Eton Pharmaceuticals, Inc. Files 10-Q for Q1 2024

TL;DR

<b>Eton Pharmaceuticals filed its Q1 2024 10-Q, detailing financial positions and product-specific information.</b>

AI Summary

Eton Pharmaceuticals, Inc. (ETON) filed a Quarterly Report (10-Q) with the SEC on May 9, 2024. Eton Pharmaceuticals, Inc. filed a 10-Q report for the period ending March 31, 2024. The company's fiscal year ends on December 31. The filing includes data related to common stock, additional paid-in capital, and retained earnings. Specific product rights mentioned include Carglumic Acid, Betaine Anhydrous, Nitisinone, and PkuGolike. Customer concentration risk related to Anovorx is noted for both sales revenue and accounts receivable.

Why It Matters

For investors and stakeholders tracking Eton Pharmaceuticals, Inc., this filing contains several important signals. This filing provides a quarterly update on Eton Pharmaceuticals' financial health and operational activities, crucial for investors to assess performance. The disclosure of customer concentration risk for Anovorx highlights potential dependencies and revenue vulnerabilities.

Risk Assessment

Risk Level: medium — Eton Pharmaceuticals, Inc. shows moderate risk based on this filing. The company's financial performance and future prospects are subject to risks, including customer concentration for key products like Anovorx, which could impact revenue if a major customer is lost.

Analyst Insight

Investors should closely monitor Eton Pharmaceuticals' revenue streams, particularly those related to Anovorx, and assess the company's strategies for mitigating customer concentration risk.

Revenue Breakdown

Key Numbers

• 2024-03-31 — Period End Date (Quarterly report period)
• 2024-05-09 — Filing Date (Date the report was filed)
• 2024-01-01 — Quarter Start Date (Beginning of the reporting quarter)
• 2023-03-31 — Prior Year Quarter End (End of the comparable quarter in the previous year)

Key Players & Entities

• Eton Pharmaceuticals, Inc. (company) — Filer name
• 2024-03-31 (date) — Period of report
• 2024-05-09 (date) — Filed as of date
• DEER PARK (location) — Business address city
• IL (location) — Business address state
• 0001710340 (company) — Central Index Key
• Anovorx (product) — Customer concentration risk context
• SWK Holdings Corporation (company) — Related entity in credit agreement

FAQ

Risk Factors

• Customer Concentration Risk [medium — financial]: The company faces customer concentration risk related to Anovorx, impacting both sales revenue and accounts receivable.

Glossary

10-Q

A quarterly report required by the U.S. Securities and Exchange Commission (SEC). (Provides a comprehensive overview of a company's financial performance during a specific quarter.)

Customer Concentration Risk

The risk associated with having a small number of customers accounting for a large portion of revenue or accounts receivable. (Highlights potential revenue instability if key customers are lost or reduce their business.)

Key Financial Figures

• $0.001 — e on which registered Common stock, $0.001 par value per share ETON Nasdaq Glo

Filing Documents

• eton20240331_10q.htm (10-Q) — 700KB
• ex_619797.htm (EX-31.1) — 9KB
• ex_619798.htm (EX-31.2) — 9KB
• ex_619799.htm (EX-32.1) — 6KB
• 0001437749-24-015697.txt (&nbsp;) — 4706KB
• eton-20240331.xsd (EX-101.SCH) — 46KB
• eton-20240331_cal.xml (EX-101.CAL) — 30KB
• eton-20240331_def.xml (EX-101.DEF) — 367KB
• eton-20240331_lab.xml (EX-101.LAB) — 336KB
• eton-20240331_pre.xml (EX-101.PRE) — 392KB
• eton20240331_10q_htm.xml (XML) — 536KB

Financial Statements

Financial Statements 1 Condensed Balance Sheets as of March 31, 2024 (unaudited) and December 31, 2023 1 Unaudited Condensed Statements of Operations for the three months ended March 31, 2024 and 2023 2 Unaudited Condensed Statements of Stockholders' Equity for the three months ended March 31, 2024 and 2023 3 Unaudited Condensed Statements of Cash Flows for the three months ended March 31, 2024 and 2023 4 Notes to Condensed Financial Statements 5 2

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 21 3

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 25 4

Controls and Procedures

Controls and Procedures 26 II OTHER INFORMATION 27 1

Legal Proceedings

Legal Proceedings 27 1A

Risk Factors

Risk Factors 27 2 Unregistered Sales of Equity Securities and Use of Proceeds 27 3 Defaults Upon Senior Securities 27 4 Mine Safety Disclosures 27 5 Other Information 27 6 Exhibits 27 Exhibit Index 28

Signatures

Signatures 29 i Table of Contents

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements Eton Pharmaceuticals, Inc. Condensed Balance Sheets (in thousands, except share and per share amounts) March 31, 2024 December 31, 2023 (Unaudited) Assets Current assets: Cash and cash equivalents $ 16,655 $ 21,388 Accounts receivable, net 4,240 3,411 Inventories 2,318 911 Prepaid expenses and other current assets 1,050 1,129 Total current assets 24,263 26,839 Property and equipment, net 57 58 Intangible assets, net 6,388 4,739 Operating lease right-of-use assets, net 74 92 Other long-term assets, net 12 12 Total assets $ 30,794 $ 31,740 Liabilities and stockholders' equity Current liabilities: Accounts payable $ 2,263 $ 1,848 Debt, net of unamortized discount 5,020 5,380 Accrued liabilities 8,017 9,013 Total current liabilities 15,300 16,241 Operating lease liabilities, net of current portion — 22 Total liabilities 15,300 16,263 Commitments and contingencies (Note 11) Stockholders' equity Common stock, $ 0.001 par value; 50,000,000 shares authorized; 25,690,562 and 25,688,062 shares issued and outstanding at March 31, 2024 and December 31, 2023, respectively 26 26 Additional paid-in capital 120,349 119,521 Accumulated deficit ( 104,881 ) ( 104,070 ) Total stockholders' equity 15,494 15,477 Total liabilities and stockholders' equity $ 30,794 $ 31,740 The accompanying notes are an integral part of these condensed financial statements. 1 Table of Contents Eton Pharmaceuticals, Inc. Condensed Statements of Operations (In thousands, except per share amounts) (Unaudited) For the three months ended March 31, March 31, 2024 2023 Revenues: Licensing revenue $ — $ — Product sales and royalties 7,966 5,304 Total net revenues 7,966 5,304 Cost of sales: Licensing revenue — — Product sales and royalties 2,959 1,958 Total cost of sales 2,959 1,958 Gross profit 5,007 3,346 Operating expenses:

View Full Filing

View this 10-Q filing on SEC EDGAR