electroCore, Inc. (Nasdaq: ECOR), a commercial-stage bioelectronic
medicine company and wellness company, today announced second
quarter 2024 financial results.
Recent Highlights
• |
Net loss of
$2.7 million, a decrease of 46% over second quarter
2023 |
• |
Launched our direct-to-consumer mobile app-enabled product for
general wellness, Truvaga Plus™ |
• |
Raised approximately $9.0 million in a Registered Direct
Offering and Concurrent Private Placements priced At-the-Market
under Nasdaq Rules |
• |
electroCore joined the Russel
Microcap® Index |
• |
Commercial launch of our next generation TAC-STIM™ |
• |
Seventh consecutive record quarterly revenue of $6.1 million,
an increase of 73% over second quarter
2023 |
|
|
Second Quarter 2024 Financial
Results
For the quarter ended June 30,
2024, electroCore reported net sales of $6.1 million
compared to $3.6 million during the same period of 2023,
which represents an approximately 73% increase over the prior
year. The increase of $2.6 million is primarily due to an
increase in net sales across the majority of our major
channels.
(in thousands) |
|
Three months ended June 30, |
|
|
% Change |
|
|
Six months ended June 30, |
|
|
% Change |
|
Channel |
|
|
2024 |
|
|
2023 |
|
|
|
|
|
|
2024 |
|
|
2023 |
|
|
|
|
Rx gammaCore™ –
VA/DoD |
|
$ |
4,572 |
|
$ |
2,081 |
|
|
120% |
|
|
|
$ |
8,447 |
|
$ |
3,786 |
|
|
123% |
|
|
Rx gammaCore – U.S.
Commercial |
|
|
476 |
|
|
445 |
|
|
7% |
|
|
|
|
909 |
|
|
875 |
|
|
4% |
|
|
Outside the United States |
|
|
464 |
|
|
424 |
|
|
9% |
|
|
|
|
913 |
|
|
834 |
|
|
9% |
|
|
Truvaga™ |
|
|
572 |
|
|
290 |
|
|
97% |
|
|
|
|
957 |
|
|
437 |
|
|
119% |
|
|
Total Before
TAC-STIM™ |
|
|
6,084 |
|
|
3,240 |
|
|
88% |
|
|
|
|
11,226 |
|
|
5,932 |
|
|
89% |
|
|
TAC-STIM |
|
|
55 |
|
|
311 |
|
|
-82% |
|
|
|
|
356 |
|
|
399 |
|
|
-11% |
|
|
Total
Revenue |
|
$ |
6,139 |
|
$ |
3,551 |
|
|
73% |
|
|
|
$ |
11,582 |
|
$ |
6,331 |
|
|
83% |
|
|
Gross profit for the second quarter of 2024 was $5.3 million as
compared to $3.0 million for the second quarter of 2023. Gross
margin was 86% for the second quarter of 2024 as compared to 84% in
the second quarter of 2023.
Total operating expenses in the second quarter of 2024 were
approximately $7.9 million as compared to $8.0 million in the
second quarter of 2023.
Research and development expense in the second quarter of 2024
was $0.6 million as compared to $1.2 million in the second quarter
of 2023. This decrease was primarily due to a significant reduction
in investments associated with the development of our next
generation app-enabled platform.
Selling, general and administrative expense in the second
quarter of 2024 was $7.3 million as compared to $6.8 million in the
second quarter of 2023. The increase was driven by continued
targeted investments in sales and marketing to support our
commercial efforts.
GAAP net loss in the second quarter of 2024 was $2.7 million
compared to the $4.9 million in the second quarter of 2023. This
significant improvement was primarily due to the increase in net
sales to $6.1 million for the second quarter of 2024 compared to
$3.6 million during the same period in 2023.
Adjusted EBITDA net loss in the second quarter of 2024 was $1.9
million as compared to adjusted EBITDA net loss of $4.5 million in
the second quarter of 2023. These improved results are also
primarily due to the 73% increase in the second quarter 2024 net
sales over the second quarter 2023.
The Company defines adjusted EBITDA net loss as GAAP net loss,
adjusted to exclude non-operating gains/losses, depreciation and
amortization, stock-compensation expense, inventory reserve
charges, severance and other related charges, legal fees associated
with stockholders’ litigation, and benefit from income taxes. A
reconciliation of GAAP net loss to Non-GAAP adjusted EBITDA net
loss has been provided in the financial statement tables included
in this press release.
Cash, cash equivalents, marketable securities and restricted
cash at June 30, 2024 totaled approximately $14.5 million, as
compared to approximately $10.6 million as of December 31,
2023.
Webcast and Conference Call
Information electroCore’s management team
will host a conference call today, August 7, 2024, beginning at
4:30 PM EST. Investors interested in listening to the
conference call, or webcast may dial 877-407-8835 for
domestic callers or 201-689-8779 for international callers,
using Conference ID: 13744119, or click through the following
link:
https://event.choruscall.com/mediaframe/webcast.html?webcastid=CJzxi2hM
An archived webcast of the event will be available on the
“Investors” section of the company’s website
at: www.electrocore.com.
About electroCore, Inc.
electroCore, Inc. is a commercial stage bioelectronic
medicine and wellness company dedicated to improving health through
its non-invasive vagus nerve stimulation (“nVNS”) technology
platform. Our focus is the commercialization of medical devices for
the management and treatment of certain medical conditions and
consumer product offerings utilizing nVNS to promote general
wellbeing and human performance in the United States and select
overseas markets.
For more information, visit
www.electrocore.com.
Forward-Looking Statements
This press release and other written and oral statements made by
representatives of electroCore may contain forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Such forward-looking statements include, but
are not limited to, statements about, electroCore’s business
prospects and clinical and product development plans; its pipeline
or potential markets for its technologies; the timing, outcome and
impact of regulatory, clinical and commercial developments;
business prospects around its prescription gammaCore product,
general wellness Truvaga and TAC-STIM products, and
other potential new products and markets, and other statements that
are not historical in nature, particularly those that utilize
terminology such as “anticipates,” “will,”
“expects,” “believes,” “intends,” and other words of
similar meaning, derivations of such words and the use of future
dates. Actual results could differ from those projected in any
forward-looking statements due to numerous factors. Such factors
include, among others, the ability to raise the additional funding
needed to continue to pursue electroCore’s business and product
development plans, the inherent uncertainties associated with
developing new products or technologies, the ability to
commercialize gammaCore, TAC-STIM, and Truvaga, electroCore’s
results of operations and financial performance, inflation and
currency fluctuations, and any expectations electroCore may have
with respect thereto, competition in the industry in which
electroCore operates and overall economic and market conditions.
Any forward-looking statements are made as of the date of this
press release, and electroCore assumes no obligation to update the
forward-looking statements or to update the reasons why actual
results could differ from those projected in the forward-looking
statements, except as required by law. Investors should consult all
of the information set forth herein and should also refer to the
risk factor disclosure set forth in the reports and other documents
electroCore files with the SEC available at www.sec.gov.
Contact:
ECOR Investor Relations(973)
302-9253investors@electrocore.com
electroCore,
Inc.Condensed Consolidated Statements of
Operations(unaudited)(in thousands, except per share
data)
|
|
Three months ended |
|
|
Six months ended |
|
|
|
June 30, |
|
|
June 30, |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
Net sales |
|
$ |
6,139 |
|
|
|
$ |
3,551 |
|
|
|
$ |
11,582 |
|
|
|
$ |
6,331 |
|
|
Cost of goods sold |
|
|
838 |
|
|
|
|
585 |
|
|
|
|
1,726 |
|
|
|
|
1,043 |
|
|
Gross profit |
|
|
5,301 |
|
|
|
|
2,966 |
|
|
|
|
9,856 |
|
|
|
|
5,288 |
|
|
Gross profit margin |
|
|
86% |
|
|
|
|
84% |
|
|
|
|
85% |
|
|
|
|
84% |
|
|
Operating expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Research and development |
|
|
635 |
|
|
|
|
1,155 |
|
|
|
|
1,034 |
|
|
|
|
2,964 |
|
|
Selling, general and
administrative |
|
|
7,257 |
|
|
|
|
6,799 |
|
|
|
|
15,262 |
|
|
|
|
13,509 |
|
|
Total operating expenses |
|
|
7,892 |
|
|
|
|
7,954 |
|
|
|
|
16,296 |
|
|
|
|
16,473 |
|
|
Loss from operations |
|
|
(2,591) |
|
|
|
|
(4,988) |
|
|
|
|
(6,440) |
|
|
|
|
(11,185) |
|
|
Other (income) expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and other income |
|
|
(55) |
|
|
|
|
(85) |
|
|
|
|
(280) |
|
|
|
|
(204) |
|
|
Other expense |
|
|
119 |
|
|
|
|
— |
|
|
|
|
123 |
|
|
|
|
— |
|
|
Total Other expense
(income) |
|
|
64 |
|
|
|
|
(85) |
|
|
|
|
(157) |
|
|
|
|
(204) |
|
|
Loss before income taxes |
|
|
(2,655) |
|
|
|
|
(4,903) |
|
|
|
|
(6,283) |
|
|
|
|
(10,981) |
|
|
Benefit from income taxes |
|
|
— |
|
|
|
|
— |
|
|
|
|
122 |
|
|
|
|
211 |
|
|
Net loss |
|
$ |
(2,655) |
|
|
|
$ |
(4,903) |
|
|
|
$ |
(6,161) |
|
|
|
$ |
(10,770) |
|
|
Net loss per share of common
stock - Basic and Diluted |
|
$ |
(0.38) |
|
|
|
$ |
(1.03) |
|
|
|
$ |
(0.90) |
|
|
|
$ |
(2.27) |
|
|
Weighted average common shares
outstanding - Basic and Diluted |
|
|
7,046 |
|
|
|
|
4,751 |
|
|
|
|
6,831 |
|
|
|
|
4,747 |
|
|
electroCore,
Inc. Condensed Consolidated Balance Sheet
Information(unaudited)(in thousands)
|
|
June 30, 2024 |
|
|
December 31, 2023 |
|
Cash and cash equivalents |
|
$ |
10,302 |
|
|
$ |
10,331 |
|
Restricted cash |
|
$ |
250 |
|
|
$ |
250 |
|
Marketable securities |
|
$ |
3,928 |
|
|
$ |
— |
|
Total assets |
|
$ |
22,355 |
|
|
$ |
16,102 |
|
Current liabilities |
|
$ |
7,252 |
|
|
$ |
8,123 |
|
Total liabilities |
|
$ |
10,883 |
|
|
$ |
8,660 |
|
Total stockholders'
equity |
|
$ |
11,472 |
|
|
$ |
7,442 |
|
(Unaudited) Use of Non-GAAP Financial
Measure
The Company is presenting adjusted EBITDA net loss because it
believes this measure is a useful indicator of its operating
performance. Management uses this non-GAAP measure principally as a
measure of the Company’s core operating performance and believes
that this measure is useful to investors because it is frequently
used by the financial community, investors, and other interested
parties to evaluate companies in the Company’s industry. The
Company also believes that this measure is useful to its management
and investors as a measure of comparative operating performance
from period to period. Additionally, the Company believes its use
of non-GAAP adjusted EBITDA net loss from operations facilitates
management’s internal comparisons to historical operating results
by factoring out potential differences caused by gains and charges
not related to its regular, ongoing business, including, without
limitation, non-cash charges and certain large and unpredictable
charges such as restructuring expenses.
The Company defines adjusted EBITDA net loss as GAAP net loss,
adjusting to exclude non-operating gains/losses, depreciation
and amortization, stock-compensation expense, inventory reserve
charges, severance and other related charges, legal fees associated
with stockholders’ litigation, and benefit from income taxes. A
reconciliation of GAAP net loss to Non-GAAP adjusted EBITDA net
loss is provided in the financial statement table below.
|
|
Three months ended |
|
|
Six months ended |
|
|
|
June 30, |
|
|
June 30, |
|
(in thousands) |
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
GAAP net
loss |
$ |
(2,655) |
|
|
$ |
(4,903) |
|
|
$ |
(6,161) |
|
|
$ |
(10,770) |
|
Depreciation and
amortization |
|
201 |
|
|
|
322 |
|
|
|
407 |
|
|
|
444 |
|
Stock-based compensation |
|
472 |
|
|
|
183 |
|
|
|
956 |
|
|
|
755 |
|
Inventory reserve charge |
|
— |
|
|
|
(10) |
|
|
|
— |
|
|
|
65 |
|
Severance and other related
charges |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
332 |
|
Legal fees associated with
stockholders' litigation |
|
2 |
|
|
|
35 |
|
|
|
71 |
|
|
|
35 |
|
Interest and other (income) expense |
|
64 |
|
|
|
(85) |
|
|
|
(157) |
|
|
|
(204) |
|
Benefit
from income taxes |
|
— |
|
|
|
— |
|
|
|
(122) |
|
|
|
(211) |
|
Adjusted EBITDA net
loss |
$ |
(1,916) |
|
|
$ |
(4,458) |
|
|
$ |
(5,006) |
|
|
$ |
(9,554) |
|
The Company’s use of a non-GAAP measure has limitations as an
analytical tool, and you should not consider it in isolation or as
a substitute for analysis of its results as reported under GAAP.
Some of these limitations are: (i) the non-GAAP measure does not
reflect interest or tax payments that may represent a reduction in
cash available; (ii) although depreciation and amortization are
non-cash charges, the assets being depreciated and amortized may
have to be replaced in the future, and the non-GAAP measure does
not reflect cash capital expenditure requirements for such
replacements or for new capital expenditure requirements; (iii) the
non-GAAP measure does not reflect the potentially dilutive impact
of equity-based compensation; and (iv) the non-GAAP measure does
not reflect changes in, or cash requirements for working capital
needs; other companies, including companies in electroCore’s
industry, may calculate adjusted EBITDA net loss differently,
effectively reducing its usefulness as a comparative measure.
Because of these and other limitations, you should consider the
non-GAAP measure together with other GAAP-based financial
performance measures, including various cash flow metrics, net
loss, and other GAAP results. A reconciliation of GAAP net loss to
non-GAAP adjusted EBITDA net loss has been provided in the
preceding financial statements table of this press release.
electroCore (NASDAQ:ECOR)
過去 株価チャート
から 8 2024 まで 9 2024
electroCore (NASDAQ:ECOR)
過去 株価チャート
から 9 2023 まで 9 2024