Full Press Release Details
Vermillion Reports Fourth Quarter and Fiscal Year 2017 Financial Results
Conference Call at 4:30 p.m. ET Today
AUSTIN, Texas March 13, 2018 Vermillion, Inc. (NASDAQ: VRML), a bio-analytical solutions company focused on gynecologic disease, reported on its financial results for the fourth quarter and fiscal year ended December 31, 2017.
Valerie Palmieri, President and CEO, stated, 2017 represented a watershed year for Vermillion. The Vermillion team delivered on our stated goals for 2017 by converting negative payer policies to positive policies, increasing overall payer coverage by 56% year on year (as of February 1, 2018) including one National Carrier and coupling this with a 4-fold increase in CMS pricing for OVA1 to $897 through the PAMA process. Now that we have these core foundation blocks in place we are poised to invest in growth drivers including direct and indirect sales channels.
Recent Corporate Developments
Q4 2017 Financial Results
Conference Call and Webcast
Vermillion's President and CEO, Valerie Palmieri, will host a call today to discuss results followed by a question and answer period.
Tuesday, March 13th @ 4:30pm Eastern Time
Domestic: 800-281-7973
International: 323-794-2093 Conference ID: 5103935
Replays, Available through March 27:
Domestic: 844-512-2921
International: 412-317-6671
About Vermillion: Vermillion, Inc. is dedicated to the discovery, development and commercialization of novel high-value diagnostic and bio-analytical solutions that help physicians diagnose, treat and improve gynecologic health outcomes for women. Vermillion, along with its prestigious scientific collaborators, discovers, develops, and delivers innovative diagnostic and technology tools that help women with serious diseases. The company's initial in vitro diagnostic test, OVA1 (MIA), was the first FDA cleared, protein-based In Vitro Diagnostic Multivariate Index Assay, and represented a new class of software-based liquid biopsy in vitro diagnostics. In March 2016, Vermillion received FDA clearance for Overa , a Multivariate Index Assay 2nd Generation (MIA2G) test with significantly improved specificity and ease of use.
For additional information, including published clinical trials, visit www.vermillion.com.
Investor Relations Contact:
Jeremy Feffer LifeSci Advisors LLC
Consolidated Balance Sheets
(Amounts in Thousands, Except Share and Par Value Amounts)
| December 31, | |||||
| 2017 | 2016 | ||||
| Assets | |||||
| Current assets: | |||||
| Cash and cash equivalents | $ | 5,539 | $ | 5,242 | |
| Accounts receivable | 205 | 275 | |||
| Prepaid expenses and other current assets | 459 | 498 | |||
| Inventories | 102 | 93 | |||
| Total current assets | 6,305 | 6,108 | |||
| Property and equipment, net | 1,181 | 1,911 | |||
| Other assets | 11 | - | |||
| Total assets | $ | 7,497 | $ | 8,019 | |
| Liabilities and Stockholders' Equity | |||||
| Current liabilities: | |||||
| Accounts payable | $ | 745 | $ | 881 | |
| Accrued liabilities | 1,650 | 1,464 | |||
| Short-term debt | 185 | 182 | |||
| Other current liabilities | 29 | 34 | |||
| Total current liabilities | 2,609 | 2,561 | |||
| Long-term debt | 1,481 | 1,667 | |||
| Other non-current liabilities | - | 29 | |||
| Total liabilities | 4,090 | 4,257 | |||
| Commitments and contingencies | |||||
| Stockholders' equity: | |||||
| Preferred stock, $0.001 par value, 5,000,000 shares authorized, none issued and outstanding at December 31, 2017 and 2016 | - | - | |||
| Common stock, $0.001 par value, 150,000,000 shares authorized; 60,036,017 and 52,328,492 shares issued and outstanding at December 31, 2017 and 2016, respectively | 60 | 52 | |||
| Additional paid-in capital | 399,400 | 389,266 | |||
| Accumulated deficit | (396,053) | (385,556) | |||
| Total stockholders' equity | 3,407 | 3,762 | |||
| Total liabilities and stockholders' equity | $ | 7,497 | $ | 8,019 |
Consolidated Statements of Operations
(Amounts in Thousands, Except Share and Per Share Amounts)
| Three Months Ended December 31, | Year Ended December 31, | ||||||||||
| 2017 | 2016 | 2017 | 2016 | ||||||||
| Revenue: | |||||||||||
| Product | $ | 658 | $ | 680 | $ | 2,853 | $ | 2,320 | |||
| Service | 140 | 125 | 268 | 322 | |||||||
| Total revenue | 798 | 805 | 3,121 | 2,642 | |||||||
| Cost of revenue: (1) | |||||||||||
| Product | 411 | 458 | 1,756 | 1,974 | |||||||
| Service | 303 | 308 | 1,158 | 724 | |||||||
| Total cost of revenue | 714 | 766 | 2,914 | 2,698 | |||||||
| Gross profit (loss) | 84 | 39 | 207 | (56) | |||||||
| Operating expenses: | |||||||||||
| Research and development (2) | 152 | 304 | 837 | 2,172 | |||||||
| Sales and marketing (3) | 1,154 | 1,284 | 4,268 | 6,798 | |||||||
| General and administrative (4) | 1,718 | 1,283 | 5,543 | 5,928 | |||||||
| Total operating expenses | 3,024 | 2,871 | 10,648 | 14,898 | |||||||
| Loss from operations | (2,940) | (2,832) | (10,441) | (14,954) | |||||||
| Interest income (expense), net | (10) | (12) | (42) | (28) | |||||||
| Other income (expense), net | (5) | (2) | (14) | 14 | |||||||
| Loss before income taxes | (2,955) | (2,846) | (10,497) | (14,968) | |||||||
| Net loss | $ | (2,955) | $ | (2,846) | $ | (10,497) | $ | (14,968) | |||
| Deemed dividend on warrant repricing | - | - | (942) | - | |||||||
| Net loss attributable to common stockholders | $ | (2,955) | $ | (2,846) | $ | (11,439) | $ | (14,968) | |||
| Net loss per share attributable to common stockholders - basic and diluted | $ | (0.05) | $ | (0.05) | $ | (0.20) | $ | (0.29) | |||
| Weighted average common shares used to compute basic and diluted net loss per common share | 60,011,306 | 52,288,583 | 56,943,596 | 52,197,969 | |||||||
| Non-cash stock-based compensation expense included in expenses: | |||||||||||
| (1) Cost of revenue | $ | 28 | $ | 42 | $ | 136 | $ | 115 | |||
| (2) Research and development | 2 | 8 | 9 | 71 | |||||||
| (3) Sales and marketing | 45 | 37 | 160 | 108 | |||||||
| (4) General and administrative | 367 | 231 | 1,134 | 885 |