How did EXEL's Q4 earnings surprise investors?

Exelixis's (EXEL) Q4 2024 earnings report exceeded investor expectations in several key metrics, reflecting the company's robust performance and growth prospects:

1. **Earnings Per Share (EPS)**: The reported EPS was $0.48 for Q4 2024, surpassing the estimated $0.41. This indicates that the company's profitability exceeded analysts' expectations.
2. **Revenue**: Exelixis achieved net product revenue of $139.86 million for Q4 2024, which is a significant figure considering the context of the industry and previous performance. This figure represents an 18.55% quarter-over-quarter growth. Additionally, the Cabozantinib franchise contributed $515 million in Q4 2024, leading to a total of $1.81 billion in U.S. net product revenues for the fiscal year 2024. This demonstrates strong revenue generation and the successful commercialization of their flagship product.

|code|Ticker|Name|Date|Percentage Change|Percentage Change YoY|market_code|
|---|---|---|---|---|---|---|
|EXEL|EXEL.O|Exelixis|20240102|-0.2501||185|
|EXEL|EXEL.O|Exelixis|20240103|-0.794||185|
|EXEL|EXEL.O|Exelixis|20240104|-0.5476||185|
|EXEL|EXEL.O|Exelixis|20240105|-1.5671||185|
|EXEL|EXEL.O|Exelixis|20240108|-3.012||185|
|EXEL|EXEL.O|Exelixis|20240109|3.2387||185|
|EXEL|EXEL.O|Exelixis|20240110|-1.7619||185|
|EXEL|EXEL.O|Exelixis|20240111|-1.9685||185|
|EXEL|EXEL.O|Exelixis|20240112|1.2941||185|
|EXEL|EXEL.O|Exelixis|20240116|-0.7048||185|

3. **Net Income**: The company reported a GAAP net income of $139.9 million for Q4 2024, which is a substantial figure indicating financial strength and operational efficiency. This represents a significant improvement from previous quarters and adds to the positive sentiment surrounding the earnings report.
4. **Market Reaction**: The positive surprise in Exelixis's Q4 earnings has been well-received by the market. Analysts and investors are impressed by the company's growth in revenue and earnings, as evidenced by the positive headlines and the stock's potential for further appreciation.

In conclusion, Exelixis's Q4 2024 earnings report has undoubtedly surprised investors with strong financial performance and growth, particularly in areas such as EPS, revenue, and net income. The company's successful commercialization of its flagship product, Cabozantinib, has been a key driver of this success, contributing significantly to the overall revenue and earnings figures.