Overview
Oncology company's Q4 revenue slightly beat analyst expectations
Adjusted EBITDA for Q4 was negative, reflecting investments in clinical trials
Company received FDA approval for Optune Pax for pancreatic cancer
Outlook
Novocure projects 2026 net revenues between $675 mln and $705 mln
Company expects adjusted EBITDA for 2026 between $(20) mln and $0 mln
Novocure anticipates mid-70's percent gross margin for 2026
Result Drivers
REVENUE GROWTH - Q4 revenue rose 8% year-over-year, driven by increased active patients on therapy
FDA APPROVAL - Optune Pax approved by FDA for pancreatic cancer, marking a significant milestone
GROSS MARGIN DECLINE - Gross margin fell to 76% due to costs from new product rollouts and tariffs
Company press release: ID:nBw2pJXQZa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | Slight Beat* | $174.35 mln | $173.35 mln (7 Analysts) |
Q4 Net Income | -$24.50 mln | ||
Q4 Gross Profit | $132.19 mln | ||
Q4 Operating Income | -$40.39 mln | ||
Q4 Pretax Profit | -$40.95 mln |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the medical equipment, supplies & distribution peer group is "buy"
Wall Street's median 12-month price target for Novocure Ltd is $24.00, about 60.1% above its February 25 closing price of $14.99
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)