Metabolix Announces Second Quarter 2014 Financial Results
"As announced earlier this week, we have entered into a private placement agreement for
"Operationally, we made good progress during the second quarter, as key customers ramped up commercial-scale trials of our PHA biopolymer products and we increased our pipeline of customers testing products in a variety of applications," Shaulson continued. "In the past several months, we have seen increasing interest and engagement with potential customers in the areas of PVC, PLA, latex coatings and micropowders, which underscores the value proposition of our innovative PHA products.
"We remain focused on securing financing, building market demand for our PHA products, and on having manufacturing up and running in 2015 to support an intermediate-scale biopolymers business. Once the private placement is completed, we plan to move forward with a preliminary engineering study and implementation planning for the retrofit of an existing contract manufacturing facility we have targeted for commercial PHA production. Successful completion of this study will enable us to progress to a detailed budget, definitive schedule and commercial contract for PHA manufacturing startup in 2015," Shaulson added.
SECOND QUARTER 2014 FINANCIAL OVERVIEW
For the second quarter of 2014, the Company reported a net loss of
Total revenue in the second quarter of 2014 was
Research and development expenses were
For the first half of 2014, the Company reported a net loss of
Total revenue during the first six months of 2014 was
Research and development expenses were
The Company's net cash used in operating activities during the first half of 2014 was
Conference Call Information
To listen to a telephonic replay of the conference call, dial toll-free 877-660-6853 or 201-612-7415 (international) and enter pass code 13588304. The replay will be available beginning at
About
For more information, please visit www.metabolix.com. (MBLX-E)
Safe Harbor for Forward-Looking Statements
This press release contains forward-looking statements which are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The forward-looking statements in this release do not constitute guarantees of future performance. Investors are cautioned that statements in this press release which are not strictly historical, including, without limitation, statements about the terms, timing, completion and effects of the proposed financing and the Company's intended use of proceeds therefrom, statements regarding the Company's business plans and strategies; expectations for establishing commercial PHA biopolymer manufacturing; expected market demand and commercialization plans for the Company's PHA biopolymer products; expected future financial results and cash requirements; plans
for obtaining additional funding; plans and expectations that depend on the Company's ability to continue as a going concern; and expectations for future research, product development and collaborations constitute forward-looking statements. Such forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated, including the risks and uncertainties detailed in Metabolix's filings with the Securities and Exchange Commission, including its 10-K for the year ended December 31, 2013 filed on March 28, 2014. Without limiting the generality of the foregoing, the Company may not be able to complete the private placement because of a number of factors, including the failure to obtain the NASDAQ financial viability exception. Based on current projections, the Company anticipates that, unless by mid-August,
2014, it is reasonably likely that it will be able to obtain additional funding by
Metabolix Inquiries:
(FINANCIAL TABLES FOLLOW)
| |||||||||||||
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS | |||||||||||||
UNAUDITED | |||||||||||||
(in thousands, except share and per share data) | |||||||||||||
Three Months Ended |
Six Months Ended | ||||||||||||
|
| ||||||||||||
2014 |
2013 |
2014 |
2013 | ||||||||||
Revenue: |
|||||||||||||
Product revenue |
$ |
662 |
$ |
822 |
$ |
1,201 |
$ |
1,611 | |||||
Grant revenue |
483 |
584 |
950 |
1,308 | |||||||||
Research and development revenue |
- |
238 |
- |
618 | |||||||||
License fee and royalty revenue |
25 |
62 |
88 |
111 | |||||||||
Total revenue |
1,170 |
1,706 |
2,239 |
3,648 | |||||||||
Costs and expenses: |
|||||||||||||
Cost of product revenue |
774 |
1,196 |
1,469 |
1,753 | |||||||||
Research and development expenses |
4,479 |
4,945 |
9,379 |
9,802 | |||||||||
Selling, general, and administrative expenses |
3,156 |
3,422 |
6,790 |
6,734 | |||||||||
Total costs and expenses |
8,409 |
9,563 |
17,638 |
18,289 | |||||||||
Loss from operations |
(7,239) |
(7,857) |
(15,399) |
(14,641) | |||||||||
Other income (expense): |
|||||||||||||
Interest income, net |
2 |
12 |
7 |
33 | |||||||||
Other income (expense), net |
- |
(21) |
2 |
(20) | |||||||||
Total other income (expense), net |
2 |
(9) |
9 |
13 | |||||||||
Net loss |
$ |
(7,237) |
$ |
(7,866) |
$ |
(15,390) |
$ |
(14,628) | |||||
Net loss per share: |
|||||||||||||
Basic |
$ |
(0.21) |
$ |
(0.23) |
$ |
(0.44) |
$ |
(0.43) | |||||
Diluted |
$ |
(0.21) |
$ |
(0.23) |
$ |
(0.44) |
$ |
(0.43) | |||||
Number of shares used in per share calculations: |
|||||||||||||
Basic |
34,989,142 |
34,434,271 |
34,898,473 |
34,393,998 | |||||||||
Diluted |
34,989,142 |
34,434,271 |
34,898,473 |
34,393,998 | |||||||||
| ||||||||
CONDENSED CONSOLIDATED BALANCE SHEET | ||||||||
UNAUDITED | ||||||||
(in thousands) | ||||||||
|
| |||||||
2014 |
2013 | |||||||
Assets |
||||||||
Cash, cash equivalents |
$ |
5,531 |
$ |
7,698 | ||||
Short-term investments |
- |
11,511 | ||||||
Inventory |
3,162 |
4,074 | ||||||
Other current assets |
1,408 |
1,948 | ||||||
Restricted cash |
619 |
619 | ||||||
Property and equipment, net |
560 |
793 | ||||||
Other assets |
95 |
95 | ||||||
Total assets |
$ |
11,375 |
$ |
26,738 | ||||
Liabilities and Stockholders' Equity |
||||||||
Accounts payable and accrued liabilities |
$ |
3,634 |
$ |
5,471 | ||||
Short-term deferred revenue |
727 |
669 | ||||||
Current portion of deferred rent |
- |
55 | ||||||
Other long-term liabilities |
150 |
145 | ||||||
Total liabilities |
4,511 |
6,340 | ||||||
Total stockholders' equity |
6,864 |
20,398 | ||||||
Total liabilities and stockholders' equity |
$ |
11,375 |
$ |
26,738 | ||||
| ||||||||
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS | ||||||||
UNAUDITED | ||||||||
(in thousands) | ||||||||
Six Months Ended | ||||||||
2014 |
2013 | |||||||
Cash flows from operating activities |
||||||||
Net loss |
$ |
(15,390) |
$ |
(14,628) | ||||
Adjustments to reconcile net loss to cash used in operating activities: |
||||||||
Depreciation |
333 |
531 | ||||||
Charge for 401(k) company common stock match |
259 |
268 | ||||||
Stock-based compensation |
1,379 |
1,677 | ||||||
Inventory impairment |
228 |
271 | ||||||
Changes in operating assets and liabilities: |
||||||||
Inventory |
684 |
(263) | ||||||
Accounts payable |
(147) |
(1,131) | ||||||
Accrued expenses |
(1,740) |
(345) | ||||||
Deferred revenue |
58 |
(538) | ||||||
Other operating assets and liabilities |
490 |
(136) | ||||||
Net cash used in operating activities |
(13,846) |
(14,294) | ||||||
Cash flows from investing activities |
||||||||
Purchase of property and equipment |
(100) |
(270) | ||||||
Change in restricted cash |
- |
(25) | ||||||
Purchase of investments |
(1,508) |
(10,580) | ||||||
Proceeds from sale and maturity of short-term investments |
13,019 |
22,509 | ||||||
Net cash provided by investing activities |
11,411 |
11,634 | ||||||
Cash flows from financing activities |
||||||||
Proceeds from options exercised |
300 |
14 | ||||||
Net cash provided by financing activities |
300 |
14 | ||||||
Effect of exchange rate changes on cash and cash equivalents |
(32) |
(18) | ||||||
Net (decrease) in cash and cash equivalents |
(2,167) |
(2,664) | ||||||
Cash and cash equivalents at beginning of period |
7,698 |
14,572 | ||||||
Cash and cash equivalents at end of period |
$ |
5,531 |
$ |
11,908 | ||||
SOURCE
News Provided by Acquire Media