PhotoMedex, Inc. (NasdaqGS and TASE: PHMD) reports
financial results for the three and six months ended June 30,
2015.
Financial highlights of the second quarter of 2015 include the
following (all comparisons are with the second quarter of 2014,
reflect continuing operations and all figures quoted are GAAP,
unless stated otherwise):
- Revenues of $19.9 million, a decrease
of 37%
- Gross profit of $15.0 million, a
decrease of 42%
- Non-GAAP adjusted loss per share of
($0.21), compared with non-GAAP adjusted loss per share of
($0.12)
- Net income (including discontinued
operations) of $6.1 million or $0.28 per share, compared with net
loss of $7.5 million or ($0.40) per share
- Consumer revenues of $17.5 million, a
decrease of 38%
- Global direct-to-consumer channel
revenues of $12.1 million, a decrease of 45%
- Global retail and home shopping channel
revenues of $4.9 million, a decrease of 17%
- Global distributor consumer channel
revenues of $0.6 million, a decrease of 22%
- Unrestricted cash, cash equivalents and
short-term investments as of June 30, 2015 of $3.6 million or $0.17
per share
Management Commentary
“With the sale of the XTRAC business on June 23, 2015 enabling
the extinguishment of all our outstanding bank debt, we are now
focused on addressing the challenges that have affected our
consumer business and on implementing the strategies and tactics we
believe will improve its performance. We are pleased to have held
another successful 24-hour live television home shopping weekday
sales event in the U.S. earlier this month, during which consumers
purchased more than $3 million of retail sales of no!no! Hair™.
This event highlighted the unique benefits of no!no! compared with
other home hair removal treatments, and we offered a well-received
summertime animal print special edition. This most recent
television home shopping sales event builds upon similarly
successful events held in May in the U.S. and in June in the UK,”
said Dr. Dolev Rafaeli, PhotoMedex CEO.
Reported Financial Results
Revenues from continuing operations for the second quarter of
2015 were $19.9 million, a decrease of 37% compared with revenues
from continuing operations for the second quarter of 2014 of $31.8
million.
Gross profit from continuing operations for the second quarter
of 2015 was $15.0 million, or 75% of revenues, compared with gross
profit for the second quarter of 2014 of $26.0 million, or 82% of
revenues.
Net income for the second quarter of 2015 was $6.1 million or
$0.28 per share, which included a $2.1 million loss from
discontinued operations, a gain on the sale of discontinued
operations of $10.6 million, $0.5 million in stock-based
compensation expense and $0.5 million in depreciation and
amortization expenses. This compares with net loss for the second
quarter of 2014 of $7.5 million or ($0.40) per share, which
included a loss from discontinued operations of $0.3 million, $0.9
million in stock-based compensation expense and $0.5 million in
depreciation and amortization expenses.
Revenues from continuing operations for the first half of 2015
were $40.6 million, a decrease of 46% compared with revenues from
continuing operations for the first half of 2014 of $75.8
million.
Net loss for the first half of 2015 was $4.0 million or ($0.20)
per share, which included a $6.7 million loss from discontinued
operations, a gain on the sale of discontinued operations of $10.6
million, $1.4 million in stock-based compensation expense and $1.0
million in depreciation and amortization expenses. This compares
with net loss for the first half of 2014 of $7.8 million or ($0.42)
per share, which included a loss from discontinued operations of
$1.6 million, $1.7 million in stock-based compensation expense and
$1.0 million in depreciation and amortization expenses.
As of June 30, 2015 the Company had cash, cash equivalents and
short-term investments of $4.4 million including $0.8 million of
restricted cash, compared with $10.4 million of unrestricted cash
as of December 31, 2014.
Non-GAAP Measures
To supplement PhotoMedex’s consolidated financial statements
presented in accordance with GAAP, PhotoMedex provides certain
non-GAAP measures of financial performance. These non-GAAP measures
include non-GAAP adjusted income and non-GAAP adjusted income per
share.
PhotoMedex’s reference to these non-GAAP measures should be
considered in addition to results prepared under current accounting
standards, but are not a substitute for, nor superior to, GAAP
results. These non-GAAP measures are provided to enhance investors'
overall understanding of PhotoMedex’s current financial performance
and to provide further information for comparative purposes.
Specifically, the Company believes the non-GAAP measures provide
useful information to both management and investors by isolating
certain expenses, gains and losses that may not be indicative of
the Company’s core operating results and business outlook. In
addition, PhotoMedex believes non-GAAP measures enhance the
comparability of results against prior periods. Reconciliation to
the most directly comparable GAAP measure of all non-GAAP measures
included in this press release is as follows:
(Unaudited)
Three Months Ended
June 30,
Six Months Ended
June 30,
(ooo's) except per share amounts 2015 2014
2015 2014
Net income
as reported $6,061 ($7,480) ($3,953)
($7,825)
Adjustments: Depreciation and amortization expense 497
528
984
1,047 Interest expense, net 25 509 554 556 Income tax (benefit)
expense (3,941) (909) (3,577) (988)
EBITDA 2,642 ($7, 352) ($5,992) ($7,210)
Stock-based compensation expense, including accelerated
vesting 452 878 1,351 1,738 Acquisition costs - 1,959 - 2,865 Major
litigation expenses 223 501 522 1,394 Extraordinary non-recurring
debt costs 762
1,632
982 - Loss from discontinued operations 2,058 260 6,709 1,628 Gain
from sale of discontinued operations (10,634) -
(10,593) -
Non-GAAP adjusted (loss)
income ($4,497) ($2,122) ($7,021)
$415 Fully diluted shares outstanding at June 30 21,488
18,723 20,308 18,721 Non-GAAP adjusted (loss) income per share
($0.21) ($0.11) ($0.35) $0.03
About PhotoMedex
PhotoMedex is a global skin health company providing aesthetic
solutions to dermatologists, professional aestheticians and
consumers. The company provides proprietary products and services
that address skin diseases and conditions including acne and photo
damage. Its long-held experience in the physician market provides
the platform to expand its skin health solutions to spa markets, as
well as traditional retail, online and direct to consumer outlets
for home-use products. PhotoMedex sells home-use devices under the
no!no!™ brand for various indications including hair removal, acne
treatment and skin rejuvenation. The company also offers a
professional product line for acne clearance, skin tightening,
psoriasis care and hair removal sold to physician clinics and
spas.
SAFE HARBOR STATEMENT
Some portions of the press release, particularly those
describing PhotoMedex' strategies, operating expense reductions and
business plans contain “forward-looking statements” within the
meaning of the Private Securities Litigation Reform Act of 1995
that are subject to risks, uncertainties and other factors.
All statements other than statements of historical fact are
statements that could be deemed forward-looking statements,
including any statements of the plans, strategies and objectives of
management for future operations; any statements regarding product
development, product extensions, product integration or product
marketing; any statements regarding continued compliance with
government regulations, changing legislation or regulatory
environments; any statements of expectation or belief and any
statements of assumptions underlying any of the foregoing. In
addition, there are risks and uncertainties related to our ability
to ensure continued regulatory compliance, performance and/or
market growth. These risks, uncertainties and other factors,
and the general risks associated with the businesses of the Company
described in the reports and other documents filed with the SEC,
could cause actual results to differ materially from those referred
to, implied or expressed in the forward-looking statements.
The Company cautions readers not to rely on these
forward-looking statements. All forward-looking statements
are based on information currently available to the Company and are
qualified in their entirety by this cautionary statement.
The Company anticipates that subsequent events and developments
will cause its views to change. The information contained in
this press release speaks as of the date hereof and the Company has
or undertakes no obligation to update or revise these
forward-looking statements, whether as a result of new information,
future events or otherwise.
PHOTOMEDEX, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
Three Months Ended June 30, Six Months
Ended June 30, (ooo's) except per share amounts 2015 2014
2015 2014 Revenues $ 19,924 $ 31,799 $ 40,598 $
75,813 Cost of revenues 4,915 5,802 9,573 13,263 Gross
profit 15,009 25,997 31,025 62,550 Operating expenses:
Selling and marketing 16,161 24,391 32,094 52,880 General and
administrative 4,971 8,981 9,014 15,490 Research and development
and engineering 389 467 727 931 21,521 33,839 41,835 69,301 Loss
from continuing operations before interest and other financing
expense, net (6,512) 7,842 (10,810) (6,751) Interest and other
financing income (expense), net (56) (287) (604) (434) Loss
from continuing operations before income taxes (6,456) (8,129)
(11,414) (7,185) Income tax (expense) benefit 3,941 909
3,577 988 Loss from continuing operations 1 ($ 2,515) ($
7,220) ($ 7,837) ($ 6,197) Discontinued operations: Loss
from discontinued operations, net of taxes (2,058) (260) (6,709)
(1,628) Gain on sale of discontinued operations, net of taxes
10,634
-
10,593 - Net income (loss) $6,061 ($7,480) ($3,953) ($7,825)
Basic and diluted net income (loss) per share: Continuing
operations ($0.12) ($0.39) ($0.39) ($0.33) Discontinued operations
0.40 (0.01) 0.19 (0.09) $0.28 ($0.40) ($0.20) ($0.42) Shares
used in computing basic and diluted net income (loss) per share:
21,488 18,723 20,308 18,721 1 Includes: depreciation and
amortization 497 528 984 1,047 Share-based compensation
expense 452 878 1,351 1,738
PHOTOMEDEX, INC.CONDENSED CONSOLIDATED
BALANCE SHEETS(In thousands)
June 30,
2015(UNAUDITED)
December 31,
2014
Assets Cash, cash equivalents, and short-term bank deposits
$ 3,619 $ 10,436 Restricted Cash 750 - Accounts receivable, net
10,558 17,640 Inventories, net 15,156 17,111 Other current assets,
net 5,624 8,841 Assets held for sale, net - 100,991 Property and
equipment, net 1,306 1,412 Other non-current assets, net
30,759 31,332 Total Assets $ 67,772 $ 187,763
Liabilities and Stockholders' Equity Accounts payable and
accrued current liabilities $ 19,680 $ 25,476 Other current
liabilities 3,021 4,340 Long term debt and notes payable 525 77,147
Liabilities held for sale - 37,401 Other long term liabilities 745
1,134 Stockholders' equity 43,801 42,265 Total
Liabilities and Stockholders' Equity $ 67,772 $ 187,763
PHOTOMEDEX, INC.
CONDENSED STATEMENTS OF CASH FLOWS
(UNAUDITED)
(In thousands)
For the Six Months Ended June 30,
2015 2014 CASH FLOWS
FROM OPERATING ACTIVITIES: Net loss ($ 3,953 ) ($ 7,825 )
Adjustments to reconcile net loss to net cash used in
operating activities-- Depreciation and amortization 984 1,047
Provision for doubtful accounts 938 3,442 Deferred income taxes (5
) 198 Stock-based compensation 1,351 1,738 Gain (Loss) on disposal
of property and equipment 73 (10 ) Financing expenses 1,250 -
Changes in assets and liabilities: (Increase) decrease in: Current
assets 8,140 6,982 Current liabilities (5,315 )
(19,456 )
Net cash (used in) provided by operating activities –
continuing activities 3,463 (13,884 )
Net cash (used in)
provided by operating activities – discontinued operations
5,687 (1,184 )
Net cash used in operating
activities 9,150 (15,068 )
CASH
FLOWS FROM INVESTING ACTIVITIES: Purchases of property and
equipment (124 ) (242 ) Other 87 14,133
Net cash (used in) provided by investing activities – continuing
operations (37 ) 13,891
Net cash provided by investing
activities – discontinued operations 61,296
(91,444 )
Net cash provided by (used in) investing
activities 61,259 (77,553 )
CASH
FLOWS FROM FINANCING ACTIVITIES: Registrations costs (84 ) -
Other financing activities - (980 ) Proceeds (Repayment) of debt
and notes payable, net (76,890 ) 74,578
Net
cash (used in) provided by financing activities – continuing
operations (76,974 ) 73,598
Net cash used in financing
activities – discontinued operations (92 ) (159 )
Net cash used in financing activities (77,066 )
73,439 Effect of exchange rate changes on cash
(73 ) 154
NET DECREASE IN CASH AND CASH
EQUIVALENTS (6,730 ) (19,028 )
CASH AND CASH
EQUIVALENTS, BEGINNING OF PERIOD 10,349
45,388
CASH AND CASH EQUIVALENTS, END OF PERIOD
3,619 $ 26,360
Supplemental information:
Cash paid for income taxes
$
364
$
405
Cash paid for interest
$
2,071
$
47
View source
version on businesswire.com: http://www.businesswire.com/news/home/20150810006180/en/
LHAKim Sutton Golodetz,
212-838-3777Kgolodetz@lhai.comorBruce
Voss,
310-691-7100Bvoss@lhai.com@LHA_IR_PRorPhotoMedex,
Inc.Dennis McGrath, 215-619-3287Chief Financial
Officerinfo@photomedex.com
PhotoMedex, Inc. (NASDAQ:PHMD)
Gráfica de Acción Histórica
De May 2024 a Jun 2024
PhotoMedex, Inc. (NASDAQ:PHMD)
Gráfica de Acción Histórica
De Jun 2023 a Jun 2024