Full Press Release Details
Bio Solutions Inc. Reports Fiscal Second Quarter and Six-Month Financial Results and Operational Highlights
Year-over-year revenue increased 114% for the fiscal second quarter and 337% for the six-months ending December 31, 2023 -
Expanded into New Zealand market and increased market share in existing regions -
YORK, February 09, 2024 - Intelligent Bio Solutions Inc. ("INBS" or the "Company") (Nasdaq:
INBS), a medical technology company delivering intelligent, rapid, non-invasive testing solutions, today announced its financial results
for fiscal second quarter and six months ended December 31, 2023, and provided a business update.
are very pleased with our fiscal Q2 and six-month revenue results, reflecting our commitment to continuous growth of our customer base
and global presence," said, Harry Simeonidis, President and Chief Executive Officer at Intelligent Bio Solutions. "Our product
sales have grown significantly, up 30% for cartridges and 91% for readers in the six months ending December 31, 2023, compared to the
same period last year. This increase in volume has boosted our revenue growth to over 110% year over year, and we are seeing a growing
awareness of our drug screening solution as we enter new markets and expand our global footprint. Last year our expansion into New Zealand
marked a significant milestone, and we anticipate further expansion throughout the Asia-Pacific region this year. Our revenue growth
numbers are indicative of an increasing need for an efficient drug screening solution that reduces risk, saves costs, and promotes productivity.
We aim to sustain this rapid trajectory throughout 2024."
Second Quarter & Recent Highlights:
| Entered the New Zealand market, marking a key milestone in the Company's Asia Pacific expansion strategy. | ||
| Increased customer portfolio to include VKVP Haulage, State Road Constructions, Titan Cranes and Rigging Pty Ltd. and P&O Ferries. Additionally, the company reported the successful completion of 25,000 Intelligent Fingerprinting tests by its existing customer, Auctus Management Group. | ||
| The National Association of Testing Authorities (NATA) accredited Intelligent Bio Solutions' laboratory partner, Racing Analytical Services Limited (RASL), to perform its fingerprint confirmatory drug testing procedure. This accreditation serves as an independent benchmark for technical validation, demonstrating the Company's commitment to product quality, safety, and reliability for its customers. |
Second Quarter Ended December 31, 2023, Financial Results
amounts are expressed in U.S. dollars unless indicated otherwise. All authorized, issued, and outstanding stock and per share amounts
reflect the 1-for-20 and 1-for-12 reverse stock split effected by the Company on February 9, 2023, and January 26, 2024, respectively,
unless indicated otherwise.
from sales of goods increased by $0.40 million from $0.36 million to $0.76 million for the quarter ended December 31, 2023, compared
to same period in 2022, representing a 114% increase. Revenue from sales of goods increased by $1.20 million from $0.36 million to $1.56
million for the six months ended December 31, 2023, compared to same period in 2022, representing a 337% increase. Increases in revenue
are due to the acquisition of Intelligent Fingerprinting Ltd ("IFP") in October 2022, and growth of the Company's Asia
Pacific business, Intelligent Bio Solutions (APAC) Pty Ltd, in addition to expansion into new regions and growth of the Company in existing
markets and regions.
loss attributable to INBS increased by $2.76 million from $1.63 million to $4.39 million for the six months ended December 31, 2023,
compared to the same period in 2022. This increase is primarily driven by combined results of operations after the acquisition of IFP
offset by a recognition of fair value gain on revaluation of convertible notes and holdback Series C Preferred Stock of $1,793,091 during
the same period in 2022.
October 4, 2023, the Company raised approximately $4.38 million prior to deducting underwriting discounts and commissions and offering
expenses via a registered underwritten public offering of the Company's securities. Net proceeds to the Company after deducting
the underwriting discounts and commissions and estimated offering expenses payable by the Company, were approximately $3.79 million.
The Company ended the quarter with cash and cash equivalents of approximately $1.12 million.
Intelligent Bio Solutions Inc.
Bio Solutions Inc. (NASDAQ: INBS) is a medical technology company delivering innovative, rapid, non-invasive testing solutions. The Company
believes that its Intelligent Fingerprinting Drug Screening System will revolutionize portable testing through fingerprint sweat analysis,
which has the potential for broader applications in additional fields. Designed as a hygienic and cost-effective system, the test screens
for recent use of drugs commonly found in the workplace, including opiates, cocaine, methamphetamine, and cannabis. With sample collection
in seconds and results in under ten minutes, this technology would be a valuable tool for employers in safety-critical industries. Additionally,
the Company's biosensor platform has the potential to test for up to 130 indications, ranging from glucose to immunological conditions
and communicable diseases. The Company's current customer segments include construction, manufacturing and engineering, transport
and logistics firms, drug treatment organizations, and coroners.
more information, visit: http://www.ibs.inc/
of the statements in this release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, Section
21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, which involve risks and uncertainties.
Forward-looking statements in this press release include, without limitation, Intelligent Bio Solutions Inc.'s ability to successfully
develop and commercialize its drug and diagnostic tests, realize commercial benefit from its partnerships and collaborations, and secure
regulatory approvals, among others. Although Intelligent Bio Solutions Inc. believes that the expectations reflected in such forward-looking
statements are reasonable as of the date made, expectations may prove to have been materially different from the results expressed or
implied by such forward-looking statements. Intelligent Bio Solutions Inc. has attempted to identify forward-looking statements by terminology,
including "believes," "estimates," "anticipates," "expects," "plans," "projects,"
"intends," "potential," "may," "could," "might," "will," "should,"
"approximately" or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements.
These statements are only predictions and involve known and unknown risks, uncertainties, and other factors, included in Intelligent
Bio Solutions' public filings filed with the Securities and Exchange Commission. Any forward-looking statements contained in this
release speak only as of its date. Intelligent Bio Solutions undertakes no obligation to update any forward-looking statements contained
in this release to reflect events or circumstances occurring after its date or to reflect the occurrence of unanticipated events.
Consolidated Balance Sheets
| December 31, 2023 (Unaudited) | June 30, 2023 | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 1,119,004 | $ | 1,537,244 | ||||
| Accounts receivable, net | 262,834 | 293,861 | ||||||
| Inventories, net | 942,050 | 979,907 | ||||||
| Research and development tax incentive receivable | 289,167 | 498,758 | ||||||
| Other current assets | 331,601 | 552,791 | ||||||
| Total current assets | 2,944,656 | 3,862,561 | ||||||
| Property and equipment, net | 591,307 | 690,175 | ||||||
| Operating lease right-of-use assets | 432,728 | 546,475 | ||||||
| Intangible assets, net | 4,858,301 | 5,255,401 | ||||||
| TOTAL ASSETS | $ | 8,826,992 | $ | 10,354,612 | ||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||
| Current liabilities: | ||||||||
| Accounts payable and accrued expenses | $ | 1,763,007 | $ | 2,610,028 | ||||
| Current portion of operating lease liabilities | 250,751 | 223,447 | ||||||
| Current portion of deferred grant income | 2,431,900 | 2,338,057 | ||||||
| Current employee benefit liabilities | 366,893 | 358,942 | ||||||
| Current portion of notes payable | 370,535 | 353,211 | ||||||
| Total current liabilities | 5,183,086 | 5,883,685 | ||||||
| Employee benefit liabilities, less current portion | 29,993 | 24,902 | ||||||
| Operating lease liabilities, less current portion | 228,710 | 356,165 | ||||||
| Notes payable, less current portion | 230,969 | 402,862 | ||||||
| Total liabilities | 5,672,758 | 6,667,614 | ||||||
| Commitments and contingencies | ||||||||
| Shareholders' equity: | ||||||||
| Common stock, $0.01 par value, 100,000,000 shares authorized, 1,476,042 and 194,200 shares issued and outstanding at December 31, 2023 and June 30, 2023, respectively* | 14,760 | 1,942 | ||||||
| Treasury stock, at cost, 116 shares as of December 31, 2023 and June 30, 2023, respectively* | (1 | ) | (1 | ) | ||||
| Additional paid-in capital | 49,986,220 | 46,180,112 | ||||||
| Accumulated deficit | (46,202,418 | ) | (41,807,573 | ) | ||||
| Accumulated other comprehensive loss | (518,379 | ) | (575,496 | ) | ||||
| Total consolidated Intelligent Bio Solutions Inc. equity | 3,280,182 | 3,798,984 | ||||||
| Non-controlling interest | (125,948 | ) | (111,986 | ) | ||||
| Total shareholders' equity | 3,154,234 | 3,686,998 | ||||||
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 8,826,992 | $ | 10,354,612 |
Consolidated Statements of Operations and Other Comprehensive Loss*
| Three Months Ended December 31, | Six Months Ended December 31, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| Revenue | $ | 764,063 | $ | 356,679 | $ | 1,560,157 | $ | 356,679 | ||||||||
| Cost of revenue (exclusive of amortization shown separately below) | (564,815 | ) | (112,635 | ) | (1,128,578 | ) | (112,635 | ) | ||||||||
| Gross profit | 199,248 | 244,044 | 431,579 | 244,044 | ||||||||||||
| Other income: | ||||||||||||||||
| Government support income | 153,204 | 269,625 | 263,075 | 580,945 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Selling, general and administrative expenses | (1,705,044 | ) | (2,245,289 | ) | (4,162,104 | ) | (3,695,707 | ) | ||||||||
| Development and regulatory approval expenses | (348,452 | ) | (1,191 | ) | (452,399 | ) | (80,465 | ) | ||||||||
| Depreciation and amortization | (290,313 | ) | (398,156 | ) | (597,873 | ) | (398,156 | ) | ||||||||
| Total operating expenses | (2,343,809 | ) | (2,644,636 | ) | (5,212,376 | ) | (4,174,328 | ) | ||||||||
| Loss from operations | (1,991,357 | ) | (2,130,967 | ) | (4,517,722 | ) | (3,349,339 | ) | ||||||||
| Other income (expense): | ||||||||||||||||
| Interest expense | (32,468 | ) | (76,767 | ) | (69,916 | ) | (77,832 | ) | ||||||||
| Realized foreign exchange loss | (555 | ) | (13,901 | ) | (555 | ) | (16,148 | ) | ||||||||
| Fair value gain on revaluation of financial instrument | 44,488 | 1,793,091 | 175,738 | 1,793,091 | ||||||||||||
| Interest income | 3,509 | 1,473 | 3,648 | 9,079 | ||||||||||||
| Total other income | 14,974 | 1,703,896 | 108,915 | 1,708,190 | ||||||||||||
| Net loss | (1,976,383 | ) | (427,071 | ) | (4,408,807 | ) | (1,641,149 | ) | ||||||||
| Net loss attributable to non-controlling interest | (6,742 | ) | (6,471 | ) | (13,962 | ) | (12,256 | ) | ||||||||
| Net loss attributable to Intelligent Bio Solutions Inc. | $ | (1,969,641 | ) | $ | (420,600 | ) | $ | (4,394,845 | ) | $ | (1,628,893 | ) | ||||
| Other comprehensive income, net of tax: | ||||||||||||||||
| Foreign currency translation gain | $ | 75,133 | $ | 361,597 | $ | 57,117 | $ | 226,038 | ||||||||
| Total other comprehensive income | 75,133 | 361,597 | 57,117 | 226,038 | ||||||||||||
| Comprehensive loss | (1,901,250 | ) | (65,474 | ) | (4,351,690 | ) | (1,415,111 | ) | ||||||||
| Comprehensive loss attributable to non-controlling interest | (6,742 | ) | (6,471 | ) | (13,962 | ) | (12,256 | ) | ||||||||
| Comprehensive loss attributable to Intelligent Bio Solutions Inc. | $ | (1,894,508 | ) | $ | (59,003 | ) | $ | (4,337,728 | ) | $ | (1,402,855 | ) | ||||
| Net loss per share, basic and diluted* | $ | (2.07 | ) | $ | (5.56 | ) | $ | (7.68 | ) | $ | (23.65 | ) | ||||
| Weighted average shares outstanding, basic and diluted* | 949,660 | 75,690 | 571,930 | 68,866 |