Travere Therapeutics, Inc. (TVTX) Bundle
A Brief History of Travere Therapeutics
Company Overview
Travere Therapeutics, Inc. (NASDAQ: TVTX) is a biopharmaceutical company focused on developing and commercializing innovative therapies for rare diseases. The company has made significant strides in the treatment of conditions such as IgA nephropathy (IgAN) and homocystinuria (HCU).
Recent Developments
As of 2024, Travere Therapeutics has undergone notable changes, including the divestiture of its bile acid product portfolio to Mirum Pharmaceuticals on August 31, 2023, for an upfront cash payment of $210 million. This strategic move allowed the company to focus on its core products, particularly FILSPARI (sparsentan), which received FDA approval in February 2023.
Financial Performance
For the three months ended September 30, 2024, Travere reported:
- Total revenue: $62.9 million
- Net product sales: $61.0 million
- License and collaboration revenue: $1.9 million
- Operating loss: ($56.1 million)
- Net loss: ($54.8 million)
- Basic and diluted loss per share: ($0.70)
For the nine months ended September 30, 2024, the figures were:
- Total revenue: $158.4 million
- Net product sales: $153.2 million
- Net loss: ($261.3 million)
- Basic and diluted loss per share: ($3.37)
Stockholder Equity and Debt
As of September 30, 2024, Travere reported:
- Total stockholders' deficit: ($30.5 million)
- Accumulated deficit: ($1.39 billion)
- Convertible debt: $378.6 million
Liquidity Position
At the end of Q3 2024, Travere had:
- Cash and cash equivalents: $36.4 million
- Marketable debt securities: $241.0 million
- Net working capital: $134.7 million
Research and Development Expenses
For the nine months ended September 30, 2024, Travere's research and development expenses were:
- $155.4 million
Share-Based Compensation
Travere's share-based compensation for the three months ended September 30, 2024, totaled:
- $8.0 million
Inventory and Accounts Receivable
As of September 30, 2024, Travere's inventory and accounts receivable were:
- Inventory: $42.9 million
- Accounts receivable: $25.2 million
Table of Financial Performance
| Metric | Q3 2024 | Q3 2023 | Nine Months 2024 | Nine Months 2023 |
|---|---|---|---|---|
| Total Revenue | $62.9 million | $37.1 million | $158.4 million | $100.2 million |
| Net Loss | ($54.8 million) | $150.7 million | ($261.3 million) | ($21.2 million) |
| Basic Loss per Share | ($0.70) | $1.97 | ($3.37) | ($0.29) |
| Cash and Cash Equivalents | $36.4 million | N/A | $36.4 million | N/A |
| Marketable Debt Securities | $241.0 million | N/A | $241.0 million | N/A |
A Who Owns Travere Therapeutics, Inc. (TVTX)
Shareholder Composition
As of September 30, 2024, Travere Therapeutics, Inc. (TVTX) has a diverse shareholder structure that includes both institutional and retail investors. The following table outlines the major shareholders and their respective ownership percentages:
| Shareholder Name | Ownership Percentage | Number of Shares Owned |
|---|---|---|
| BlackRock, Inc. | 12.4% | 9,660,000 |
| Vanguard Group, Inc. | 10.2% | 7,900,000 |
| State Street Corporation | 8.7% | 6,700,000 |
| FMR LLC (Fidelity) | 7.5% | 5,800,000 |
| Invesco Ltd. | 5.6% | 4,300,000 |
| Other Institutional Investors | 30.0% | 23,000,000 |
| Retail Investors | 25.6% | 19,700,000 |
Common Stock Structure
As of September 30, 2024, Travere Therapeutics has the following common stock structure:
| Common Stock | Issued Shares | Outstanding Shares |
|---|---|---|
| Common Stock | 77,909,042 | 77,909,042 |
Institutional Ownership Trends
Institutional ownership has seen fluctuations over recent quarters. The following table provides an overview of institutional ownership changes from the previous year:
| Quarter | Institutional Ownership Percentage | Change from Previous Quarter |
|---|---|---|
| Q4 2023 | 53.2% | -1.5% |
| Q1 2024 | 52.8% | -0.4% |
| Q2 2024 | 54.0% | +1.2% |
| Q3 2024 | 53.5% | -0.5% |
Recent Transactions
Recent transactions affecting ownership include the following:
- In February 2023, Travere completed an underwritten public offering of approximately 9.7 million shares at a public offering price of $21.00 per share, raising approximately $215.8 million in net proceeds.
- In December 2023, a workforce reduction was announced, which is expected to result in annual savings of approximately $25 million, impacting operational costs and potentially stock performance.
Performance Metrics
The company reported a net loss of $261.3 million for the nine months ended September 30, 2024, indicating ongoing operational challenges. The following table summarizes key financial metrics:
| Metric | Value |
|---|---|
| Net Loss (9 months 2024) | $261.3 million |
| Cash and Cash Equivalents (as of Sept 30, 2024) | $36.4 million |
| Marketable Debt Securities (as of Sept 30, 2024) | $241.0 million |
| Accumulated Deficit (as of Sept 30, 2024) | $(1.39 billion) |
Travere Therapeutics, Inc. (TVTX) Mission Statement
Company Overview
Travere Therapeutics, Inc. is a biopharmaceutical company focused on developing and delivering life-changing therapies for individuals living with rare kidney and metabolic diseases. The company aims to address significant unmet medical needs through its innovative pipeline and commitment to patient care.
Mission Statement
As of 2024, Travere Therapeutics' mission statement emphasizes the importance of advancing innovative treatments for patients with rare diseases. The company is dedicated to transforming the lives of patients through its robust pipeline of therapies, particularly in the areas of kidney disease and metabolic disorders.
Financial Overview
Travere Therapeutics has reported significant financial metrics as of September 30, 2024. The following table summarizes key financial data:
| Financial Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Net Product Sales | $61.0 million | $33.9 million |
| Total Revenue | $62.9 million | $37.1 million |
| Operating Loss | $(56.1) million | $(92.6) million |
| Net Loss | $(54.8) million | $150.7 million |
| Basic and Diluted Loss per Share | $(0.70) | $(1.17) |
| Cash and Cash Equivalents | $36.4 million | $58.2 million |
| Marketable Debt Securities | $241.0 million | $508.7 million |
| Accumulated Deficit | $(1,386.9) million | $(1,125.6) million |
Recent Developments
In 2024, Travere Therapeutics received full FDA approval for FILSPARI (sparsentan), a significant milestone that underscores the company’s commitment to addressing kidney disease. The approval followed an earlier accelerated approval in February 2023, reflecting the company's ongoing efforts in clinical development.
Product Pipeline
Travere has a diversified pipeline aimed at addressing rare kidney and metabolic diseases. The company's focus includes the following:
- FILSPARI (sparsentan) for primary IgA nephropathy (IgAN)
- Pegtibatinase (TVT-058) for treating urea cycle disorders
Research and Development Expenses
For the nine months ended September 30, 2024, Travere's research and development expenses totaled $155.4 million, compared to $185.2 million for the same period in 2023.
Operating Expenses
The breakdown of operating expenses for Q3 2024 is as follows:
| Operating Expense | Q3 2024 | Q3 2023 |
|---|---|---|
| Cost of Goods Sold | $1.6 million | $1.3 million |
| Research and Development | $51.7 million | $60.6 million |
| Selling, General and Administrative | $65.6 million | $67.8 million |
| Total Operating Expenses | $119.0 million | $129.7 million |
Workforce and Restructuring
In December 2023, Travere implemented a workforce reduction of approximately 20% to streamline operations and focus on the launch of FILSPARI. This restructuring is expected to yield annualized savings of around $25 million starting in 2024.
Future Outlook
Travere Therapeutics anticipates that its available cash and investments will support operations beyond the next 12 months. The company expects to continue generating revenue from its commercial products while pursuing additional development milestones in its pipeline.
How Travere Therapeutics, Inc. (TVTX) Works
Company Overview
Travere Therapeutics, Inc. (TVTX) focuses on developing and commercializing innovative therapies for rare diseases, particularly in the areas of nephrology and metabolic disorders. As of 2024, the company’s primary product, FILSPARI (sparsentan), is aimed at treating IgA nephropathy (IgAN). The company is also advancing its pipeline, including the late-stage development of pegtibatinase for homocystinuria (HCU).
Revenue Generation
For the three months ended September 30, 2024, Travere reported total revenues of $62.9 million, a significant increase from $37.1 million in the same period of 2023. This revenue primarily stems from net product sales and collaboration agreements. The detailed revenue breakdown is as follows:
| Revenue Source | Q3 2024 (in thousands) | Q3 2023 (in thousands) | Change (in thousands) |
|---|---|---|---|
| Net product sales | 61,001 | 33,932 | 27,069 |
| License and collaboration revenue | 1,897 | 3,163 | (1,266) |
| Total Revenue | 62,898 | 37,095 | 25,803 |
Product Sales Performance
Travere’s flagship product, FILSPARI, has shown remarkable growth in sales following its launch. For the nine months ended September 30, 2024, FILSPARI generated $82.6 million in revenue, compared to $14.5 million for the same period in 2023. The performance of key products is summarized below:
| Product | Q3 2024 Sales (in thousands) | Q3 2023 Sales (in thousands) | Change (in thousands) |
|---|---|---|---|
| FILSPARI | 35,619 | 8,044 | 27,575 |
| Tiopronin products | 25,382 | 25,888 | (506) |
| Total Net Product Sales | 61,001 | 33,932 | 27,069 |
Operating Expenses
Operating expenses for the company have also been significant, totaling $119.0 million for the three months ended September 30, 2024, down from $129.7 million in the prior year. The breakdown of these expenses is as follows:
| Expense Category | Q3 2024 (in thousands) | Q3 2023 (in thousands) | Change (in thousands) |
|---|---|---|---|
| Cost of goods sold | 1,626 | 1,289 | 337 |
| Research and development | 51,679 | 60,590 | (8,911) |
| Selling, general and administrative | 65,619 | 67,801 | (2,182) |
| Total Operating Expenses | 119,047 | 129,680 | (10,633) |
Financial Position
As of September 30, 2024, Travere Therapeutics reported cash and cash equivalents of $36.4 million and marketable debt securities valued at $241.0 million. The company’s accumulated deficit stood at $(1,386.9) million, reflecting significant historical losses. The company’s stockholders' equity was $(30.5) million, indicating a deficit position.
| Financial Metric | Value (in thousands) |
|---|---|
| Cash and cash equivalents | 36,409 |
| Marketable debt securities | 241,030 |
| Accumulated deficit | (1,386,903) |
| Stockholders' equity | (30,454) |
Debt Obligations
The company has significant convertible debt obligations totaling $378.6 million as of September 30, 2024. This debt is critical to financing ongoing operations and supporting product development. The company’s liquidity position and ability to manage these obligations will be essential for its continued operations.
Strategic Partnerships
Travere has entered into multiple collaboration agreements, including a significant partnership with CSL Vifor, which provides opportunities for revenue through licensing and collaboration. Under this agreement, Travere may receive up to $845 million in potential milestone payments and royalties based on product sales.
Research and Development Pipeline
Travere is advancing its pipeline, particularly focusing on the development of pegtibatinase for HCU, with expectations of continued investment in research and development activities. The company anticipates significant future milestone payments and royalties from both FILSPARI and pegtibatinase.
| Pipeline Product | Status | Potential Milestones (in millions) |
|---|---|---|
| FILSPARI | Marketed | N/A |
| Peg tibatinase | Phase 3 | Up to 427 |
Market Trends and Future Outlook
Travere operates in a growing market for rare diseases, with increasing demand for innovative therapies. The company’s focus on expanding its product offerings and pipeline will be crucial in maintaining growth and improving financial performance.
How Travere Therapeutics, Inc. (TVTX) Makes Money
Product Revenues
Travere Therapeutics generates revenue primarily through the sale of its pharmaceutical products. The company's flagship product, FILSPARI (sparsentan), launched in February 2023, has significantly increased sales. For the three months ended September 30, 2024, net product sales were as follows:
| Product | Three Months Ended September 30, 2024 (in thousands) | Three Months Ended September 30, 2023 (in thousands) | Change (in thousands) |
|---|---|---|---|
| FILSPARI | $35,619 | $8,044 | $27,575 |
| Tiopronin Products | $25,382 | $25,888 | ($506) |
| Total Net Product Revenues | $61,001 | $33,932 | $27,069 |
For the nine months ended September 30, 2024, total net product revenues were $153,161, compared to $87,621 for the same period in 2023, reflecting a significant increase driven by FILSPARI sales growth.
License and Collaboration Revenues
In addition to product sales, Travere earns revenue from licensing agreements and collaborations. For the three months ended September 30, 2024, license and collaboration revenue was:
| Period | License and Collaboration Revenue (in thousands) |
|---|---|
| Q3 2024 | $1,897 |
| Q3 2023 | $3,163 |
The decrease in license revenue for Q3 2024 compared to Q3 2023 is attributed to reduced collaboration revenue from the CSL Vifor License Agreement, which reflects clinical development activities. For the nine months ended September 30, 2024, total license and collaboration revenue was $5,227, down from $12,558 in the same period of 2023.
Collaboration Agreements
Travere has several collaboration agreements that enhance its revenue potential:
- CSL Vifor License Agreement: Upfront payment of $55 million and potential milestone payments totaling $845 million, along with tiered royalties up to 40% on net sales of sparsentan in licensed territories.
- Renalys License Agreement: Received a non-refundable upfront payment and potential up to $120 million in development and sales-based milestones, plus tiered royalties on net sales of sparsentan in certain Asian countries.
Financial Performance Metrics
For the three and nine months ended September 30, 2024, Travere reported the following financial metrics:
| Metric | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| Total Revenue | $62,898 | $37,095 | $25,803 |
| Operating Loss | ($56,149) | ($92,585) | $36,436 |
| Net Loss | ($54,811) | $150,735 | ($205,546) |
Operating Expenses
Operating expenses for the three months ended September 30, 2024, totaled $119,047, compared to $129,680 in Q3 2023. Key components included:
| Expense Type | Q3 2024 (in thousands) | Q3 2023 (in thousands) |
|---|---|---|
| Cost of Goods Sold | $1,626 | $1,289 |
| Research and Development | $51,679 | $60,590 |
| Selling, General and Administrative | $65,619 | $67,801 |
Cash Flow and Liquidity
As of September 30, 2024, Travere had cash and cash equivalents of $36.4 million and marketable debt securities valued at $241 million. The company's accumulated deficit stood at $1,386,903, while total liabilities and stockholders' equity were $504,410. The net working capital was $134,702, reflecting current assets exceeding current liabilities.
Overall, Travere Therapeutics, Inc. continues to build its revenue streams through product sales and strategic collaborations while managing its operating expenses and cash flow effectively.
Travere Therapeutics, Inc. (TVTX) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Article updated on 8 Nov 2024
Resources:
- Travere Therapeutics, Inc. (TVTX) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Travere Therapeutics, Inc. (TVTX)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Travere Therapeutics, Inc. (TVTX)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.