Eton Pharmaceuticals, Inc. reported significant financial developments in its 10-Q filing for the quarter ending September 30, 2024. The company achieved total net revenues of $10.3 million for Q3 2024, marking a 46.5% increase from $7.0 million in Q3 2023. For the nine-month period, revenues rose to $27.4 million from $24.3 million year-over-year. This growth was primarily driven by increased sales of ALKINDI SPRINKLE® and Carglumic Acid, alongside new contributions from Nitisinone and PKU GOLIKE®, which were launched in 2024.

Gross profit for Q3 2024 was reported at $6.3 million, up from $4.4 million in the same quarter of the previous year. However, total operating expenses also increased to $5.8 million from $5.0 million, leading to an income from operations of $509,000, a turnaround from a loss of $548,000 in Q3 2023. The net income for the quarter was $627,000, compared to a net loss of $579,000 in the prior year, resulting in a net income per share of $0.02 versus a loss of $0.02 per share in Q3 2023.

Despite the positive quarterly performance, Eton reported a net loss of $3.2 million for the nine months ended September 30, 2024, a decline from a net income of $1.3 million during the same period in 2023. This shift was attributed to a decrease in licensing revenue following the sale of royalty interests in June 2023.

Eton's total assets increased to $35.8 million as of September 30, 2024, up from $31.7 million at the end of 2023. Cash and cash equivalents decreased slightly to $20.3 million from $21.4 million, while accounts receivable rose significantly to $5.6 million from $3.4 million, reflecting higher sales volumes. The company’s total current liabilities also increased to $19.7 million from $16.2 million.

Strategically, Eton has been active in expanding its product portfolio through acquisitions. Notably, the company entered into an Asset Purchase Agreement to acquire Increlex® for $22.5 million, with additional payments contingent on future milestones. This acquisition is expected to close by year-end 2024, with plans for immediate commercialization in the U.S. Eton has also made several other acquisitions in recent years, enhancing its offerings in rare disease treatments.

Overall, Eton Pharmaceuticals is navigating a period of growth in revenue and product offerings, despite facing challenges in profitability over the longer term.