Full Press Release Details
CHROMADEX CORPORATION REPORTS 2019 FINANCIAL RESULTS
Fourth Quarter 2019 Highlights vs. Fourth Quarter 2018
Strong growth in net sales to $13.1 million, higher gross margins,
and significantly improved marketing efficiency
TRU NIAGEN net sales of $10.2 million, a 57% increase
Net loss per share of ($0.15) as reported, or non-GAAP net loss per
share of ($0.11) excluding a $0.04 per share charge related to the
non-cash write-off of Elysium receivable as bad debt
Expanded distribution rights with Matakana in Australia and secured
partnership with a leading health and beauty retailer to launch in
over 200 U.K. stores in 2020.
Full Year 2019 Highlights vs. Full Year 2018
Net sales of $46.3 million, a 47% increase year-over-year, with TRU
NIAGEN sales of $31.6 million.
Gross margins of 55.7%, a 480 basis point increase
Lower selling and marketing expense as a percentage of net sales
(39.4% in 2019 versus 52.4% in 2018).
business globally with retail and e-commerce launches in Canada,
and cross border launches on TMall in China and Amazon in
Achieved regulatory milestones with approvals in Europe and
foundation of science with 15 new research collaborations and the
addition of Dr. Brunie Felding to the ChromaDex Scientific Advisory
Board. Chief Scientific Advisor, Dr. Charles Brenner received
a research grant from the Bill & Melinda Gates
TRU NIAGEN awarded Ingredient of the Year: Healthy
Aging' by NutraIngredients-USA and Most Favourite
Brand' among Watsons Hong Kong Loyalty Members. ChromaDex
awarded Nutritional Outlook's 2019 Best of
Industry Ingredient Supplier Award for NIAGEN.
LOS ANGELES, March 10, 2020 (GLOBE NEWSWIRE) - ChromaDex Corp. (NASDAQ:CDXC)
reported fourth quarter 2019 financial results.
delivered strong performance across key metrics in 2019, secured
regulatory approval in the EU and Australia, and published the
sixth human clinical study demonstrating the safety and efficacy of
Niagen, said ChromaDex CEO Rob Fried. By achieving
these commercial, regulatory, and scientific milestones, we
continue to make great progress against our financial and strategic
Results of operations for the three months ended December 31,
three months ended December 31, 2019 ( Q4 2019 ),
ChromaDex reported net sales of $13.1 million, up 44% compared to
$9.1 million in the fourth quarter of 2018 ("Q4 2018"). The
increase in Q4 2019 revenues was driven by growth in sales of TRU
NIAGEN and NIAGEN ingredient
margin increased by 510 basis points to 57.0% in Q4 2019 compared
to 52.0% in Q4 2018. The increase in gross margin was driven by the
positive impact of increased TRU NIAGEN consumer product sales.
expenses increased by $3.4 million to $16.3 million in Q4 2019,
compared to $13.0 million in Q4 2018. The increase in operating
expenses was driven by an increase of $3.1 million in general and
administrative expense, and an increase of $0.5 million of selling
and marketing expense, partially offset by $0.1 million of lower
R&D expense. The increase in general and administrative expense
was driven by $2.2 million of bad debt expense related to the
write-off of an Elysium receivable. This reflects conservative
accounting treatment and not the potential return on investment in
loss for Q4 2019 was ($8.9) million or ($0.15) per share as
reported compared to a net loss of ($8.2) million or ($0.15) per
share for Q4 2018 as reported. Non-GAAP net loss per share was
($0.11) excluding a $2.2 million, or $0.04 per share, non-cash
charge related to the write-off of the Elysium receivable as bad
EBITDA excluding total legal expense, a non-GAAP measure, was a
loss of ($2.1) million for Q4 2019, compared to a loss of ($4.0)
million for Q4 2018, a $1.9 million improvement.
defines Adjusted EBITDA excluding total legal expense as net income
or (loss) which is adjusted for interest, income tax, depreciation,
amortization, non-cash stock compensation costs, severance and
restructuring expense, bad debt expense related to Elysium Health
and total legal expense.
2019, the net cash used in operating activities was ($0.6) million
versus ($5.1) million in Q4 2018.
Results of operations for the year ended December 31,
full year ended December 31, 2019 ( FY 2019 ),
ChromaDex reported net sales of $46.3 million, up 47% compared to
$31.6 million in the full year ended December 31, 2018 ("FY 2018").
The increase in FY 2019 revenues was driven by growth in sales of
margin increased by 480 basis points to 55.7% in FY 2019 compared
to 50.9% in FY 2018. The increase in gross margin was driven by the
positive impact of increased TRU NIAGEN consumer product sales.
expenses increased by $7.9 million to $57.1 million in FY 2019,
compared to $49.2 million in FY 2018. The increase in operating
expenses was driven by an increase of $7.2 million in general and
administrative expense, and an increase of $1.7 million of selling
and marketing expense, partially offset by $1.1 million of lower
R&D expense. The increase in general and administrative expense
was driven by $2.2 million of bad debt expense related to the
write-off of an Elysium receivable, higher legal costs of $1.5
million and higher royalty expense of $1.0 million.
loss for FY 2019 was ($32.1) million or ($0.56) per share as
reported compared to a net loss of ($33.3) million or ($0.61) per
share for FY 2018 as reported. For FY 2019, the reported loss was
negatively impacted by a non-cash charge of $7.2 million related to
stock-based compensation and $2.2 million related to the write-off
of Elysium-related bad debt. Non-GAAP net loss per share was
($0.52) excluding a $2.2 million, or $0.04 per share, non-cash
charge related to the write-off of the Elysium receivable as bad
EBITDA excluding total legal expense, a non-GAAP measure, was a
loss of ($8.8) million for FY 2019, compared to a loss of ($16.2)
million for FY 2018, a $7.4 million improvement. The $7.4 million
improvement was primarily driven by higher sales and gross margins,
partially offset by higher marketing and selling expense and