What caused TNXP's earnings surprises in 2024?

Tonix Pharmaceuticals (TNXP) experienced significant earnings surprises in 2024, primarily due to the following factors:

1. **Revenue Shortfall**: The most notable surprise came from the fourth quarter, where TNXP reported a net product revenue of $2.6 million for Q4 2024, missing the consensus estimate of $3.35 million by approximately 23.9%. This shortfall was a result of lower-than-expected sales of Zembrace SymTouch and Tosymra, which contributed to the overall revenue shortfall for the year.
2. **Increased Net Loss**: Despite revenue shortfalls, the net loss available to common stockholders increased significantly to $130.0 million for the full year 2024, up from $116.7 million in the previous year. This increase was driven by higher operating expenses, including research and development, selling, general, and administrative expenses, and asset impairment charges.
3. **Missed Earnings Expectations**: TNXP's earnings per share (EPS) for Q4 2024 was -$9.77, which was significantly wider than the estimated loss of $3.91 per share. This significant miss in EPS was a result of the revenue shortfall and increased net loss.
4. **Operational Challenges**: TNXP faced operational challenges, including the need to prioritize its pipeline and reduce clinical trial costs, which led to a decrease in research and development expenses. However, these cost-saving measures were not enough to offset the revenue shortfall and increased operating expenses.

In summary, TNXP's earnings surprises in 2024 were primarily caused by a combination of revenue shortfalls, increased net losses, missed earnings expectations, and operational challenges.