Why did SUPN's operating profit surge in Q4 2024?

Supernus Pharmaceuticals Inc (SUPN) experienced a significant surge in operating profit in Q4 2024, primarily driven by robust sales of key products and strategic market positioning. Here's a detailed analysis:

1. **Strong Revenue Growth**: Supernus reported a 26% increase in total revenue for Q3 2024, amounting to $175.7 million. This growth was notably driven by strong sales of key products, with a 68% increase in net sales for Qelbree and an 8% rise in net sales for GOCOVRI.
2. **Key Product Performance**: The company's primary products, Qelbree and GOCOVRI, contributed significantly to the revenue surge. Qelbree saw a 92% increase in net sales in Q2 2024, reaching $59.4 million, and a 68% increase in Q3 2024, reaching $62.4 million. GOCOVRI also performed well, with a 10% increase in net sales in Q2 2024, reaching $31.7 million, and an 8% increase in Q3 2024, reaching $35.6 million.
3. **Market Penetration and Prescription Growth**: Supernus expanded its base of prescribers, indicating increased market penetration. Total IQVIA prescriptions for Qelbree reached 194,025 in Q3 2024, a 19% increase compared to the same period in the prior year. Calgary, in particular, experienced a notable 31% growth in prescriptions and a 75% increase in net sales.
4. **Strategic Pipeline Developments**: The company's ongoing clinical studies and product pipeline developments contribute to its growth potential. Notable developments include positive topline data from a Phase IIb study of SPN-820 in major depressive disorder and anticipation of completing enrollment in the Phase 2b study by November 2024. These developments bolster the company's future revenue prospects.

In conclusion, Supernus Pharmaceuticals' operating profit surge in Q4 2024 was primarily fueled by strong revenue growth, driven by the robust sales of key products like Qelbree and GOCOVRI, and strategic market expansions.