VERU - Veru hits 52-week low after massive Q1 revenue miss
Veru Inc. ( NASDAQ: VERU ) shares lost ~20% in the morning hours Thursday to reach a 52-week low after falling short of Street forecasts for its Q1 FY23 results, particularly in relation to revenue.
The maker of FC2 Female Condom reported $2.5M in revenue for the quarter with a ~82% YoY drop, while the analysts expected the company to report ~$5.1M in revenue.
On plans to seek emergency use nod for its COVID-19 therapy sabizabulin from global regulatory agencies, CEO Mitchell Steiner said: “Our U.S. and international commercial teams are on standby.”
“As we await regulatory decisions, we have implemented measures to prudently conserve our cash, and we will provide an update once we are able to determine our path forward,” he added, indicating potential cost-saving measures ahead.
Steiner said that measures are in place to increase revenues from its sexual health program, “which appears to be successful as Q2 FY 2023 sales are significantly improving.”
However, with a ~475% YoY rise, Veru ( VERU ) reported a $36.8M net loss for the period as SG&A expenses climbed ~161% YoY $17.5M and cash and cash equivalents fell ~42% from the end of FY22 to $46.9M.
Seeking Alpha contributor The Outsider thinks that Veru’s ( VERU ) “investment thesis is highly geared to growth opportunities, especially related to Covid-19 treatment.”
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Veru hits 52-week low after massive Q1 revenue miss