Kamada Ltd. (NASDAQ:KMDA) Q4 2018 Earnings Conference Call Transcript

Feb 12, 2019 • 08:30 am ET


Kamada Ltd. (NASDAQ:KMDA) Q4 2018 Earnings Conference Call Transcript


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Good day and welcome to the Kamada Fourth Quarter and Full Year 2018 Earnings Call. Today's conference is being recorded. At this time, I would like to turn the conference over to Bob Yedid with LifeSci Advisors. Please go ahead, sir.

Bob Yedid

Thank you, Amanda, good morning. This is Bob Yedid with LifeSci Advisors. Thank you all for participating in today's call. Joining me from Kamada are Amir London, Chief Executive Officer; and Chaime Orlev, Chief Financial Officer. Earlier this morning, Kamada announced financial results for the fourth quarter and full year 2018, ended December 31, 2018. If you have not received this news release and you like to be added to the Company's distribution list, please call me at area code (646) 597-6989.

Before we begin, I would like to caution that comments made during this conference call by management will contain forward-looking statements that involve risks and uncertainties regarding the operations and future results for Kamada. I encourage you to review the Company's filings with the Securities and Exchange Commission, including without limitation, the Company's Forms 20-F and 6-K, which identify specific factors that may cause actual results or events to differ materially from those described in the forward-looking statements.

Furthermore, the content of this conference call contains time-sensitive information, that is accurate only as of the date of this live broadcast, February 12, 2019. Kamada undertakes no obligation to revise or update any statements to reflect events or circumstances after the date of this conference call. With those prepared remarks, it's my pleasure now to turn the call over to Amir London, CEO. Amir?

Amir London

Thanks you, Bob. Thanks also for listeners for your interest in Kamada and for participating in today's call. Let me begin by saying that we are fairly pleased with the strength demonstrated in our business during 2018. We ended the year with very strong operating performance. Specifically, total revenues in the fourth quarter was $48.2 million, which represented 55% increase compared to the fourth quarter of 2017. The strong results of the fourth quarter of 2018 were primarily driven by successful efforts to expedite release in shipments of the last year to the US. Some of which were delayed loss of the third quarter due to the labor strike as well as increased manufacturing efficiency.

Our excellent performance in the fourth quarter helped drive full year 2018 total revenue of $114.5 million, an increase of 11% compared to full year 2017. In general, the overall growth in 2018 was primarily driven by the successful launch and strong sales in the US. of KedRAB, our anti-rabies IgG product. Our higher revenues resulted in greater efficiencies and our profitability metrics improved significantly over 2017, it will be further detailed by Chaime.

Our 2018 performance is indicative of our successful strategic collaborations, robust operating system and the proficiency demonstrated by our industry leading team. We are now positioned well to drive further meaningful growth in 2019. In regards to the top line, we are reiterating our previously provided