Xeris Biopharma Holdings, Inc. (NASDAQ:XERS) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. Xeris Biopharma Holdings, Inc., a commercial-stage biopharmaceutical company, engages in developing and commercializing therapies for chronic endocrine and neurological diseases in Illinois. On 31 December 2024, the US$663m market-cap company posted a loss of US$55m for its most recent financial year. Many investors are wondering about the rate at which Xeris Biopharma Holdings will turn a profit, with the big question being “when will the company breakeven?” We've put together a brief outline of industry analyst expectations for the company, its year of breakeven and its implied growth rate.
According to the 6 industry analysts covering Xeris Biopharma Holdings, the consensus is that breakeven is near. They expect the company to post a final loss in 2025, before turning a profit of US$17m in 2026. Therefore, the company is expected to breakeven just over a year from today. How fast will the company have to grow each year in order to reach the breakeven point by 2026? Working backwards from analyst estimates, it turns out that they expect the company to grow 60% year-on-year, on average, which is rather optimistic! Should the business grow at a slower rate, it will become profitable at a later date than expected.
Given this is a high-level overview, we won’t go into details of Xeris Biopharma Holdings' upcoming projects, though, take into account that generally pharmaceuticals, depending on the stage of product development, have irregular periods of cash flow. So, a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.
See our latest analysis for Xeris Biopharma Holdings
One thing we would like to bring into light with Xeris Biopharma Holdings is it currently has negative equity on its balance sheet. Accounting methods used to deal with losses accumulated over time can cause this to occur. This is because liabilities are carried forward into the future until it cancels. Oftentimes, losses exist only on paper but other times, it can be a red flag.
There are too many aspects of Xeris Biopharma Holdings to cover in one brief article, but the key fundamentals for the company can all be found in one place – Xeris Biopharma Holdings' company page on Simply Wall St. We've also compiled a list of pertinent aspects you should look at:
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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