ARS Pharmaceuticals (NASDAQ:SPRY) Releases Quarterly Earnings Results, Misses Estimates By $0.06 EPS

Key Points

• ARS Pharmaceuticals missed quarterly estimates: It reported a loss of $0.36 per share, $0.06 worse than consensus, and revenue of $37.71 million versus estimates of $41.99 million.
• Neffy demand and market share grew, but converting prescriptions into sales remains a challenge. End-user demand rose 42% year over year and market share topped 5%; management cited prior authorizations and inventory timing as factors affecting revenue.
• Management reaffirmed its target to reach cash flow breakeven by year-end 2027 and reported $138.4 million in cash, cash equivalents, and short-term investments at quarter-end.

ARS Pharmaceuticals (NASDAQ:SPRY - Get Free Report) posted its quarterly earnings results on Thursday. The company reported ($0.36) earnings per share for the quarter, missing analysts' consensus estimates of ($0.30) by ($0.06), FiscalAI reports. ARS Pharmaceuticals had a negative return on equity of 256.67% and a negative net margin of 184.24%. The business had revenue of $37.71 million for the quarter, compared to analyst estimates of $41.99 million.

Here are the key takeaways from ARS Pharmaceuticals' conference call:

• Neffy continued to gain market share: Q3 U.S. net product revenue was $33.4 million, while end-user demand rose 42% year over year. Total market share exceeded 5%, and share in field-targeted accounts increased to 9% from 6% a year earlier.
• Management reaffirmed its year-end 2027 cash flow breakeven target after cutting Q3 SG&A by more than 40% versus the first-half quarterly average. The company ended the quarter with $138.4 million in cash, cash equivalents, and short-term investments.
• ARS-2 could expand the platform into chronic spontaneous urticaria: The Phase IIb trial is evaluating two doses, with interim data expected in Q1 2027 and full results later in the year. The company says an existing commercial team could support a potential on-demand treatment for breakthrough flares.
• Prescription-to-fill conversion and revenue remain execution challenges. Management cited prior authorizations as a major point of prescription drop-off; despite 42% demand growth, Q3 neffy revenue increased to $33.4 million from $31.3 million a year earlier, with inventory timing contributing to the gap. Gross-to-net remains around 50%.

ARS Pharmaceuticals Trading Down 13.1%

Shares of ARS Pharmaceuticals stock traded down $0.40 during mid-day trading on Thursday, hitting $2.65. The stock had a trading volume of 2,768,594 shares, compared to its average volume of 1,788,878. The firm has a 50-day moving average of $4.36 and a two-hundred day moving average of $7.26. ARS Pharmaceuticals has a 12-month low of $2.59 and a 12-month high of $13.15. The company has a quick ratio of 3.28, a current ratio of 3.48 and a debt-to-equity ratio of 13.72. The firm has a market cap of $263.54 million, a P/E ratio of -1.22 and a beta of 0.98.

Wall Street Analyst Weigh In

A number of analysts have commented on SPRY shares. Weiss Ratings downgraded shares of ARS Pharmaceuticals from a "sell (d-)" rating to a "sell (e+)" rating in a report on Monday, August 17th. Leerink Partners set a $15.00 target price on ARS Pharmaceuticals in a report on Tuesday, September 8th. Three research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, ARS Pharmaceuticals presently has a consensus rating of "Hold" and a consensus target price of $23.33.

About ARS Pharmaceuticals

ARS Pharmaceuticals, Inc NASDAQ: SPRY is a biopharmaceutical company focused on developing and commercializing treatments for severe allergic reactions. The company's lead product is neffy (epinephrine nasal spray), a needle-free alternative to injectable epinephrine designed for the emergency treatment of allergic reactions, including anaphylaxis.

Neffy was approved by the U.S. Food and Drug Administration in 2024 for adults and pediatric patients who weigh at least 30 kilograms. The product is intended to provide rapid, convenient administration without requiring a syringe or injector, which may help address barriers associated with the use of traditional epinephrine auto-injectors.

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