Heron Therapeutics Reports $13.6M Net Loss, 13.6% Revenue Growth in 2024

Heron Therapeutics, Inc. reported a net loss of $13.6 million for the fiscal year ending December 31, 2024, a significant improvement compared to a net loss of $110.6 million in 2023. The company’s revenue from net product sales reached $144.3 million, marking a 13.6% increase from $127.0 million in the previous year. This growth was primarily driven by a 57.3% increase in acute care product sales, particularly from ZYNRELEF and APONVIE, which was commercially launched in March 2023. Oncology product sales also saw a modest increase of 5.8%, totaling $114.2 million.

The company experienced a notable reduction in the cost of product sales, which decreased by 40.6% to $38.6 million, primarily due to a decrease in inventory reserves and improved production efficiencies. As a result, the gross profit for the year was $105.6 million, compared to $61.9 million in 2023. Operating expenses, however, remained substantial, totaling $117.2 million, but this was a decrease from $172.6 million in the prior year, reflecting the impact of restructuring efforts that reduced headcount and operational costs.

Strategically, Heron entered into a co-promotion agreement with Crosslink Network in January 2024 to enhance the marketing of ZYNRELEF for orthopedic indications. The company also reported a total employee headcount of 122 as of December 31, 2024, down from previous years due to restructuring initiatives aimed at streamlining operations. The company’s cash, cash equivalents, and short-term investments stood at $59.3 million at year-end, which management believes will be sufficient to meet anticipated cash requirements for at least the next year.

Looking ahead, Heron Therapeutics faces ongoing challenges, including the need to refinance $175.5 million in current indebtedness and the potential impact of competitive pressures from generic drug manufacturers. The company is also involved in multiple patent litigations concerning its products, which could affect its market position and financial performance. Despite these challenges, management remains focused on executing its commercialization strategy and expanding its product offerings, particularly in the acute care and oncology markets.