Obalon Announces Fourth Quarter and Full Year 2020 Financial Results
13 Marzo 2021 - 1:12AM
Obalon Therapeutics, Inc. (NASDAQ:OBLN), a vertically integrated
medical technology company with the first and only FDA-approved
swallowable, gas-filled intragastric balloon system for the
treatment of obesity, today announced its financial results for the
fourth quarter and full year ended December 31, 2020. On November
10, 2020, the Company signed a non-binding term sheet for merger
with ReShape Lifesciences Inc. and, on January 20, 2021, announced
that a definitive agreement had been signed on January 19, 2020 for
a merger with ReShape Lifesciences Inc.
Financial results for the fourth quarter of
2020Revenue for the fourth quarter of 2020 was $0.1
million, compared to $0.8 million for the fourth quarter of 2019,
with the decrease primarily due to the suspension of operations in
the second quarter of 2020. Net loss for the fourth quarter of 2020
was $1.3 million, compared to $4.9 million for the fourth quarter
of 2019. Net loss per share for the fourth quarter of 2020 was
$0.17, compared to $0.64 for the fourth quarter of 2019.
Cost of revenue was $0 for the fourth quarter of 2020, down from
$0.6 million for the fourth quarter of 2019. Gross profit for the
fourth quarter of 2020 was $0.1 million compared to $0.2 million
for the fourth quarter of 2019.
Research and Development expense for the fourth quarter of 2020
totaled $0.2 million, down from $1.5 million for the fourth quarter
of 2019. Selling, General and Administrative expense decreased to
$1.2 million for the fourth quarter of 2020, compared to $3.6
million for the fourth quarter of 2019.
Operating loss for the fourth quarter of 2020 was $1.4 million,
down from a loss of $5.0 million for the fourth quarter of
2019.
As of December 31, 2020, the Company had cash and cash
equivalents of $3.9 million and $0.4 million of debt related to its
Payroll Protection Program loan.
Financial results for the full year of
2020Revenue for the full year of 2020 was $1.6 million,
compared to $3.3 million for the full year of 2019, with the
decrease primarily due to the suspension of operations in the
second quarter of 2020. Net loss for the full year of 2020 was
$12.3 million, compared to $23.7 million for the full year of 2019.
Net loss per share for the full year of 2020 was $1.59, compared to
$5.03 for the full year of 2019.
Cost of revenue was $1.0 million for the full year of 2020, down
from $3.0 million for the full year of 2019. Gross profit for the
full year of 2020 was $0.6 million compared to $0.3 million for the
full year of 2019.
Research and Development expense for the full year of 2020
totaled $2.5 million, down from $6.9 million for the full year of
2019. Selling, General and Administrative expense decreased to $8.8
million for the full year of 2020, compared to $16.7 million for
the full year of 2019. Operating loss for the full year of 2020 was
$12.0 million, down from a loss of $23.2 million for the full year
of 2019.
Subsequent Events
From January 1, 2021 through March 2, 2021, the Company’s
warrant holders covering 2.3 million shares exercised the warrants
and common stock was issued in exchange for proceeds of $9.5
million.
About Obalon Therapeutics, Inc. Obalon
Therapeutics, Inc. (NASDAQ:OBLN) is a San Diego-based company
focused on developing and commercializing novel technologies for
weight loss.
Cautionary Statement Regarding Forward Looking
StatementsThis press release contains forward-looking
statements that are not purely historical regarding Obalon’s or its
management’s intentions, beliefs, expectations and strategies for
the future, including those related to the potential merger with
ReShape Lifesciences Inc. All forward-looking statements and
reasons why results might differ included in this press release are
made as of the date of this release, based on information currently
available to Obalon, deal with future events, are subject to
various risks and uncertainties, and actual results could differ
materially from those anticipated in those forward looking
statements. The risks and uncertainties that may cause actual
results to differ materially from Obalon’s current expectations are
more fully described in Obalon’s annual report on Form 10-K for the
period ended December 31, 2020, and its other reports, each as
filed with the Securities and Exchange Commission. Except as
required by law, Obalon assumes no obligation to update any such
forward-looking statement after the date of this report or to
conform these forward-looking statements to actual results.
OBALON THERAPEUTICS,
INC.CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS AND COMPREHENSIVE
LOSS(unaudited)(in thousands, except
shares and per share data)
|
Three Months Ended December 31, |
|
Twelve Months Ended December 31, |
|
2020 |
|
2019 |
|
2020 |
|
2019 |
Revenue |
$ |
61 |
|
|
$ |
787 |
|
|
$ |
1,588 |
|
|
$ |
3,281 |
|
Cost of revenue |
|
(1 |
) |
|
|
627 |
|
|
|
1,004 |
|
|
|
2,950 |
|
Gross profit (deficit) |
|
62 |
|
|
|
(160 |
) |
|
|
584 |
|
|
|
331 |
|
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
Research and development |
|
157 |
|
|
|
1,492 |
|
|
|
2,450 |
|
|
|
6,893 |
|
Selling, general and administrative |
|
1,230 |
|
|
|
3,643 |
|
|
|
8,776 |
|
|
|
16,668 |
|
Asset impairment and other charges |
|
— |
|
|
|
— |
|
|
|
1,310 |
|
|
|
— |
|
Total operating expenses |
|
1,387 |
|
|
|
5,135 |
|
|
|
12,536 |
|
|
|
23,561 |
|
Loss from operations |
|
(1,326 |
) |
|
|
(4,975 |
) |
|
|
(11,952 |
) |
|
|
(23,230 |
) |
Interest (expense) income,
net |
|
— |
|
|
|
63 |
|
|
|
29 |
|
|
|
(385 |
) |
Other expense, net |
|
— |
|
|
|
(1 |
) |
|
|
(411 |
) |
|
|
(61 |
) |
Net loss and comprehensive
loss |
$ |
(1,326 |
) |
|
$ |
(4,913 |
) |
|
$ |
(12,334 |
) |
|
$ |
(23,676 |
) |
Net loss per share, basic and
diluted |
$ |
(0.17 |
) |
|
$ |
(0.64 |
) |
|
$ |
(1.59 |
) |
|
$ |
(5.03 |
) |
Weighted-average common shares
outstanding, basic and diluted |
|
7,770,698 |
|
|
|
7,692,673 |
|
|
|
7,738,355 |
|
|
|
4,706,775 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OBALON THERAPEUTICS,
INC.CONDENSED CONSOLIDATED BALANCE
SHEETS(in thousands, except shares and par value data)
|
December 31, |
|
2020 |
|
2019 |
Assets |
|
|
|
|
|
Current
assets: |
|
|
|
|
|
Cash and cash equivalents |
$ |
3,905 |
|
|
$ |
14,055 |
|
Accounts receivable, net |
|
— |
|
|
|
285 |
|
Inventory |
|
— |
|
|
|
1,936 |
|
Other current assets |
|
3,930 |
|
|
|
1,959 |
|
Total current assets |
|
7,835 |
|
|
|
18,235 |
|
Lease right-of-use assets |
|
521 |
|
|
|
1,077 |
|
Property and equipment,
net |
|
957 |
|
|
|
1,081 |
|
Other long-term assets |
|
1,304 |
|
|
|
— |
|
Total assets |
$ |
10,617 |
|
|
$ |
20,393 |
|
Liabilities and
Stockholders’ Equity |
|
|
|
|
|
Current
liabilities: |
|
|
|
|
|
Accounts payable |
$ |
615 |
|
|
$ |
648 |
|
Accrued compensation |
|
65 |
|
|
|
820 |
|
Deferred revenue |
|
— |
|
|
|
424 |
|
Other current liabilities |
|
3,802 |
|
|
|
1,524 |
|
Current portion of lease liabilities |
|
564 |
|
|
|
561 |
|
Total current liabilities |
|
5,046 |
|
|
|
3,977 |
|
Lease liabilities,
long-term |
|
438 |
|
|
|
567 |
|
Long-term debt |
|
430 |
|
|
|
— |
|
Other long-term
liabilities |
|
38 |
|
|
|
— |
|
Total liabilities |
|
5,952 |
|
|
|
4,544 |
|
|
|
|
|
|
|
Commitments and
contingencies |
|
|
|
|
|
|
|
|
|
|
|
Stockholders’
equity: |
|
|
|
|
|
Common stock, $0.001 par value; 100,000,000 shares authorized as of
December 31, 2020 and December 31, 2019;
7,770,698 and 7,724,100 shares issued and outstanding as of
December 31, 2020 and December 31, 2019,
respectively |
|
8 |
|
|
|
8 |
|
Additional paid-in capital |
|
189,421 |
|
|
|
188,271 |
|
Accumulated deficit |
|
(184,764 |
) |
|
|
(172,430 |
) |
Total stockholders’ equity |
|
4,665 |
|
|
|
15,849 |
|
Total liabilities and stockholders’ equity |
$ |
10,617 |
|
|
$ |
20,393 |
|
|
|
|
|
|
|
|
|
OBALON THERAPEUTICS,
INC.CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS(unaudited)(in thousands)
|
Year ended December 31, |
|
2020 |
|
2019 |
Operating
activities: |
|
|
|
|
|
Net loss |
$ |
(12,334 |
) |
|
$ |
(23,676 |
) |
Adjustments to reconcile net
loss to net cash used in operating activities: |
|
|
|
|
|
Depreciation |
|
340 |
|
|
|
479 |
|
Stock-based compensation |
|
1,089 |
|
|
|
2,983 |
|
Fair value of cash-settled options |
|
38 |
|
|
|
— |
|
Issuance of warrants for the purchase of common stock |
|
45 |
|
|
|
— |
|
Amortization of right-of-use assets |
|
503 |
|
|
|
415 |
|
Loss on disposal of fixed asset |
|
— |
|
|
|
128 |
|
Accretion of investment discount, net |
|
— |
|
|
|
(2 |
) |
Amortization of debt discount |
|
— |
|
|
|
70 |
|
Impairment of long-lived assets and other charges |
|
1,257 |
|
|
|
— |
|
Impairment of inventory |
|
53 |
|
|
|
— |
|
Change in operating assets and liabilities: |
|
|
|
|
|
Accounts receivable, net |
|
285 |
|
|
|
585 |
|
Inventory |
|
(525 |
) |
|
|
12 |
|
Other current assets |
|
(1,804 |
) |
|
|
411 |
|
Accounts payable |
|
(33 |
) |
|
|
(543 |
) |
Accrued compensation |
|
(740 |
) |
|
|
(2,985 |
) |
Deferred revenue |
|
(424 |
) |
|
|
72 |
|
Lease liabilities, net |
|
(427 |
) |
|
|
(364 |
) |
Other current and long-term liabilities |
|
2,268 |
|
|
|
(451 |
) |
Net cash used in operating activities |
|
(10,409 |
) |
|
|
(22,866 |
) |
Investing
activities: |
|
|
|
|
|
Maturities of short-term
investments |
|
— |
|
|
|
2,550 |
|
Purchases of property and
equipment |
|
(171 |
) |
|
|
(194 |
) |
Net cash (used in) provided by investing activities |
|
(171 |
) |
|
|
2,356 |
|
Financing
activities: |
|
|
|
|
|
Proceeds from issuance of
common stock and warrants, net of issuance costs |
|
— |
|
|
|
23,377 |
|
Proceeds from long-term loan,
net of issuance costs |
|
430 |
|
|
|
10,000 |
|
Repayments of long-term
loans |
|
— |
|
|
|
(20,000 |
) |
Proceeds from sale of common
stock upon exercise of stock options |
|
— |
|
|
|
1 |
|
Net cash provided by financing activities |
|
430 |
|
|
|
13,378 |
|
Net (decrease) increase in cash and cash equivalents |
|
(10,150 |
) |
|
|
(7,132 |
) |
Cash and cash equivalents at
beginning of period |
|
14,055 |
|
|
|
21,187 |
|
Cash and cash equivalents at
end of period |
$ |
3,905 |
|
|
$ |
14,055 |
|
Supplemental cash flow
information: |
|
|
|
|
|
Interest paid |
$ |
— |
|
|
$ |
719 |
|
Income taxes paid |
$ |
— |
|
|
$ |
— |
|
Property and equipment in
accounts payable |
$ |
— |
|
|
$ |
32 |
|
|
|
|
|
|
|
|
|
For Obalon Therapeutics, Inc.
Investor Contact:
Andrew Rasdal
President and Chief Executive Officer
Obalon Therapeutics, Inc.
Office: +1 844 362 2566
arasdal@obalon.com
Grafico Azioni Obalon Therapeutics (NASDAQ:OBLN)
Storico
Da Ago 2024 a Set 2024
Grafico Azioni Obalon Therapeutics (NASDAQ:OBLN)
Storico
Da Set 2023 a Set 2024