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

Are you keeping a close watch on Supernus Pharmaceuticals, Inc. (SUPN) and trying to gauge its financial stability? In 2024, the company reported a 9% increase in total revenues, reaching $661.8 million, and a significant boost in operating earnings to $81.7 million, a stark contrast to the $(5.3) million operating loss in 2023. With cash, cash equivalents, and marketable securities totaling approximately $453.6 million, compared to $271.5 million the previous year, and a total debt of just $34.27 million as of December 2024, how well-positioned is Supernus for future growth and managing its obligations? Let's delve into the key financial insights that can help investors make informed decisions.

Supernus Pharmaceuticals, Inc. (SUPN) Revenue Analysis

Understanding Supernus Pharmaceuticals, Inc. (SUPN)'s revenue streams involves examining its various products and their contributions to the company's overall financial performance. The company focuses on developing and commercializing treatments for central nervous system (CNS) diseases.

For the year 2024:

• Supernus Pharmaceuticals reported annual revenue of $661.82 million, reflecting an 8.94% increase compared to the previous year.
• In the fourth quarter ending December 31, 2024, the company's revenue reached $174.16 million, marking a 5.99% growth.

Here is a summary of Supernus Pharmaceuticals' revenue growth over the past several years:

Key observations regarding revenue growth include:

• The increase in revenue in both periods of 2024 was primarily driven by increased net sales of Qelbree and GOCOVRI.
• This was partially offset by a decline in net product sales of Trokendi XR and Oxtellar XR due to generic erosion.

Contribution of different business segments to overall revenue:

• Qelbree net sales increased significantly. For the full year 2024, sales surged by 72% to $241.3 million.
• GOCOVRI also showed growth, with full-year net sales increasing by 9% to $130.8 million.

Significant changes in revenue streams:

• Supernus Pharmaceuticals is focused on CNS disorders, with growth in key products offsetting the decline in Trokendi XR due to generic competition.
• The company's strategy includes diversification of revenue sources and pipeline development in areas like depression and epilepsy to mitigate risks associated with patent expirations.

Don't miss out on more insights! Check out this related article: Exploring Supernus Pharmaceuticals, Inc. (SUPN) Investor Profile: Who’s Buying and Why?

Supernus Pharmaceuticals, Inc. (SUPN) Profitability Metrics

Assessing Supernus Pharmaceuticals, Inc. (SUPN)'s financial health requires a close look at its profitability metrics. These metrics provide insights into how efficiently the company generates profit from its revenue and how well it manages its expenses.

Here's an overview of key profitability aspects:

• Gross Profit: This is the profit a company makes after deducting the costs associated with producing and selling its goods or services.
• Operating Profit: This is the profit earned from a company's normal business operations, before deducting interest and taxes.
• Net Profit: This is the profit remaining after all expenses, including taxes and interest, have been deducted from revenue.

These margins are calculated as follows:

• Gross Profit Margin: (Gross Profit / Revenue) 100
• Operating Profit Margin: (Operating Profit / Revenue) 100
• Net Profit Margin: (Net Profit / Revenue) 100

Analyzing the trends in these margins over time helps to understand whether Supernus Pharmaceuticals, Inc. (SUPN)'s profitability is improving, declining, or remaining stable. Comparing these ratios with industry averages can indicate how well the company is performing relative to its peers.

Operational efficiency is crucial for maintaining and improving profitability. Effective cost management and favorable gross margin trends are indicators of a well-managed company. As of the 2024 fiscal year, Supernus Pharmaceuticals, Inc. (SUPN) showcases the following profitability metrics:

• Gross Profit: For the year 2024, Supernus Pharmaceuticals, Inc. reported a gross profit of $514.4 million.
• Operating Income: The operating income for 2024 stood at $142.2 million.
• Net Income: The net income available to common stockholders for the same period was $93.9 million.

Here's a table summarizing Supernus Pharmaceuticals, Inc.'s (SUPN) profitability based on the 2024 fiscal year data:

To gain more insight into the company's strategic direction, consider exploring its Mission Statement, Vision, & Core Values of Supernus Pharmaceuticals, Inc. (SUPN).

Supernus Pharmaceuticals, Inc. (SUPN) Debt vs. Equity Structure

Understanding how Supernus Pharmaceuticals, Inc. (SUPN) finances its operations and growth is crucial for investors. This involves examining the company's debt levels, its debt-to-equity ratio, and how it strategically uses debt and equity.

As of the fiscal year 2024, Supernus Pharmaceuticals, Inc. (SUPN) has a mix of debt and equity in its capital structure. Evaluating the specifics of their debt helps to understand their financial strategy. Here’s a breakdown:

• Long-term Debt: Supernus Pharmaceuticals, Inc. (SUPN) utilizes long-term debt to fund significant projects and strategic initiatives.
• Short-term Debt: The company also employs short-term debt for managing immediate financial obligations and operational needs.

The debt-to-equity ratio is a key metric in assessing a company's financial leverage. It indicates the proportion of debt and equity used to finance the company's assets. A high ratio suggests a greater reliance on debt, which can amplify both profits and losses.

Supernus Pharmaceuticals, Inc. (SUPN) must maintain a balance to ensure financial stability and flexibility. Keeping the debt-to-equity ratio aligned with industry standards is vital for investor confidence and sustainable growth.

Recent activities, such as new debt issuances, credit rating updates, or refinancing efforts, provide insights into Supernus Pharmaceuticals, Inc. (SUPN)'s financial management. These actions can affect the company's financial health and its ability to invest in future growth. Actively managing its debt is essential for Supernus Pharmaceuticals, Inc. (SUPN) to maintain a healthy balance sheet and support its strategic objectives. The company navigates between debt financing and equity funding to optimize its capital structure.

Strategic decisions regarding debt and equity are crucial for Supernus Pharmaceuticals, Inc. (SUPN). Balancing these financial tools allows the company to fund growth, manage risk, and deliver value to its shareholders. Understanding this balance is key for investors assessing the long-term potential of Supernus Pharmaceuticals, Inc. (SUPN).

To gain more insights into Supernus Pharmaceuticals, Inc. (SUPN)'s strategic direction, refer to: Mission Statement, Vision, & Core Values of Supernus Pharmaceuticals, Inc. (SUPN).

Supernus Pharmaceuticals, Inc. (SUPN) Liquidity and Solvency

Analyzing Supernus Pharmaceuticals, Inc.'s liquidity involves examining key financial ratios and cash flow trends to understand its ability to meet short-term obligations. A comprehensive assessment includes current and quick ratios, working capital trends, and cash flow statements.

Current and Quick Ratios: These ratios provide insights into Supernus Pharmaceuticals, Inc.'s ability to cover its short-term liabilities with its short-term assets. The current ratio is calculated by dividing current assets by current liabilities, while the quick ratio excludes inventories from current assets, offering a more conservative view. For the fiscal year 2024, detailed ratio values would be essential to determine the company's liquidity position. Typically, a current ratio of 1.5 to 2.0 and a quick ratio above 1.0 are considered healthy, but this can vary by industry.

Analysis of Working Capital Trends: Working capital, defined as current assets minus current liabilities, indicates a company's operational liquidity. Monitoring the trend of working capital helps to identify whether Supernus Pharmaceuticals, Inc. is efficiently managing its short-term assets and liabilities. An increasing working capital balance generally suggests improved liquidity, while a decreasing balance may signal potential challenges. For accurate trend analysis, it is important to compare working capital figures over several periods, specifically up to the fiscal year 2024.

Cash Flow Statements Overview: Examining the cash flow statement provides a clear picture of how Supernus Pharmaceuticals, Inc. generates and uses cash. The statement is divided into three main sections:

• Operating Activities: Cash flow from the company's core business operations.
• Investing Activities: Cash flow related to the purchase and sale of long-term assets.
• Financing Activities: Cash flow from debt, equity, and dividends.

Analyzing these trends for the fiscal year 2024 is crucial. Positive cash flow from operations indicates that the company is generating sufficient cash from its business activities, while negative cash flow might raise concerns about its ability to fund its operations. Significant investments or financing activities can also impact liquidity.

Potential Liquidity Concerns or Strengths: Based on the analysis of these metrics, potential liquidity concerns or strengths can be identified. For instance, a high current ratio coupled with positive operating cash flow would indicate a strong liquidity position. Conversely, a low quick ratio and negative operating cash flow might suggest liquidity challenges. Monitoring these factors and comparing them to industry benchmarks is essential for a thorough assessment. Reviewing Supernus Pharmaceuticals, Inc.'s financial statements and related disclosures for the fiscal year 2024 will provide a clearer understanding of its liquidity profile.

For more insights into Supernus Pharmaceuticals, Inc. (SUPN), explore their investor profile: Exploring Supernus Pharmaceuticals, Inc. (SUPN) Investor Profile: Who’s Buying and Why?

Supernus Pharmaceuticals, Inc. (SUPN) Valuation Analysis

Assessing whether Supernus Pharmaceuticals, Inc. (SUPN) is overvalued or undervalued requires a multifaceted approach, incorporating key financial ratios, stock performance analysis, and analyst opinions. These elements, when combined, offer a comprehensive view of the company's current market position.

To determine if Supernus Pharmaceuticals, Inc. (SUPN) is correctly valued, consider the following:

• Price-to-Earnings (P/E) Ratio: This ratio compares the company's stock price to its earnings per share. A higher P/E ratio might suggest overvaluation, while a lower one could indicate undervaluation, relative to industry peers.
• Price-to-Book (P/B) Ratio: This ratio compares a company's market capitalization to its book value of equity. It can help investors determine whether they are paying too much for what would be left if the company went bankrupt immediately.
• Enterprise Value-to-EBITDA (EV/EBITDA) Ratio: This ratio compares a company's enterprise value to its earnings before interest, taxes, depreciation, and amortization. It is often used as a valuation tool to compare companies with different capital structures.

Analyzing Supernus Pharmaceuticals, Inc.'s stock price trends provides insight into market sentiment and investor confidence:

• Reviewing the stock's performance over the last 12 months, or longer, helps to identify trends, volatility, and overall market perception.
• Significant price increases could indicate growing investor optimism, while declines might suggest concerns about the company's performance or future prospects.

As of April 2025, Supernus Pharmaceuticals, Inc. does not offer dividends. Therefore, dividend yield and payout ratios are not applicable.

It's also important to consider what analysts are saying about Supernus Pharmaceuticals, Inc. (SUPN):

• Analyst consensus, categorized as buy, hold, or sell, reflects the overall sentiment of financial experts regarding the stock.
• These ratings are typically based on thorough analysis of the company's financial performance, growth prospects, and industry trends.

For additional insights into the company's direction, explore: Mission Statement, Vision, & Core Values of Supernus Pharmaceuticals, Inc. (SUPN).

Supernus Pharmaceuticals, Inc. (SUPN) Risk Factors

Supernus Pharmaceuticals, Inc. (SUPN) faces a variety of internal and external risks that could significantly impact its financial health. These risks span across industry competition, regulatory changes, and overall market conditions.

Industry Competition: The pharmaceutical industry is intensely competitive. Supernus faces competition from major pharmaceutical companies, specialty pharmaceutical companies, and generic drug manufacturers. These competitors may have greater resources for research and development, manufacturing, marketing, and sales. Intense competition could lead to decreased market share and reduced profitability for Supernus.

Regulatory Changes: The development, manufacturing, and marketing of pharmaceutical products are subject to extensive regulation by governmental authorities in the United States and other countries. Changes in these regulations, such as those related to drug approvals, pricing, and reimbursement, could adversely affect Supernus's business and financial results. For example, delays in obtaining regulatory approvals for new products or changes in reimbursement policies could negatively impact revenue and profitability.

Market Conditions: Economic downturns, changes in healthcare policies, and shifts in market demand for Supernus's products can all impact the company's financial performance. Unfavorable market conditions could lead to decreased sales, increased costs, and reduced access to capital.

According to Supernus Pharmaceuticals, Inc.'s 2024 financial reports and filings, several operational, financial, and strategic risks are noteworthy:

• Operational Risks: These include challenges related to manufacturing, supply chain disruptions, and product recalls. Any significant issues in these areas could lead to increased costs and decreased revenue.
• Financial Risks: Supernus faces risks related to its debt obligations, interest rate fluctuations, and ability to generate sufficient cash flow to fund its operations. High levels of debt could limit the company's financial flexibility and increase its vulnerability to economic downturns.
• Strategic Risks: These involve risks associated with the company's growth strategy, including the successful development and commercialization of new products, as well as the integration of acquired businesses. Failure to execute its strategic initiatives effectively could negatively impact Supernus's long-term financial performance.

Mitigation strategies and plans are crucial for managing these risks. While specific details may vary, common strategies include:

• Diversification of Product Portfolio: Developing and acquiring a diverse range of products can reduce reliance on any single product and mitigate the impact of competition or regulatory changes.
• Strategic Partnerships: Collaborating with other companies can provide access to new technologies, markets, and resources, enhancing Supernus's competitive position.
• Cost Management: Implementing efficient cost management practices can improve profitability and financial stability.
• Compliance Programs: Maintaining robust compliance programs to ensure adherence to regulatory requirements and ethical standards.

Below is a table summarizing potential risks and mitigation strategies based on available information:

For additional insights into Supernus Pharmaceuticals, Inc. (SUPN) financial health, you can explore: Breaking Down Supernus Pharmaceuticals, Inc. (SUPN) Financial Health: Key Insights for Investors

Supernus Pharmaceuticals, Inc. (SUPN) Growth Opportunities

For Supernus Pharmaceuticals, Inc. (SUPN), several factors point toward potential future growth. These encompass new product developments, wider market reach, strategic collaborations, and unique competitive strengths.

Key growth drivers for Supernus Pharmaceuticals, Inc. (SUPN) include:

• Product Innovations: Supernus focuses on developing and commercializing products for central nervous system (CNS) diseases.
• Market Expansion: Expanding into new geographical markets or patient segments can significantly boost revenue.
• Acquisitions: Strategic acquisitions of other companies or product lines can broaden Supernus's portfolio and market presence.

Although specific revenue growth projections and earnings estimates for Supernus Pharmaceuticals, Inc. (SUPN) are not available, here's a general framework for considering such projections:

• Revenue Growth: Evaluate analyst forecasts and company guidance on expected sales increases for existing and new products.
• Earnings Estimates: Consider projections for earnings per share (EPS), factoring in revenue growth, cost management, and potential pipeline developments.

Strategic initiatives and partnerships that may drive future growth for Supernus Pharmaceuticals, Inc. (SUPN) include:

• Partnerships: Collaborations with other pharmaceutical companies or research institutions can accelerate drug development and commercialization.
• Strategic Initiatives: Internal programs focused on improving operational efficiency, expanding market access, or enhancing the product pipeline.

Supernus Pharmaceuticals, Inc. (SUPN) possesses several competitive advantages that could position it for growth:

• Specialized Focus: Expertise in CNS diseases provides a competitive edge in developing and marketing relevant treatments.
• Proprietary Technology: Utilizing unique drug delivery technologies or formulations can create differentiated products.

Here is an overview of Supernus Pharmaceuticals, Inc.'s (SUPN) financial performance:

Explore more about Supernus Pharmaceuticals, Inc. (SUPN) and its investors: Exploring Supernus Pharmaceuticals, Inc. (SUPN) Investor Profile: Who’s Buying and Why?