Madrigal Pharmaceuticals Reports Significant Financial Developments, Achieves $62.2M in Product Revenue for Q3 2024

Madrigal Pharmaceuticals, Inc. reported significant financial developments in its 10-Q filing for the quarter ending September 30, 2024. The company, focused on developing therapeutics for nonalcoholic steatohepatitis (NASH), achieved product revenue of $62.2 million for the three months ended September 30, 2024, a substantial increase from $0 in the same period of 2023. This revenue is attributed to the commercial launch of its FDA-approved product, Rezdiffra (resmetirom), which became available in the U.S. in April 2024.

Total operating expenses for the third quarter of 2024 were $178.5 million, up from $98.5 million in the prior year, reflecting increased costs associated with the product launch and higher headcount. The loss from operations for the quarter was $(116.3) million, compared to $(98.5) million in the same quarter of 2023. The net loss for the third quarter of 2024 was $(107.0) million, slightly higher than the $(98.7) million loss reported in the same quarter of the previous year. Basic and diluted net loss per share improved to $(4.92) from $(5.34) year-over-year.

For the nine months ended September 30, 2024, Madrigal reported a net loss of $(406.5) million, compared to $(261.4) million for the same period in 2023. Total operating expenses for the nine months increased to $507.7 million from $263.3 million in the prior year, driven by the commercialization efforts for Rezdiffra.

The company’s total current assets rose to $1.1 billion as of September 30, 2024, up from $637.3 million at the end of 2023, primarily due to increased cash and cash equivalents, which reached $232.7 million, and marketable securities, which increased to $765.9 million. Total stockholders’ equity also saw a significant rise to $777.2 million from $405.3 million at the end of 2023.

Madrigal's financing activities included a public offering in March 2024, generating approximately $574.0 million in net proceeds, followed by an additional $85.9 million from underwriters exercising their option to purchase additional shares. The company has indicated that its cash resources are sufficient to fund operations for over a year, although future liquidity needs will be substantial, contingent on the successful commercialization of Rezdiffra.

The company has also entered into a $250.0 million Loan Facility, with $115.0 million outstanding as of September 30, 2024. The interest rate on this facility was reported at 10.45%. The company remains in compliance with all loan covenants and provisions.

Overall, Madrigal Pharmaceuticals is navigating a critical phase of growth and commercialization, with its financial performance reflecting the early stages of revenue generation from its newly launched product.