Kiniksa Pharmaceuticals Reports 74% Increase in Product Revenue, Net Loss Widens in Q3 2024

Kiniksa Pharmaceuticals International, plc, a commercial-stage biopharmaceutical company, reported significant financial developments in its 10-Q filing for the third quarter of 2024. The company, which focuses on therapeutic medicines for cardiovascular and autoimmune conditions, experienced a notable increase in product revenue, primarily driven by sales of its drug ARCALYST. For the three months ended September 30, 2024, product revenue reached $112.2 million, up from $64.8 million in the same period of 2023, marking an increase of $47.4 million. Total revenue for the quarter also rose to $112.2 million from $67.0 million year-over-year.

Despite the revenue growth, Kiniksa reported a net loss of $12.7 million for Q3 2024, a slight improvement from a net loss of $13.9 million in Q3 2023. For the nine months ended September 30, 2024, the net loss increased to $34.3 million, compared to $11.2 million for the same period in 2023. The increase in losses was attributed to higher operating expenses, which totaled $121.9 million for Q3 2024, up from $78.0 million in Q3 2023, and $327.0 million for the nine months ended September 30, 2024, compared to $212.1 million in the prior year.

The company's accumulated deficit as of September 30, 2024, stood at $512.3 million, up from $478.0 million at the end of 2023. Total assets increased to $555.3 million from $526.3 million, while total current assets rose to $311.3 million from $276.3 million. Kiniksa's cash, cash equivalents, and short-term investments totaled $223.8 million, which the company expects will be sufficient to fund operations for at least the next 12 months.

Strategically, Kiniksa completed its redomiciliation from Bermuda to the United Kingdom in June 2024, which subjects the company to UK taxation. The company has also incurred significant expenses related to the technology transfer of ARCALYST drug substance manufacturing, amounting to $12.5 million for the nine months ended September 30, 2024, compared to $1.7 million in the same period of 2023.

Kiniksa's collaboration agreements, particularly with Genentech and Huadong, continue to play a crucial role in its revenue generation. The company recognized $5.3 million in collaboration revenue for the nine months ended September 30, 2024, primarily from development milestones under the Genentech License Agreement. The total contingent payments eligible under this agreement amount to approximately $600 million, with $570 million remaining as of the reporting date.