Kuros Biosciences Reports First Half of 2024 Results

Schlieren (Zurich), Switzerland, August 8, 2024 – Kuros Biosciences (“Kuros” or the “Company”) a leader in next generation bone healing technologies, today announced financial results for the first half of 2024.

Revenue from direct MagnetOs product sales were CHF 31.6 million compared to CHF 12.2 million in H1 2023.  Total revenue from medical devices product sales reached CHF 31.8 million compared to CHF 12.9 million in H1 2023.

Chris Fair, Chief Executive Officer of Kuros Biosciences, said: “We are pleased to report first half 2024 results that continue to demonstrate our strong execution and commercialization, with direct MagnetOs revenue growth of 159% fueling the MagnetOs EBITDA margin of 27% and total Kuros Group EBITDA margin of 2%, adjusted at 12.5%. Our growing body of clinical evidence, including our recently published MAXA Level 1 clinical study in the peer-reviewed journal Spine, demonstrates how our differentiated technology continues to surpass expectations in providing compared to autograft a superior bone healing solution to surgeons and patients.  With additional clearances from the FDA and other regulatory bodies currently applied for, we look forward to driving steady penetration of MagnetOs in the musculoskeletal biologics market.”

Key developments in H1 2024
Kuros announced the peer-reviewed publication in Spine of the MAXA Level 1 prospective, multi-center, randomized, intra-patient controlled clinical study results.  The data indicated superiority of MagnetOs as a standalone alternative to autograft in challenging posterolateral fusions, showing a fusion rate of 79% in the MagnetOs group versus 47% in the autograft group.

Financial position
Cash and cash equivalents (including trade and other receivables) amounted to CHF 25.3 million as of June 30, 2024, compared to CHF 21.8 million as of December 31, 2023.

Revenue from product sales of CHF 31.8 million in H1 2024 increased 148% as reported, compared to CHF 12.9 million revenue in H1 2023.  The cost of goods sold amounted to CHF 3.5 million for the first half of 2024 compared to CHF 2.1 million in H1 2023.  Sales and marketing costs increased to CHF 18.5 million in H1 2024 from CHF 9.3 million in the prior year. Research and development which included costs of the Phase 2a study in spinal fusion of Fibrin-PTH amounted to CHF 3.6 million (H1 2023: CHF 2.3 million).  General and administrative costs increased to CHF 7.0 million (H1 2023: CHF 3.8 million). Net operating costs amounted to CHF 28.9 million (H1 2023: CHF 15.3 million). The net loss for the six months ended June 30, 2024, amounted to CHF 0.2 million (H1 2023: CHF 5.1 million).

Events after the reporting period
The group has no significant events after the reporting period up to the date of this announcement.

Outlook
Kuros’ products are advancing according to plan with MagnetOs continuing to generate strong sales growth in the U.S., Europe, and the rest of the world following a similar seasonal pattern as in previous years. The company is adequately funded along the planned organic growth path and expects to generate positive single-digit unadjusted and adjusted EBITDA and reach around operating cash flow break even for the first time in 2024.

The half year report is available via the following link: 
Kuros Biosciences 2024 Interim Report

We will discuss the results of the first half of 2024 and give an update on business and financial strategy in a virtual call on August 15, 2024, at 3pm CET.  If you wish to participate, please register in advance for this webinar.

Kuros Biosciences H1 2024 Financial Report Investor Webcast

After registering, you will receive a confirmation email containing information about joining the webinar.

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