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Brakke Consulting’s
Animal Health News & Notes for August 16, 2024
Copyright © Brakke Consulting
Editor: Lynn Fondon DVM MBA
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IN THE NEWS:
Brakke Consulting News
Brakke Consulting at the Animal Health Summit
Earnings News
BARK
ImmuCell
Inspire Veterinary Partners
Jaguar Health
PetVivo
Spectrum Brands
Trupanion
Wag! Group
Zomedica
Other News
Adora Animal Health
Akston Biosciences
American Regent
Boehringer Ingelheim
Bully Max
Canidae
Covetrus
CULT Food Science
Feeders Pet Supply
Further Foods
Gravity Payments
JAB
Mars
NaVetor
Noochies!
Nulo
QSM Diagnostics
SIRE Veterinario
StreetVet
Trupanion
VMG
whiskerDocs
Zoetis Reference Laboratories
Zomedica
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Brakke Consulting at the Animal Health Summit
Kansas City
August 26th and 27th
We hope you are planning to attend what is probably the largest homecoming event in the animal health industry sponsored by the Kansas City Animal Health Corridor team. Remember the Woody Allen quote: “If 90% of success in life is showing up, the other 10% depends on what you’re showing up for.”
We certainly think this is a great event to show up for. We will have Paul Casady, Randy Freides, Lourens Havenga, Rich Hayworth, Bob Jones, Jim Kroman, and Jeff Santosuosso at the Summit and if we can help you and your company, please arrange a meeting. Whether it is management consulting, market research, transactional support or recruiting, we can help you excel in the animal health industry.
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EARNINGS NEWS RELEASES
- Spectrum Brands Holdings, Inc. reported results from continuing operations for the third quarter of fiscal 2024 ended June 30, 2024. Global Pet Care net sales were $282 million, an increase of 3.6% (organic net sales +4.1%). Segment net income was $48.0 million, an increase of 26%. (company website)
- ImmuCell Corporation announced its unaudited financial results for the second quarter of 2024. Product sales increased 55% to $5.5 million. Net loss was $(1.5) million in comparison to a net loss of $(1.4) million in the prior-year quarter. (company press release)
- Zomedica reported results for the second quarter of 2024. Revenue grew 2% to $6.1 million. Net loss was $(23.9) million, which included $16.0 million in non-cash charges for goodwill impairments, compared to a net loss of $(5.2) million for the three months ended June 30, 2023. (finance.yahoo.com)
- Trupanion, Inc. announced financial results for the second quarter of 2024. Total revenue was $315 million, an increase of 16% compared to the second quarter of 2023. Net loss was $(5.9) million compared to net loss of $(13.7) million in the second quarter of 2023. (company press release)
- Jaguar Health reported financial results for the second quarter of 2024. The combined net revenue for the Company’s crofelemer prescription products, Mytesi and Canalevia-CA1, and the Company’s non-prescription products, was approximately $2.7 million, a year-over-year increase of 2%. Net loss was $(9.5) million compared to a net loss of $(12.2) million in the prior-year quarter. (com)
- PetVivo Holdings, reported results for the fiscal first quarter ended June 30, 2024. Revenues increased 6% to $124,000. Net loss was $(2.0) million as compared to a net loss of $(2.9) million in the same year-ago quarter. (globenewswire)
- Inspire Veterinary Partners, Inc. reported earnings results for the second quarter of 2024. Revenue was $4.4 million compared to $4.5 million a year ago. Net loss was $(3.4) million compared to $(1.2) million a year ago. (marketscreener)
- BARK, released its financial results for the fiscal first quarter ended June 30. Total revenue was $116.2 million, a 3.6% decrease year-over-year. Net loss improved 14% to $(10) million, year-over-year. (Pet Business)
- Wag! Group announced financial results for the second quarter of 2024. Revenues decreased 6% to $18.7 million. Net loss was $(2.3) million, compared to $(3.9) million in the second quarter of 2023. (Pet Business)
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2024 Animal Health Summit
August 26-27, 2024
Location: Midland Theatre | Kansas City, MO
Registration is now open for the 2024 Animal Health Summit.
Register today! The Animal Health Summit features two days of networking, 1:1 business partnering, industry thought leaders, panel discussions, speakers and emerging company presentations. Learn more
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COMPANY NEWS RELEASES
- Trupanion, Inc. in partnership with the Centers for Disease Control and Prevention (CDC), and leading pet industry partners, announced the formation of a collaborative Advisory Board to launch a Pet & Public Health Early Warning & Detection System. The Advisory Board will also be joined by Boehringer Ingelheim, Mars Science & Diagnostics, and other leading pet, public health and animal health authorities. The Early Warning & Detection System will be centered around Trupanion’s patented Veterinary Portal technology, which is already active in over 10,000 veterinary hospitals in North America and expanding globally. This technology will serve as a link to finding and analyzing signs of illness and health patterns in dogs and cats across breed, age, geography and more. (company press release)
- Akston Biosciences Corporation and Purdue University announced a strategic partnership to co-develop an anti-cPD-L1 monoclonal antibody (mAb) immunotherapy to treat cancer in dogs. Akston has received an exclusive option to license the anti-cPD-L1 mAb and will serve as a Contract Development and Manufacturing Organization (CDMO) to further develop and produce the antibody that was developed at Purdue. (businesswire)
- QSM Diagnostics announced Covetrus as a U.S. National Distributor of QSM’s line of products (Otter eQ & FetchDx). (company announcement)
- NaVetor veterinary cloud software has announced a new integration with Zoetis Reference Laboratories. NaVetor has also added Gravity Payments to the lineup of merchant services that work with the practice management software. (company press release)
- Elizabeth Warren and Sen. Richard Blumenthal sent a letter to private equity firm JAB requesting extensive details about JAB’s interests in veterinary practices and pet insurers. In the letter Warren and Blumenthal express “concerns about the rapid consolidation of veterinary care in the United States.” (MSN.com)
- Adora Animal Health Corporation announced that its first US patent, US Patent 12,059,430, has published. The issued patent pertains to processes to prepare a purified form of the active ingredient in Adora’s injectable veterinary generic PSGAG, which is currently marketed by American Regent as Adequan. (company press release)
- whiskerDocs announced that its 3rd patent, U.S. Patent 11,894,144 – Animal Health Decision Support System and Methods – was granted earlier this year. This invention relates generally to a system and method for integrating pet health records, and more specifically to an integrated pet health record that is configured to collect, store, maintain, analyze, and provide recommendations about a pet’s health from a variety of sources. (com)
- Nulo introduced its new line of eight jerky treat options for dogs and cats, and three new sustainably sourced Yak chews prepared to enhance dental health. (Petfood Industry)
- Noochies! announced that it has initiated the first steps of the regulatory process to introduce a cultivated chicken dog product in the US market. Further Foods, the brand’s parent company owned by Canada’s CULT Food Science, has completed and submitted a feeding trial protocol for dogs to the FDA, which will start later this year, contingent on the FDA’s approval. (com)
- Canidae announced the launch of its new All Life Stages product line. Complete and balanced for all breeds, sizes and ages, Canidae’s All Life Stages offers nutrition for multi-dog families. (Pet Business)
- Bully Max announced a new partnership with Feeders Pet Supply to introduce their latest product: Fresh Catch, a slow-cooked dog food formulated to provide dogs with a clean, nutritious diet, free from fillers and rich in health-boosting probiotics to support digestive health. (Pet Business)
- LATIN AMERICA Zomedica announced the latest expansion of its sales reach into Costa Rica. SIRE Veterinario, S.A. will be the exclusive distributor to veterinarians in the country. (morningstar.com)
- UK VMG and veterinary charitable organization StreetVet announced a new leadership training agreement, which will see VMG officials providing leadership and management training for StreetVet. Senior StreetVet managers and development staff will work within the VMG’s scheme of leadership and management qualifications, which were launched three years ago, with individuals having the opportunity to focus on areas that are specific to their roles. (co.uk)
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ANIMAL HEALTH STOCK PRICE TRACKER
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ANIMAL HEALTH NEWS
- US – DISEASE PREPAREDNESS USDA’s Animal and Plant Health Inspection Service is seeking project proposals for the National Animal Disease Preparedness and Response Program. The agency is also announcing its next round of noncompetitive funding to National Animal Health Laboratory Network laboratories and purchases for the National Animal Vaccine and Veterinary Countermeasures Bank. APHIS will make available up to $16.5 million in funds to support new NADPRP projects in FY 2025. Projects selected for funding will be awarded in spring 2025. (Feedstuffs)
- US – CANINE CANCER RESEARCH Morris Animal Foundation and the Cornell Veterinary Biobank announced a partnership to improve access and provide additional quality control of biological samples collected as part of the Golden Retriever Lifetime Study, an innovative initiative composed of owner- and veterinarian-reported data and annual biological samples from a cohort of privately owned dogs living throughout the lower 48 United States. The Study’s primary objective is to identify the incidence and risk factors for osteosarcoma, hemangiosarcoma, lymphoma and high-grade mast cell tumors. (com)
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BRAKKE CONSULTING VIEWPOINT
The pressure on protein integrators continue to escalate from both consumers and the retail and fast-food sectors to provide less expensive, chemical and antibiotic-free, organic choices. A difficult challenge, indeed.
Savvy consumers continue to demand safe, affordable food. With a continued rise in the desire for antibiotic-free and organic products, producers have pivoted to fill that market. However, it has been at a high price as their options to keep animals healthy diminish driving up production costs.
Retail chains have also squeezed protein producers reducing margins as well. Consolidation among retail grocery chains has given them additional leverage. Large organic sections are now commonplace in almost all grocery stores, no longer can it only be found at Whole Foods.
There is help for producers on the horizon as Animal Health companies have realigned their R&D resources to focus on nutritional health and non-drug options. Delivering these options is generally quicker and less expensive than animal drug approvals. The ability to demonstrate efficacy and plausible data has improved significantly too. A strong focus on the microbiome, vaccines, and natural ingredients has been an emphasis. The technology in this space is continuing to show glimmers of providing real alternatives to antibiotics. Any R&D dollars dedicated to drug products are now focused on high margin companion animal products.
Despite the challenges, the demand for protein globally continues to grow as 3rd world countries’ economies improve and develop. Protein integrators are still poised and ready to feed the world.
Simon Hall
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YOUR VIEW
Last week, we answered the preceding week’s question about the number of original NADAs and reactivations subject to user fees were approved by the FDA from FY 2022 through FY2024. The answer was 7 and only 4% of our respondents were right. Since last week, I learned something and thought it should be shared with you.
Most companies now use the “phased review” process so when all the necessary technical sections (efficacy, safety, etc.) are approved by the FDA the sponsoring company files for an administrative NADA. So to be more accurate and fairer when discussing innovation in animal health, we should include these administrative NADAs along with the original NADAs (all technical sections are filed at once). And it is a much bigger number – there were 32 administrative NADAs approved from FY 2022 through FY2024.
So, I didn’t want to leave our readers thinking such a low number of innovative new drugs were being approved by the FDA – it is much higher at 39. In fact, it is even higher since the FDA does not disclose the number of NADA that have fees waived. We could learn even more if they did.
Bob Jones
Last week
Last week, we asked you about adopting pets from a shelter or similar welfare service. Two-thirds of you said you had: 40% had done so once or twice, and 26% had done so many times. 11% of you said you hadn’t before but intended to; and 23% said never.
This week
This week, let’s stay on the topic of innovation in animal health. Many of our readers have been in the animal health industry for quite a while, so all you “experienced” readers, we’d love to hear from you this week.
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