CDI Reports Third Quarter 2013 Financial Results
News Nov 13, 2013
Cellular Dynamics International, Inc. has reported financial results for the third quarter ended September 30, 2013.
“Trailing twelve months revenue as of September 30, 2013, more than doubled when compared to the corresponding period last year as did trailing twelve month average sales to our top 10 customers. Revenue for the third quarter also more than doubled when compared to the same period last year, and this growth was achieved with record gross margin from product sales of 79%," said Bob Palay, Chairman and CEO of CDI.
Palay continued, “A growing number of pharmaceutical companies are adopting CDI’s products for their research programs. By the end of the third quarter of 2013 CDI had sold to 142 customers for the trailing twelve months compared to 115 customers for the same period last year. Our top 10 customers averaged $704,000 in revenue for the trailing twelve months ended September 30, 2013, up from $313,000 for the same period last year. We believe these results add to the growing evidence that our iCell® and MyCell® products are becoming an industry standard for manufactured human cells.”
In addition, as recently announced, the Company received the Notice of Grant Award (NGA) from the California Institute of Regenerative Medicine (CIRM) to create a human induced pluripotent stem cell (iPSC) biobank from 3,000 individuals.
Receipt of the NGA signifies the entry into a definitive agreement with CIRM and the initiation of funding for the $16 million project. This contract resulted from the CIRM grant award to CDI announced last March.
The Company looks forward to the revenue from this contract contributing to our expected ongoing revenue growth in our base business.
Third Quarter 2013 Selected Financial Results
Revenue. Total revenues for the third quarter of 2013 were $2.5 million compared to $1.2 million for the third quarter of 2012, an increase of 108%. For the trailing twelve months ended September 30, 2013, total revenues were $10.7 million, compared to $4.6 million for the trailing twelve months ended September 30, 2012, an increase of 133%. Growth in total revenue is primarily attributable to growth in unit sales of the Company’s iCell products and significant increases in revenue from collaborations under our center of excellence agreements with Eli Lilly and Company and AstraZeneca UK Limited.
Costs and expenses. Total costs and expenses (excluding cost of product sales) were $9.3 million for the third quarter of 2013 compared to $6.4 million for the third quarter of 2012, an increase of 45%. This growth is attributable principally to an increase in supplies expense within our research and development organization, an increase in staffing within our sales and marketing organization and to general and administrative costs attributable to or triggered by our initial public offering. Approximately $669,000 of general and administrative expenses in the third quarter of 2013 reflect compensation and fee arrangements made effective as of the IPO date but attributable to service in the first and second quarter of 2013. Additionally, the Company incurred approximately $240,000 for travel and other expenses incurred in connection with our IPO. Tempering those operating cost increases, cost of product sales as a percentage of product sales revenue declined from 27% in the third quarter of 2012 to 21% in the third quarter of 2013, for a record gross margin from product sales of 79%. This compares favorably to the third quarter of 2012 gross margin from product sales of 73%.
Net loss. For the third quarter of 2013, net loss was $7.5 million, or $0.62 per share, compared with a net loss of $5.5 million, or $3.16 per share, for the third quarter of 2012. Weighted average shares outstanding for the third quarter of 2013 was 12.1 million versus 1.7 million for the third quarter of 2012. The difference in weighted average shares outstanding is principally attributable to both the common shares issued in our IPO and the conversion of our Series A and Series B preferred stock to common shares immediately prior to the consummation of our IPO.
Cash and cash equivalents. At September 30, 2013, cash and cash equivalents totaled $68.6 million.
Switch Discovered to Convert Blood Vessels to Blood Stem Cells During Embryonic DevelopmentNews
Findings could aid research into creating new blood cells for transplants and understanding cancer metastasis.READ MORE
Chemicals in Lavender and Tea Tree Oil Could be Hormone DisruptorsNews
A new study lends further evidence to a suspected link between abnormal breast growth in young boys--called prepubertal gynecomastia--and regular exposure to lavender or tea tree oil, by finding that key chemicals in these common plant-derived oils act as endocrine-disrupting chemicals.READ MORE
Unraveling How Mesenchymal Stem Cells From Gum Tissue Accelerate Wound HealingNews
To assist with wound healing, mesenchymal stem cells from the gum tissue secrete extracellular vesicles that contain the anti-inflammatory signaling molecule IL-1RA.READ MORE
Comments | 0 ADD COMMENT
World Congress on Advanced Pharmacy and Clinical Research
Jul 16 - Jul 17, 2018
6th Annual Congress on Biology and Medicine of Molecules
Sep 17 - Sep 18, 2018
International Conference on Molecular Biology and Stem Cells
Aug 13 - Aug 15, 2018
World Congress on Plant Science and Molecular Biology
Sep 12 - Sep 13, 2018