SIGA Technologies, Inc. (NASDAQ:SIGA) Q3 2024 Earnings Call Transcript November 7, 2024 4:30 PM ET
Company Participants
Diem Nguyen - CEO
Dan Luckshire - CFO
Conference Call Participants
Jyoti Prakash - Edison Group
Operator
Good afternoon, ladies and gentlemen, and welcome to the SIGA Technologies Third Quarter 2024 Earnings Call. At this time, all lines are in a listen-only mode. Following the presentation, we will conduct a question-and-answer session. [Operator Instructions] This call is being recorded on Thursday, November 7th, 2024. I would now like to turn the conference over to Diem Nguyen, Chief Executive Officer. Please go ahead.
Diem Nguyen
Good afternoon, everyone, and thank you for joining today's call and the review of our business results for the third quarter of 2024. I am joined by Dan Luckshire, our Chief Financial Officer, and we appreciate this opportunity to provide an update on our company. After the update, we'll be happy to answer your questions. I'm pleased to share that with $122 million of procurement orders secured in the third quarter, SIGA continues to sustain its strong business momentum. These new orders position us well to extend our strong year-to-date revenue performance, which is outpacing revenues in the comparable period last year.
Additionally, I would like to note that our product sales so far this year include a diverse mix of revenue sources led by oral and IV TPOXX deliveries to the US Strategic National Stockpile. Internationally, year-to-date sales include deliveries to new customers, one of which represents our first sales of oral TPOXX in Africa in response to a request from the Ministry of Health in Morocco.
At the end of the third quarter, outstanding procurement orders were $146 million. This significant balance of outstanding orders positions us to recognize substantial revenues in the fourth quarter of 2024 and into 2025, demonstrating the continued strong demand for TPOXX. Please note that this outstanding order balance includes most of the $112.5 million order from the US Government under the 19C contract announced in July, which we began shipping towards the end of September and continued into October. We believe year-to-date sales, as well as the outstanding orders built over the past several months underscore our company's financial strength and resilience.
Our focus continues to be on SIGA's long-term performance as we have multiple strategic opportunities to drive and expand our revenue base and earnings over time. Looking forward, we believe securing a new contract for the continuing supply of TPOXX to the Strategic National Stockpile, or SNS, represents a significant opportunity to enhance our company's momentum and long-term earnings potential, as well as do our part to advance our nation's public health preparedness. We believe our ongoing productive conversations with a wide range of government officials positions us well as we prepare for the Administration of Strategic Preparedness and Response, known as ASPR, to take the first step in the process which we expect to result in a new contract for TPOXX. As a reminder, ASPR is within the US Department of Human Services, or HHS, and houses the center for the Biomedical Advanced Research and Development Authority, or BARDA, and the SNS. We believe our dedicated team is well prepared to support this crucial public health initiative. And based on these conversations, we are confident in the US Government's enduring commitment to maintaining robust public health preparedness and the supply of antiviral therapies to treat smallpox.