OraSure Announces 2015 First Quarter Financial Results
Financial Highlights
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Consolidated net revenues for the first quarter of 2015 were
$27.1 million , a 15% increase from the comparable period of 2014.
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Net product revenues for the Company's OraQuick® rapid HCV test were
$2.2 million for the first quarter of 2015, representing a 39% increase over the first quarter of 2014. Total HCV-related revenues, including exclusivity payments recognized under the HCV co-promotion agreement withAbbVie , were$5.5 million for the first quarter of 2015,$3.9 million higher than the same period last year.
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Net revenues generated by the Company's molecular collection systems subsidiary, DNA Genotek ("DNAG"), were
$6.7 million during the first quarter of 2015, representing a 17% increase over the first quarter of 2014.
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Consolidated net income for the first quarter of 2015 was
$113,000 , or$0.00 per share, which compares to a net loss of$5.6 million , or$0.10 per share, for the first quarter of 2014. This improvement was primarily the result of theAbbVie exclusivity revenues of$3.3 million and lower sales and marketing expenses.
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Cash and short term investments totaled
$89.5 million and working capital amounted to$105.6 million atMarch 31, 2015 .
"We are pleased with our financial performance for the first quarter," said
Financial Results
Consolidated net product revenues for the first quarter of 2015 increased 1% from the comparable period of 2014, primarily as a result of higher sales of the Company's molecular collection systems, OraQuick® HCV and Intercept® products. These increases were partially offset by lower sales of the Company's cryosurgical systems, OraQuick® professional HIV and OraQuick® In-Home HIV products.
Consolidated net revenues for the first quarter of 2015 also included
Consolidated gross margin for the three months ended
Consolidated operating expenses decreased to
The Company's cash and short-term investment balance totaled
Second Quarter 2015 Outlook
The Company expects consolidated net revenues to range from
Financial Data
Condensed Consolidated Financial Data | ||
(In thousands, except per-share data) | ||
Unaudited | ||
Three months ended | ||
March 31, | ||
2015 | 2014 | |
Results of Operations | ||
Net revenues | $ 27,088 | $ 23,537 |
Cost of products sold | 10,090 | 9,610 |
Gross profit | 16,998 | 13,927 |
Operating expenses: | ||
Research and development | 3,440 | 2,481 |
Sales and marketing | 7,884 | 11,340 |
General and administrative | 5,965 | 5,724 |
Total operating expenses | 17,289 | 19,545 |
Operating loss | (291) | (5,618) |
Other income | 409 | 118 |
Income (loss) before income taxes | 118 | (5,500) |
Income tax expense | 5 | 131 |
Net income (loss) | $ 113 | $ (5,631) |
Earnings (loss) per share: | ||
Basic and Diluted | $ 0.00 | $ (0.10) |
Weighted average shares: | ||
Basic | 56,343 | 55,762 |
Diluted | 57,173 | 55,762 |
Summary of Net Revenues by Market and Product (Unaudited)
Three Months Ended March 31, | |||||
Dollars |
Percentage of Total Net Revenues |
||||
Market |
2015 |
2014 |
% Change |
2015 |
2014 |
Infectious disease testing | $ 11,495 | $ 11,064 | 4% | 43% | 47% |
Substance abuse testing | 2,102 | 1,830 | 15 | 8 | 8 |
Cryosurgical systems | 2,545 | 3,967 | (36) | 9 | 17 |
Molecular collection systems | 6,717 | 5,759 | 17 | 25 | 24 |
Insurance risk assessment | 906 | 917 | (1) | 3 | 4 |
Net product revenues | 23,765 | 23,537 | 1 | 88 | 100 |
Other | 3,323 | -- | 100 | 12 | -- |
Net revenues | $ 27,088 | $ 23,537 | 15% | 100% | 100% |
Three Months Ended | |||
March 31, | |||
HIV Revenues |
2015 |
2014 |
% Change |
Domestic | $ 6,007 | $ 6,618 | (9)% |
International | 948 | 558 | 70 |
Domestic OTC | 1,561 | 1,953 | (20) |
Net product revenues | $ 8,516 | $ 9,129 | (7)% |
Three Months Ended | |||
March 31, | |||
HCV Revenues |
2015 |
2014 |
% Change |
Domestic | $ 1,197 | $ 663 | 81% |
International | 972 | 896 | 8 |
Net product revenues | 2,169 | 1,559 | 39 |
Amortization of exclusivity payments | 3,323 | -- | 100 |
Net HCV-related revenues | $ 5,492 | $ 1,559 | 252% |
Three Months Ended | |||
March 31, | |||
Intercept® Revenues |
2015 |
2014 |
% Change |
Net Intercept® revenues | $ 1,575 | $ 1,290 | 22 |
Three Months Ended | |||
March 31, | |||
Cryosurgical Systems Revenues | 2015 | 2014 |
% Change |
Domestic professional | $ 661 | $ 1,542 | (57)% |
International professional | 357 | 310 | 15 |
Domestic over-the-counter | 55 | -- | 100 |
International over-the-counter | 1,472 | 2,115 | (30) |
Net cryosurgical systems revenues | $ 2,545 | $ 3,967 | (36)% |
Condensed Consolidated Balance Sheets (Unaudited) | ||
March 31, 2015 | December 31, 2014 | |
Assets | ||
$ 85,547 | $ 92,867 | |
Cash | ||
Short-term investments | 3,942 | 5,000 |
Accounts receivable, net | 16,367 | 16,138 |
Inventories | 15,619 | 15,763 |
Other current assets | 1,708 | 1,446 |
Property and equipment, net | 17,645 | 17,934 |
Intangible assets, net | 15,581 | 17,505 |
Goodwill | 19,913 | 21,734 |
Other non-current assets | 1,320 | 1,246 |
Total assets | $ 177,642 | $ 189,633 |
Liabilities and Stockholders' Equity | ||
Accounts payable | $ 5,037 | $ 7,148 |
Deferred revenue | 5,492 | 8,043 |
Accrued expenses | 7,005 | 11,271 |
Other non-current liabilities | 1,311 | 1,234 |
Deferred income taxes | 2,970 | 3,236 |
Stockholders' equity | 155,827 | 158,701 |
Total liabilities and stockholders' equity | $ 177,642 | $ 189,633 |
Three months ended | ||
March 31, | ||
Additional Financial Data (Unaudited) | 2015 | 2014 |
Capital expenditures | $ 437 | $ 647 |
Depreciation and amortization | $ 1,409 | $ 1,539 |
Stock based compensation | $ 1,475 | $ 1,406 |
Cash used in operating activities | $ 6,591 | $ 7,668 |
Conference Call
The Company will host a conference call and audio webcast to discuss the Company's 2015 first quarter financial results, certain business developments and financial guidance for the second quarter of 2015, beginning today at
In order to listen to the conference call, please either dial 844-831-3030 (Domestic) or 315-625-6887 (International) and reference Conference ID #19423338 or go to
About
Important Information
This press release contains certain forward-looking statements, including with respect to expected revenues and earnings/loss per share. Forward-looking statements are not guarantees of future performance or results. Known and unknown factors that could cause actual performance or results to be materially different from those expressed or implied in these statements include, but are not limited to: ability to market and sell products, whether through our internal, direct sales force or third parties; ability to manufacture products in accordance with applicable specifications, performance standards and quality requirements; ability to obtain, and timing and cost of obtaining, necessary regulatory approvals for new products or new indications or applications for existing products; ability to comply with applicable regulatory requirements; ability to effectively resolve warning letters, audit observations and other findings or comments from the
CONTACT:Ronald H. Spair Chief Financial Officer 610-882-1820 Investorinfo@orasure.com www.orasure.com