Senseonics Holdings, Inc. Reports Third Quarter 2017 Financial Results
GERMANTOWN, Md.--(BUSINESS WIRE)--
Senseonics Holdings, Inc. (NYSE-American: SENS), a medical technology
company focused on the development and commercialization of a long-term,
implantable continuous glucose monitoring (CGM) system for people with
diabetes, today reported financial results for the third quarter ended
September 30, 2017.
RECENT HIGHLIGHTS & ACCOMPLISHMENTS:
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Received CE Mark for Eversense XL which extends wear of Eversense for
up to 180 days
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Expanded European launch of Eversense System to six additional
European countries for availability in a total of 13 countries
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Revenue of $2.1 million in the third quarter 2017
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Completed financing which brought $26 million in aggregate net
proceeds to the Company
“In the third quarter, we continued to strengthen the Eversense
franchise, broadening availability of the system in additional European
markets, deepening our presence where Eversense has been available, and
enhancing our offering with the CE Mark approval of Eversense XL,” said
Tim Goodnow, President and Chief Executive Officer of Senseonics. “In
the remaining time in 2017 we will be introducing Eversense XL into the
first European market and working with our distribution partners for
expanded launch in 2018.”
THIRD QUARTER 2017 RESULTS:
Revenue was $2.1 million for the third quarter of 2017, compared to
$37,000 for the third quarter of 2016.
Third quarter 2017 sales and marketing expenses increased $1.4 million
year-over year, to $2.1 million The increase in sales and marketing
expenses was primarily driven by an increase in compensation expense
associated with hiring efforts to support and expand the distribution of
Eversense in Europe as well as preparation for U.S. launch in 2018.
Third quarter 2017 research and development expenses increased $2.9
million year-over-year, to $9.8 million. The increase in research and
development expenses was primarily driven by the on-going support of our
PMA application as well as the Canadian pediatric trial and additional
feasibility trials.
Third quarter 2017 general and administrative expenses increased $1.1
million, year-over-year, to $3.9 million. The increase in general and
administration expenses was primarily driven by an increase in
compensation, legal and other administrative expense associated with
supporting operational growth.
Net loss was $17.4 million, or $0.13 per share, in the third quarter of
2017, compared to $10.9 million, or $0.12 per share, in the third
quarter of 2016. Third quarter 2017 net loss per share was based on
128.9 million weighted average shares outstanding, compared to 93.4
million weighted average shares outstanding in the third quarter of 2016.
As of September 30, 2017, cash, cash equivalents, and marketable
securities were $52.7 million and outstanding indebtedness was $25
million, compared to cash, cash equivalents, and marketable securities
of $20.3 million and outstanding indebtedness of $20 million, as of
December 31, 2016.
CONFERENCE CALL AND WEBCAST INFORMATION
Company management will host a conference call at 4:30 pm (Eastern Time)
today, October 31, 2017, to discuss these financial results and recent
business developments. This conference call can be accessed live by
telephone or through Senseonics’ website.
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Live Teleconference Information:
Dial in number: (877)883-0383
Entry
Number: 6395376
International dial in: (412)902-6506 | | | | | | Live Webcast Information:
Visit http://www.senseonics.comand select the
“Investor
Relations” section
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A replay of the call can be accessed on Senseonics’ website http://www.senseonics.com
under “Investor
Relations.”
About Senseonics
Senseonics Holdings, Inc. is a medical technology company focused on the
design, development and commercialization of transformational glucose
monitoring products designed to help people with diabetes confidently
live their lives with ease. Senseonics' CGM systems, Eversense and
Eversense XL, include a small sensor inserted completely under the skin
that communicates with a smart transmitter worn over the sensor. The
glucose data are automatically sent every 5 minutes to a mobile app on
the user's smartphone.
FORWARD LOOKING STATEMENTS
Any statements in this press release about future expectations, plans
and prospects for Senseonics, including statements about the potential
U.S. launch of Eversense, the development of future generations of
Eversense, the commercialization of Eversense XL in Europe and other
statements containing the words “expect,” “intend,” “may,” “will,” and
similar expressions, constitute forward-looking statements within the
meaning of The Private Securities Litigation Reform Act of 1995. Actual
results may differ materially from those indicated by such
forward-looking statements as a result of various important factors,
including: the uncertainties related to market conditions and the
completion of the underwritten public offering on the anticipated terms
or at all, uncertainties inherent in the expanded commercial launch of
Eversense and such other factors as are set forth in the risk factors
detailed in Senseonics’ Annual Report on Form 10-K for the year ended
December 31, 2016, Senseonics’ Quarterly Report on Form 10-Q for the
quarter ended September 30, 2017 and Senseonics’ other filings with the
SEC under the heading “Risk Factors.” In addition, the forward-looking
statements included in this press release represent Senseonics’ views as
of the date hereof. Senseonics anticipates that subsequent events and
developments will cause Senseonics’ views to change. However, while
Senseonics may elect to update these forward-looking statements at some
point in the future, Senseonics specifically disclaims any obligation to
do so except as required by law. These forward-looking statements should
not be relied upon as representing Senseonics’ views as of any date
subsequent to the date hereof.
FINANCIAL STATEMENTS TO FOLLOW:
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| Senseonics Holdings, Inc. |
|
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| Unaudited Condensed Consolidated Balance Sheets |
| (in thousands, except share and per share data) |
|
| |
| |
| | September 30, | | December 31, |
| | 2017 | | 2016 |
| |
(unaudited)
| | |
| Assets | | | | |
|
Current assets:
| | | | |
|
Cash and cash equivalents
| |
$
|
29,783
| | |
$
|
13,047
| |
|
Marketable securities
| | |
22,917
| | | |
7,291
| |
|
Accounts receivable
| | |
2,063
| | | |
251
| |
|
Inventory, net
| | |
2,413
| | | |
477
| |
|
Prepaid expenses and other current assets
| |
|
1,899
|
| |
|
365
|
|
|
Total current assets
| | |
59,075
| | | |
21,431
| |
| | | |
|
|
Deposits and other assets
| | |
176
| | | |
105
| |
|
Property and equipment, net
| |
|
887
|
| |
|
735
|
|
|
Total assets
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$
|
60,138
|
| |
$
|
22,271
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|
| | | |
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| Liabilities and Stockholders’ Equity (Deficit) | | | | |
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Current liabilities:
| | | | |
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Accounts payable
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$
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5,125
| | |
$
|
3,070
| |
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Accrued expenses and other current liabilities
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7,554
| | | |
4,666
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Notes payable, current portion
| |
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7,500
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|
3,889
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Total current liabilities
| | |
20,179
| | | |
11,625
| |
| | | |
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Notes payable, net of discount
| | |
16,801
| | | |
15,177
| |
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Accrued interest
| | |
842
| | | |
273
| |
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Other liabilities
| |
|
66
|
| |
|
73
|
|
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Total liabilities
| |
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37,888
|
| |
|
27,148
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| | | |
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Commitments and contingencies (Note 7)
| | | | |
| | | |
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Stockholders’ equity (deficit):
| | | | |
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Common stock, $0.001 par value per share; 250,000,000 shares
authorized, 136,691,128 and 93,569,642 shares issued and outstanding
as of September 30, 2017 and December 31, 2016
| | |
136
| | | |
94
| |
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Additional paid-in capital
| | |
269,662
| | | |
199,751
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Accumulated deficit
| |
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(247,548
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)
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(204,722
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)
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Total stockholders' equity (deficit)
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22,250
|
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(4,877
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)
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Total liabilities and stockholders’ equity (deficit)
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$
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60,138
|
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$
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22,271
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| Senseonics Holdings, Inc. |
|
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| Unaudited Condensed Consolidated Statements of Operations and
Comprehensive Income (Loss) |
| (in thousands, except share and per share data) |
|
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| | Three Months Ended | | Nine Months Ended |
| | September 30, | | September 30, |
| | 2017 | | 2016 | | 2017 | | 2016 |
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Revenue
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$
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2,097
| | |
$
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37
| | |
$
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3,464
| | |
$
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56
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Cost of sales
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2,957
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|
114
|
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|
5,716
|
| |
|
148
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|
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Gross profit
| | |
(860
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)
| | |
(77
|
)
| | |
(2,252
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)
| | |
(92
|
)
|
| | | | | | | |
|
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Expenses:
| | | | | | | | |
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Sales and marketing expenses
| | |
2,089
| | | |
733
| | | |
4,478
| | | |
2,001
| |
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Research and development expenses
| | |
9,765
| | | |
6,883
| | | |
22,368
| | | |
20,838
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General and administrative expenses
| | |
3,891
| | | |
2,819
| | | |
11,545
| | | |
10,060
| |
| |
| |
| |
| |
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Operating loss
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(16,605
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)
| | |
(10,512
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)
| | |
(40,643
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)
| | |
(32,991
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)
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Other income (expense), net:
| | | | | | | | |
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Interest income
| | |
129
| | | |
35
| | | |
187
| | | |
69
| |
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Interest expense
| | |
(915
|
)
| | |
(502
|
)
| | |
(2,365
|
)
| | |
(1,045
|
)
|
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Other income (expense):
| | |
12
| | | |
92
| | | |
(5
|
)
| | |
3
| |
| |
| |
| |
| |
|
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Net loss
| | |
(17,379
|
)
| | |
(10,887
|
)
| | |
(42,826
|
)
| | |
(33,964
|
)
|
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Total comprehensive loss
| |
$
|
(17,379
|
)
| |
$
|
(10,887
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)
| |
$
|
(42,826
|
)
| |
$
|
(33,964
|
)
|
| | | | | | | |
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Basic and diluted net loss per common share
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$
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(0.13
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)
| |
$
|
(0.12
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)
| |
$
|
(0.39
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)
| |
$
|
(0.39
|
)
|
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Basic and diluted weighted-average shares outstanding
| |
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128,898,682
|
| |
|
93,386,139
|
| |
|
108,959,779
|
| |
|
87,838,031
|
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View source version on businesswire.com: http://www.businesswire.com/news/home/20171031006459/en/
Senseonics Holdings, Inc.
INVESTOR CONTACT
R. Don
Elsey, 301-556-1602
Chief Financial Officer
[email protected]
Source: Senseonics Holdings, Inc.