Biofrontera reports third quarter and first nine months 2020 results - Seite 2

Business performance

In the period from January 1 to September 30, 2020, the Biofrontera Group generated total revenues of EUR 20,829 thousand, an increase of 9% compared to EUR 19,059 thousand in the same period last year. Revenues from product sales amounted to EUR 14,337 thousand, a decrease of 23% compared to the same period of the previous year. Total revenues include the one-time payment of EUR 6,000 thousand received by the Company as part of the licensing agreement with Maruho signed on April 20, 2020.

The most significant impact of the coronavirus crisis was felt in the USA. There, product sales of EUR 9,095 thousand generated in the reporting period were down 33% compared to the same period of the previous year (EUR 13,603 thousand). This includes EUR 202 thousand in sales generated with Xepi.

Nine-month sales in Germany, on the other hand, increased by 19% to EUR 3,893 thousand (previous year period: EUR 3,279 thousand). Sales in other European countries decreased by 26% to EUR 1,349 thousand (previous year period: EUR 1,810 thousand).

Expenses and result of operations

As a result of the cost reduction measures introduced throughout the Company in March, operating expenses were significantly lower in Q3 2020 compared to the same period last year. In particular, sales and marketing expenses were significantly lower year-on-year. Additionally, administrative expenses were further reduced due to lower legal costs. 2019 figures also included costs related to the first-time consolidation of Cutanea Life Sciences, Inc.

The loss from operating activities improved by EUR 12,729 thousand to EUR 8,364 thousand compared to a loss of EUR 21,093 thousand in Q3 2019.

Current clinical studies

In October, the clinical phase of the pharmacokinetics study in the US, which has been ongoing since the beginning of the year, was completed. This study evaluated the safety of photodynamic therapy for the treatment of actinic keratoses on large or multiple surfaces using up to three tubes of Ameluz at a time. Despite delays in patient recruitment due to the coronavirus pandemic, the clinical phase of the study was completed in early October with the so-called "last subject last visit". The Company still expects to complete the final study report before the end of the year. The study is another important milestone to increase the competitiveness of Ameluz in the US.