10-Q - DELCATH SYSTEMS, INC. (0000872912) (Filer)

Tue, May 14, 1:16 PM (206 days ago)

Delcath Systems, Inc. reported its financial results for the quarter ended March 31, 2024. The company saw a significant increase in total revenue, primarily attributed to the commercial launch of HEPZATO KIT in the U.S. and increased demand for CHEMOSAT in Europe. Total revenues rose to $3.139 million from $597,000 in the corresponding quarter of the previous year. The cost of goods sold also increased in line with higher product demand. The operating loss widened to $10.278 million from $8.325 million year-over-year, driven by higher operating expenses, particularly in selling, general, and administrative expenses, which nearly doubled due to activities supporting the commercial launch of HEPZATO. Research and development expenses decreased slightly due to lower costs associated with NDA submission offset by increased costs in medical affairs and regulatory activities. Net loss for the quarter deepened to $11.111 million from $9.000 million in the prior-year period, influenced by increased operating expenses and higher interest and other expenses, despite higher revenue. Delcath ended the quarter with $11.8 million in cash, cash equivalents, and restricted cash, and $15.4 million in short-term investments. The company highlighted a need for additional capital to support ongoing operations and potential delays in site activations for administering HEPZATO, indicating a risk regarding its ability to continue as a going concern without securing further financing.