By Leroy Leo
(Reuters) – Evolus, an anti-wrinkle injection maker, reported its first-ever quarterly profit on an adjusted basis on Wednesday, driven by strong sales of its Botox rival Jeuveau.
The company, which launched Jeuveau in 2019, has focused on expanding the reach of its cosmetic treatment, particularly targeting a younger demographic compared to other players who typically focus on people in their 40s.
Evolus’ earnings come a few days after Botox maker AbbVie noted a recovery in demand for its market-leading cosmetic injection in the U.S. as inflation continued to ease.
The Newport Beach, California-based company recorded an adjusted operating income of $1.1 million for the second quarter. Two analysts, on average, had expected the company to record a quarterly loss of $1.8 million, according to LSEG data.
Its sales were $66.9 million in the second quarter, up 36% from last year and marginally ahead of the analysts’ average estimate of $65.8 million.
In comparison, AbbVie, a significantly larger player, reported a 6.4% increase in Botox cosmetic sales, totaling $729 million for the quarter.
“For us, we believe a majority, greater than 50% of the users of Jeuveau are that younger generation. We also believe that as we’ve entered, we’ve been able to expand the market and that’s why you’re seeing this over indexing on growth in our business,” CEO David Moatazedi told Reuters in an interview.
He added that some of their customers are as young as in their 20s.
The company added 770 new accounts during the quarter, bringing its total to about 14,000 customers. About 70% of their customers reorder, the company said.
Evolus has raised its full-year revenue forecast to a range of $260 million to $270 million, up from an earlier range of $255 million to $265 million. Last year, Evolus had recorded $202.1 million in revenue.
(Reporting by Leroy Leo in Bengaluru; Editing by Tasim Zahid)
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