ADC Therapeutics SA reported its financial results for the three and nine months ended September 30, 2024, showing notable changes in revenue, expenses, and overall financial health compared to the previous fiscal period.

For the third quarter of 2024, total revenue reached $18.5 million, a 27.4% increase from $14.5 million in the same period of 2023. Product revenues also rose to $18.0 million, up from $14.3 million, reflecting a 26.3% increase. For the nine-month period, total revenue was $53.9 million, a slight increase from $52.8 million in 2023. Product revenues for the nine months were $52.9 million, compared to $52.4 million in the prior year.

Despite the revenue growth, ADC Therapeutics reported a net loss of $44.0 million for the third quarter, an improvement from a net loss of $46.7 million in the same quarter of 2023. For the nine months ended September 30, 2024, the net loss was $127.1 million, down from $155.0 million in the previous year. The loss per share for the third quarter improved to $(0.42) from $(0.57), and for the nine months, it decreased to $(1.35) from $(1.90).

Total operating expenses for the third quarter increased to $54.0 million from $50.6 million in 2023, while for the nine months, expenses decreased to $152.1 million from $178.8 million, indicating a 14.9% reduction. Research and development expenses for the third quarter rose to $32.5 million, up from $27.1 million, driven by increased spending on ADCT-601 and preclinical candidates. However, R&D expenses for the nine months decreased to $82.5 million from $96.8 million, primarily due to reduced spending on discontinued programs.

The company’s total assets as of September 30, 2024, were $349.1 million, down from $354.8 million at the end of 2023. Total liabilities increased to $521.0 million from $503.0 million, resulting in a shareholders' equity deficit of $(171.9) million, compared to $(148.2) million at the end of 2023.

ADC Therapeutics also reported cash and cash equivalents of $274.3 million as of September 30, 2024, a decrease from $278.6 million at the beginning of the period. The company generated $98.2 million in net cash from financing activities, primarily from an equity offering completed in May 2024, which raised approximately $97.4 million after transaction costs.

Strategically, ADC Therapeutics continues to focus on the commercialization of its flagship product, ZYNLONTA, and is exploring expansion into earlier lines of therapy. The company has also formed a joint venture with Overland Pharmaceuticals to develop ZYNLONTA in greater China and Singapore, although its equity investment in this venture has been reduced to zero due to recognized losses.