Scilex Holding Company Provides Certain Preliminary Unaudited Financial Results for the Month Ended July 31, 2024

Rhea-AI Summary

Scilex Holding Company (Nasdaq: SCLX) has released preliminary unaudited financial results for July 31, 2024, showing significant growth in sales. ZTlido net sales for the month were estimated between $4.0 million to $5.0 million, representing a 48% to 85% increase compared to the same period last year. Total product net sales ranged from $4.3 million to $5.3 million, indicating a 54% to 89% growth year-over-year. These figures demonstrate Scilex's continuous sales growth, particularly in its ZTlido product line, as the company enters the third quarter of 2024. However, it's important to note that these are preliminary estimates and may be subject to change upon final review and audit.

Positive

• ZTlido net sales increased by 48% to 85% year-over-year
• Total product net sales grew by 54% to 89% compared to the same period last year
• Continuous sales growth in ZTlido product line

Negative

• None.

Insights

Financial Analyst

As a financial analyst, I find Scilex Holding Company's preliminary unaudited financial results for July 2024 quite promising. The company's flagship product, ZTlido®, showed remarkable growth, with net sales ranging from $4.0 million to $5.0 million, representing a year-over-year increase of 48% to 85%. This substantial growth indicates strong market demand and effective sales strategies.

The total product net sales, ranging from $4.3 million to $5.3 million, demonstrate even more impressive growth of 54% to 89% compared to the same period last year. This suggests that Scilex's other products are also contributing positively to the company's revenue stream.

However, it's important to note that these are preliminary, unaudited results for a single month. While the growth is impressive, investors should be cautious about extrapolating these results to predict long-term performance. Monthly fluctuations can occur due to various factors and a broader timeframe would provide a more reliable indicator of the company's financial health.

Additionally, the wide ranges provided ($4.0-$5.0 million for ZTlido® and $4.3-$5.3 million for total product net sales) suggest some uncertainty in the final figures. Investors should wait for the audited results and look for consistency in growth over multiple quarters before drawing definitive conclusions about the company's financial trajectory.

Overall, while these preliminary results are encouraging, they should be viewed as a positive indicator rather than a guarantee of future performance. The company's focus on non-opioid pain management products positions it well in a growing market, but as with any pharmaceutical company, factors such as regulatory approvals, competition and market dynamics will play important roles in its long-term success.

Market Research Analyst

From a market research perspective, Scilex Holding Company's preliminary results for July 2024 offer intriguing insights into the non-opioid pain management market. The significant growth in ZTlido® sales, ranging from 48% to 85% year-over-year, suggests a strong and growing demand for non-opioid pain management solutions.

This trend aligns with the broader shift in the healthcare industry towards alternatives to opioids for pain management, driven by increasing awareness of opioid addiction risks and stricter regulations. Scilex's focus on this niche positions them favorably in a market with substantial growth potential.

The even higher growth rate in total product net sales (54% to 89%) indicates that Scilex's diversification strategy with products like ELYXYB® and Gloperba® is paying off. This multi-product approach can help mitigate risks associated with reliance on a single product and may provide more stable revenue streams in the long term.

However, it's important to note that this data represents only one month of sales. To gain a comprehensive understanding of Scilex's market position and growth trajectory, we would need to analyze:

• Longer-term sales trends across multiple quarters
• Market share data compared to competitors
• Geographic sales distribution
• Prescription data and healthcare provider adoption rates
• Patient satisfaction and efficacy data

Additionally, factors such as changes in insurance coverage, new product launches by competitors and evolving pain management guidelines could significantly impact future performance. While these preliminary results are promising, a more comprehensive market analysis would be necessary to accurately forecast Scilex's long-term prospects in the competitive pharmaceutical landscape.

• ZTlido net sales for the month ended July 31, 2024 were in the range of $4.0 million to $5.0 million, compared to $2.7 million for the same period last year, representing growth in the range of approximately 48% to 85%.
  
• Total product net sales for the month ended July 31, 2024 were in the range of $4.3 million to $5.3 million, compared to $2.8 million for the same period last year, representing growth in the range of approximately 54% to 89%.
  

PALO ALTO, Calif., Aug. 01, 2024 (GLOBE NEWSWIRE) -- Scilex Holding Company (Nasdaq: SCLX, “Scilex” or the “Company”), an innovative revenue-generating company focused on acquiring, developing and commercializing non-opioid pain management products for the treatment of acute and chronic pain, today provided certain preliminary unaudited financial results for the month ended July 31, 2024. Scilex generates continuous sales growth in ZTlido^® going into third quarter of 2024 with preliminary net sales for ZTlido^® in the range of $4.0 million to $5.0 million.

The Company estimates that:

• ZTlido net sales for the month ended July 31, 2024 were in the range of $4.0 million to $5.0 million, compared to $2.7 million for the same period last year, representing growth in the range of approximately 48% to 85%.
  
• Total product net sales for the month ended July 31, 2024 were in the range of $4.3 million to $5.3 million, compared to $2.8 million for the same period last year, representing growth in the range of approximately 54% to 89%.
  

This preliminary financial data has been prepared by and is the responsibility of Scilex. Scilex has not fully completed its review of these preliminary financial results for the month ended July 31, 2024. Scilex’s independent auditor has not reviewed or audited these preliminary estimated financial results. Scilex’s actual results may differ materially from these preliminary financial results and may be outside the estimated ranges.

For more information on Scilex Holding Company, refer to www.scilexholding.com

For more information on Scilex Holding Company Sustainability Report, refer to www.scilexholding.com/investors/sustainability

For more information on ZTlido^® including Full Prescribing Information, refer to www.ztlido.com.

For more information on ELYXYB^®, including Full Prescribing Information, refer to www.elyxyb.com.

For more information on Gloperba^®, including Full Prescribing Information, refer to www.gloperba.com.

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info@scilexholding.com

About Scilex Holding Company

Scilex Holding Company is an innovative revenue-generating company focused on acquiring, developing and commercializing non-opioid pain management products for the treatment of acute and chronic pain. Scilex targets indications with high unmet needs and large market opportunities with non-opioid therapies for the treatment of patients with acute and chronic pain and are dedicated to advancing and improving patient outcomes. Scilex’s commercial products include: (i) ZTlido^® (lidocaine topical system) 1.8%, a prescription lidocaine topical product approved by the U.S. Food and Drug Administration (the “FDA”) for the relief of neuropathic pain associated with postherpetic neuralgia, which is a form of post-shingles nerve pain; (ii) ELYXYB^®, a potential first-line treatment and the only FDA-approved, ready-to-use oral solution for the acute treatment of migraine, with or without aura, in adults; and (iii) Gloperba^®, the first and only liquid oral version of the anti-gout medicine colchicine indicated for the prophylaxis of painful gout flares in adults.

In addition, Scilex has three product candidates: (i) SP-102 (10 mg, dexamethasone sodium phosphate viscous gel) (“SEMDEXA^TM” or “SP-102”), a novel, viscous gel formulation of a widely used corticosteroid for epidural injections to treat lumbosacral radicular pain, or sciatica, for which Scilex has completed a Phase 3 study and was granted Fast Track status from the FDA in 2017; (ii) SP-103 (lidocaine topical system) 5.4%, (“SP-103”), a next-generation, triple-strength formulation of ZTlido, for the treatment of chronic neck pain and for which Scilex has recently completed a Phase 2 trial in low back pain. SP-103 has been granted Fast Track status from the FDA in low back pain; and (iii) SP-104 (4.5 mg, low-dose naltrexone hydrochloride delayed-release capsules) (“SP-104”), a novel low-dose delayed-release naltrexone hydrochloride being developed for the treatment of fibromyalgia, for which Phase 1 trials were completed in the second quarter of 2022.

Scilex Holding Company is headquartered in Palo Alto, California.

Forward-Looking Statements

This press release and any statements made for and during any presentation or meeting concerning the matters discussed in this press release contain forward-looking statements related to Scilex and its subsidiaries under the safe harbor provisions of Section 21E of the Private Securities Litigation Reform Act of 1995 and are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Forward-looking statements include statements regarding the Company’s preliminary unaudited financial results for the month ended July 31, 2024, the Company’s outlook, goals and expectations for 2024, and the Company’s development and commercialization plans.  

Risks and uncertainties that could cause Scilex’s actual results to differ materially and adversely from those expressed in our forward-looking statements, include, but are not limited to: risks associated with the unpredictability of trading markets and whether a market will be established for Scilex’s common stock; general economic, political and business conditions; risks related to COVID-19 (and other similar disruptions); the risk that the potential product candidates that Scilex develops may not progress through clinical development or receive required regulatory approvals within expected timelines or at all; risks relating to uncertainty regarding the regulatory pathway for Scilex’s product candidates; the risk that Scilex will be unable to successfully market or gain market acceptance of its product candidates; the risk that Scilex’s product candidates may not be beneficial to patients or successfully commercialized; the risk that Scilex has overestimated the size of the target patient population, their willingness to try new therapies and the willingness of physicians to prescribe these therapies; risks that the outcome of the trials and studies for SP-102, SP-103 or SP-104 may not be successful or reflect positive outcomes; risks that the prior results of the clinical and investigator-initiated trials of SP-102 (SEMDEXA™), SP-103 or SP-104 may not be replicated; regulatory and intellectual property risks; and other risks and uncertainties indicated from time to time and other risks described in Scilex’s most recent periodic reports filed with the Securities and Exchange Commission, including Scilex’s Annual Report on Form 10-K for the year ended December 31, 2023 and subsequent Quarterly Reports on Form 10-Q that the Company has filed or may file, including the risk factors set forth in those filings. Investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release, and Scilex undertakes no obligation to update any forward-looking statement in this press release except as may be required by law.

Contacts:

Investors and Media
Scilex Holding Company
960 San Antonio Road
Palo Alto, CA 94303
Office: (650) 516-4310

Email: investorrelations@scilexholding.com

Website: www.scilexholding.com

SEMDEXA™ (SP-102) is a trademark owned by Semnur Pharmaceuticals, Inc., a wholly-owned subsidiary of Scilex Holding Company. A proprietary name review by the FDA is planned.

ZTlido^® is a registered trademark owned by Scilex Pharmaceuticals Inc., a wholly-owned subsidiary of Scilex Holding Company.

Gloperba^® is the subject of an exclusive, transferable license to Scilex Holding Company to use the registered trademark.

ELYXYB^® is a registered trademark owned by Scilex Holding Company.

All other trademarks are the property of their respective owners.

© 2024 Scilex Holding Company All Rights Reserved.

FAQ

What were Scilex Holding Company's (SCLX) ZTlido net sales for July 31, 2024?

Scilex Holding Company's preliminary ZTlido net sales for July 31, 2024, were estimated between $4.0 million to $5.0 million.

How much did Scilex Holding Company's (SCLX) total product net sales grow in July 2024?

Scilex Holding Company's total product net sales for July 31, 2024, grew by approximately 54% to 89% compared to the same period last year.

What was the year-over-year growth rate for Scilex Holding Company's (SCLX) ZTlido sales in July 2024?

Scilex Holding Company's ZTlido sales for July 31, 2024, showed a year-over-year growth rate of approximately 48% to 85%.

Are the financial results reported by Scilex Holding Company (SCLX) for July 2024 final?

No, the financial results reported are preliminary unaudited estimates and may be subject to change upon final review and audit.