Coherus BioSciences, Inc. (NASDAQ:CHRS) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. Coherus BioSciences, Inc., a biopharmaceutical company, focuses on the research, development, and commercialization of cancer treatments primarily in the United States. The US$139m market-cap company posted a loss in its most recent financial year of US$238m and a latest trailing-twelve-month loss of US$450k shrinking the gap between loss and breakeven. The most pressing concern for investors is Coherus BioSciences' path to profitability – when will it breakeven? In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.

Coherus BioSciences is bordering on breakeven, according to the 7 American Biotechs analysts. They expect the company to post a final loss in 2023, before turning a profit of US$43m in 2024. Therefore, the company is expected to breakeven roughly a year from now or less! We calculated the rate at which the company must grow to meet the consensus forecasts predicting breakeven within 12 months. It turns out an average annual growth rate of -29% is expected,

Given this is a high-level overview, we won't go into details of Coherus BioSciences' upcoming projects, though, take into account that generally a biotech has lumpy cash flows which are contingent on the product type and stage of development the company is in. This means that a low or volatile growth rate in the near future is not unusual, especially if the company is currently in an investment period.

One thing we would like to bring into light with Coherus BioSciences is it currently has negative equity on its balance sheet. This can sometimes arise from accounting methods used to deal with accumulated losses from prior years, which are viewed as liabilities carried forward until it cancels out in the future. These losses tend to occur only on paper, however, in other cases it can be forewarning.

Next Steps:

This article is not intended to be a comprehensive analysis on Coherus BioSciences, so if you are interested in understanding the company at a deeper level, take a look at Coherus BioSciences' company page on Simply Wall St. We've also put together a list of essential aspects you should look at:

1. Historical Track Record: What has Coherus BioSciences' performance been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Coherus BioSciences' board and the CEO's background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.