Second Quarter 2021 Overview
-
Entered into a definitive agreement with Medtronic, in which Medtronic will acquire all outstanding shares of
Intersect ENT . -
Revenue of
$27.3 million in the second quarter of 2021, up 180%, compared to$9.8 million in the second quarter of 2020. -
Record quarterly SINUVA revenue of
$2.7 million . -
Global Navigation and Balloon portfolio generated quarterly revenue of
$1.6 million . -
Cash, cash equivalents, restricted cash, and short-term investments were
$76.2 million as ofJune 30, 2021 .
Total revenue was
“Second quarter revenue growth reflected our expanded commercial activities and the gradual resumption of elective sinus procedures,” said
Gross profit for the second quarter of 2021 was
Operating expenses for the second quarter of 2021 were
Net loss for the second quarter of 2021 was
The balance of cash, cash equivalents, restricted cash, and short-term investments as of
Non-GAAP Measures vs. GAAP Financial Measures
This release contains financial measures, adjusted gross profit, adjusted gross margin, and adjusted net loss, that are not calculated in accordance with
The Company uses non-GAAP financial measures to analyze its operating performance and future prospects, develop internal budgets and financial goals, and to facilitate period-to-period comparisons. The Company believes that non-GAAP financial measures are useful to investors as they reflect an additional way of viewing aspects of its operations that, when viewed with its GAAP results, provide a more complete understanding of factors and trends affecting its business.
Webcast and Conference Call Canceled
In light of today’s Medtronic acquisition announcement,
About
For additional information on the Company or the products including risks and benefits please visit www.IntersectENT.com. For more information about PROPEL® (mometasone furoate) sinus implants and SINUVA® (mometasone furoate) sinus implant, please visit www.PROPELOPENS.com and www.SINUVA.com.
Forward-Looking Statements
The forward-looking statements in this press release are based on
Condensed Consolidated Statements of Operations (in thousands, except percentages and per share data) (unaudited) |
|||||||||||||||
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||||||
Revenue |
$ |
27,349 |
|
|
$ |
9,780 |
|
|
$ |
51,677 |
|
|
$ |
29,606 |
|
Cost of sales |
8,332 |
|
|
7,357 |
|
|
16,787 |
|
|
13,767 |
|
||||
Gross profit |
19,017 |
|
|
2,423 |
|
|
34,890 |
|
|
15,839 |
|
||||
Gross margin |
69.5 |
% |
|
24.8 |
% |
|
67.5 |
% |
|
53.5 |
% |
||||
Operating expenses: |
|
|
|
|
|
|
|
||||||||
Selling, general and administrative |
28,731 |
|
|
19,497 |
|
|
56,808 |
|
|
45,697 |
|
||||
Research and development |
6,360 |
|
|
4,018 |
|
|
12,730 |
|
|
9,164 |
|
||||
Total operating expenses |
35,091 |
|
|
23,515 |
|
|
69,538 |
|
|
54,861 |
|
||||
Loss from operations |
(16,074) |
|
|
(21,092) |
|
|
(34,648) |
|
|
(39,022) |
|
||||
Interest expense |
(1,409) |
|
|
(486) |
|
|
(2,784) |
|
|
(486) |
|
||||
Other income (expense), net |
442 |
|
|
(1,546) |
|
|
(62) |
|
|
(1,149) |
|
||||
Loss before income taxes |
(17,041) |
|
|
(23,124) |
|
|
(37,494) |
|
|
(40,657) |
|
||||
Provision for income tax (benefit) |
(440) |
|
|
— |
|
|
(862) |
|
|
— |
|
||||
Net loss |
$ |
(16,601) |
|
|
$ |
(23,124) |
|
|
$ |
(36,632) |
|
|
$ |
(40,657) |
|
Net loss per share, basic and diluted |
$ |
(0.50) |
|
|
$ |
(0.71) |
|
|
$ |
(1.11) |
|
|
$ |
(1.25) |
|
Weighted average common shares used to compute net loss
|
33,185 |
|
|
32,595 |
|
|
33,104 |
|
|
32,480 |
|
Condensed Consolidated Balance Sheets (in thousands) |
|||||||
|
|
|
|
||||
|
(unaudited) |
|
(1) |
||||
Assets |
|
|
|
||||
Current assets: |
|
|
|
||||
Cash, cash equivalents and short-term investments |
$ |
57,770 |
|
|
$ |
88,027 |
|
Accounts receivable, net |
15,993 |
|
|
14,592 |
|
||
Inventories, net |
15,059 |
|
|
12,054 |
|
||
Prepaid expenses and other current assets |
3,546 |
|
|
3,494 |
|
||
Total current assets |
92,368 |
|
|
118,167 |
|
||
Property and equipment, net |
5,427 |
|
|
5,624 |
|
||
Operating lease right-of-use assets |
16,317 |
|
|
17,151 |
|
||
Intangible assets, net |
19,618 |
|
|
21,193 |
|
||
|
47,035 |
|
|
46,639 |
|
||
Restricted cash |
18,346 |
|
|
17,500 |
|
||
Other non-current assets |
1,749 |
|
|
1,107 |
|
||
Total assets |
$ |
200,860 |
|
|
$ |
227,381 |
|
Liabilities and Stockholders’ Equity |
|
|
|
||||
Current liabilities: |
|
|
|
||||
Accounts payable |
$ |
7,629 |
|
|
$ |
6,042 |
|
Accrued compensation |
11,970 |
|
|
13,559 |
|
||
Deferred acquisition related consideration, current |
20,845 |
|
|
21,071 |
|
||
Other current liabilities |
4,951 |
|
|
3,575 |
|
||
Total current liabilities |
45,395 |
|
|
44,247 |
|
||
Operating lease liabilities |
15,375 |
|
|
17,736 |
|
||
Convertible notes, net |
63,783 |
|
|
63,650 |
|
||
Deferred acquisition related consideration, non-current |
33,103 |
|
|
33,167 |
|
||
Deferred tax liability and other non-current liabilities |
1,573 |
|
|
1,569 |
|
||
Total liabilities |
159,229 |
|
|
160,369 |
|
||
Total stockholders’ equity |
41,631 |
|
|
67,012 |
|
||
Total liabilities and stockholders’ equity |
$ |
200,860 |
|
|
$ |
227,381 |
|
-
Amounts have been derived from the
December 31, 2020 audited consolidated financial statements included in the Company’s Annual Report on Form 10-K filed with theSecurities and Exchange Commission .
Reconciliation of Condensed Consolidated GAAP Financial Measures to Non-GAAP Financial Measures (in thousands, except per share data) (unaudited) |
||||||||||||||||
|
Three Months Ended
|
|
Six Months Ended
|
|||||||||||||
|
2021 |
|
2020 |
|
2021 |
|
2020 |
|||||||||
Non-GAAP Gross Profit |
|
|
|
|
|
|
|
|||||||||
Gross Profit, as reported (GAAP) |
$ |
19,017 |
|
|
$ |
2,423 |
|
|
$ |
34,890 |
|
|
$ |
15,839 |
|
|
Amortization of intangible assets |
478 |
|
|
— |
|
|
955 |
|
|
— |
|
|||||
Adjusted Gross Profit (non-GAAP) |
$ |
19,495 |
|
|
$ |
2,423 |
|
|
$ |
35,845 |
|
|
$ |
15,839 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Non-GAAP Gross Margin |
|
|
|
|
|
|
|
|||||||||
Gross Margin, as reported (GAAP) |
69.5 |
% |
|
24.8 |
% |
|
67.5 |
% |
|
53.5 |
% |
|||||
Amortization of intangible assets |
1.8 |
|
|
— |
|
|
1.9 |
|
|
— |
|
|||||
Adjusted Gross Margin (non-GAAP) |
71.3 |
% |
|
24.8 |
% |
|
69.4 |
% |
|
53.5 |
% |
|||||
|
|
|
|
|
|
|
|
|||||||||
Non-GAAP Net Loss |
|
|
|
|
|
|
|
|||||||||
Net Loss, as reported (GAAP) |
$ |
(16,601) |
|
|
$ |
(23,124) |
|
|
$ |
(36,632) |
|
|
$ |
(40,657) |
|
|
Loss (gain) on embedded derivatives |
(659) |
|
|
1,796 |
|
|
(313) |
|
|
1,796 |
|
|||||
Amortization of intangible assets |
694 |
|
|
— |
|
|
1,576 |
|
|
— |
|
|||||
Integration costs |
185 |
|
|
— |
|
|
2,081 |
|
|
— |
|
|||||
Restructuring costs |
— |
|
|
242 |
|
|
— |
|
|
242 |
|
|||||
Adjusted Net Loss (non-GAAP) |
$ |
(16,381) |
|
|
$ |
(21,086) |
|
|
$ |
(33,288) |
|
|
$ |
(38,619) |
|
|
Basic and Diluted Net Loss per Share: |
|
|
|
|
|
|
|
|||||||||
Net Loss per share, as reported (GAAP) |
$ |
(0.50) |
|
|
$ |
(0.71) |
|
|
$ |
(1.11) |
|
|
$ |
(1.25) |
|
|
Adjusted Net Loss per share (non-GAAP) |
$ |
(0.49) |
|
|
$ |
(0.65) |
|
|
$ |
(1.01) |
|
|
$ |
(1.19) |
|
|
|
|
|
|
|
|
|
|
|||||||||
Shares used to compute GAAP and Non-GAAP Basic
|
33,185 |
|
|
32,595 |
|
|
33,104 |
|
|
32,480 |
|
|||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20210806005115/en/
ir@intersectENT.com
Source: