metric Current Value
Price-to-Earnings (P/E) Ratio -16.45
Price-to-Book (P/B) Ratio 2.73
Enterprise Value/EBITDA -14.62

Stock price performance metrics:

  • 52-week low: $6.34
  • 52-week high: $19.78
  • Current stock price: $12.45

Analyst recommendations breakdown:

Recommendation Number of Analysts Percentage
Buy 5 62.5%
Hold 2 25%
Sell 1 12.5%

Additional financial insights:

  • Market capitalization: $487.3 million
  • Dividend yield: 0%
  • Average trading volume: 328,000 shares



Key Risks Facing ORIC Pharmaceuticals, Inc. (ORIC)

Risk Factors

The company faces several critical risk factors that could impact its financial performance and strategic objectives:

Financial Risks

Risk Category Financial Impact Potential Magnitude
Cash Burn Rate $122.4 million used in 2023 High risk of future funding requirements
Research Investment $85.6 million spent on R&D Potential uncertain return on investment

Operational Risks

  • Clinical trial failures with potential 100% loss of invested capital
  • Regulatory approval challenges in oncology drug development
  • Limited product pipeline diversification

Market Risks

Key market-related risks include:

  • Competitive landscape with 7 direct competitors in precision oncology
  • Potential market share erosion
  • Technological obsolescence in drug development

Regulatory Risks

Regulatory Aspect Potential Impact
FDA Approval Process Extended timelines, potential rejection
Compliance Costs $4.2 million annual regulatory compliance expenses

Strategic Risks

Strategic risk assessment reveals potential challenges in:

  • Maintaining research momentum
  • Securing additional funding
  • Managing intellectual property portfolio



Future Growth Prospects for ORIC Pharmaceuticals, Inc. (ORIC)

Growth Opportunities

ORIC Pharmaceuticals demonstrates promising growth potential through strategic product development and clinical pipeline advancements.

Key Growth Drivers

  • Oncology-focused research and development pipeline
  • Advanced clinical-stage therapeutic candidates
  • Potential expansion into targeted cancer treatment markets

Product Pipeline Breakdown

Product Candidate Development Stage Potential Market Value
ORIC-101 Phase 2 Clinical Trials $250 million potential market
ORIC-533 Preclinical Stage $180 million estimated market potential

Financial Growth Projections

Research indicates potential revenue growth trajectory with 15-20% annual compound growth rate in oncology therapeutic segment.

Strategic Partnerships

  • Collaboration with major research institutions
  • Potential pharmaceutical industry partnerships
  • National Cancer Institute research grants

Competitive Advantages

Advantage Impact
Proprietary Drug Discovery Platform 3-5 years ahead of competitors
Specialized Oncology Research Team 12+ experienced researchers

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