Rockwell Medical Reports First Quarter 2018 Results
Conference call at
Q1 2018 Financial Highlights
- Sales were
$14.9 million , an increase of 2.4% over the first quarter of 2017. - Gross profit in the first quarter of 2018 was
$29,507 , compared with$2.4 million in the first quarter of 2017; gross profit from our concentrate business was offset by expenses related to our drug business. - Net Loss for the first quarter of 2018 was
($6.5) million or($0.13) per share compared to($4.7) million or($0.09) per share in the first quarter of 2017. - Cash and investments were
$28.1 million atMarch 31, 2018 . - Cash used in operating activities was
$4.6 million , which included$0.5 million for a shareholder settlement in the first quarter. - Net working capital was
$35.8 million atMarch 31, 2018 .
Corporate Highlights
- There are proposals before the
U.S. Congress and theCenters for Medicare and Medicaid Services (CMS) to provide separate reimbursement for Triferic. - Data reported from clinics using Triferic via the drug sample program continues to show favorable clinical benefits for patients and cost savings for providers.
- Completed the clinical equivalence study for Triferic IV infusion presentation enabling near-term
FDA submission for marketing approval. - Met with the
European Medicines Agency (EMA) and received Final Scientific Advice confirming clinical study design for European regulatory approval. - Presented Triferic data at the 2018
Asia Pacific Congress of Nephrology ,March 27-31 in Beijing,China . - Presented Triferic data in pediatric patients and in patients on intraperitoneal dialysis at the Annual
Dialysis Conference ,March 3-6 , in Orlando,Florida . - Presented data on the pharmacokinetics of Triferic in Peritoneal Dialysis patients at the
International Congress on Peritoneal Dialysis ,May 5-8 inVancouver, Canada .
Mr.
Conference Call Information
About Triferic
Triferic is the only
About
Rockwell’s
Rockwell’s
Rockwell is also an established manufacturer and leader in delivering high-quality hemodialysis concentrates/dialysates to dialysis providers and distributors in the U.S. and abroad. As one of the two major suppliers in the U.S., Rockwell’s dialysis concentrate products are used to maintain human life by removing toxins and replacing critical nutrients in the dialysis patient’s bloodstream. Rockwell has three U.S. manufacturing/distribution facilities.
Rockwell’s novel renal drug therapies support disease management initiatives to improve the quality of life and care of dialysis patients and are intended to deliver safe and effective therapy, while decreasing drug administration costs and improving patient convenience. Rockwell has also obtained licenses for certain dialysis related drugs which we are developing and planning to market globally. Please visit www.rockwellmed.com for more information.
Forward-Looking Statement Disclaimer
Certain statements in this press release constitute “forward-looking statements” within the meaning of the federal securities laws, including, but not limited to, Rockwell’s intention to sell and market Calcitriol and Triferic. Words such as “may,” “might,” “will,” “should,” “believe,” “expect,” “anticipate,” “estimate,” “continue,” “could,” “plan,” “potential,” “predict,” “forecast,” “project,” “plan”, “intend” or similar expressions, or statements regarding intent, belief, or current expectations, are forward-looking statements. While Rockwell believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to us on the date of this release. These forward-looking statements are based upon current estimates and assumptions and are subject to various risks and uncertainties, (including without limitation those set forth in Rockwell’s
Triferic® is a registered trademark of
Investor Contact:
(646) 597-6979
mrice@lifesciadvisors.com
Media Contact:
Matt Middleman
LifeSci Public Relations
(646) 627-8384
matt@lifescipublicrelations.com
Source: Rockwell Medical, Inc.
ROCKWELL MEDICAL, INC. AND SUBSIDIARIES
CONSOLIDATED INCOME STATEMENTS
For the three months ended
(Unaudited)
Three Months Ended March 31, 2018 |
Three Months Ended March 31, 2017 |
||||||||
Sales | $ | 14,948,579 | $ | 14,592,254 | |||||
Cost of Sales | 14,919,072 | 12,234,782 | |||||||
Gross Profit | 29,507 | 2,357,472 | |||||||
Selling, General and Administrative | 5,061,955 | 6,100,715 | |||||||
Research and Product Development | 1,666,356 | 1,214,851 | |||||||
Operating Income (Loss) | (6,698,804 | ) | (4,958,094 | ) | |||||
Interest and Investment Income | 169,283 | 216,071 | |||||||
Income (Loss) Before Income Taxes | (6,529,521 | ) | (4,742,023 | ) | |||||
Income Tax Expense | — | — | |||||||
Net Income (Loss) | $ | (6,529,521 | ) | $ | (4,742,023 | ) | |||
Basic Earnings (Loss) per Share | $ | (0.13 | ) | $ | (0.09 | ) | |||
Diluted Earnings (Loss) per Share | $ | (0.13 | ) | $ | (0.09 | ) | |||
ROCKWELL MEDICAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
As of
(Unaudited)
March 31, | December 31, | ||||||||
2018 |
2017 |
||||||||
ASSETS | |||||||||
Cash and Cash Equivalents | $ | 3,278,087 | $ | 8,406,917 | |||||
Investments Available for Sale | 24,821,682 | 24,648,459 | |||||||
Accounts Receivable, net of a reserve of $3,400 in 2018 and $11,000 in 2017 | 5,993,708 | 6,355,566 | |||||||
Inventory | 8,544,854 | 7,637,384 | |||||||
Other Current Assets | 1,607,440 | 1,779,992 | |||||||
Total Current Assets | 44,245,771 | 48,828,318 | |||||||
Property and Equipment, net | 2,572,619 | 2,548,978 | |||||||
Inventory, Non-Current | 3,722,901 | 5,986,752 | |||||||
Intangible Assets | 3,940 | 4,028 | |||||||
Goodwill | 920,745 | 920,745 | |||||||
Other Non-current Assets | 490,703 | 490,819 | |||||||
Total Assets | $ | 51,956,679 | $ | 58,779,640 | |||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||
Accounts Payable | $ | 4,012,341 | $ | 4,222,159 | |||||
Accrued Liabilities | 4,191,501 | 4,715,712 | |||||||
Customer Deposits | 235,078 | 205,303 | |||||||
Total Current Liabilities | 8,438,920 | 9,143,174 | |||||||
Deferred License Revenue | 16,150,609 | 16,723,318 | |||||||
Shareholders’ Equity: | |||||||||
Common Shares, no par value, 51,768,424 and 51,768,424 shares issued and outstanding | 274,386,910 | 273,210,907 | |||||||
Accumulated Deficit | (246,791,897 | ) | (240,262,376 | ) | |||||
Accumulated Other Comprehensive Income | (227,863 | ) | (35,383 | ) | |||||
Total Shareholders’ Equity | 27,367,150 | 32,913,148 | |||||||
Total Liabilities And Shareholders’ Equity | $ | 51,956,679 | $ | 58,779,640 | |||||
ROCKWELL MEDICAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the three months ended
(Unaudited)
2018 | 2017 | ||||||||
Cash Flows From Operating Activities: | |||||||||
Net (Loss) | $ | (6,529,521 | ) | $ | (4,742,023 | ) | |||
Adjustments To Reconcile Net Loss To Net Cash Used In Operating Activities: | |||||||||
Depreciation and Amortization | 129,076 | 130,215 | |||||||
Share Based Compensation—Non-employee | 68,654 | 19,071 | |||||||
Share Based Compensation—Employees | 1,107,349 | 2,259,316 | |||||||
Increase in Inventory Reserves | 1,296,954 | — | |||||||
Loss on Disposal of Assets | 3,083 | 3,350 | |||||||
Loss on Sale of Investments Available for Sale | 2,892 | — | |||||||
Changes in Assets and Liabilities: | |||||||||
Decrease (Increase) in Accounts Receivable | 295,973 | (344,500 | ) | ||||||
Decrease (Increase) in Inventory | 59,427 | (2,291,108 | ) | ||||||
Decrease in Other Assets | 238,438 | 160,406 | |||||||
(Decrease) in Accounts Payable | (209,208 | ) | (1,914,780 | ) | |||||
(Decrease) Increase in Other Liabilities | (494,969 | ) | 2,160,268 | ||||||
(Decrease) in Deferred License Revenue | (504,528 | ) | (498,120 | ) | |||||
(Decrease) in Deferred Drug License Revenue | (68,181 | ) | (93,181 | ) | |||||
Changes in Assets and Liabilities | (685,666 | ) | (2,821,015 | ) | |||||
Cash (Used In) Operating Activities | (4,604,561 | ) | (5,151,086 | ) | |||||
Cash Flows From Investing Activities: | |||||||||
Purchase of Investments Available for Sale | (1,416,665 | ) | — | ||||||
Sale of Investments Available for Sale | 1,050,554 | 31,123 | |||||||
Purchase of Equipment | (155,712 | ) | (162,003 | ) | |||||
Proceeds on Sale of Assets | — | 450 | |||||||
Cash (Used In) Investing Activities | (521,823 | ) | (130,430 | ) | |||||
Cash Flows From Financing Activities: | |||||||||
Cash (Used In) Provided By Financing Activities | — | — | |||||||
Effects of exchange rate changes | (2,446 | ) | 632 | ||||||
(Decrease) In Cash | (5,128,830 | ) | (5,280,884 | ) | |||||
Cash At Beginning Of Period | 8,406,917 | 17,180,594 | |||||||
Cash At End Of Period | $ | 3,278,087 | $ | 11,899,710 | |||||
Source: Rockwell Medical, Inc.