07:37 AM EDT, 03/14/2024 (MT Newswires) -- HLS Therapeutics Inc. ( HLTRF ) , a pharmaceutical company focused on addressing unmet needs in the treatment of psychiatric disorders and cardiovascular disease, announced Thursday its Q4 2023 results (in US$)..

The company reported product sales of $14.3 million, compared with $13.4 million, the year before.

Royalty revenue was $15.9 million, up from the $15.67 million recorded last year.

Net loss for Q4 2023 narrowed to $5.4 million, or $(0.17) per share, from $6.4 million, or $(0.20) per share, in Q4 2022.

2024 Outlook

HLS is targeting 2024 consolidated revenue of $63.5-66.5 million, or 1-5% growth. This consists of revenue from its marketed products (Vascepa and Clozaril) of $60.5-62.5 million, or 15-19% growth, and revenue from its royalty portfolio of $3-4 million, a 60-70% decline.

Vascepa revenue is expected to be in a range of $20.5-22.5 million (C$27.5-30 million), up 55-70% over 2023, while Clozaril is expected to generate revenue of $40 million, an increase of 1-2% over 2023. The company also expects Vascepa to make a positive contribution to Adjusted EBITDA, starting in the fourth quarter of this year.

Subsequent to year end, HLS amended the terms of its credit agreement. The company's revolving facility has been reduced to $25 million from $30 million. Allowable restricted payments, which include NCIB purchases, are expected to be capped at $2.5 million in fiscal 2024, providing flexibility this year to go beyond the $1.5 million returned to shareholders in the form of share buybacks in 2023. HLS' expansion facility of up to $70 million to support growth opportunities remains in place.

"These amendments provide HLS with added flexibility in the near term during a transition period with the royalty portfolio in 2024," said John Hanna, Interim CFO at HLS. "We continue to view the share buyback as an important and attractive aspect of our capital allocation strategy."