Full Press Release Details
Provides Business Update and Preliminary First Quarter 2022 Financial Results
call to be held today at 4:30 PM EDT
YORK, May 12, 2022 (BUSINESS WIRE) -PAVmed Inc. (Nasdaq: PAVM, PAVMZ) (the "Company" or "PAVmed"),
a diversified commercial-stage medical technology company, operating in the medical device, diagnostics, and digital health sectors,
today provided a business update for the Company and its subsidiaries, Lucid Diagnostics Inc. (Nasdaq: LUCD) ("Lucid") and
Veris Health Inc. ("Veris"), and presented preliminary financial results for the three months ended March 31, 2022.
conference call and webcast for today's business update and first quarter 2022 financial results will take place at 4:30 PM EDT.
To access the conference call, listeners should dial 800-458-4121 toll-free in the U.S., and international listeners should dial 856-344-9290,
and ask to join the "PAVmed Inc. Business Update Conference Call". The conference call will be available live via a webcast
and for replay at the investor relations section of the Company's website at https://ir.pavmed.com/. Following the conclusion
of the conference call, a replay will be available for one week and can be accessed by dialing 844-512-2921 toll-free in the U.S. or
412-317-6671 from outside the U.S., followed by the PIN number: 7771455.
am delighted to report that PAVmed is making excellent progress on all fronts and that we continue to lay a solid foundation for our
long-term growth strategy," said Lishan Aklog, M.D., PAVmed's Chairman and Chief Executive Officer. "Our combined
team has grown to over one hundred employees and is singularly focused on growing the PAVmed enterprise while enhancing long-term shareholder
value. Our balance sheet remains strong, providing us with the resources to execute this strategy. Given the current market volatility
we are particularly focused on deploying our capital as efficiently and effectively as possible to accomplish our strategic goals while
preserving and extending our cash runway."
from the first quarter and recent weeks include:
unaudited financial results for the three months ended March 31, 2022, are expected to be filed with the SEC on Form 10-Q on May 16,
2022 and will then be available at www.pavmed.com or www.sec.gov.
supplement our unaudited financial results presented in accordance with U.S. generally accepted accounting principles (GAAP), management
provides certain non-GAAP financial measures of the Company's financial results. These non-GAAP financial measures include net
loss before interest, taxes, depreciation, and amortization (EBITDA) and non-GAAP adjusted loss, which further adjusts EBITDA for stock-based
compensation expense, loss on the issuance or modification of convertible securities, the periodic change in fair value of convertible
securities, and loss on debt extinguishment. The foregoing non-GAAP financial measures of EBITDA and non-GAAP adjusted loss are not recognized
terms under U.S. GAAP.
financial measures are presented with the intent of providing greater transparency to information used by us in our financial performance
analysis and operational decision-making. We believe these non-GAAP financial measures provide meaningful information to assist investors,
shareholders, and other readers of our unaudited financial statements in making comparisons to our historical financial results and analyzing
the underlying performance of our results of operations. These non-GAAP financial measures are not intended to be, and should not be,
a substitute for, considered superior to, considered separately from or as an alternative to, the most directly comparable GAAP financial
financial measures are provided to enhance readers' overall understanding of our current financial results and to provide further
information for comparative purposes. Management believes the non-GAAP financial measures provide useful information to management and
investors by isolating certain expenses, gains and losses that may not be indicative of our core operating results and business outlook.
Specifically, the non-GAAP financial measures include non-GAAP adjusted loss and its presentation is intended to help the reader understand
the effect of the loss on the issuance or modification of convertible securities, the periodic change in fair value of convertible securities,
the loss on debt extinguishment and the corresponding accounting for non-cash charges on financial performance. In addition, management
believes non-GAAP financial measures enhance the comparability of results against prior periods.
reconciliation to the most directly comparable GAAP measure of all non-GAAP financial measures included in this press release for the
three months ended March 31, 2022, and 2021 is as follows:
| For the three months ended March 31, | ||||||||
| 2022 | 2021 | |||||||
| Revenue | $ | 189 | $ | - | ||||
| Gross profit | (180 | ) | - | |||||
| Operating expenses | 19,280 | 8,077 | ||||||
| Other Expense | 173 | - | ||||||
| Net Loss | (19,633 | ) | (8,077 | ) | ||||
| Net income (loss) per common share, basic and diluted | $ | (0.20 | ) | $ | (0.13 | ) | ||
| Net loss attributable to common stockholders | (16,869 | ) | (9,431 | ) | ||||
| Preferred Stock dividends and deemed dividends | (68 | ) | (75 | ) | ||||
| Net income (loss) as reported | (16,937 | ) | (9,506 | ) | ||||
| Adjustments: | ||||||||
| Depreciation and amortization expense 1 | 216 | 12 | ||||||
| EBITDA | (16,721 | ) | (9,494 | ) | ||||
| Other non-cash or financing related expenses: | ||||||||
| Stock-based compensation expense 3 | 4,814 | 1,436 | ||||||
| Debt extinguishment 2 | - | 3,715 | ||||||
| Acquisition related 2 | 173 | - | ||||||
| Change in FV convertible debt 2 | - | (1,682 | ) | |||||
| Non-GAAP adjusted (loss) | (11,734 | ) | (6,025 | ) | ||||
| Basic and Diluted shares outstanding | 86,336 | 73,954 | ||||||
| Non-GAAP adjusted (loss) income per share | $ | (0.14 | ) | $ | (0.08 | ) |
| 1 | Included in general and administrative expenses in the financial statements |
| 2 | Included in other income and expenses |
| 3 | Stock-based compensation ("SBC") expenses: |
| For the three months ended March 31, | ||||||||
| 2022 | 2021 | |||||||
| Sales and marketing expense | 3,925 | 1,387 | ||||||
| Stock-based compensation expense | (625 | ) | (202 | ) | ||||
| Net commercial operations expense excluding SBC | 3,300 | 1,185 | ||||||
| General and administrative expense total | 9,423 | 3,375 | ||||||
| Stock-based compensation expense | (4,002 | ) | (1,124 | ) | ||||
| Net general and administrative expense excluding SBC | 5,421 | 2,251 | ||||||
| Research and development expense total | 5,932 | 3,315 | ||||||
| Stock-based compensation expense | (187 | ) | (110 | ) | ||||
| Net research and development expense excluding SBC | 5,745 | 3,205 | ||||||
| Total operating expenses | 19,280 | 8,077 | ||||||
| Stock-based compensation expense | (4,814 | ) | (1,436 | ) | ||||
| Net operating expenses excluding SBC | 14,466 | 6,641 |
Diagnostics (Nasdaq: LUCD) Preliminary Financial Results
| For the three months ended March 31, | ||||||||
| 2022 | 2021 | |||||||
| Revenue | $ | 189 | $ | - | ||||
| Gross profit | (180 | ) | - | |||||
| Operating expenses | 11,917 | 3,653 | ||||||
| Other expense | 173 | - | ||||||
| Net loss | (12,270 | ) | (3,653 | ) | ||||
| Net income (loss) per common share, basic and diluted | $ | (0.35 | ) | $ | (0.26 | ) | ||
| Adjustments: | ||||||||
| Depreciation and amortization expense 1 | 24 | 3 | ||||||
| EBITDA | (12,246 | ) | (3,650 | ) | ||||
| Other non-cash or financing related expenses: | ||||||||
| Stock-based compensation expense 3 | 3,835 | 805 | ||||||
| Fair value adjustments 2 | 173 | - | ||||||
| Non-GAAP adjusted (loss) | (8,238 | ) | (2,845 | ) | ||||
| Basic and Diluted shares outstanding | 35,123 | 14,114 | ||||||
| Non-GAAP adjusted (loss) income per share | $ | (0.23 | ) | $ | (0.20 | ) |
| 1 | Included in general and administrative expenses in the financial statements |
| 2 | Included in other income and expenses |
| 3 | Stock-based compensation ("SBC") expenses: |
| For the three months ended March 31, | ||||||||
| 2022 | 2021 | |||||||
| Sales and Marketing expense total | 3,318 | 689 | ||||||
| Stock-based compensation expense | (440 | ) | - | |||||
| Net commercial operations expense excluding SBC | 2,878 | 689 | ||||||
| General and administrative expense total | 5,718 | 1,212 | ||||||
| Stock-based compensation expense | (3,269 | ) | (789 | ) | ||||
| Net general and administrative expense excluding SBC | 2,449 | 423 | ||||||
| Research and development expense total | 2,881 | 1,752 | ||||||
| Stock-based compensation expense | (126 | ) | (16 | ) | ||||
| Net research and development expense excluding SBC | 2,755 | 1,736 | ||||||
| Total operating expenses | 11,917 | 3,653 | ||||||
| Stock-based compensation expense | (3,835 | ) | (805 | ) | ||||
| Net operating expenses excluding SBC | 8,082 | 2,848 |
Inc. is a diversified commercial-stage medical technology company operating in the medical device, diagnostics and digital health sectors.
Its major subsidiary, Lucid Diagnostics Inc. (Nasdaq: LUCD), markets the EsoGuard Esophageal DNA Test and EsoCheck
Esophageal Cell Collection Device-the first and only commercial tools for widespread early detection of esophageal precancer
to prevent esophageal cancer deaths. Another major subsidiary, Veris Health Inc., is a digital health company developing the first intelligent
implantable vascular access port with biologic sensors and wireless communication to improve personalized cancer care through remote
patient monitoring. PAVmed's CarpX Minimally Invasive Device for Carpal Tunnel Syndrome is currently in limited
commercial release. The product pipeline also includes the EsoCure Esophageal Ablation Device with Caldus Technology, which
complements EsoGuard and EsoCheck, which complements EsoGuard and EsoCheck, the NextFlo Intravenous Infusion Set, the PortIO
Implantable Intraosseous Vascular Access Device, and other earlier stage technologies. For more information on PAVmed, please visit www.pavmed.com,
follow PAVmed on Twitter, connect with it on LinkedIn, and watch its videos on YouTube. For more information on
Lucid, please visit www.luciddx.com, follow Lucid on Twitter, and connect with it on LinkedIn. For detailed information on EsoGuard,
please visit www.EsoGuard.com and follow EsoGuard on Twitter, Facebook and Instagram.
press release includes forward-looking statements that involve risk and uncertainties. Forward-looking statements are any statements
that are not historical facts. Such forward-looking statements, which are based upon the current beliefs and expectations of PAVmed's
and Lucid's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward-looking
statements. Risks and uncertainties that may cause such differences include, among other things, volatility in the price of PAVmed's
and Lucid's common stock; PAVmed's Series W and Series Z warrants; general economic and market conditions; the uncertainties
inherent in research and development, including the cost and time required to advance PAVmed's and Lucid's products to regulatory
submission; whether regulatory authorities will be satisfied with the design of and results from PAVmed's and Lucid's clinical
and preclinical studies; whether and when PAVmed's and Lucid's products are cleared by regulatory authorities; market acceptance
of PAVmed's and Lucid's products once cleared and commercialized; PAVmed's and Lucid's ability to raise additional
funding as needed; and other competitive developments. In addition, PAVmed and Lucid have been monitoring the COVID-19 pandemic and the
pandemic's impact on PAVmed's and Lucid's businesses. PAVmed and Lucid expect the significance of the COVID-19 pandemic,
including the extent of its effect on its financial and operational results, to be dictated by, among other things, the success of efforts
to contain the pandemic and the impact of such efforts on PAVmed's and Lucid's businesses. These factors are difficult or
impossible to predict accurately and many of them are beyond PAVmed's and Lucid's control. In addition, new risks and uncertainties
may arise from time to time and are difficult to predict. For a further list and description of these and other important risks and uncertainties
that may affect PAVmed's and Lucid's future operations, see Part I, Item IA, "Risk Factors," in PAVmed's
and Lucid's most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission, as the same may be updated
in Part II, Item 1A, "Risk Factors" in any Quarterly Report on Form 10-Q filed by PAVmed after its most recent Annual Report
and Lucid's Registration Statement No. 333-259721 filed with the Securities and Exchange Commission. PAVmed and Lucid disclaim
any intention or obligation to publicly update or revise any forward-looking statement to reflect any change in its expectations or in
events, conditions, or circumstances on which those expectations may be based, or that may affect the likelihood that actual results
will differ from those contained in the forward-looking statements.