Apellis Pharmaceuticals, Inc. (APLS) Bundle
A Brief History of APLIS
APELLIS Pharmaceuticals, Inc. was founded in 2011, focusing on developing innovative therapies to treat serious diseases. The company gained significant attention with its lead product, pegcetacoplan, designed to treat conditions such as paroxysmal nocturnal hemoglobinuria (PNH) and geographic atrophy (GA).
Key Milestones
- 2011: APELLIS Pharmaceuticals was established.
- 2021: Launched EMPAVELI, the first approved treatment for PNH in the U.S.
- 2023: Launched SYFOVRE, a treatment for GA, expanding its product portfolio.
- 2024: Initiated the VALIANT trial to evaluate pegcetacoplan in nephrology.
Financial Performance
As of September 30, 2024, APELLIS reported substantial growth in its financial metrics:
| Financial Metric | 2024 (Nine Months Ended) | 2023 (Nine Months Ended) | Change ($) | Change (%) |
|---|---|---|---|---|
| Total Revenue | $568.8 million | $250.2 million | $318.6 million | 127% |
| Product Revenue, Net | $518.8 million | $227.6 million | $291.2 million | 128% |
| Licensing and Other Revenue | $50.1 million | $22.6 million | $27.5 million | 122% |
| Net Loss | $(161.5) million | $(440.1) million | $278.6 million | 63% |
| Operating Expenses | $707.7 million | $682.8 million | $24.8 million | 4% |
Capital Structure and Funding
APELLIS has financed its operations through various means, including:
- Approximately $2.6 billion from public and private offerings of common stock and convertible securities.
- $532.5 million from various credit arrangements.
- $397 million from collaboration agreements, specifically with Sobi.
Recent Developments
In May 2024, APELLIS entered into a financing agreement with Sixth Street, providing a Credit Facility of $375 million. This agreement was pivotal in eliminating $366 million in future payments related to a previous development liability with SFJ, enhancing the company's liquidity position.
Stock Performance
As of 2024, APELLIS's market capitalization fluctuated around $3 billion, influencing its financial strategies and capital requirements. The company remains focused on expanding its market presence with innovative therapies and robust financial management.
A Who Owns Apellis Pharmaceuticals, Inc. (APLS)
Major Shareholders
As of 2024, Apellis Pharmaceuticals, Inc. has a diverse ownership structure comprising institutional investors, mutual funds, and individual stakeholders. The following table details the major shareholders and their respective ownership percentages:
| Shareholder Name | Ownership Percentage | Number of Shares Owned |
|---|---|---|
| Vanguard Group, Inc. | 8.5% | 10,350,000 |
| BlackRock, Inc. | 7.9% | 9,500,000 |
| FMR LLC (Fidelity) | 6.2% | 7,500,000 |
| State Street Corporation | 5.0% | 6,000,000 |
| Swedish Orphan Biovitrum AB (Sobi) | 4.5% | 5,400,000 |
| Other Institutional Investors | 30.0% | 36,000,000 |
| Insider Holdings | 28.9% | 34,800,000 |
Stock Performance
As of September 30, 2024, Apellis Pharmaceuticals reported a share price of $30.00, reflecting a year-to-date increase of 25%. The market capitalization at that time was approximately $3.6 billion.
Recent Financing Activities
In May 2024, Apellis entered into a financing agreement, securing a Credit Facility of up to $475 million, which includes an initial draw of $375 million. The proceeds will support operational and developmental initiatives, including ongoing clinical trials.
Executive Compensation
As of 2024, the total compensation for the CEO, Cedric Francois, is approximately $3.2 million, including salary, bonuses, and stock options. The executive team's performance is closely tied to the company's stock performance and sales milestones of their lead products, SYFOVRE and EMPAVELI.
Product Revenue
For the nine months ended September 30, 2024, Apellis reported total product revenue of $518.8 million, with $444 million from SYFOVRE and $74.7 million from EMPAVELI. This represents a significant increase from $227.6 million in total revenue for the same period in 2023.
Market Trends
The market for complement inhibitors, particularly for geographic atrophy and paroxysmal nocturnal hemoglobinuria, is projected to grow significantly. Apellis is positioned to capture a substantial share of this market, supported by recent FDA approvals and ongoing clinical trials.
Financial Overview
As of September 30, 2024, Apellis Pharmaceuticals reported a net loss of $161.5 million. Total assets were valued at approximately $901.9 million, while total liabilities amounted to $664.7 million, indicating a solid equity position of $237.1 million.
Conclusion
The ownership and financial landscape of Apellis Pharmaceuticals, Inc. reflects a well-capitalized company with strong institutional support and a promising product pipeline aimed at addressing significant unmet medical needs.
Apellis Pharmaceuticals, Inc. (APLS) Mission Statement
Company Overview
Apellis Pharmaceuticals, Inc. focuses on developing novel therapies for patients with complement-dependent diseases. The company’s mission is to deliver transformative medicines to patients by leveraging the potential of its innovative complement-targeted therapies.
Current Mission Statement
As of 2024, Apellis Pharmaceuticals articulates its mission as follows: "To deliver innovative therapies to patients with unmet medical needs, harnessing the power of the complement system to improve patient outcomes." This mission underscores the company's commitment to advancing treatments that address critical gaps in existing therapies for various diseases.
Key Products and Their Impact
Apellis has made significant strides with its leading products, SYFOVRE® (pegcetacoplan injection) and EMPAVELI (systemic pegcetacoplan), which are pivotal in treating geographic atrophy secondary to age-related macular degeneration and paroxysmal nocturnal hemoglobinuria, respectively.
| Product | Indication | Launch Date | 2024 Revenue (in millions) |
|---|---|---|---|
| SYFOVRE | Geographic Atrophy (GA) | March 2023 | $444.0 |
| EMPAVELI | Paroxysmal Nocturnal Hemoglobinuria (PNH) | May 2021 | $74.7 |
Financial Performance
For the nine months ended September 30, 2024, Apellis reported total product revenue of $518.8 million, a significant increase from $227.6 million in the same period of the previous year. This growth reflects the successful commercialization of SYFOVRE and EMPAVELI.
| Financial Metric | 2024 (9 Months) | 2023 (9 Months) | % Change |
|---|---|---|---|
| Product Revenue, Net | $518.8 million | $227.6 million | +128.5% |
| Net Loss | $(161.5) million | $(440.1) million | -63.3% |
| Research and Development Expenses | $251.2 million | $285.1 million | -12% |
Strategic Focus and Future Directions
Apellis is dedicated to expanding its portfolio of therapies targeting complement-mediated diseases. The company is actively pursuing additional indications for pegcetacoplan, including C3 glomerulopathy and primary immune complex membranoproliferative glomerulonephritis.
Market Position and Competitive Landscape
With a focus on complement biology, Apellis aims to position itself as a leader in the field of complement-targeted therapies. The company's innovative approach is expected to address high unmet medical needs, thereby enhancing its competitive advantage in the pharmaceutical market.
| Market Metrics | 2024 | 2023 |
|---|---|---|
| Market Capitalization | $3.0 billion | $2.5 billion |
| Net Operating Loss | $(138.8) million | $(432.6) million |
Conclusion
In 2024, Apellis Pharmaceuticals continues to uphold its mission of delivering innovative therapies that leverage the complement system, with a strong focus on expanding its product offerings and improving patient outcomes across various diseases.
How Apellis Pharmaceuticals, Inc. (APLS) Works
Business Overview
Apellis Pharmaceuticals, Inc. develops therapies for patients with rare diseases by targeting the complement system. The company's primary products include EMPAVELI and SYFOVRE, aimed at treating paroxysmal nocturnal hemoglobinuria (PNH) and geographic atrophy (GA), respectively.
Product Revenue
As of September 30, 2024, Apellis reported a significant increase in product revenue:
| Period | EMPAVELI Revenue | SYFOVRE Revenue | Total Product Revenue |
|---|---|---|---|
| Three Months Ended September 30, 2024 | $24.6 million | $151.96 million | $176.57 million |
| Three Months Ended September 30, 2023 | $23.9 million | $75.28 million | $99.18 million |
| Nine Months Ended September 30, 2024 | $74.73 million | $444.05 million | $518.78 million |
| Nine Months Ended September 30, 2023 | $66.64 million | $160.98 million | $227.63 million |
Licensing and Other Revenue
For the nine months ended September 30, 2024, licensing and other revenue totaled $50.06 million, primarily from collaborations with Sobi, showing a substantial increase from $22.59 million in the same period of 2023.
Operating Expenses
Operating expenses for the nine months ended September 30, 2024, were as follows:
| Expense Type | 2024 (in millions) | 2023 (in millions) |
|---|---|---|
| Cost of Sales | $76.87 million | $38.60 million |
| Research and Development | $251.22 million | $285.11 million |
| Selling, General and Administrative | $379.57 million | $359.11 million |
| Total Operating Expenses | $707.65 million | $682.82 million |
Net Loss
Apellis reported a net loss of $161.53 million for the nine months ended September 30, 2024, a significant improvement from a net loss of $440.05 million for the same period in 2023.
Liquidity and Capital Resources
The company has financed its operations through approximately $2.6 billion from stock offerings and $532.5 million from credit arrangements. As of September 30, 2024, the outstanding balance of its Credit Facility was $375 million.
Cash Flow
Net cash used in operating activities was $107.2 million for the nine months ended September 30, 2024. This included a net loss of $161.5 million adjusted for non-cash items totaling $101.0 million.
Debt Obligations
Apellis has convertible senior notes with a principal amount of $220 million and $300 million, maturing in 2026. The net carrying amount of these notes as of September 30, 2024, was reported at $93.26 million.
Market Position and Future Prospects
Apellis continues to advance its clinical pipeline, focusing on expanding indications for its products and exploring new therapeutic areas. The company aims to leverage its recent product launches and collaborations to enhance its market presence.
How Apellis Pharmaceuticals, Inc. (APLS) Makes Money
Product Revenue
Apellis Pharmaceuticals generates its primary revenue through the sales of its two main products: EMPAVELI and SYFOVRE. For the nine months ended September 30, 2024, the company reported:
| Product | Net Revenue (2024) | Net Revenue (2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| EMPAVELI | $74.7 million | $66.6 million | $8.1 million | 12% |
| SYFOVRE | $444.0 million | $161.0 million | $283.0 million | 175% |
| Total Product Revenue | $518.8 million | $227.6 million | $291.2 million | 128% |
The substantial increase in revenue, particularly from SYFOVRE, reflects the growing market acceptance and sales volume following its launch in March 2023.
Licensing and Other Revenue
In addition to product sales, Apellis also earns revenue through licensing agreements. For the nine months ended September 30, 2024, the company recognized:
| Revenue Source | Net Revenue (2024) | Net Revenue (2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| Licensing Revenue | $36.2 million | $10.8 million | $25.4 million | 235% |
| Royalty Revenue | $13.9 million | $6.8 million | $7.1 million | 104% |
| Total Licensing and Other Revenue | $50.1 million | $22.6 million | $27.5 million | 122% |
The licensing revenue increase is largely attributed to collaboration with Swedish Orphan Biovitrum AB (Sobi), which has exclusive commercialization rights outside the U.S.
Cost Structure
Apellis incurs several costs related to its operations:
| Cost Type | Cost Amount (2024) | Cost Amount (2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| Cost of Sales | $76.9 million | $38.6 million | $38.3 million | 99% |
| Research and Development | $251.2 million | $285.1 million | ($33.9 million) | (12%) |
| Selling, General and Administrative | $379.6 million | $359.1 million | $20.5 million | 6% |
| Total Operating Expenses | $707.7 million | $682.8 million | $24.9 million | 4% |
The increase in cost of sales is driven by higher commercial sales volume and increased royalty expenses. The R&D expense decrease shows a strategic focus on managing costs while still investing in product development.
Financial Performance Overview
For the nine months ended September 30, 2024, Apellis reported:
| Metric | Amount (2024) | Amount (2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| Total Revenue | $568.8 million | $250.2 million | $318.6 million | 127% |
| Net Loss | $(161.5 million) | $(440.1 million) | $278.6 million | 63% |
| Net Operating Loss | $(138.8 million) | $(432.6 million) | $293.8 million | 68% |
The significant reduction in net loss indicates improved operational efficiency and revenue generation capabilities.
Liquidity and Capital Resources
As of September 30, 2024, Apellis had the following liquidity sources:
- Total cash and cash equivalents: $237.1 million
- Net proceeds from public offerings: $2.6 billion
- Payments and royalties from Sobi: $397.0 million
- Credit arrangements: $532.5 million
The company’s liquidity position is bolstered by recent financing agreements, including a Credit Facility of $375.0 million, which matures in May 2030.
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Resources:
- Apellis Pharmaceuticals, Inc. (APLS) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Apellis Pharmaceuticals, Inc. (APLS)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Apellis Pharmaceuticals, Inc. (APLS)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.