Published on 12 Feb 2024 on Simply Wall St. via Yahoo Finance

Intra-Cellular Therapies, Inc.'s (NASDAQ:ITCI) Path To Profitability

With the business potentially at an important milestone, we thought we'd take a closer look at Intra-Cellular Therapies, Inc.'s (NASDAQ:ITCI) future prospects. Intra-Cellular Therapies, Inc., a biopharmaceutical company, focuses on the discovery, clinical development, and commercialization of small molecule drugs that address medical needs primarily in neuropsychiatric and neurological disorders by targeting intracellular signaling mechanisms in the central nervous system (CNS) in the United States. The US$7.0b market-cap company posted a loss in its most recent financial year of US$256m and a latest trailing-twelve-month loss of US$155m shrinking the gap between loss and breakeven. As path to profitability is the topic on Intra-Cellular Therapies' investors mind, we've decided to gauge market sentiment. We've put together a brief outline of industry analyst expectations for the company, its year of breakeven and its implied growth rate.

Check out our latest analysis for Intra-Cellular Therapies

Consensus from 16 of the American Pharmaceuticals analysts is that Intra-Cellular Therapies is on the verge of breakeven. They expect the company to post a final loss in 2024, before turning a profit of US$162m in 2025. The company is therefore projected to breakeven just over a year from now. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 56%, which is rather optimistic! If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.