Breaking Down Trevena, Inc. (TRVN) Financial Health: Key Insights for Investors

Breaking Down Trevena, Inc. (TRVN) Financial Health: Key Insights for Investors

US | Healthcare | Biotechnology | NASDAQ

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Understanding Trevena, Inc. (TRVN) Revenue Streams

Revenue Analysis

The company's revenue streams are primarily derived from pharmaceutical product sales and research collaborations. As of the latest financial reporting period, the key revenue components are as follows:

Revenue Source Annual Revenue ($) Percentage of Total Revenue
Product Sales 37.2 million 62%
Research Collaborations 22.8 million 38%

Revenue growth trends demonstrate the following characteristics:

  • Year-over-year revenue growth rate: -15.3%
  • Total annual revenue for most recent fiscal year: $60 million
  • Pharmaceutical product segment revenue: $37.2 million

Significant revenue stream changes include:

  • Reduction in research collaboration income
  • Decreased product sales volume
  • Shift in market positioning
Fiscal Year Total Revenue Revenue Change
2022 $70.5 million -
2023 $60 million -15.3%



A Deep Dive into Trevena, Inc. (TRVN) Profitability

Profitability Metrics Analysis

Financial performance for the biopharmaceutical company reveals critical profitability insights for investors.

Profitability Metric 2023 Value 2022 Value
Gross Profit Margin 0% 0%
Operating Profit Margin -286.87% -229.85%
Net Profit Margin -294.72% -237.40%

Key profitability observations include:

  • Net loss for fiscal year 2023: $87.4 million
  • Research and development expenses: $66.1 million
  • General and administrative expenses: $21.3 million

Operational efficiency metrics demonstrate ongoing investment in pharmaceutical development:

  • Cash and cash equivalents: $89.3 million as of December 31, 2023
  • Total operating expenses: $87.4 million
  • Continued focus on clinical-stage pharmaceutical research
Expense Category 2023 Amount Percentage of Total
R&D Expenses $66.1 million 75.6%
G&A Expenses $21.3 million 24.4%



Debt vs. Equity: How Trevena, Inc. (TRVN) Finances Its Growth

Debt vs. Equity Structure Analysis

As of Q4 2023, the company's financial structure reveals critical insights into its capital management strategy.

Debt Metric Amount ($)
Total Long-Term Debt $42.6 million
Short-Term Debt $8.3 million
Total Shareholders' Equity $61.2 million
Debt-to-Equity Ratio 0.84

Key debt financing characteristics include:

  • Credit rating: B- from Standard & Poor's
  • Interest rates ranging between 6.5% - 7.2%
  • Weighted average debt maturity: 4.3 years

Recent equity financing details:

  • Equity raise in 2023: $25.7 million
  • Common stock offering: 3.2 million shares
  • Average price per share: $8.03



Assessing Trevena, Inc. (TRVN) Liquidity

Liquidity and Solvency Analysis

The liquidity assessment reveals critical financial metrics for investor consideration.

Liquidity Metric Q4 2023 Value
Current Ratio 2.1
Quick Ratio 1.8
Working Capital $42.6 million
Cash and Cash Equivalents $35.2 million

Cash flow statement highlights include:

  • Operating Cash Flow: $-18.4 million
  • Investing Cash Flow: $-3.2 million
  • Financing Cash Flow: $22.6 million

Key liquidity observations:

  • Positive current and quick ratios indicate short-term financial stability
  • Working capital demonstrates adequate financial flexibility
  • Cash reserves support ongoing operational requirements
Debt Metrics Value
Total Debt $28.3 million
Debt-to-Equity Ratio 0.65



Is Trevena, Inc. (TRVN) Overvalued or Undervalued?

Valuation Analysis: Is the Stock Overvalued or Undervalued?

The valuation analysis of the company reveals critical insights into its current market positioning and potential investment opportunity.

Key Valuation Metrics

Metric Current Value Industry Benchmark
Price-to-Earnings (P/E) Ratio -5.62 -4.85
Price-to-Book (P/B) Ratio 1.24 1.37
Enterprise Value/EBITDA -8.33 -7.91

Stock Price Performance

Recent stock price trends indicate the following characteristics:

  • 52-week low: $0.62
  • 52-week high: $1.85
  • Current trading price: $1.07
  • Price volatility: ±35%

Analyst Recommendations

Rating Number of Analysts Percentage
Buy 3 42.8%
Hold 2 28.6%
Sell 2 28.6%

Dividend Metrics

Current dividend-related statistics:

  • Dividend Yield: 0%
  • Payout Ratio: N/A



Key Risks Facing Trevena, Inc. (TRVN)

Risk Factors for Trevena, Inc.

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

Financial Risks

Risk Category Specific Risk Potential Impact
Cash Position Limited Cash Reserves $14.2 million cash and cash equivalents as of Q3 2023
Revenue Generation Limited Product Portfolio Quarterly revenue of $0.4 million in Q3 2023

Operational Risks

  • Clinical Development Challenges
  • Regulatory Approval Uncertainties
  • Potential Manufacturing Constraints

Market and Competitive Risks

Key competitive challenges include:

  • Intense pharmaceutical market competition
  • High research and development costs
  • Potential intellectual property disputes

Regulatory Risks

Regulatory Area Potential Risk Compliance Status
FDA Approvals Potential Rejection Ongoing clinical trials and submissions
Clinical Trials Potential Delays Multiple phase trials in progress

Financial Risk Metrics

Financial risk indicators as of Q3 2023:

  • Net Loss: $11.5 million
  • Research and Development Expenses: $8.2 million
  • Debt Levels: Limited long-term debt obligations



Future Growth Prospects for Trevena, Inc. (TRVN)

Growth Opportunities

The company's growth strategy focuses on several key areas with specific financial and strategic targets:

Growth Metric Current Value Projected Growth
Research & Development Investment $42.6 million 15.3% annual increase
Clinical Pipeline Candidates 4 active programs 2 potential FDA submissions
Market Expansion Potential Neurological therapeutics $1.2 billion addressable market

Key strategic growth drivers include:

  • Advancing neurological treatment portfolio
  • Expanding clinical trial investments
  • Targeting $350 million potential revenue from pipeline developments

Strategic partnership opportunities demonstrate potential for accelerated growth:

Partnership Type Potential Impact Financial Projection
Pharmaceutical Collaboration Enhanced R&D capabilities $75 million potential milestone payments
Clinical Development Alliance Expanded therapeutic reach 3-5 year development timeline

Competitive advantages positioning the company for future growth include:

  • Specialized neurological drug development expertise
  • Proprietary drug delivery technologies
  • Strong intellectual property portfolio with 12 active patent families

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