RVL Pharmaceuticals PLC (NASDAQ:RVLP) stock fell 2.79% (As on March 21, 1:40:10 AM UTC-4, Source: Google Finance) after the company posted lower than expected results for the fourth quarter of FY 22. On January 9, 2023, the Company announced preliminary fourth quarter and full year 2022 UPNEEQ net product sales of approximately $12.1 million and $36.5 million, respectively. These estimates included the recognition of $2.3 million of net product sales from our Direct Dispense program pursuant to which UPNEEQ is sold directly to physician practices and, more recently, to telemedicine partners. From inception, the Company recognized revenues related to its Direct Dispense program upon shipment to the customer by its third-party logistical partner. As sales volumes have grown, and the fourth quarter of 2022 is the first period with material Direct Dispense shipments to cross the period end.

RVLP in the fourth quarter of FY 22 has reported the adjusted earnings per share of -18 cents, missing the analysts’ estimates for the adjusted earnings per share of 1 cents. The company had reported the adjusted revenue growth of 35.9 percent to $9.81 million in the fourth quarter of FY 22,missing the analysts’ estimates for revenue by $2.72 million. Loss from continuing operations was $(18.3) million. Adjusted EBITDA¹ loss was $(9.3) million, an improvement of $5.9 million when compared to a loss of $(15.2) million in the fourth quarter of 2021. At December 31, 2022, cash and cash equivalents were $44.5 million and long-term debt had an aggregate principal amount of $75.0 million.

Moreover, Gross profit percentage from net product sales was 74% for the three months ended December 31, 2022, as compared to 58% for the three months ended December 31, 2021, primarily reflecting improved overhead absorption driven by higher volumes and more favorable average selling prices in the 2022 period. Adjusted EBITDA Loss for the three months ended December 31, 2022 was $(9.3) million, compared to $(15.2) million for the three months ended December 31, 2021. Royalty and licensing revenue increased by $5.5 million to $15.5 million for the year ended December 31, 2022, as compared to $10.0 million for the year ended December 31, 2021, primarily due to changes in milestone revenues recognized under our license agreement with Santen.