Full Press Release Details
NeoStem Announces 2012 Year End Financial Results and Business Update
- Revenues increased by 43% -
New York, March 11, 2013-- NeoStem, Inc. (NYSE MKT: NBS) ("NeoStem" or the "Company") today announced 2012 year end results and provided a business update. NeoStem is a leader in the emerging cellular therapy industry. The Company's business strategy combines a revenue generating contract development and manufacturing organization, Progenitor Cell Therapy or PCT, with a medically important cell therapy product development program, Amorcyte's AMR-001 for preservation of cardiac function following an acute myocardial infarction ("AMI"). These activities, coupled with NeoStem's other core stem cell technologies, provide near- and long-term revenue growth opportunities.
"NeoStem is well poised for a meaningful transformation in 2013," commented Dr. Robin Smith, NeoStem's Chairman and CEO. "After the Phase 2 PreSERVE trial is fully-enrolled later this year, we will have top-line clinical results six to eight months later. Until that time, we anticipate additional growth in both the client base and revenue stream from PCT's cell manufacturing business, which will help offset our R&D expenses. We also expect exciting developments as we advance both the VSEL Technology and Athelos (Treg) programs."
2012 Business Highlights
In 2012, NeoStem made significant achievements to solidify its leadership in the cell therapy industry. The Company's significant business highlights include:
2012 Year-End Financial Highlights from Continuing Operations
In 2013, NeoStem's management anticipates significant additional achievements. The Company's goals include:
| GAAP to Non-GAAP Reconciliations | |||
| Net Loss from Continuing Operations Excluding Non-Cash Charges Reconciliation | |||
| Loss from continuing operations | $ | (36,101,321 | ) |
| Common stock, stock options and warrants issued | 6,712,536 | ||
| Depreciation and amortization | 1,550,571 | ||
| Amortization of preferred stock discount and issuance cost | 1,609,495 | ||
| Changes in fair value of derivative liability | (373,307 | ) | |
| Change in acquisition-related contingent consideration | 4,420,000 | ||
| Loss on disposal of assets | 13,653 | ||
| Bad debt expense | 511,755 | ||
| Deferred income taxes | (175,533 | ) | |
| Net Loss from Continuing Operations Excluding Non-Cash Charges | $ | (21,832,151 | ) |
NeoStem, Inc. ("NeoStem" or the "Company") is a leader in the emerging cellular therapy industry. Our business model includes the development of novel proprietary cell therapy products as well as operating a contract development and manufacturing organization ("CDMO") providing services to others in the regenerative medicine industry. The combination of a therapeutic development business and revenue-generating service provider business provides the Company with capabilities for cost effective in-house product development and immediate revenue and cash flow generation. www.neostem.com
Forward-Looking Statements for NeoStem, Inc.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect management's current expectations, as of the date of this press release, and involve certain risks and uncertainties. Forward-looking statements include statements herein with respect to the successful execution of the Company's business strategy, including with respect to the Company's or its partners' successful development of AMR-001 and other cell therapeutics, the size of the market for such products, its competitive position in such markets, the Company's ability to successfully penetrate such markets and the market for its contract development and manufacturing business, and the efficacy of protection from its patent portfolio, as well as the future of the cell therapeutics industry in general, including the rate at which such industry may grow. The Company's
actual results could differ materially from those anticipated in these forward- looking statements as a result of various factors, including but not limited to matters described under the "Risk Factors" in the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 11, 2013 and in the Company's other periodic filings with the Securities and Exchange Commission, all of which are available on its website. The Company does not undertake to update its forward-looking statements. The Company's further development is highly dependent on future medical and research developments and market acceptance, which is outside its control.
CONTACT: Trout Group
Lauren Kwiecinski, Senior Associate
Phone: +1-646-378-2934
Email: lkwiecinski@troutgroup.com