Conference Call to be Held Today at
1:30 p.m. PT/4:30 p.m. ET
RANCHO
CORDOVA, Calif., Aug. 10,
2023 /PRNewswire/ -- ThermoGenesis Holdings, Inc.
(Nasdaq: THMO), a market leader in automated cell processing tools
and services in the cell and gene therapy field, today reported
financial and operating results for the second quarter ended
June 30, 2023, and provided a
corporate business update.
"Throughout the second quarter, we continued to make headway in
constructing our innovative ReadyStart suites in Sacramento. The suites, to be housed in a
cutting-edge 35,500+ square foot, cGMP facility, are paramount to
our strategy of becoming a high-performance, integrated contract
development and manufacturing organization (CDMO), specializing in
cell and gene therapy, an area in which we have decades of
expertise," commented Chris Xu,
Ph.D., Chief Executive Officer of ThermoGenesis.
In addition to our operational progress this quarter, we were
pleased to welcome Biao Xi, Ph.D. and James
Xu, Esq., DBA, PsyD., J.D., CPA to our Board as Independent
Directors, expanding the Board to seven members. Their
contributions are already proving valuable as we continue to
execute on our strategic vision and launch our integrated CDMO
services.
Financial Results for the Second Quarter Ended June 30, 2023
Net revenues for the three months ended June 30, 2023, were $2.3
million, compared to $3.0
million for the quarter ended June
30, 2022. The decrease was driven primarily by lower AXP
disposable sales to the Company's distributor in China; however, it was offset by higher
domestic AXP disposable sales and BioArchive device revenue.
Gross profit was $0.5 million or
21% of net revenues for the three months ended June 30, 2023, compared to $0.9 million or 31% for three months ended
June 30, 2022. The primary drivers of
the decrease were reduced revenue and lower absorption in the
quarter ended June 30, 2023.
Selling, general and administrative expenses were $1.8 million compared to $2.0 for the three months ended June 30, 2022, a decrease of $0.2 million or 9%. The decrease was driven by
lower employee benefits and legal expenses.
Research and development expenses were $0.4 million for both the three months ended
June 30, 2023, and 2022.
Interest expense for the three months ended June 30, 2023, was $0.7
million compared to $1.4
million, for the three months ended June 30, 2022, a decrease of $0.7 million. The decrease was driven by lower
amortization and interest expense related to the Boyalife Note
and the outstanding convertible note issued in June 2019 in the three months ended June 30, 2023, as compared to the same period in
2022.
Net loss attributable to common stockholders was $2.3 million for the three months ended
June 30, 2023, or $(0.91) per share, based on 2,482,298 weighted
average basic and diluted common shares outstanding. This compares
to a net loss attributable to common stockholders of $2.7 million, or $(8.98) per share, based on 299,181 weighted
average basic and diluted common shares outstanding for the three
months ended June 30, 2022.
At June 30, 2023, the Company had
cash and cash equivalents totaling $4.5
million, compared with cash and cash equivalents of
$4.2 million at December 31, 2022.
Conference Call and Webcast Information
ThermoGenesis
will host a conference call today at 1:30
p.m. PT/4:30 p.m. ET. To
participate in the conference call, please dial 1-844-889-4331
(domestic), 1-412-380-7406 (international) or 1-866-605-3852
(Canada). To access a live webcast
of the call, please visit:
https://thermogenesis.com/investors/news-and-events/events-webcasts.
A webcast replay will also be available on ThermoGenesis'
website for three months. To access the replay, please visit:
https://thermogenesis.com/investors/news-and-events/events-webcasts.
About ThermoGenesis Holdings, Inc.
ThermoGenesis
Holdings, Inc. develops, commercializes, and markets a range of
automated technologies for CAR-T and other cell-based therapies.
The Company currently markets a full suite of solutions for
automated clinical biobanking, point-of-care applications, and
automation for immuno-oncology, including its semi-automated,
functionally closed CAR-TXpress™ platform, which streamlines
the manufacturing process for the emerging CAR-T immunotherapy
market. For more information about ThermoGenesis, please
visit: www.thermogenesis.com.
Forward-Looking Statements
This press release contains
"forward-looking statements" within the meaning of the U.S. Private
Securities Litigation Reform Act of 1995. The forward-looking
statements involve risks and uncertainties that could cause actual
results to differ materially from the forward-looking statements
contained herein. When used in this press release, the words
"anticipate," "believe," "estimate," "expect" and similar
expressions as they relate to the Company or its management are
intended to identify such forward-looking statements. Actual
results, performance or achievements could differ materially from
the results expressed in or implied by these forward-looking
statements. Readers should be aware of important factors that, in
some cases, have affected, and in the future could affect, actual
results to differ materially from those expressed in any
forward-looking statements made by or on behalf of the Company.
These factors include without limitation, the ability to obtain
capital and other financing in the amounts and at the times needed
to launch new products and grow our CDMO business, market
acceptance of new products, the nature and timing of regulatory
approvals for both new products and existing products for which the
Company proposes new claims, realization of forecasted revenues,
expenses and income, initiatives by competitors, price pressures,
failure to meet FDA regulated requirements governing the Company's
products and operations (including the potential for product
recalls associated with such regulations), risks associated with
initiating manufacturing for new products, failure to meet Foreign
Corrupt Practice Act regulations, legal proceedings, risks
associated with expanding into the Company's planned CDMO business,
uncertainty associated with the COVID-19 pandemic, and other risk
factors listed from time to time in our reports with the Securities
and Exchange Commission ("SEC"), including, in particular, those
set forth in ThermoGenesis Holdings' Form 10-K for the year ended
December 31, 2022.
Company Contact:
Wendy Samford
916-858-5191
ir@thermogenesis.com
Investor Contact:
Paula Schwartz, Rx Communications
917-322-2216
pschwartz@rxir.com
Financials
ThermoGenesis
Holdings, Inc.
Condensed
Consolidated Balance Sheets
|
|
|
|
|
June 30,
2023
|
|
December 31,
2022
|
|
|
|
|
(Unaudited)
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
Cash and
cash equivalents
|
|
$4,450,000
|
|
$4,177,000
|
|
|
Accounts
receivable, net
|
|
774,000
|
|
1,865,000
|
|
|
Inventories
|
|
2,656,000
|
|
3,334,000
|
|
|
Prepaid
expenses and other current assets
|
|
572,000
|
|
1,508,000
|
|
|
Total current assets
|
|
8,452,000
|
|
10,884,000
|
|
|
|
|
|
|
|
|
|
Inventories,
non-current
|
|
830,000
|
|
1,003,000
|
|
|
Equipment and leasehold
improvements, net
|
|
2,434,000
|
|
1,254,000
|
|
|
Right-of-use operating
lease assets, net
|
|
254,000
|
|
372,000
|
|
|
Right-of-use operating
lease assets – related party
|
|
3,331,000
|
|
3,550,000
|
|
|
Goodwill
|
|
781,000
|
|
781,000
|
|
|
Other intangible
assets, net
|
|
1,270,000
|
|
1,286,000
|
|
|
Other assets
|
|
256,000
|
|
256,000
|
|
|
Total assets
|
|
$17,608,000
|
|
$19,386,000
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
Accounts
payable
|
|
$508,000
|
|
$820,000
|
|
|
Other
current liabilities
|
|
10,478,000
|
|
10,689,000
|
|
|
Total current liabilities
|
|
10,986,000
|
|
11,509,000
|
|
|
|
|
|
|
|
|
|
Long-term
liabilities
|
|
3,995,000
|
|
4,554,000
|
|
|
|
|
|
|
|
|
|
ThermoGenesis Holdings,
Inc. stockholders' equity
|
|
3,834,000
|
|
4,296,000
|
|
|
|
|
|
|
|
|
|
Noncontrolling
interests
|
|
(1,207,000)
|
|
(973,000)
|
|
|
Total liabilities and equity
|
|
$17,608,000
|
|
$19,386,000
|
|
ThermoGenesis
Holdings, Inc.
Condensed
Consolidated Statements of Operations
(Unaudited)
|
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Net revenues
|
$2,273,000
|
|
$3,029,000
|
|
$4,845,000
|
|
$5,692,000
|
Cost of
revenues
|
1,804,000
|
|
2,090,000
|
|
3,271,000
|
|
3,813,000
|
|
|
|
|
|
|
|
|
Gross profit
|
469,000
|
|
939,000
|
|
1,574,000
|
|
1,879,000
|
|
|
|
|
|
|
|
|
Expenses:
|
|
|
|
|
|
|
|
Selling,
general and administrative
|
1,816,000
|
|
1,989,000
|
|
3,660,000
|
|
3,682,000
|
Research
and development
|
383,000
|
|
392,000
|
|
689,000
|
|
847,000
|
|
|
|
|
|
|
|
|
Total operating
expenses
|
2,199,000
|
|
2,381,000
|
|
4,349,000
|
|
4,529,000
|
|
|
|
|
|
|
|
|
Loss from
operations
|
(1,730,000)
|
|
(1,442,000)
|
|
(2,775,000)
|
|
(2,650,000)
|
|
|
|
|
|
|
|
|
Other
expenses:
|
|
|
|
|
|
|
|
Interest /
other expense
|
(668,000)
|
|
(1,359,000)
|
|
(4,566,000)
|
|
(2,186,000)
|
Loss on
retirement of debt
|
--
|
|
--
|
|
(239,000)
|
|
--
|
|
|
|
|
|
|
|
|
Total
other expense
|
(668,000)
|
|
(1,359,000)
|
|
(4,805,000)
|
|
(2,186,000)
|
|
|
|
|
|
|
|
|
Net loss
|
(2,398,000)
|
|
(2,801,000)
|
|
(7,580,000)
|
|
(4,836,000)
|
|
|
|
|
|
|
|
|
Loss attributable to
noncontrolling interests
|
(138,000)
|
|
(113,000)
|
|
(234,000)
|
|
(239,000)
|
Net loss attributable
to common stockholders
|
$(2,260,000)
|
|
$(2,688,000)
|
|
$(7,346,000)
|
|
$(4,597,000)
|
|
|
|
|
|
|
|
|
ThermoGenesis
Holdings, Inc.
Condensed
Consolidated Statements of Cash Flows
(Unaudited)
|
|
|
Six Months
Ended
June 30,
|
|
2023
|
|
2022
|
|
|
|
|
Cash flows from
operating activities:
|
$(1,427,000)
|
|
$(5,101,000)
|
|
|
|
|
Cash flows from
investing activities:
|
(1,361,000)
|
|
(219,000)
|
|
|
|
|
Cash flows from
financing activities:
|
3,061,000
|
|
2,044,000
|
|
|
|
|
Effects of foreign
currency rate changes on cash and cash equivalents
|
--
|
|
(3,000)
|
Net increase (decrease)
in cash and cash equivalents
|
273,000
|
|
(3,279,000)
|
|
|
|
|
Cash and cash
equivalents at the beginning of the period
|
4,177,000
|
|
7,280,000
|
Cash and cash
equivalents at the end of the period
|
$4,450,000
|
|
$4,001,000
|
|
|
|
|
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content:https://www.prnewswire.com/news-releases/thermogenesis-holdings-announces-second-quarter-2023-financial-results-and-provides-corporate-update-301898237.html
SOURCE ThermoGenesis Holdings, Inc.