CorMedix Inc (NASDAQ:CRMD) stock fell 2.72% (As on March 26, 11:15:22 AM UTC-4, Source: Google Finance) after the company announced that a significant customer order for its DefenCath product has been delayed. The pharmaceutical company, which specializes in life-threatening diseases and conditions, had anticipated beginning shipment to the customer in the fourth quarter of 2024, but operational resource constraints have pushed the timeline to 2025. DefenCath net selling price has been fairly stable throughout the first three quarters of outpatient commercialization. However, CRMD do expect to begin to see some net price erosion beginning in the second quarter of 2025. The company began the first quarter of 2025 with more than $25 million of purchase orders in hand from existing customers for first-quarter delivery. Meanwhile, the fourth quarter was also the first profitable commercial quarter in the company’s history, with net income of $13.5 million compared with the net loss of 14.8 million in the fourth quarter of 2023. The company delivered an adjusted EBITDA of $15.3 million. Fourth-quarter results were driven by strong uptake among patients at U.S. Renal Care, ramping implementation at the mid-size customers, IRC and DCI, as well as utilization by other small outpatient dialysis customers.
Moreover, the company recorded net cash used in operations during 2024 of 50.6 million, compared with net cash used in operations of 38.4 million in 2023. The increase is primarily driven by an increase in trade receivables and inventories, offset by a net increase in the change of accrued expenses and accounts payable and a decreased net loss. The company has cash and cash equivalents of 51.7 million as of December 31st, 2024.
CRMD in the fourth quarter of FY24 has reported the adjusted earnings per share of 22 cents, beating the analysts’ estimates for the adjusted earnings per share of 17 cents. The company had reported the adjusted revenue of $31.2 million in the fourth quarter of FY24, beating the analysts’ estimates for revenue of $31 million.
Looking ahead, the company has set a preliminary net revenue guidance for the first half of 2025 between $50 million and $60 million, buoyed by the current purchasing customer run rate. The company anticipate completing first quarter of 2025 with at least 75 million in cash and cash equivalents. The company is guiding to 2025 cash operating expenses of approximately 72 million to 78 million. The increase over 2024 spending levels is expected to be primarily driven by an increase in R&D spending on clinical initiatives.