Axogen, Inc. (NASDAQ: AXGN), a global leader in developing and
marketing innovative surgical solutions for peripheral nerve
injuries, today reported financial results and business highlights
for the fourth quarter and full year ended December 31, 2021.
Fourth Quarter 2021 and Business
Highlights
- Net revenue was $31.5 million during the fourth quarter, a 3%
decrease compared to fourth-quarter 2020 revenue of $32.5
million.
- Fourth quarter revenue includes $0.5 million from the reversal
of a sales return reserve recorded in the second quarter of 2021
for Avive® Soft Tissue Membrane, for which the company voluntarily
suspended market availability on June 1, 2021. Avive revenue in the
fourth quarter of 2020 was approximately $1.6 million.
- Gross margin was 82.8% for the quarter compared to 83.2% in the
fourth quarter of 2020.
- Adjusted net loss was $3.3 million for the quarter, or $0.08
per share, for both the fourth quarter of 2021 and 2020.
- Adjusted EBITDA loss was $1.7 million for the quarter, compared
to an adjusted EBITDA loss of $1.3 million in the fourth quarter of
2020.
- The balance of all cash, cash equivalents, and investments on
December 31, 2021 was $90.3 million, compared to a balance of $98.1
million on September 30, 2021. The net change includes capital
expenditures of $5.8 million related to the construction of our new
processing facility in Dayton, OH, and $1.9 million of operating
cash burn in the quarter.
- Core Accounts as of December 31, 2021 were 294, a 9% increase
compared to 269 as of December 31, 2020. Revenue from Core Accounts
continued to represent approximately 60% of total revenue.
- Active Accounts as of December 31, 2021 were 951, a 6% increase
from 893 as of December 31, 2020. Revenue from the top 10% of
Active Accounts continued to represent approximately 35% of total
revenue.
“I am pleased with our full-year results in light
of a difficult operating environment in the second half of the
year,” commented Karen Zaderej, chairman, CEO, and president of
Axogen, Inc. “We believe more surgeons and accounts are recognizing
the value Axogen provides, and we enter 2022 with a strong
commercial organization and a solid foundation of clinical
evidence. We look forward to the release of the topline results of
our RECON study in the second quarter and returning to a more
normalized growth environment through the year.”
Full-Year 2021 Financial Results and
Business Highlights
- Full-year 2021 revenue was $127.4 million, a 13% increase
compared to 2020 revenue of $112.3 million.
- Avive revenue totaled approximately $4.1 million and $5.5
million for the years ended 2021 and 2020, respectively.
- Gross margin was 82.0% for the full year, compared to 80.8% in
2020.
- Adjusted net loss was $13.7 million for the full year, or $0.33
per share, compared to $15.3 million, or $0.38 per share, in
2020.
- Adjusted EBITDA loss was $6.7 million for the full year,
compared to an adjusted EBITDA loss of $11.1 million in 2020.
- Ended the year with 115 direct sales representatives, compared
to 111 at the end of 2020.
- Ended the year with 181 peer-reviewed clinical publications
featuring Axogen’s nerve repair product portfolio.
2022 Financial Guidance Management
expects 2022 revenue will be in the range of $135.0 million to
$142.0 million. This represents approximately 10% to 15% growth
over 2021 revenue excluding the impact of $4.1 million of Avive
revenue in 2021. Full-year 2022 gross margin is expected to be
above 80%.
Conference CallThe Company will
host a conference call and webcast for the investment community
today at 4:30 p.m. ET. Investors interested in participating by
phone are invited to call toll free at 1-877-407-0993 or use the
direct dial-in number at (201) 689-8795. Those interested in
listening to the conference call live via the Internet may do so by
visiting the Investors page of the company's website at
www.axogeninc.com and clicking on the webcast link.
Following the conference call, a replay will be
available in the Investors section of the company's website at
www.axogeninc.com under Investors.
About the RECON Clinical
StudyRECON is a multicenter, prospective, randomized,
subject and evaluator blinded comparative clinical study of nerve
cuffs (manufactured conduits) and Avance® Nerve Graft, evaluating
recovery outcomes for the repair of nerve discontinuities. The
phase 3 pivotal study is designed to test for non-inferiority
between the static two-point discrimination outcomes for Avance
Nerve Graft and manufactured conduit. The study design also allows
for a sequential test for superiority of Avance Nerve Graft,
following the non-inferiority analysis.
About AxogenAxogen (AXGN) is the
leading company focused specifically on the science, development,
and commercialization of technologies for peripheral nerve
regeneration and repair. Axogen employees are passionate about
helping to restore peripheral nerve function and quality of life to
patients with physical damage or transection to peripheral nerves
by providing innovative, clinically proven, and economically
effective repair solutions for surgeons and health care providers.
Peripheral nerves provide the pathways for both motor and sensory
signals throughout the body. Every day, people suffer traumatic
injuries or undergo surgical procedures that impact the function of
their peripheral nerves. Physical damage to a peripheral
nerve, or the inability to properly reconnect peripheral nerves,
can result in the loss of muscle or organ function, the loss of
sensory feeling, or the initiation of pain.
Axogen's platform for peripheral nerve repair
features a comprehensive portfolio of products, including Avance
Nerve Graft, a biologically active off-the-shelf processed human
nerve allograft for bridging severed peripheral nerves without the
comorbidities associated with a second surgical site; Axoguard
Nerve Connector®, a porcine submucosa extracellular matrix (ECM)
coaptation aid for tensionless repair of severed peripheral nerves;
Axoguard Nerve Protector®, a porcine submucosa ECM product used to
wrap and protect damaged peripheral nerves and reinforce the nerve
reconstruction while preventing soft tissue attachments; and
Axoguard Nerve Cap®, a porcine submucosa ECM product used to
protect a peripheral nerve end and separate the nerve from the
surrounding environment to reduce the development of symptomatic or
painful neuroma. The Axogen portfolio of products is available in
the United States, Canada, Germany, the United Kingdom, Spain,
South Korea, and several other countries.
Cautionary Statements Concerning
Forward-Looking StatementsThis press release contains
“forward-looking” statements as defined in the Private Securities
Litigation Reform Act of 1995. These statements are based on
management's current expectations or predictions of future
conditions, events, or results based on various assumptions and
management's estimates of trends and economic factors in the
markets in which we are active, as well as our business plans.
Words such as “expects,” “anticipates,” “intends,” “plans,”
“believes,” “seeks,” “estimates,” “projects,” “forecasts,”
“continue,” “may,” “should,” “will,” “goals,” and variations of
such words and similar expressions are intended to identify such
forward-looking statements. The forward-looking statements may
include, without limitation, statements related to the impact of
COVID-19 on our business, hospital staffing challenges and its
impact on our business, statements regarding our growth, our
financial guidance and performance, product development, product
potential, regulatory process and approvals, APC renovation timing
and expense, sales growth, product adoption, market awareness of
our products, anticipated capital requirements, including the
potential of future financings, data validation, expected clinical
study enrollment, timing and outcomes, our assessment of our
internal controls over financial reporting, our visibility at and
sponsorship of conferences and our educational events, regulatory
process and approvals and other factors, including legislative,
regulatory, political and economic developments not within our
control. The forward-looking statements are and will be subject to
risks and uncertainties, which may cause actual results to differ
materially from those expressed or implied in such forward-looking
statements. Forward-looking statements contained in this press
release should be evaluated together with the many uncertainties
that affect our business and our market, particularly those risk
factors described under Part I, Item 1A., “Risk Factors,” of our
Annual Report on Form 10-K for the most recently ended fiscal year,
as well as other risks and cautionary statements set forth in our
filings with the U.S. Securities and Exchange Commission.
Forward-looking statements are not a guarantee of future
performance, and actual results may differ materially from those
projected. The forward-looking statements are representative only
as of the date they are made and, except as required by applicable
law, we assume no responsibility to publicly update or revise any
forward-looking statements, whether as a result of new information,
future events, changed circumstances, or otherwise
Contact:Axogen, Inc.Ed Joyce, Director,
Investor
Relationsejoyce@axogeninc.comInvestorRelations@axogeninc.com
|
AXOGEN, INC. |
CONDENSED CONSOLIDATED BALANCE SHEETS |
(unaudited) |
(In Thousands, Except Share and Per Share
Amounts) |
|
|
|
|
|
|
|
December 31, |
December 31, |
|
|
|
2021 |
|
|
2020 |
|
Assets |
|
|
|
|
Current
assets: |
|
|
|
|
Cash and cash equivalents |
|
$ |
32,756 |
|
|
$ |
48,767 |
|
Restricted cash |
|
|
6,251 |
|
|
|
6,842 |
|
Investments |
|
|
51,330 |
|
|
|
55,199 |
|
Accounts receivable, net |
|
|
18,158 |
|
|
|
17,618 |
|
Inventory |
|
|
16,693 |
|
|
|
12,529 |
|
Prepaid expenses and other |
|
|
1,861 |
|
|
|
4,296 |
|
Total current assets |
|
|
127,049 |
|
|
|
145,251 |
|
Property and
equipment, net |
|
|
62,881 |
|
|
|
38,398 |
|
Operating lease
right-of-use assets |
|
|
15,193 |
|
|
|
15,614 |
|
Finance lease
right-of-use assets |
|
|
42 |
|
|
|
64 |
|
Intangible assets,
net |
|
|
2,859 |
|
|
|
2,054 |
|
Total
assets |
|
$ |
208,024 |
|
|
$ |
201,381 |
|
|
|
|
|
|
Liabilities and
shareholders’ equity |
|
|
|
|
Current
liabilities: |
|
|
|
|
Accounts payable and accrued expenses |
|
$ |
22,459 |
|
|
$ |
21,968 |
|
Current maturities of long-term lease obligations |
|
|
1,834 |
|
|
|
863 |
|
Total current liabilities |
|
|
24,293 |
|
|
|
22,831 |
|
Long-term debt, net of
financing fees |
|
|
44,821 |
|
|
|
32,027 |
|
Debt derivative
liabilities |
|
|
5,562 |
|
|
|
2,497 |
|
Long-term lease
obligations |
|
|
20,798 |
|
|
|
20,874 |
|
Other long-term
liabilities |
|
|
— |
|
|
|
3 |
|
Total liabilities |
|
|
95,474 |
|
|
|
78,232 |
|
Shareholders’
equity: |
|
|
|
|
Common stock, $.01 par value per share; 100,000,000 shares
authorized |
|
|
417 |
|
|
|
406 |
|
Additional paid-in capital |
|
|
342,765 |
|
|
|
326,390 |
|
Accumulated deficit |
|
|
(230,632 |
) |
|
|
(203,647 |
) |
Total shareholders’ equity |
|
|
112,550 |
|
|
|
123,149 |
|
Total liabilities and
shareholders' equity |
|
$ |
208,024 |
|
|
$ |
201,381 |
|
AXOGEN, INC. |
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS |
Three Months and Years Ended December 31, 2021 and
2020 |
(unaudited) |
(In Thousands, Except Per Share Amounts) |
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
Year Ended |
|
|
December 31, |
|
December 31, |
|
December 31, |
|
December 31, |
|
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
Revenues |
|
$ |
31,537 |
|
|
$ |
32,495 |
|
|
$ |
127,358 |
|
|
$ |
112,300 |
|
Cost of goods sold |
|
|
5,428 |
|
|
|
5,463 |
|
|
|
22,931 |
|
|
|
21,581 |
|
Gross profit |
|
|
26,109 |
|
|
|
27,032 |
|
|
|
104,427 |
|
|
|
90,719 |
|
Costs and
expenses: |
|
|
|
|
|
|
|
|
Sales and marketing |
|
|
17,734 |
|
|
|
19,805 |
|
|
|
73,328 |
|
|
|
69,659 |
|
Research and development |
|
|
6,302 |
|
|
|
4,931 |
|
|
|
24,177 |
|
|
|
17,846 |
|
General and administrative |
|
|
7,426 |
|
|
|
7,670 |
|
|
|
32,338 |
|
|
|
26,396 |
|
Total costs and
expenses |
|
|
31,462 |
|
|
|
32,406 |
|
|
|
129,843 |
|
|
|
113,901 |
|
Loss from
operations |
|
|
(5,353 |
) |
|
|
(5,374 |
) |
|
|
(25,416 |
) |
|
|
(23,182 |
) |
Other (expense)
income: |
|
|
|
|
|
|
|
|
Investment income |
|
|
13 |
|
|
|
29 |
|
|
|
93 |
|
|
|
605 |
|
Interest expense |
|
|
71 |
|
|
|
(595 |
) |
|
|
(1,356 |
) |
|
|
(1,054 |
) |
Change in fair value of derivatives |
|
|
124 |
|
|
|
(46 |
) |
|
|
(28 |
) |
|
|
(117 |
) |
Other expense |
|
|
(141 |
) |
|
|
(24 |
) |
|
|
(278 |
) |
|
|
(38 |
) |
Total other (expense)
income, net |
|
|
67 |
|
|
|
(636 |
) |
|
|
(1,569 |
) |
|
|
(604 |
) |
Net loss |
|
$ |
(5,286 |
) |
|
$ |
(6,010 |
) |
|
$ |
(26,985 |
) |
|
$ |
(23,786 |
) |
|
|
|
|
|
|
|
|
|
Weighted average common shares outstanding – basic and diluted |
|
|
41,593 |
|
|
|
40,246 |
|
|
|
41,215 |
|
|
|
39,967 |
|
Loss per common share – basic and diluted |
|
$ |
(0.13 |
) |
|
$ |
(0.15 |
) |
|
$ |
(0.65 |
) |
|
$ |
(0.60 |
) |
|
|
|
|
|
|
|
|
|
Adjusted net loss - non GAAP |
|
$ |
(3,272 |
) |
|
$ |
(3,265 |
) |
|
$ |
(13,697 |
) |
|
$ |
(15,281 |
) |
Adjusted loss per common share – basic and diluted |
|
$ |
(0.08 |
) |
|
$ |
(0.08 |
) |
|
$ |
(0.33 |
) |
|
$ |
(0.38 |
) |
AXOGEN, INC. |
RECONCILIATION OF GAAP FINANCIAL MEASURES TO NON-GAAP
FINANCIAL MEASURES |
Three Months and Years Ended December 31, 2021 and
2020 |
(unaudited) |
(In Thousands, Except Per Share Amounts) |
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
Year Ended |
|
|
December 31, |
|
December 31, |
|
December 31, |
|
December 31, |
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
|
|
|
|
|
|
|
|
|
Gross profit |
|
$ |
26,109 |
|
|
$ |
27,032 |
|
|
$ |
104,427 |
|
|
$ |
90,719 |
|
Avive inventory write-down and production costs |
|
|
- |
|
|
|
- |
|
|
|
1,429 |
|
|
|
- |
|
Adjusted gross profit |
|
$ |
26,109 |
|
|
$ |
27,032 |
|
|
$ |
105,856 |
|
|
$ |
90,719 |
|
|
|
|
|
|
|
|
|
|
Net loss |
|
$ |
(5,286 |
) |
|
$ |
(6,010 |
) |
|
$ |
(26,985 |
) |
|
$ |
(23,786 |
) |
Depreciation and amortization expense |
|
|
1,563 |
|
|
|
1,284 |
|
(1) |
|
5,572 |
|
|
|
3,692 |
|
Investment income |
|
|
(13 |
) |
|
|
(29 |
) |
|
|
(93 |
) |
|
|
(605 |
) |
Income tax expense |
|
|
138 |
|
|
|
77 |
|
|
|
205 |
|
|
|
77 |
|
Interest expense |
|
|
(71 |
) |
|
|
595 |
|
|
|
1,356 |
|
|
|
1,054 |
|
EBITDA - non GAAP |
|
$ |
(3,669 |
) |
|
$ |
(4,083 |
) |
(1) |
$ |
(19,945 |
) |
|
$ |
(19,568 |
) |
|
|
|
|
|
|
|
|
|
Non cash stock-based compensation expense |
|
|
1,509 |
|
|
|
2,745 |
|
|
|
10,919 |
|
|
|
8,470 |
|
Litigation and related costs |
|
|
505 |
|
|
|
— |
|
|
|
2,369 |
|
|
|
35 |
|
Adjusted EBITDA - non GAAP |
|
$ |
(1,655 |
) |
|
$ |
(1,338 |
) |
(1) |
$ |
(6,657 |
) |
|
$ |
(11,063 |
) |
|
|
|
|
|
|
|
|
|
Net loss |
|
$ |
(5,286 |
) |
|
$ |
(6,010 |
) |
|
$ |
(26,985 |
) |
|
$ |
(23,786 |
) |
Non cash stock-based compensation expense |
|
|
1,509 |
|
|
|
2,745 |
|
|
|
10,919 |
|
|
|
8,470 |
|
Litigation and related costs |
|
|
505 |
|
|
|
— |
|
|
|
2,369 |
|
|
|
35 |
|
Adjusted net loss - non GAAP |
|
$ |
(3,272 |
) |
|
$ |
(3,265 |
) |
|
$ |
(13,697 |
) |
|
$ |
(15,281 |
) |
Weighted average common shares outstanding – basic and diluted |
|
|
41,593 |
|
|
|
40,246 |
|
|
|
41,215 |
|
|
|
39,967 |
|
Adjusted loss per common share – basic and diluted |
|
$ |
(0.08 |
) |
|
$ |
(0.08 |
) |
|
$ |
(0.33 |
) |
|
$ |
(0.38 |
) |
|
|
|
|
|
|
|
|
|
(1) The Company has revised its definition of EBITDA and Adjusted
EBITDA to include amortization of its right-of-use assets and
amortization of debt discount and deferred financing fees. See
Reconciliation of Revised EBITDA, Adjusted EBITDA, and Depreciation
and Amortization. |
AXOGEN, INC. |
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN
SHAREHOLDERS' EQUITY |
Three Months and Years Ended December 31, 2021 and
2020 |
(unaudited) |
(In Thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Common Stock |
|
|
|
|
|
Total |
|
|
Shares |
|
Amount |
|
Additional Paid-in Capital |
|
AccumulatedDeficit |
|
Shareholders'Equity |
For the Three Months
Ended December 31, 2021: |
|
|
|
|
|
|
|
|
|
|
Balance at September 30, 2021 |
|
41,559 |
|
|
$ |
415 |
|
|
$ |
340,212 |
|
|
$ |
(225,346 |
) |
|
$ |
115,281 |
|
Net loss |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(5,286 |
) |
|
|
(5,286 |
) |
Stock-based compensation |
|
- |
|
|
|
- |
|
|
|
1,509 |
|
|
|
- |
|
|
|
1,509 |
|
Issuance of restricted and
performance stock units |
|
48 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Exercise of stock options and
employee stock purchase plan |
|
130 |
|
|
|
2 |
|
|
|
1,044 |
|
|
|
- |
|
|
|
1,046 |
|
Balance at December
31, 2021 |
|
41,737 |
|
|
$ |
417 |
|
|
$ |
342,765 |
|
|
$ |
(230,632 |
) |
|
$ |
112,550 |
|
|
|
|
|
|
|
|
|
|
|
|
For the Year Ended
December 31, 2021: |
|
|
|
|
|
|
|
|
|
|
Balance at December
31, 2020 |
|
40,619 |
|
|
$ |
406 |
|
|
$ |
326,390 |
|
|
$ |
(203,647 |
) |
|
$ |
123,149 |
|
Net loss |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(26,985 |
) |
|
|
(26,985 |
) |
Stock-based compensation |
|
- |
|
|
|
- |
|
|
|
10,919 |
|
|
|
- |
|
|
|
10,919 |
|
Issuance of restricted and
performance stock units |
|
254 |
|
|
|
2 |
|
|
|
(2 |
) |
|
|
- |
|
|
|
- |
|
Exercise of stock options and
employee stock purchase plan |
|
864 |
|
|
|
9 |
|
|
|
5,458 |
|
|
|
- |
|
|
|
5,467 |
|
Balance at December
31, 2021 |
|
41,737 |
|
|
$ |
417 |
|
|
$ |
342,765 |
|
|
$ |
(230,632 |
) |
|
$ |
112,550 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
Ended December 31, 2020: |
|
|
|
|
|
|
|
|
|
|
Balance at September
30, 2020 |
|
40,124 |
|
|
$ |
401 |
|
|
$ |
318,949 |
|
|
$ |
(197,637 |
) |
|
$ |
121,713 |
|
Net loss |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(6,010 |
) |
|
|
(6,010 |
) |
Stock-based compensation |
|
- |
|
|
|
- |
|
|
|
2,745 |
|
|
|
- |
|
|
|
2,745 |
|
Issuance of restricted and
performance stock units |
|
81 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Shares surrendered by
employees to pay tax withholdings |
|
(2 |
) |
|
|
1 |
|
|
|
(6 |
) |
|
|
- |
|
|
|
(5 |
) |
Exercise of stock options and
employee stock purchase plan |
|
168 |
|
|
|
2 |
|
|
|
1,022 |
|
|
|
- |
|
|
|
1,024 |
|
Exercise of Oberland option,
net of settlement |
|
248 |
|
|
|
2 |
|
|
|
3,680 |
|
|
|
- |
|
|
|
3,682 |
|
Balance at December
31, 2020 |
|
40,619 |
|
|
$ |
406 |
|
|
$ |
326,390 |
|
|
$ |
(203,647 |
) |
|
$ |
123,149 |
|
|
|
|
|
|
|
|
|
|
|
|
For the Year Ended
December 31, 2020: |
|
|
|
|
|
|
|
|
|
|
Balance at December
31, 2019 |
|
39,590 |
|
|
$ |
396 |
|
|
$ |
311,618 |
|
|
$ |
(179,861 |
) |
|
$ |
132,153 |
|
Net loss |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(23,786 |
) |
|
|
(23,786 |
) |
Stock-based compensation |
|
- |
|
|
|
- |
|
|
|
8,470 |
|
|
|
- |
|
|
|
8,470 |
|
Issuance of restricted and
performance stock units |
|
249 |
|
|
|
2 |
|
|
|
(2 |
) |
|
|
- |
|
|
|
- |
|
Shares surrendered by
employees to pay tax withholdings |
|
(40 |
) |
|
|
- |
|
|
|
(670 |
) |
|
|
- |
|
|
|
(670 |
) |
Exercise of stock options and
employee stock purchase plan |
|
572 |
|
|
|
6 |
|
|
|
3,294 |
|
|
|
- |
|
|
|
3,300 |
|
Exercise of Oberland option,
net of settlement |
|
248 |
|
|
|
2 |
|
|
|
3,680 |
|
|
|
- |
|
|
|
3,682 |
|
Balance at December
31, 2020 |
|
40,619 |
|
|
$ |
406 |
|
|
$ |
326,390 |
|
|
$ |
(203,647 |
) |
|
$ |
123,149 |
|
AXOGEN, INC. |
CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS |
Years Ended December 31, 2021 and 2020 |
(unaudited) |
(In Thousands) |
|
|
|
|
|
|
|
Year Ended |
|
|
December 31, |
|
December 31, |
|
|
|
2021 |
|
|
|
2020 |
|
Cash flows from
operating activities: |
|
|
|
|
Net loss |
|
$ |
(26,985 |
) |
|
$ |
(23,786 |
) |
Adjustments to reconcile net
loss to net cash used in operating activities: |
|
|
|
|
Depreciation and
amortization |
|
|
2,721 |
|
|
|
1,507 |
|
Amortization of right-of-use
assets |
|
|
1,818 |
|
|
|
1,800 |
|
Amortization of intangible
assets |
|
|
202 |
|
|
|
153 |
|
Amortization of debt discount
and deferred financing fees |
|
|
831 |
|
|
|
232 |
|
Loss on disposal of
equipment |
|
|
- |
|
|
|
3 |
|
Provision for bad debt |
|
|
(41 |
) |
|
|
(105 |
) |
Provision for inventory
write-down |
|
|
3,314 |
|
|
|
2,242 |
|
Change in fair value of
deriviatives |
|
|
28 |
|
|
|
117 |
|
Investment (gains) losses |
|
|
68 |
|
|
|
(47 |
) |
Stock-based compensation |
|
|
10,919 |
|
|
|
8,470 |
|
Change in operating assets and
liabilities: |
|
|
|
|
Accounts receivable |
|
|
(499 |
) |
|
|
(635 |
) |
Inventory |
|
|
(7,478 |
) |
|
|
(910 |
) |
Prepaid expenses and
other |
|
|
2,435 |
|
|
|
(2,524 |
) |
Accounts payable and accrued
expenses |
|
|
(270 |
) |
|
|
4,958 |
|
Operating lease
obligations |
|
|
(463 |
) |
|
|
(1,086 |
) |
Cash paid for interest portion
of finance leases |
|
|
(2 |
) |
|
|
(3 |
) |
Contract and other
liabilities |
|
|
(3 |
) |
|
|
(12 |
) |
Net cash used in
operating activities |
|
|
(13,405 |
) |
|
|
(9,626 |
) |
|
|
|
|
|
Cash flows from
investing activities: |
|
|
|
|
Purchase of property and
equipment |
|
|
(27,811 |
) |
|
|
(21,905 |
) |
Economic development grant
proceeds |
|
|
950 |
|
|
|
— |
|
Purchase of investments |
|
|
(68,699 |
) |
|
|
(77,806 |
) |
Proceeds from sale of
investments |
|
|
72,500 |
|
|
|
83,440 |
|
Cash payments for intangible
assets |
|
|
(589 |
) |
|
|
(692 |
) |
Net cash used in
investing activities |
|
|
(23,649 |
) |
|
|
(16,963 |
) |
|
|
|
|
|
Cash flows from
financing activities: |
|
|
|
|
Proceeds from issuance of
long-term debt |
|
|
15,000 |
|
|
|
35,000 |
|
Proceeds from the paycheck
protection program loan |
|
|
— |
|
|
|
7,820 |
|
Repayment of the paycheck
protection program loan |
|
|
— |
|
|
|
(7,820 |
) |
Proceeds from issuance of
common stock |
|
|
— |
|
|
|
3,500 |
|
Payments for debt issuance
costs |
|
|
— |
|
|
|
(642 |
) |
Payments of employee tax
withholding in exchange of common stock awards |
|
|
— |
|
|
|
(670 |
) |
Cash paid for debt portion of
finance leases |
|
|
(15 |
) |
|
|
(14 |
) |
Proceeds from exercise of
stock options and ESPP stock purchases |
|
|
5,467 |
|
|
|
3,300 |
|
Net cash provided by
financing activities |
|
|
20,452 |
|
|
|
40,474 |
|
|
|
|
|
|
Net (decrease) increase in
cash, cash equivalents and restricted cash |
|
|
(16,602 |
) |
|
|
13,885 |
|
Cash, cash equivalents
and restricted cash, beginning of period |
|
|
55,609 |
|
|
|
41,724 |
|
Cash, cash equivalents
and restricted cash, end of period |
|
$ |
39,007 |
|
|
$ |
55,609 |
|
|
|
|
|
|
Supplemental
disclosures of cash flow activity: |
|
|
|
|
Cash paid for interest, net of
capitalized interest |
|
$ |
495 |
|
|
$ |
822 |
|
Supplemental
disclosure of non-cash investing and financing
activities |
|
|
|
|
Acquisition of fixed assets in
accounts payable and accrued expenses |
|
$ |
1,420 |
|
|
$ |
1,077 |
|
Obtaining a right-of-use asset
in exchange for a lease liability |
|
$ |
1,375 |
|
|
$ |
14,259 |
|
Acquisition of leasehold
asset |
|
$ |
- |
|
|
$ |
5,250 |
|
Embedded derivative associated
with the long-term debt |
|
$ |
3,037 |
|
|
$ |
2,563 |
|
Acquisition of intangible
assets in accounts payable and accrued expenses |
|
$ |
418 |
|
|
$ |
- |
|
Conversion of the Oberland
option |
|
$ |
- |
|
|
$ |
182 |
|
AXOGEN, INC. |
RECONCILIATION OF REVISED EBITDA, ADJUSTED EBITDA, and
DEPRECIATION AND AMORTIZATION |
Three Months Ended September 30, 2021 and 2020; June 30,
2021 and 2020; March 31, 2021 and 2020; December 31, 2020
and |
Year Ended December 31, 2020 |
(unaudited) |
(In Thousands) |
|
|
|
|
|
|
|
|
|
|
|
The Company has
revised its definition of EBITDA and Adjusted EBITDA to include
amortization of its right-of-use assets and amortization of
debt discount and deferred financing fees. |
The tables below
provide a reconciliation of EBITDA and Adjusted EBITDA as
previously reported to the amounts calculated using the new
definition. |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
|
|
|
March 31, |
|
June 30, |
|
September 30, |
|
|
|
|
|
|
|
2021 |
|
|
|
2021 |
|
|
|
2021 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization expense, as previously reported |
|
$ |
818 |
|
|
$ |
661 |
|
|
$ |
706 |
|
|
|
|
|
Amortization of ROU
assets |
|
|
500 |
|
|
|
460 |
|
|
|
458 |
|
|
|
|
|
Amortization of debt discount
and deferred financing fees |
|
|
112 |
|
|
|
115 |
|
|
|
157 |
|
|
|
|
|
Revised depreciation
and amortization expense |
|
$ |
1,430 |
|
|
$ |
1,236 |
|
|
$ |
1,321 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBITDA - non GAAP, as
previously reported |
|
$ |
(5,437 |
) |
|
$ |
(6,639 |
) |
|
$ |
(6,035 |
) |
|
|
|
|
Amortization of ROU
assets |
|
|
500 |
|
|
|
460 |
|
|
|
458 |
|
|
|
|
|
Amortization of debt discount
and deferred financing fees |
|
|
112 |
|
|
|
115 |
|
|
|
157 |
|
|
|
|
|
Revised EBITDA - non
GAAP |
|
$ |
(4,825 |
) |
|
$ |
(6,064 |
) |
|
$ |
(5,420 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA - non
GAAP, as previously reported |
|
$ |
(1,906 |
) |
|
$ |
(2,435 |
) |
|
$ |
(2,496 |
) |
|
|
|
|
Amortization of ROU
assets |
|
|
500 |
|
|
|
460 |
|
|
|
458 |
|
|
|
|
|
Amortization of debt discount
and deferred financing fees |
|
|
112 |
|
|
|
115 |
|
|
|
157 |
|
|
|
|
|
Revised Adjusted
EBITDA - non GAAP |
|
$ |
(1,294 |
) |
|
$ |
(1,860 |
) |
|
$ |
(1,881 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
Year Ended |
|
|
March 31, |
|
June 30, |
|
September 30, |
|
December 31, |
|
December 31, |
|
|
|
2020 |
|
|
|
2020 |
|
|
|
2020 |
|
|
|
2020 |
|
|
|
2020 |
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization expense, as previously reported |
|
$ |
343 |
|
|
$ |
346 |
|
|
$ |
439 |
|
|
$ |
556 |
|
|
$ |
1,660 |
|
Amortization of ROU
assets |
|
|
470 |
|
|
|
332 |
|
|
|
480 |
|
|
|
518 |
|
|
|
1,800 |
|
Amortization of debt discount
and deferred financing fees |
|
|
- |
|
|
|
- |
|
|
|
22 |
|
|
|
210 |
|
|
|
232 |
|
Revised depreciation
and amortization expense |
|
$ |
813 |
|
|
$ |
678 |
|
|
$ |
941 |
|
|
$ |
1,284 |
|
|
$ |
3,692 |
|
|
|
|
|
|
|
|
|
|
|
|
EBITDA - non GAAP, as
previously reported |
|
$ |
(8,139 |
) |
|
$ |
(7,907 |
) |
|
$ |
(671 |
) |
|
$ |
(4,811 |
) |
|
$ |
(21,600 |
) |
Amortization of ROU
assets |
|
|
470 |
|
|
|
332 |
|
|
|
480 |
|
|
|
518 |
|
|
|
1,800 |
|
Amortization of debt discount
and deferred financing fees |
|
|
- |
|
|
|
- |
|
|
|
22 |
|
|
|
210 |
|
|
|
232 |
|
Revised EBITDA - non
GAAP |
|
$ |
(7,669 |
) |
|
$ |
(7,575 |
) |
|
$ |
(169 |
) |
|
$ |
(4,083 |
) |
|
$ |
(19,568 |
) |
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA - non
GAAP, as previously reported |
|
$ |
(7,583 |
) |
|
$ |
(5,685 |
) |
|
$ |
2,276 |
|
|
$ |
(2,066 |
) |
|
$ |
(13,095 |
) |
Amortization of ROU
assets |
|
|
470 |
|
|
|
332 |
|
|
|
480 |
|
|
|
518 |
|
|
|
1,800 |
|
Amortization of debt discount
and deferred financing fees |
|
|
- |
|
|
|
- |
|
|
|
22 |
|
|
|
210 |
|
|
|
232 |
|
Revised Adjusted
EBITDA - non GAAP |
|
$ |
(7,113 |
) |
|
$ |
(5,353 |
) |
|
$ |
2,778 |
|
|
$ |
(1,338 |
) |
|
$ |
(11,063 |
) |
Axogen (NASDAQ:AXGN)
Historical Stock Chart
From Apr 2024 to May 2024
Axogen (NASDAQ:AXGN)
Historical Stock Chart
From May 2023 to May 2024