Full Press Release Details
Medical Inc. Reports Second Quarter 2017 Financial Results and Recent
and Strategic Progress
Update Conference Call today at 5:00pm ET
MA - August 14, 2017 - Microbot Medical Inc. (NASDAQ CM: MBOT), a medical device company specializing in the design
and development of transformational micro-robotic medical technologies, today reported financial and operational results for the
quarter and six months ended June 30, 2017, as well as provided an update on progress towards key strategic initiatives.
major healthcare companies are seeking to establish capabilities in the medical robotic space, our team is leveraging Microbot's
already existing and unique core capabilities and is making meaningful progress with our transformational technological robotic
platforms," commented Harel Gadot, CEO, President and Chairman. "Our lead product, the Self-Cleaning Shunt (SCS),
for example, remains on track for its submission to the FDA by the end of 2018. We also recently learned that data from our recent
studies for the SCS was accepted to be presented next month at the International Society for Hydrocephalus and Cerebrospinal Fluid
Disorders annual meeting. This is a prestigious scientific event and it allows us to engage with leading physicians and further
raise the awareness for our innovative approach to treating hydrocephalus and normal pressure hydrocephalus (NPH).
we continue developing our current product pipeline, from our ViRob and TipCat technological platforms, we are also exploring
additional business opportunities that will enhance our unique assets, including our strong IP portfolio. These opportunities
include adding assets that are adjacent to our current technological platforms. This will allow us to enter additional applications
where there are significant unmet medical needs. In addition, we are discussing collaboration and partnership possibilities with
leading medical device companies, who appreciate our core capabilities and the value that our robotic technologies will provide
to patient care. Our leadership team is continuing to make wise and valuable accretive decisions, one of which was to strengthen
our cash position in order to position the Company to accelerate its current opportunities as well as preparing for significant
growth during the next two to three-year period."
Targeted for Achievement Over the Next Few Months
| Completing the Company's SCS studies at Washington University (St. Louis) and Wayne State University (Detroit). | |
| Presenting initial data supporting Microbot's SCS product at the International Society for Hydrocephalus and Cerebrospinal Fluid Disorders annual meeting, which is being held in Kobe, Japan, in late September. | |
| Leveraging the Company's strong balance sheet to pursue M&A, collaboration and partnership opportunities to increase addressable market opportunities. | |
| Strengthening the Company's leadership team with seasoned medical device experts. |
Quarter and Six Month 2017 Financial Results
is a development stage company and has not recorded revenue. For the quarter ended June 30, 2017, the Company incurred a net loss
of $3.5 million, or $0.12 per share compared to a net loss of $0.16 million, or $0.01 per share for the second quarter ended June
30, 2016. The increase in the net loss was mainly from the extinguishment of a one-time convertible note totaling $2.3 million,
which was recorded in the financial expenses. The net loss before financial expenses for the quarter ended June 30, 2017, was
$1.2 million. Research and development expenses for the quarter ended June 30, 2017 were $0.37 million compared to $0.04 million
for the same period in 2016. General and administrative expenses increased to $0.88 million from $0.07 million for the same period
the second quarter, the Company strengthened its balance sheet with net proceeds of $9.2 million from the sale of the Company's
common stock. At June 30, 2017, the Company's cash and cash equivalents totaled approximately $13 million. Based on the
anticipated cash utilization, the Company believes it has sufficient resources through 2019 which allow it to execute its planned
product development milestones, enter into one or more M&A transactions as well as potential collaborations and partnerships.
the six months ended June 30, 2017, the Company incurred a net loss of $4.8 million, or $0.17 per share compared to a net loss
of $0.44 million, or $0.02 per share for the six months ended June 30, 2016. Research and development expenses for the six months
ended June 30, 2017 were $0.56 million compared to $0.26 million for the same period in 2016. General and administrative expenses
increased to $1.9 million from $0.14 million for the same period in 2016. The increase in general and administrative expenses
for the three and six months ended June 30, 2017 was primarily due to Microbot becoming a public company and therefore incurring
higher professional fees and public company fees.
Company will host a conference call and webcast on Monday, August 14, 2017 at 5:00 pm ET. For both "listen-only" participants
and those participants who wish to take part in the question-and-answer portion of the call, the dial-in number is 888-208-1814
(U.S./Canada) or 719-325-2154 (international) and providing the Conference ID 6914000. A live webcast and subsequent archived
replay of the Company's presentation may be accessed via the Investors' section, under Presentations
and Resources' of the Company's website at www.microbotmedical.com.
replay of the conference call will be available for seven business days beginning about two hours after the conclusion of the
live call, by dialing 888-203-1112 (U.S./Canada) or +1 719-457-0820 (international) and providing the Conference ID 6914000. An
archived webcast will also be available and may be accessed in the Investors' section of the Company's website
Microbot Medical, Inc.
was founded in 2010, which commenced operations in 2011, and became a NASDAQ listed company on November 28, 2016. The Company
specializes in transformational micro-robotic medical technologies leveraging the natural and artificial lumens within the human
body. Microbot's current platforms, ViRob and TipCAT, are comprised of two highly advanced micro-robotic technologies, from
which the Company is currently developing its first two product candidates: the Self Cleaning Shunt, or SCS, for the treatment
of hydrocephalus and Normal Pressure Hydrocephalus, or NPH; and a self-propelling, semi-disposable endoscope that is being developed
initially for use in colonoscopy procedures. Further information about Microbot Medical is available at http://www.microbotmedical.com.
ViRob technology is a revolutionary autonomous crawling micro-robot which can be controlled remotely or within the body. Its miniature
dimensions allow it to navigate and crawl in different spaces within the human body, including blood vessels, the digestive tract
and the respiratory system. Its unique structure gives it the ability to move in tight spaces and curved passages as well as the
ability to remain within the human body for prolonged time. To learn more about ViRob please visit http://www.microbotmedical.com/technology/virob/.
is a transformational self-propelled, flexible, and semi-disposable endoscope providing see & treat capabilities within tubular
lumens in the human body such as the colon, blood vessels, and the urinary tract. Its locomotion mechanism is perfectly suitable
to navigate and crawl through natural & artificial tubular lumens, applying the minimal necessary pressure to achieve the
adequate friction required for gentle, fast, and safe advancement within the human body. To learn more about TipCAT visit http://www.microbotmedical.com/technology/tipcat/.
pertaining to future financial and/or operating results, future growth in research, technology, clinical development, and potential
opportunities for Microbot Medical Inc. and its subsidiaries, along with other statements about the future expectations, beliefs,
goals, plans, or prospects expressed by management constitute forward-looking statements. Any statements that are not historical
fact (including, but not limited to statements that contain words such as "will," "believes," "plans,"
"anticipates," "expects" and "estimates") should also be considered to be forward-looking
statements. Forward-looking statements involve risks and uncertainties, including, without limitation, risks inherent in the development
and/or commercialization of potential products, uncertainty in the results of clinical trials or regulatory approvals, need and
ability to obtain future capital, and maintenance of intellectual property rights. Actual results may differ materially from the
results anticipated in these forward-looking statements and as such should be evaluated together with the many uncertainties that
affect the businesses of Microbot Medical Inc. particularly those mentioned in the cautionary statements found in Microbot Medical
Inc.'s filings with the Securities and Exchange Commission. Microbot Medical disclaims any intent or obligation to update
these forward-looking statements.
and Institutional Investors
Consulting Group llc
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (UNAUDITED)
dollars in thousands
| Six months ended June 30, | Three months ended June 30, | |||||||||||||||
| 2017 | 2016 | 2017 | 2016 | |||||||||||||
| Research and development expenses, net | $ | 561 | $ | 263 | $ | 377 | $ | 44 | ||||||||
| General and administrative expenses | 1,934 | 140 | 885 | 74 | ||||||||||||
| Operating loss | (2,495 | ) | (403 | ) | (1,262 | ) | (118 | ) | ||||||||
| Financing (expenses), net | (2,320 | ) | (37 | ) | (2,246 | ) | (46 | ) | ||||||||
| Net loss | $ | (4,815 | ) | $ | (440 | ) | $ | (3,508 | ) | $ | (164 | ) | ||||
| Basic and diluted loss per share | $ | (0.17 | ) | $ | (0.02 | ) | $ | (0.12 | ) | $ | (0.01 | ) |
CONDENSED CONSOLIDATED BALANCE SHEETS
dollars in thousands
| As of June 30, 2017 | As of December 31, 2016 | |||||||
| Unaudited | Audited | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 13,078 | $ | 2,709 | ||||
| Other receivables | 545 | 606 | ||||||
| Total current assets | 13,623 | 3,315 | ||||||
| Non-current assets: | ||||||||
| Restricted Cash | 27 | - | ||||||
| Fixed assets, net | 69 | 53 | ||||||
| Total assets | $ | 13,719 | $ | 3,368 | ||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||
| Current liabilities: | ||||||||
| Trade payables | $ | 101 | $ | 512 | ||||
| Accrued liabilities | 667 | 271 | ||||||
| Total current liabilities | 768 | (**)783 | ||||||
| Long term liabilities: | ||||||||
| Convertible notes | - | 76 | ||||||
| Derivative warrant liability | 38 | 313 | ||||||
| Total liabilities | 806 | 1,172 | ||||||
| Commitments | ||||||||
| Temporary equity: | ||||||||
| Common stock of $0.01 par value; Issued and outstanding: 10,702,838 shares as of June 30, 2017 and December 31, 2016 | 500 | 500 | ||||||
| Shareholders' equity: | ||||||||
| Preferred stock of $0.01 par value; Authorized: 1,000,000 shares as of June 30, 2017 and December 31, 2016; Issued and outstanding: 9,736 shares of Series A Convertible Preferred Stock as of June 30, 2017 and December 31, 2016; | (*) | (*) | ||||||
| Common stock of $0.01 par value; Authorized: 220,000,000 shares as of June 30, 2017 and December 31, 2016; Issued and outstanding: 34,305,333 and 15,848,136 shares as of June 30, 2017, and December 31, 2016, respectively | 344 | 266 | ||||||
| Additional paid-in capital | 29,919 | 14,465 | ||||||
| Accumulated deficit | (17,850 | ) | (13,035 | ) | ||||
| Total stockholders' equity | 12,413 | 1,696 | ||||||
| Total liabilities and stockholders' equity | $ | 13,719 | $ | 3,368 |