BUENA, N.J., April 29, 2014 /PRNewswire/ -- IGI Laboratories,
Inc. (NYSE MKT: IG), a New Jersey
based topical generic drug development and manufacturing company,
announced its financial results for the first quarter ended
March 31, 2014.
First Quarter 2014 Highlights
- Total revenues of $6.9 million in
the first quarter of 2014, an increase of 86% over the same quarter
in 2013
- Total net revenues generated from the sale of IGI label generic
topical pharmaceutical products for the three months ended
March 31, 2014 were $2.9 million, an increase of 108% over the same
quarter in 2013
- Gross profit for the period ended March
31, 2014 grew to 42% as compared to 30% in the same period
of 2013
- IGI filed its fourteenth Abbreviated Drug Application, or ANDA,
with the U.S. Food and Drug Administration (FDA) in March 2014
- IGI received its first approval from the FDA for an ANDA for
lidocaine hydrochloride USP 4% topical solution
- Net income was $0.2 million in
the first quarter of 2014, compared to a net loss of $0.3 million in the same period in 2013
IGI's President and Chief Executive Officer, Jason Grenfell-Gardner, stated, "The first
quarter represents a strong start to our year of
transformation. We received our first ANDA approval for
lidocaine hydrochloride USP 4% topical solution in March.
This was a huge milestone for IGI, and validated our organic
research and development expertise. On the financial front,
we increased total revenue 86 percent over the same quarter last
year, and improved margins to end the first quarter of 2014 with a
gross margin of 42%, compared to 30% one year ago. As
promised, we maintained profitability in the first quarter of 2014,
even though we significantly increased our expenses related to
research and development. We continue to expect to file at
least ten ANDAs in 2014, and we have accelerated our R&D
efforts in order to meet our commitments." Mr.
Grenfell-Gardner continued, "We continue to expect revenue to
increase between 40% and 45% over 2013. We are committed to
sustain profitability in 2014, even though we plan to at least
double our spending in research and development in 2014 over
2013."
The Company will hold a conference call today at 4:30 pm ET to discuss first quarter 2014
results.
The Company invites you to listen to the call by dialing
1-866-515-2913. International participants should call
1-617-399-5127. The passcode for the conference call is
66700649.
This call is being webcast by NASDAQ OMX and can be accessed at
IGI's website at www.igilabs.com.
The webcast is also being distributed through third party
distribution channels, including the StreetEvents Network operated
by Thompson Reuters (Markets) LLC and its affiliates.
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IGI LABORATORIES,
INC. AND SUBSIDIARIES
|
|
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS
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|
For the three
months ended March 31, 2014 and 2013
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|
(in thousands,
except shares and per share information)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
2014
|
|
2013
|
|
Revenues:
|
|
|
|
|
Product sales, net
|
$
6,383
|
|
$
3,467
|
|
Research and development income
|
313
|
|
159
|
|
Licensing,
royalty and other revenue
|
157
|
|
57
|
|
Total revenues
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6,853
|
|
3,683
|
|
|
|
|
|
Costs and
Expenses:
|
|
|
|
|
Cost of
sales
|
3,987
|
|
2,575
|
|
Selling,
general and administrative expenses
|
1,282
|
|
679
|
|
Product
development and research expenses
|
1,365
|
|
658
|
|
Total costs and expenses
|
6,634
|
|
3,912
|
|
Operating income
(loss)
|
219
|
|
(229)
|
|
Interest expense and
other, net
|
(52)
|
|
(28)
|
|
|
|
|
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Net Income
(Loss)
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$
167
|
|
$
(257)
|
|
|
|
|
|
|
|
|
|
Basic income (loss) per share
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$0.00
|
|
($0.01)
|
|
Diluted income (loss) per share
|
$0.00
|
|
($0.01)
|
|
|
|
|
|
|
|
|
|
Weighted average
shares of common stock
outstanding:
|
|
|
|
|
Basic
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46,826,733
|
|
42,933,146
|
|
Diluted
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48,529,603
|
|
42,933,146
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IGI LABORATORIES,
INC. AND SUBSIDIARIES
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|
CONDENSED
CONSOLIDATED BALANCE SHEETS
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|
(in thousands,
except share and per share information)
|
|
|
|
|
|
|
|
|
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(Unaudited)
|
|
|
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March 31,
2014
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|
December
31,
2013*
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ASSETS
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|
|
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Current
assets:
|
|
|
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Cash and cash
equivalents
|
$
2,414
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|
$
2,101
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Accounts receivable,
net
|
4,120
|
|
4,947
|
|
Inventories
|
2,661
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|
2,869
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|
Prepaid expenses and other
receivables
|
691
|
|
641
|
|
Total current assets
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9,886
|
|
10,558
|
|
Property, plant and
equipment, net
|
2,598
|
|
2,623
|
|
Product acquisition
costs
|
1,736
|
|
1,766
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Restricted cash, long
term
|
54
|
|
54
|
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License fee,
net
|
175
|
|
200
|
|
Debt issuance costs,
net
|
61
|
|
69
|
|
Other
|
157
|
|
157
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Total assets
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$
14,667
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$
15,427
|
|
|
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LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
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Current
liabilities:
|
|
|
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Accounts
payable
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$
1,339
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$
1,523
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Accrued expenses
|
2,004
|
|
2,915
|
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Deferred income,
current
|
360
|
|
768
|
|
Capital lease obligation,
current
|
11
|
|
15
|
|
Total current liabilities
|
3,714
|
|
5,221
|
|
|
|
|
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Note payable,
bank
|
3,000
|
|
3,000
|
|
Other long term
liabilities
|
12
|
|
15
|
|
Total liabilities
|
6,726
|
|
8,236
|
|
|
|
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Commitments and
contingencies
|
|
|
|
|
|
|
|
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Stockholders'
equity:
|
|
|
|
|
Common stock, $0.01 par
value, 60,000,000 shares authorized; 47,019,121 and
46,748,575 shares issued and outstanding as of March 31, 2014 and
December 31, 2013, respectively
|
490
|
|
487
|
|
Additional paid-in
capital
|
52,121
|
|
51,541
|
|
Accumulated
deficit
|
(44,670)
|
|
(44,837)
|
|
Total stockholders' equity
|
7,941
|
|
7,191
|
|
Total liabilities and stockholders' equity
|
$
14,667
|
|
$
15,427
|
|
|
|
|
|
|
|
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*Derived from the
audited December 31, 2013 financial statements
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IGI LABORATORIES,
INC. AND SUBSIDIARIES
|
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CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|
For the three
months ended March 31, 2014 and 2013
|
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(in
thousands)
|
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(Unaudited)
|
|
|
|
|
|
|
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|
|
2014
|
|
2013
|
|
|
|
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Cash flows from
operating activities:
|
|
|
|
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Net income
(loss)
|
$
167
|
|
$
(257)
|
|
Non-cash expenses
|
429
|
|
196
|
|
Changes in operating assets
and liabilities
|
(533)
|
|
(1,533)
|
|
|
|
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Net cash provided by
(used in) operating activities
|
63
|
|
(1,594)
|
|
|
|
|
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Net cash used in
investing activities
|
(68)
|
|
(1,486)
|
|
|
|
|
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Net cash provided by
financing activities
|
318
|
|
1,190
|
|
|
|
|
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Net increase
(decrease) in cash and cash equivalents
|
313
|
|
(1,890)
|
|
Cash and cash
equivalents at beginning of period
|
2,101
|
|
2,536
|
|
Cash and cash
equivalents at end of period
|
$
2,414
|
|
$
646
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About IGI Laboratories, Inc.
IGI Laboratories is a developer and manufacturer of topical
formulations for the pharmaceutical, OTC, and cosmetic markets. Our
mission is to be a leading player in the generic topical
prescription drug market.
IGI Laboratories, Inc. "Safe Harbor" Statement under the Private
Securities Litigation Reform Act of 1995. This press release
includes certain "forward-looking statements" within the meaning of
the Private Securities Litigation Reform Act of 1995. These
forward-looking statements include, but are not limited to, plans,
objectives, expectations and intentions, and other statements
contained in this press release that are not historical facts and
statements identified by words such as " will," "believe",
"target", "estimated," "continue" or words of similar meaning.
These statements are based on our current beliefs or expectations
and are inherently subject to various risks and uncertainties,
including those set forth under the caption "Risk Factors" in IGI
Laboratories, Inc.'s most recent Annual Report on Form 10-K and
Quarterly Reports on Form 10-Q and other reports we file with the
Securities and Exchange Commission. Actual results may differ
materially from these expectations. Factors that could cause actual
results to differ materially from these expectations include, but
are not limited to: our inability to meet current or future
regulatory requirements in connection with existing or future
ANDAs; our inability to achieve profitability; our failure to
obtain FDA approvals as anticipated; our inability to execute and
implement our business plan and strategy; the potential lack of
market acceptance of our products; our inability to protect our
intellectual property rights; changes in global political,
economic, business, competitive, market and regulatory factors; and
our inability to complete successfully future product acquisitions.
IGI Laboratories, Inc. does not undertake any obligation to update
any forward-looking statements contained in this document as a
result of new information, future events or otherwise.
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SOURCE IGI Laboratories, Inc.