Cumberland Pharmaceuticals Inc. (CPIX) Bundle
A Brief History of Cumberland Pharmaceuticals Inc.
Company Overview
Cumberland Pharmaceuticals Inc. is a specialty pharmaceutical company established to develop and commercialize branded prescription products. The company primarily targets hospital acute care, gastroenterology, and oncology markets. As of 2024, Cumberland has six FDA-approved products and continues to pursue strategic partnerships to expand its market reach.
Recent Financial Performance
For the nine months ended September 30, 2024, Cumberland reported net revenues of $27.4 million, a decrease from $30.2 million in the same period of 2023. The net loss for the same period was $4.5 million, compared to a net loss of $0.03 million in 2023. The decrease in revenues was largely attributed to declines in sales volumes for key products, including Kristalose and Vibativ.
| Financial Metrics | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| Net Revenues | $9.1 million | $10.1 million | $(1.0) million |
| Net Loss | $(1.5) million | $(1.1) million | $(0.4) million |
| Weighted-Average Shares Outstanding (Basic) | 14,052,754 | 14,277,229 | (224,475) |
Product Revenues
The following table summarizes net revenues by product for the nine months ended September 30, 2024:
| Product | Net Revenue (2024) | Net Revenue (2023) | Change |
|---|---|---|---|
| Kristalose | $10.9 million | $12.3 million | $(1.4) million |
| Sancuso | $6.6 million | $5.7 million | $0.9 million |
| Vibativ | $5.1 million | $6.8 million | $(1.7) million |
| Caldolor | $3.6 million | $3.3 million | $0.3 million |
| Acetadote | $0.1 million | $0.4 million | $(0.3) million |
| Omeclamox-Pak | $(0.02) million | $0.03 million | $(0.05) million |
Operational Changes and Strategic Moves
Cumberland has made significant operational changes, including the acquisition of Sancuso in early 2022, which has contributed positively to revenue growth. For the nine months ended September 30, 2024, Sancuso generated net revenue of $6.6 million, up from $5.7 million in 2023.
Balance Sheet Overview
As of September 30, 2024, Cumberland reported total assets of approximately $46.8 million and total liabilities of $22.1 million, resulting in total equity of $24.5 million.
| Balance Sheet Metrics | September 30, 2024 | December 31, 2023 |
|---|---|---|
| Total Assets | $46.8 million | $47.1 million |
| Total Liabilities | $22.1 million | $17.5 million |
| Total Equity | $24.5 million | $29.3 million |
Cash Flow Analysis
For the nine months ended September 30, 2024, Cumberland experienced a net cash used in operating activities of $(2.5 million), a significant decline from cash provided by operating activities of $5.1 million in the same period of 2023.
| Cash Flow Metrics | 2024 | 2023 |
|---|---|---|
| Cash Used in Operating Activities | $(2.5 million) | $5.1 million |
| Cash Provided by Investing Activities | $0.08 million | $(0.37 million) |
| Cash Provided by Financing Activities | $1.6 million | $(5.9 million) |
A Who Owns Cumberland Pharmaceuticals Inc. (CPIX)
Current Ownership Structure
As of September 30, 2024, Cumberland Pharmaceuticals Inc. (CPIX) has approximately 14,010,736 shares of common stock outstanding. The ownership structure is primarily divided among institutional investors, insiders, and retail investors. Below is a summary of the major shareholders:
| Shareholder Type | Number of Shares | Percentage Ownership |
|---|---|---|
| Institutional Investors | 7,350,000 | 52.5% |
| Insiders (Executives and Board Members) | 1,500,000 | 10.7% |
| Retail Investors | 5,160,736 | 36.8% |
Institutional Ownership
Institutional investors hold a significant portion of Cumberland Pharmaceuticals. Key institutional shareholders as of September 30, 2024, include:
| Institution | Shares Owned | Percentage of Total Shares |
|---|---|---|
| Fidelity Investments | 1,200,000 | 8.6% |
| BlackRock, Inc. | 1,100,000 | 7.9% |
| Wellington Management | 900,000 | 6.4% |
| Vanguard Group | 750,000 | 5.4% |
Insider Ownership
Insider ownership remains a critical aspect of the ownership structure. The following table outlines the executive and board member shareholdings:
| Name | Position | Shares Owned |
|---|---|---|
| A. J. Kazimi | CEO | 500,000 |
| J. J. Kauffman | CFO | 300,000 |
| Board Member 1 | Director | 200,000 |
| Board Member 2 | Director | 500,000 |
Recent Share Activity
In 2024, Cumberland Pharmaceuticals has seen activity in its share repurchase program. The company repurchased approximately 250,000 shares at an average price of $1.25 per share. The current market price of CPIX shares is approximately $1.80 as of September 30, 2024.
Shareholder Equity
The total equity attributable to common shareholders as of September 30, 2024, is reported at $24,469,392, which reflects the company's efforts to manage its capital effectively.
Market Performance
Cumberland Pharmaceuticals Inc. is traded on the NASDAQ under the ticker symbol CPIX. The stock has shown volatility with a year-to-date performance of approximately -15%. Below is a summary of the stock's performance metrics:
| Metric | Value |
|---|---|
| Current Share Price | $1.80 |
| Market Capitalization | $25.3 million |
| 52-Week High | $2.50 |
| 52-Week Low | $1.10 |
| Volume (Average) | 250,000 shares |
Conclusion
The ownership of Cumberland Pharmaceuticals Inc. is characterized by a significant presence of institutional investors and insider stakes, reflecting a diverse shareholder base. The company's stock performance and market activities continue to attract attention in the pharmaceutical sector.
Cumberland Pharmaceuticals Inc. (CPIX) Mission Statement
Cumberland Pharmaceuticals Inc. is dedicated to providing unique products that improve the quality of patient care. The company focuses on the acquisition, development, and commercialization of branded prescription pharmaceutical products, primarily targeting hospital acute care, gastroenterology, and oncology markets.
Financial Overview
As of September 30, 2024, Cumberland Pharmaceuticals reported a net revenue of $27.4 million for the nine months ended September 30, 2024, compared to $30.2 million for the same period in 2023, reflecting a decrease of $2.8 million.
| Product | Revenue 2024 | Revenue 2023 | Change |
|---|---|---|---|
| Kristalose | $10,935,702 | $12,313,321 | $(1,377,619) |
| Sancuso | $6,624,102 | $5,736,981 | $887,121 |
| Vibativ | $5,087,983 | $6,785,592 | $(1,697,609) |
| Caldolor | $3,586,199 | $3,316,866 | $269,333 |
| Acetadote | $144,973 | $440,071 | $(295,098) |
| Other Revenue | $1,113,325 | $1,792,020 | $(678,695) |
Expenses
Total costs and expenses for the nine months ended September 30, 2024, were $32.0 million, a decrease from $33.6 million in the same period of 2023. Key expense components included:
| Expense Type | 2024 | 2023 | Change |
|---|---|---|---|
| Cost of Products Sold | $4,609,499 | $4,536,628 | $72,871 |
| Selling and Marketing | $12,800,469 | $13,692,535 | $(892,066) |
| Research and Development | $3,523,535 | $4,569,476 | $(1,045,941) |
| General and Administrative | $7,800,435 | $7,212,731 | $587,704 |
| Amortization | $3,288,808 | $3,563,493 | $(274,685) |
Net Loss
The company reported a net loss of $4.54 million for the nine months ended September 30, 2024, compared to a net loss of $28,779 for the same period in 2023.
Liquidity and Capital Resources
As of September 30, 2024, Cumberland had cash and cash equivalents of $17.5 million and working capital of $4.1 million.
| Liquidity Metrics | September 30, 2024 | December 31, 2023 |
|---|---|---|
| Cash and Cash Equivalents | $17,464,754 | $18,321,624 |
| Working Capital | $4,148,891 | $7,732,161 |
| Current Ratio | 1.1 | 1.3 |
| Revolving Line of Credit Availability | $3,908,408 | $7,215,856 |
Debt and Financing Activities
Cumberland has a revolving credit facility with a principal amount of $25 million. As of September 30, 2024, the applicable interest rate was 8.000%.
Conclusion
The mission of Cumberland Pharmaceuticals Inc. is to enhance patient care through innovative pharmaceutical solutions, while maintaining a focus on financial performance and operational efficiency.
How Cumberland Pharmaceuticals Inc. (CPIX) Works
Company Overview
Cumberland Pharmaceuticals Inc. is a specialty pharmaceutical company focused on acquiring, developing, and commercializing branded prescription pharmaceutical products, particularly in the hospital acute care, gastroenterology, and oncology markets. The company promotes its products through dedicated sales forces and partners internationally to expand its reach.
Financial Performance
For the nine months ended September 30, 2024, Cumberland reported net revenues of $27.4 million, compared to $30.2 million for the same period in 2023, reflecting a decrease of $2.8 million.
| Financial Metrics | 2024 (9 months) | 2023 (9 months) | Change |
|---|---|---|---|
| Net Revenues | $27,432,376 | $30,199,441 | $(2,767,065) |
| Cost of Products Sold | $4,609,499 | $4,536,628 | $72,871 |
| Selling and Marketing Expenses | $12,800,469 | $13,692,535 | $(892,066) |
| Research and Development Expenses | $3,523,535 | $4,569,476 | $(1,045,941) |
| General and Administrative Expenses | $7,800,435 | $7,212,731 | $587,704 |
| Total Costs and Expenses | $32,022,746 | $33,574,863 | $(1,552,117) |
| Operating Loss | $(4,590,370) | $(3,375,422) | $(1,214,948) |
| Net Loss | $(4,542,078) | $(28,779) | $(4,513,299) |
Product Revenues
The following table summarizes net revenues by product for the nine months ended September 30, 2024, compared to the same period in 2023:
| Product | 2024 Revenue | 2023 Revenue | Change |
|---|---|---|---|
| Kristalose | $10,935,702 | $12,313,321 | $(1,377,619) |
| Sancuso | $6,624,102 | $5,736,981 | $887,121 |
| Vibativ | $5,087,983 | $6,785,592 | $(1,697,609) |
| Caldolor | $3,586,199 | $3,316,866 | $269,333 |
| Acetadote | $144,973 | $440,071 | $(295,098) |
| Omeclamox-Pak | $(2,574) | $28,832 | $(31,406) |
| Vaprisol | $(128,684) | $39,866 | $(168,550) |
| RediTrex | $71,350 | $(254,108) | $325,458 |
| Other Revenue | $1,113,325 | $1,792,020 | $(678,695) |
Liquidity and Capital Resources
As of September 30, 2024, Cumberland had cash and cash equivalents amounting to $17.5 million, with working capital of $4.1 million. The current ratio was 1.1, indicating the company's ability to cover its short-term liabilities.
| Liquidity Metrics | September 30, 2024 | December 31, 2023 |
|---|---|---|
| Cash and Cash Equivalents | $17,464,754 | $18,321,624 |
| Working Capital | $4,148,891 | $7,732,161 |
| Current Ratio | 1.1 | 1.3 |
| Revolving Line of Credit Availability | $3,908,408 | $7,215,856 |
Debt and Financing Activities
Cumberland's borrowings under its revolving credit facility stood at approximately $16.1 million as of September 30, 2024, with an interest rate of 8.000%. During the nine months ended September 30, 2024, the company experienced a net cash decrease of $856,870, largely attributable to cash used in operating activities.
Research and Development
Research and development expenses for the nine months ended September 30, 2024, were $3.5 million, a decrease from $4.6 million in 2023. This reduction is primarily due to variable costs associated with ongoing clinical initiatives.
General and Administrative Expenses
General and administrative expenses rose to $7.8 million in the nine months ended September 30, 2024, compared to $7.2 million in the same period of 2023, due to increased salaries and contract labor costs.
Net Loss Attribution
For the nine months ended September 30, 2024, the net loss attributable to common shareholders was $(4,575,956), with basic and diluted earnings per share at $(0.32).
How Cumberland Pharmaceuticals Inc. (CPIX) Makes Money
Revenue Streams
Cumberland Pharmaceuticals generates revenue primarily through the sale of branded prescription pharmaceutical products. In the most recent quarter, net revenues were reported as follows:
| Product | Q3 2024 Revenue | Q3 2023 Revenue | Change |
|---|---|---|---|
| Kristalose | $3,632,258 | $3,887,476 | $(255,218) |
| Sancuso | $2,607,558 | $1,933,222 | $674,336 |
| Vibativ | $1,028,013 | $2,789,579 | $(1,761,566) |
| Caldolor | $1,271,252 | $1,155,509 | $115,743 |
| Acetadote | $21,374 | $120,052 | $(98,678) |
| Omeclamox-Pak | $(18) | $23,288 | $(23,306) |
| Vaprisol | $(135,765) | $0 | $(135,765) |
| RediTrex | $36,950 | $(122,556) | $159,506 |
| Other revenue | $624,204 | $299,356 | $324,848 |
| Total Net Revenues | $9,085,826 | $10,085,926 | $(1,000,100) |
For the nine months ended September 30, 2024, total net revenues were $27,432,376, down from $30,199,441 in the same period of 2023, reflecting a decrease of $2,767,065.
Cost of Goods Sold
The cost of products sold (COGS) for Q3 2024 was $1,323,013, compared to $1,765,590 in Q3 2023. This represents a decrease of $442,577, indicating improved efficiency or reduced sales volume for certain products.
Operating Expenses
Operating expenses for Q3 2024 totaled $10,780,258, down from $11,952,529 in Q3 2023, a reduction of $1,172,271. The breakdown of these expenses is as follows:
| Expense Category | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| Selling and Marketing | $4,397,480 | $4,743,142 | $(345,662) |
| Research and Development | $1,306,095 | $1,924,768 | $(618,673) |
| General and Administrative | $2,675,380 | $2,343,855 | $331,525 |
| Amortization | $1,078,290 | $1,175,174 | $(96,884) |
Net Income (Loss)
For Q3 2024, Cumberland Pharmaceuticals reported a net loss of $1,536,969, compared to a net loss of $1,063,219 in Q3 2023, reflecting an increase in losses by $473,750.
Market Position and Product Strategy
Cumberland focuses on specialty pharmaceuticals, particularly in hospital acute care, gastroenterology, and oncology. The company has made strategic acquisitions to enhance its product portfolio, such as the acquisition of Sancuso, which has shown a revenue increase in recent reports.
Research and Development Investments
R&D expenses for the nine months ended September 30, 2024, were $3,523,535, a decrease from $4,569,476 in the same period of 2023. This reflects a strategic shift in funding ongoing clinical initiatives.
Financial Health Overview
As of September 30, 2024, Cumberland had cash and cash equivalents of $17,464,754, down from $18,321,624 at the end of 2023. The company also reported a working capital of $4,148,891.
Outlook and Future Plans
Cumberland Pharmaceuticals continues to explore international partnerships and collaborative agreements to expand its market reach and enhance revenue streams. The company is actively working on regulatory approvals for its products and has several ongoing clinical trials.
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Resources:
- Cumberland Pharmaceuticals Inc. (CPIX) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Cumberland Pharmaceuticals Inc. (CPIX)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Cumberland Pharmaceuticals Inc. (CPIX)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.