COLLEGIUM PHARMACEUTICAL INC
For the period ended Sep 30, 2024. Filed Nov 7, 2024.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2024 · Filed Nov 7, 2024
COLL$24.21-3.8%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-06-30; filed 2024-08-08.
0001558370-24-011586
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-09-30; filed 2024-11-07.
0001558370-24-014858
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 91 previous paragraphs and 95 current paragraphs.
45 unchanged; 37 reworded; 13 added; 7 removed; 2 previous and 0 current paragraphs rearranged.
Tables are not compared: 42 previous and 49 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (13)
Current report
Jornay is a central nervous system (“CNS”) stimulant prescription medicine that contains methylphenidate HCl, which was approved by the FDA in August 2018 for the treatment of attention deficit hyperactivity disorder (“ADHD”) in people six years of age and older and currently the only FDA-approved stimulant medication that is dosed in the evening. We began recognizing product sales related to Jornay in September 2024 following our acquisition of Ironshore Therapeutics Inc. (“Ironshore”) (the “Ironshore Acquisition”).
Current report
Changes in our critical accounting policies with respect to our Annual Report include business combination accounting and valuation of acquired assets, including goodwill and intangible assets, as described below.
Current report
Business Combination Accounting and Valuation of Acquired Net Assets
Current report
We completed the Ironshore Acquisition on September 3, 2024, which was accounted for as a business combination. To determine whether the acquisition should be accounted for as a business combination or as an asset acquisition, we made certain judgments regarding whether the acquired set of activities and assets met the definition of a business. Judgment is required in assessing whether the acquired processes or activities, along with their inputs, would be substantive to constitute a business, as defined by U.S. GAAP.
Current report
The acquisition method of accounting requires that we recognize the assets acquired and liabilities assumed at their acquisition date fair values. Goodwill is measured as the excess of consideration transferred over the acquisition date net fair values of the assets acquired and the liabilities assumed. The purchase price allocation is a critical accounting estimate because the estimation of fair values of acquired assets and assumed liabilities is judgmental and requires various assumptions based on non-observable inputs. An income approach, which generally relies upon projected cash flow models, is used in estimating the fair value of the acquired intangible assets, the fair value of acquired inventory and the fair value of the assumed deferred royalty obligation. These cash flow projections are based on management's estimates of economic and market conditions including the estimated future cash flows from revenues of acquired assets; the timing and projection of costs and expenses, discount rates; and tax rates.
Current report
While we use our best estimates and assumptions as part of the process to value assets acquired and liabilities assumed at the acquisition date, our estimates are inherently uncertain and subject to refinement. During the measurement period, which occurs before finalization of the purchase price allocation, changes in assumptions and estimates that result in adjustments to the fair values of assets acquired and liabilities assumed, if based on facts and circumstances existing at the acquisition date, are recorded on a retroactive basis as of the acquisition date, with the corresponding offset to Goodwill. Any adjustments not based on facts and circumstances existing at the acquisition date, or if subsequent to the conclusion of the measurement period, will be recorded to our consolidated statements of operations.
Current report
The increase in revenue for Jornay of $8.0 million is due to the acquisition of the product from Ironshore in the 2024 Quarter.
Current report
Cost of product revenues (excluding intangible asset amortization) was $21.7 million for the 2024 Quarter, compared to $20.1 million for the 2023 Quarter. The $1.6 million increase was due to the addition of Jornay as a result of the Ironshore Acquisition in the 2024 Quarter.
Current report
The provision for income taxes was $6.2 million for the 2024 Quarter, compared to $8.1 million for the 2023 Quarter. The $1.9 million decrease is primarily due to lower earnings in the 2024 Quarter compared to the 2023 Quarter primarily due to acquisition related-expense incurred during the 2024 Quarter due to the Ironshore Acquisition.
Current report
Comparison of the nine months ended September 30, 2024 and September 30, 2023
Current report
The increase in revenue for Jornay of $8.0 million is due to the acquisition of the product from Ironshore in the 2024 Quarter.
Current report
impact of the additional headcount added in the 2024 Quarter as a result of the Ironshore Acquisition, including the sales force for Jornay; partially offset by
Current report
Operating activities. Cash provided by operating activities was $120.3 million for the 2024 Period, compared to $201.4 million for the 2023 Period. The $81.1 million decrease was primarily due to cash used to settle certain liabilities assumed from Ironshore, including $28.4 million of Ironshore’s cash-settled share-based awards liabilities, $23.5 million of accrued operating liabilities, and $9.0 million of Ironshore cash-settled warrant liabilities. In addition, various acquisition-related expenses were incurred and paid in the 2024 Period, including $7.6 million in transaction costs, $6.7 million in employee-related expenses, and $1.1 million in Ironshore directors and officers insurance expense in the 2024 Period related to the Ironshore Acquisition.
Removed paragraphs (7)
Previous report
There were no changes in our critical accounting policies from those described in our Annual Report.
Previous report
The increase in revenue for Symproic of $0.2 million is primarily due to lower gross-to-net adjustments related to provisions for rebates and higher gross price, partially offset by lower sales volume.
Previous report
The provision for income taxes was $9.5 million for the 2024 Quarter, compared to $4.8 million for the 2023 Quarter. The increase is primarily due to higher earnings in the 2024 Quarter compared to the 2023 Quarter as well as the discrete nondeductible costs associated with the debt extinguishment that occurred during the 2024 Quarter.
Previous report
Comparison of the six months ended June 30, 2024 and June 30, 2023
Previous report
The decrease in revenue for Symproic of $0.2 million is primarily due to lower sales volume and higher gross-to-net adjustments related to provisions for chargebacks, partially offset by higher gross price.
Previous report
As of June 30, 2024, the outstanding principal balance of the 2022 Term Loan was $320.8 million, of which $183.3 million in principal payments were due within the next twelve months.
Previous report
Operating activities. Cash provided by operating activities was $129.3 million for the 2024 Period, compared to $127.4 million for the 2023 Period. The $1.9 million increase was primarily due to the increase in cash flows from operating results, which reflects operating earnings, after adjustment for non-cash items that are included in net income (loss), partially offset by the decrease in cash flows from changes in working capital.
Reworded paragraphs (37)
Previous wording
We are building a leading, diversified specialty pharmaceutical company committed to improving the lives of people living with serious medical conditions. We commercialize our pain portfolio, consisting of Belbuca, Xtampza ER, Nucynta IR and Nucynta ER (collectively the “Nucynta Products”), and Symproic, in the United States.
Current wording
We are building a leading, diversified specialty pharmaceutical company committed to improving the lives of people living with serious medical conditions. We commercialize our product portfolio, consisting of Belbuca, Xtampza ER, Nucynta IR and Nucynta ER (collectively the “Nucynta Products”), Symproic, and Jornay PM (“Jornay”) in the United States.
Previous wording
Belbuca is a buccal film that contains buprenorphine, a Schedule III opioid, and was approved by the FDA in October 2015 for severe and persistent pain that requires an extended treatment period with a daily opioid analgesic and for which alternative options are inadequate. We began shipping and recognizing product sales related to Belbuca in March 2022 following our acquisition of BDSI.
Current wording
Belbuca is a buccal film that contains buprenorphine, a Schedule III opioid, and was approved by the FDA in October 2015 for severe and persistent pain that requires an extended treatment period with a daily opioid analgesic and for which alternative options are inadequate. We began shipping and recognizing product sales related to Belbuca in March 2022 following our acquisition of BioDelivery Sciences International, Inc. (“BDSI”).
Previous wording
We believe that several accounting policies are important to understanding our historical and future performance. We refer to these policies as “critical” because these specific areas generally require us to make judgments and estimates about matters that are uncertain at the time we make the estimate, and different estimates—which also would have been reasonable—could have been used, which would have resulted in different financial results. For a description of critical
Current wording
We believe that several accounting policies are important to understanding our historical and future performance. We refer to these policies as “critical” because these specific areas generally require us to make judgments and estimates about matters that are uncertain at the time we make the estimate, and different estimates—which also would have been reasonable—could have been used, which would have resulted in different financial results. For a description of critical accounting policies that affect our significant judgments and estimates used in the preparation of our consolidated financial statements, refer to our Annual Report.
Previous wording
Product revenues, net were $145.3 million for the three months ended June 30, 2024 (the “2024 Quarter”), compared to $135.5 million for the three months ended June 30, 2023 (the “2023 Quarter”). The $9.8 million increase is primarily due to increased revenue for Belbuca of $9.1 million, Xtampza of $3.3 million, and Symproic of $0.2 million, partially offset by decreased revenue for the Nucynta Products of $2.8 million.
Current wording
Product revenues, net were $159.3 million for the three months ended September 30, 2024 (the “2024 Quarter”), compared to $136.7 million for the three months ended September 30, 2023 (the “2023 Quarter”). The $22.6 million increase is primarily due to increased revenue for Xtampza of $9.7 million, Belbuca of $7.7 million, and Jornay of $8.0 million, partially offset by decreased revenue for the Nucynta Products of $2.4 million.
Previous wording
The increase in revenue for Xtampza ER of $1.3 million is primarily due to lower gross-to-net adjustments related to provisions for rebates and higher gross price, partially offset by lower sales volume.
Current wording
The increase in revenue for Xtampza ER of $9.7 million is primarily due to lower gross-to-net adjustments related to provisions for rebates and returns as well as higher gross price, partially offset by lower sales volume.
Previous wording
The increase in revenue for Belbuca of $15.5 million is primarily due to higher sales volume and gross price, partially offset by higher gross-to-net adjustments related to provisions for chargebacks.
Current wording
The increase in revenue for Belbuca of $7.7 million is primarily due to higher sales volume and gross price, partially offset by higher gross-to-net adjustments related to provisions for chargebacks.
Previous wording
The decrease in revenue for the Nucynta Products of $2.8 million is primarily due to lower sales volume and higher gross-to-net adjustments related to provisions for rebates, partially offset by higher gross price.
Current wording
The decrease in revenue for the Nucynta Products of $2.4 million is primarily due to lower sales volume and higher gross-to-net adjustments related to provisions for rebates, partially offset by higher gross price.
Previous wording
Intangible asset amortization was $34.5 million for the 2024 Quarter, compared to $37.5 million for the 2023 Quarter. The $3.0 million decrease was primarily a result of the FDA granting New Patient Population exclusivity for Nucynta IR to July 3, 2026 in the third quarter of 2023, resulting in an extension of the estimated useful life of the underlying intangible asset and a reduction of amortization expense recognized during the 2024 Quarter. Intangible asset amortization expense is recognized in connection with our intangible assets. The intangible assets are amortized on a straight-line basis over the respective estimated useful lives.
Current wording
Intangible asset amortization expense is recognized in connection with our intangible assets. The intangible assets are amortized on a straight-line basis over the respective estimated useful lives. Intangible asset amortization was $40.8 million for the 2024 Quarter, compared to $36.3 million for the 2023 Quarter. The $4.5 million increase was primarily due to the addition of the Jornay intangible asset during the 2024 Quarter, partially offset by a decrease as a result of the FDA granting New Patient Population exclusivity for Nucynta IR through July 3, 2026 in the third quarter of 2023, resulting in an extension of the estimated useful life of the underlying intangible asset and a reduction of amortization expense recognized during the 2024 Quarter.
Previous wording
Selling, general and administrative expenses were $43.3 million for the 2024 Quarter, compared to $38.2 million for the 2023 Quarter. The $5.1 million increase was primarily related to:
Current wording
Selling, general and administrative expenses were $62.0 million for the 2024 Quarter, compared to $35.3 million for the 2023 Quarter. The $26.7 million increase was primarily related to:
Previous wording
Interest expense was $15.6 million for the 2024 Quarter, compared to $21.9 million for the 2023 Quarter. The $6.3 million decrease was primarily due to lower interest expense associated with the 2022 Term Loan as a result of a lower overall principal balance, partially offset by higher interest rates impacting the variable rate on the 2022 Term Loan.
Current wording
Interest expense was $18.4 million for the 2024 Quarter, compared to $20.8 million for the 2023 Quarter. The $2.4 million decrease was primarily due to lower interest expense associated with the 2022 Term Loan and 2024 Term Loan as a result of lower interest rates, partially offset by additional interest costs from borrowings to partially finance the acquisition of Ironshore.
Previous wording
Interest income was $4.4 million for the 2024 Quarter, compared to $4.0 million for the 2023 Quarter. The $0.4 million increase was primarily due to higher interest rates earned on cash equivalents and marketable securities, partially offset by a lower overall balance invested in the 2024 Quarter compared to the 2023 Quarter.
Current wording
Interest income was $3.3 million for the 2024 Quarter, compared to $4.5 million for the 2023 Quarter. The $1.2 million decrease was primarily due to a lower overall balance invested in the 2024 Quarter compared to the 2023 Quarter as a result of cash being used to fund the Ironshore Acquisition in the 2024 Quarter.
Previous wording
Loss on extinguishment of debt was $7.2 million for the 2024 Quarter, compared to none in the 2023 Quarter. The $7.2 million increase was due to the redemption of the $26.4 million convertible notes due in 2026 during the 2024 Quarter.
Current wording
Loss on extinguishment of debt was $4.1 million for the 2024 Quarter, compared to none in the 2023 Quarter. The $4.1 million increase was due to the redemption and extinguishment of assumed debt from the Ironshore Acquisition during the 2024 Quarter.
Previous wording
Product revenues, net were $290.2 million for the six months ended June 30, 2024 (the “2024 Period”), compared to $280.3 million for the six months ended June 30, 2023 (the “2023 Period”). The $9.9 million increase is primarily due to increased revenue for Belbuca of $15.5 million and Xtampza of $1.3 million, partially offset by decreased revenue for the Nucynta Products of $6.7 million and Symproic of $0.2 million.
Current wording
Product revenues, net were $449.5 million for the nine months ended September 30, 2024 (the “2024 Period”), compared to $417.0 million for the nine months ended September 30, 2023 (the “2023 Period”). The $32.5 million increase is primarily due to increased revenue for Belbuca of $23.3 million, Xtampza of $11.0 million and Jornay of $8.0 million, partially offset by decreased revenue for the Nucynta Products of $9.1 million.
Previous wording
The increase in revenue for Belbuca of $9.1 million is primarily due to higher sales volume and gross price, partially offset by higher gross-to-net adjustments related to provisions for returns and chargebacks.
Current wording
The increase in revenue for Belbuca of $23.3 million is primarily due to higher sales volume and gross price, partially offset by higher gross-to-net adjustments related to provisions for chargebacks.
Previous wording
The increase in revenue for Xtampza ER of $3.3 million is primarily due to lower gross-to-net adjustments related to provisions for rebates and higher gross price, partially offset by lower sales volume.
Current wording
The increase in revenue for Xtampza ER of $11.0 million is primarily due to lower gross-to-net adjustments related to provisions for rebates and higher gross price, partially offset by lower sales volume.
Previous wording
The decrease in revenue for the Nucynta Products of $6.7 million is primarily due to lower sales volume and higher gross-to-net adjustments related to provisions for rebates, partially offset by higher gross price.
Current wording
The decrease in revenue for the Nucynta Products of $9.1 million is primarily due to lower sales volume and higher gross-to-net adjustments related to provisions for rebates, partially offset by higher gross price.
Previous wording
Cost of product revenues (excluding intangible asset amortization) was $38.9 million for the 2024 Period, compared to $54.2 million for the 2023 Period. The $15.3 million decrease was primarily related to the 2023 Period including higher cost of product revenues related to the step-up basis in inventory acquired from BDSI, partially offset by higher sales volume in the 2024 Period for Belbuca.
Current wording
Cost of product revenues (excluding intangible asset amortization) was $60.6 million for the 2024 Period, compared to $74.2 million for the 2023 Period. The $13.6 million decrease was primarily related to the 2023 Period including higher cost of product revenues related to the step-up basis in inventory acquired from BDSI, partially offset by cost of product revenues for Jornay as well as higher sales volume in the 2024 Period for Belbuca.
Previous wording
Intangible asset amortization was $69.0 million for the 2024 Period, compared to $74.9 million for the 2023 Period. The $5.9 million decrease was primarily a result of the FDA granting New Patient Population exclusivity for Nucynta IR to July 3, 2026 in the third quarter of 2023, resulting in an extension of the estimated useful life of the underlying intangible asset and a reduction of amortization expense recognized during the 2024 Period. Intangible asset amortization expense is recognized in connection with our intangible assets. The intangible assets are amortized on a straight-line basis over the respective estimated useful lives.
Current wording
Intangible asset amortization was $109.8 million for the 2024 Period, compared to $111.2 million for the 2023 Period. The $1.4 million decrease was primarily a result of the FDA granting New Patient Population exclusivity for Nucynta IR to July 3, 2026 in the third quarter of 2023, resulting in an extension of the estimated useful life of the underlying intangible asset and a reduction of amortization expense recognized during the 2024 Period. This decrease was partially offset by an increase in intangible asset amortization following the Ironshore Acquisition in the 2024 Period.
Previous wording
Selling, general and administrative expenses were $85.3 million for the 2024 Period, compared to $91.0 million for the 2023 Period. The $5.7 million decrease was primarily related to:
Current wording
Selling, general and administrative expenses were $147.3 million for the 2024 Period, compared to $126.3 million for the 2023 Period. The $21.0 million increase was primarily related to:
Previous wording
Interest expense was $32.9 million for the 2024 Period, compared to $43.3 million for the 2023 Period. The $10.4 million decrease was primarily due to lower interest expense associated with the 2022 Term Loan as a result of a lower overall principal balance, partially offset by higher interest expense due to the higher convertible debt principal following the issuance of the 2029 Convertible Notes in February 2023, and higher interest rates impacting the variable rate on the 2022 Term Loan.
Current wording
Interest expense was $51.3 million for the 2024 Period, compared to $64.1 million for the 2023 Period. The $12.8 million decrease was primarily due to lower interest expense associated with the 2022 Term Loan and 2024 Term Loan as a result of a lower average overall principal balance during the 2024 Period, partially offset by additional interest costs from borrowings on September 3, 2024 to partially finance the acquisition of Ironshore.
Previous wording
Interest income was $8.9 million for the 2024 Period, compared to $6.8 million for the 2023 Period. The $2.1 million increase was primarily due to higher interest rates earned on cash equivalents and marketable securities as well as a higher overall balance invested in the 2024 Period compared to the 2023 Period.
Current wording
Interest income was $12.2 million for the 2024 Period, compared to $11.3 million for the 2023 Period. The $0.9 million increase was primarily due to higher interest rates earned on cash equivalents and marketable securities as well as a higher overall average balance invested in the 2024 Period compared to the 2023 Period.
Previous wording
Loss on extinguishment of debt was $7.2 million for the 2024 Period, compared to $23.5 million in the 2023 Period. The $16.3 million decrease was due to the 2023 Period including a $23.5 million loss on extinguishment resulting from the repurchase of $117.4 million of convertible notes due in 2026 in the 2023 Period. In the 2024 Period, the remaining $26.4 million of convertible notes due in 2026 were redeemed, resulting in a $7.2 million loss on extinguishment in the 2024 Period.
Current wording
Loss on extinguishment of debt was $11.3 million for the 2024 Period, compared to $23.5 million in the 2023 Period. The $12.2 million decrease was due to the 2023 Period including a $23.5 million loss on extinguishment resulting from the repurchase of $117.4 million of convertible notes due in 2026 in the 2023 Period. In the 2024 Period, the remaining $26.4 million of convertible notes due in 2026 were redeemed, resulting in a $7.2 million loss on extinguishment in the 2024 Period. In addition, in the 2024 Period, assumed debt from the Ironshore Acquisition was redeemed, resulting in a loss on extinguishment of $4.1 million in the 2024 Period.
Previous wording
The provision for income taxes was $18.4 million for the 2024 Period, compared to $4.7 million for the 2023 Period. The increase is primarily due to higher earnings in the 2024 Period compared to the 2023 Period, partially offset by higher discrete nondeductible costs associated with the debt extinguishment in the 2023 Period compared to the 2024 Period.
Current wording
The provision for income taxes was $24.6 million for the 2024 Period, compared to $12.8 million for the 2023 Period. The $11.8 million increase is primarily due to higher earnings in the 2024 Period compared to the 2023 Period. These increases were partially offset by the 2023 Period including higher non-deductible costs associated with debt extinguishments.
Previous wording
Historically, we have funded our operations primarily through private placements and/or public offerings of our preferred stock, common stock, and convertible notes; term loan debt; and cash inflows from sales of our products. We are primarily dependent on the commercial success of Belbuca, Xtampza, and the Nucynta Products.
Current wording
Historically, we have funded our operations primarily through private placements and/or public offerings of our preferred stock, common stock, and convertible notes; term loan debt; and cash inflows from sales of our products. We are primarily dependent on the commercial success of Belbuca, Xtampza, the Nucynta Products, and Jornay.
Previous wording
In July 2024, we amended and replaced our 2022 Term Loan with a $645.8 million secured term loan (the “2024 Term Loan”), consisting of a $320.8 million initial term loan and a $325.0 million delayed draw term loan. We used the proceeds of the initial term loan to refinance in full all outstanding indebtedness under the 2022 Term Loan. We will use the proceeds of the delayed draw term loan to fund a portion of the consideration to complete the Ironshore Acquisition, pay fees and expenses in connection with the Ironshore Acquisition and the 2024 Term Loan and the remainder for general corporate purposes.
Current wording
In July 2024, we amended and replaced our 2022 Term Loan with a $645.8 million secured term loan (the “2024 Term Loan”), consisting of a $320.8 million initial term loan and a $325.0 million delayed draw term loan. We used the proceeds of the initial term loan to refinance in full all outstanding indebtedness under the 2022 Term Loan. We used the proceeds of the delayed draw term loan to fund a portion of the consideration to complete the Ironshore Acquisition and, pay fees and expenses in connection with the Ironshore Acquisition and the 2024 Term Loan. We will use the remainder for general corporate purposes.
Previous wording
As of June 30, 2024, we had $271.6 million in cash, cash equivalents, and marketable securities. We believe that ourcash, cash equivalents, and marketable securities as of June 30, 2024, together with expected cash inflows from operations, will enable us to fund our operating expenses, debt service, and capital expenditure requirements under our current business planfor the foreseeable future.
Current wording
As of September 30, 2024, we had $120.0 million in cash, cash equivalents, and marketable securities. We believe that ourcash, cash equivalents, and marketable securities as of September 30, 2024, together with expected cash inflows from operations, will enable us to fund our operating expenses, debt service, and capital expenditure requirements under our current business planfor the foreseeable future.
Previous wording
On July 28, 2024, in connection with the acquisition of Ironshore Therapeutics Inc., we amended and restated the 2022 Term Loan. Refer to Note 16,Subsequent Events, for more information.
Current wording
On July 28, 2024, in connection with the acquisition of Ironshore Therapeutics Inc., we amended and restated the 2022 Term Loan. Refer to Note 11,Term Note Payable, for more information.
Previous wording
*Investing activities.*Cash used in investing activities was $27.0 million for the 2024 Period, compared to $41.9 million for the 2023 Period. The $14.9 million decrease was primarily due to maturities of marketable securities, partially offset by purchases of marketable securities.
Current wording
*Investing activities.*Cash used in investing activities was $276.0 million for the 2024 Period, compared to $45.7 million for the 2023 Period. The $230.3 million increase was primarily due to $267.5 million cash paid to acquire Ironshore (net of cash acquired) and $32.6 million increase in purchases of marketable securities, partially offset by $70.6 million increase in maturities of marketable securities.
Previous wording
Financing activities. Cash used in financing activities was $168.4 million for the 2024 Period, compared to cash provided by financing activities of $23.1 million in the 2023 Period. The $191.5 million decrease was primarily due to:
Current wording
Financing activities. Cash used in financing activities was $19.3 million for the 2024 Period, compared to $72.4 million in the 2023 Period. The $53.1 million decrease was primarily due to:
Previous wording
Adjusted EBITDA for the three and six months ended June 30, 2024 and 2023 was as follows:
Current wording
Adjusted EBITDA for the three and nine months ended September 30, 2024 and 2023 was as follows:
Previous wording
Adjusted EBITDA was $96.0 million for the 2024 Quarter compared to $85.8 million for the 2023 Quarter. The $10.2 million increase was primarily due to higher product revenues and lower adjusted operating expenses.
Current wording
Adjusted EBITDA was $105.1 million for the 2024 Quarter compared to $89.4 million for the 2023 Quarter. The $15.7 million increase was primarily due to higher product revenues.
Previous wording
Adjusted EBITDA was $188.4 million for the 2024 Period compared to $173.4 million for the 2023 Period. The $15.0 million increase was primarily due to higher product revenues and lower adjusted operating expenses.
Current wording
Adjusted EBITDA was $293.5 million for the 2024 Period compared to $262.8 million for the 2023 Period. The $30.7 million increase was primarily due to higher product revenues.
Previous wording
Adjusted operating expenses for the three and six months ended June 30, 2024 and 2023 were as follows:
Current wording
Adjusted operating expenses for the three and nine months ended September 30, 2024 and 2023 were as follows:
Previous wording
Adjusted operating expenses were $30.3 million in the 2024 Quarter compared to $31.1 million in the 2023 Quarter. The $0.8 million decrease was primarily driven by lower sales and marketing expenses of $1.4 million, primarily due to the timing of marketing related expenses.
Current wording
Adjusted operating expenses were $34.8 million in the 2024 Quarter compared to $28.3 million in the 2023 Quarter. The $6.5 million was primarily driven by:
Previous wording
Adjusted operating expenses were $64.8 million in the 2024 Period compared to $69.4 million in the 2023 Period. The $4.6 million decrease was primarily driven by:
Current wording
Adjusted operating expenses were $99.5 million in the 2024 Period compared to $97.6 million in the 2023 Period. The $1.9 million increase was primarily driven by:
Previous wording
Adjusted net income and adjusted earnings per share for the three and six months ended June 30, 2024 and 2023 were as follows:
Current wording
Adjusted net income and adjusted earnings per share for the three and nine months ended September 30, 2024 and 2023 were as follows:
Previous wording
There* *have been no material changes to the contractual obligations and commitments described under Management’s Discussion and Analysis of Financial Condition and Results of Operations from our most recently filed Annual Report.
Current wording
With the exception of the 2024 Term Loan as discussed in Note 11,Term Notes Payable, and deferred royalty obligation as discussed in Note 13,Deferred Royalty Obligation, there have been no material changes to the contractual obligations and commitments described under Management’s Discussion and Analysis of Financial Condition and Results of Operations from our most recently filed Annual Report.
Rearranged previous paragraphs (2)
Previous report — wording carried elsewhere
accounting policies that affect our significant judgments and estimates used in the preparation of our consolidated financial statements, refer to our Annual Report.
Previous report — wording carried elsewhere
Cost of product revenues (excluding intangible asset amortization) was $20.0 million for the 2024 Quarter, compared to $24.3 million for the 2023 Quarter. The $4.3 million decrease was primarily related to the 2023 Quarter including higher cost of product revenues related to the step-up basis in inventory acquired from BDSI, partially offset by higher sales volume in the 2024 Quarter for Belbuca.