Full Press Release Details
T2 Biosystems Announces Fourth Quarter and Full Year 2019 Financial Results
LEXINGTON, Mass., February 24, 2020 (GLOBE NEWSWIRE) T2 Biosystems, Inc. (NASDAQ:TTOO), a leader in the rapid detection of
sepsis-causing pathogens, today announced financial results for the fourth quarter and full year ended December 31, 2019.
Recent Business and Financial Performance Highlights
Full Year 2019 Business and Financial Performance Highlights
The T2 Biosystems team achieved a number of important clinical and operational milestones in 2019, said John Sperzel,
President and CEO of T2 Biosystems. According to recent data, sepsis is responsible for the death of nearly 11 million people annually, more than all cancers combined. In the battle against sepsis, speed is critical to achieving targeted
therapy. T2 Biosystems has the only FDA cleared system for detecting sepsis-causing pathogens directly from blood, without the need to wait days for a positive culture. I believe we have an opportunity to save lives by becoming the standard of care
in the detection of sepsis-causing pathogens, and drive long-term sustained growth.
Fourth Quarter 2019 Financial Results
Total revenue for the fourth quarter of 2019 was $3.1 million, an increase of 71% compared to the prior year period. Product revenue for the fourth
quarter of 2019 was $1.6 million, an increase of 18% compared to the prior year period. Research revenue for the fourth quarter of 2019 was $1.5 million, an increase of 200% compared to the prior year period.
Operating expenses for the fourth quarter of 2019 were $11.9 million, an increase of $2.2 million compared to the prior year period.
Net loss for the fourth quarter of 2019 was $14.1 million or a loss of $0.30 per share, compared to a
net loss of $15.1 million or a loss of $0.34 per share in the prior year period.
Full Year 2019 Financial Results
Total revenue for 2019 was $8.3 million, a decrease of 21%, compared to the prior year period. Product revenue for 2019 was $5.3 million, an increase
of 11% compared to the prior year period. Research revenue for 2019 was $3.0 million, a decrease of 47% compared to the prior year period.
expenses for 2019 were $43.6 million, an increase of 8% compared to the prior year period.
Net loss for 2019 was $59.0 million or a loss of
$1.30 per share, compared to a net loss of $51.2 million or a loss of $1.26 per share in 2018.
Cash and equivalents as of December 31, 2019
were $11.0 million. This includes $4.8 million in net proceeds from the sale of 3.8 million shares through the ATM facility during the fourth quarter of 2019.
2020 Financial Outlook
Management projects revenue for
the full year 2020 to range from $14.0 million to $17.0 million, including product revenue between $8.0 million and $10.0 million and research and grant contribution revenue of $6.0 million to $7.0 million. Management
expects to close approximately 30 T2Dx Instrument contracts during 2020.
Webcast and Conference Call Information
T2 s management team will host a conference call today, February 24, 2020, beginning at 4:30pm ET. Investors interested in listening to the call may
do so by dialing 1-877-407-9208 for domestic callers or 1-201-493-6784 for International callers. A live and recorded webcast of the call will be available on the Investors section of the Company s website at www.t2biosystems.com.
Biosystems, a leader in the rapid detection of sepsis-causing pathogens, is dedicated to improving patient care and reducing the cost of care by helping clinicians effectively treat patients faster than ever before. T2 Biosystems products
include the T2Dx Instrument, T2Candida Panel, the T2Bacteria Panel, and the
T2ResistanceTM Panel and are powered by the proprietary T2 Magnetic Resonance (T2MR ) technology. T2 Biosystems has an active pipeline of
future products, including products for the detection of additional species and antibiotic resistance markers of sepsis pathogens, and tests for Lyme disease.
Gina Kent, Vault Communications
Philip Trip Taylor, Gilmartin Group
Consolidated Balance Sheets
(In thousands, except share and per share data)
| December 31, 2019 | December 31, 2018 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 11,033 | $ | 50,805 | ||||
| Accounts receivable | 2,825 | 1,786 | ||||||
| Prepaid expenses and other current assets | 1,438 | 1,340 | ||||||
| Inventories | 3,599 | 2,677 | ||||||
| Total current assets | 18,895 | 56,608 | ||||||
| Property and equipment, net | 5,845 | 7,315 | ||||||
| Operating lease right-of-use assets | 3,360 | |||||||
| Restricted cash | 180 | 180 | ||||||
| Other assets | 206 | 206 | ||||||
| Total assets | $ | 28,486 | $ | 64,309 | ||||
| Liabilities and stockholders equity | ||||||||
| Current liabilities: | ||||||||
| Notes payable | $ | 42,902 | $ | 42,373 | ||||
| Accounts payable | 3,753 | 744 | ||||||
| Accrued expenses and other current liabilities | 11,207 | 6,073 | ||||||
| Derivative liability | 2,425 | 2,142 | ||||||
| Deferred revenue | 285 | 697 | ||||||
| Current portion of lease incentives | 268 | |||||||
| Total current liabilities | 60,572 | 52,297 | ||||||
| Lease incentives, net of current portion | 492 | |||||||
| Operating lease liabilities, net of current portion | 1,873 | |||||||
| Deferred revenue, net of current portion | 46 | 133 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders equity: | ||||||||
| Preferred stock, $0.001 par value; 10,000,000 shares authorized; no shares issued and outstanding | ||||||||
| Common stock, $0.001 par value; 200,000,000 shares authorized; 50,651,535 and 44,175,441 shares issued and outstanding at December 31, 2019 and December 31, 2018, respectively | 49 | 44 | ||||||
| Additional paid-in capital | 342,123 | 328,514 | ||||||
| Accumulated deficit | (376,177 | ) | (317,171 | ) | ||||
| Total stockholders equity | (34,005 | ) | 11,387 | |||||
| Total liabilities and stockholders equity | $ | 28,486 | $ | 64,309 |
Consolidated Statements of Operations and Comprehensive Loss
(In thousands, except share and per share data)
| Year ended December 31, | ||||||||||||
| 2019 | 2018 | 2017 | ||||||||||
| Revenue: | ||||||||||||
| Product revenue | $ | 5,327 | $ | 4,805 | $ | 3,440 | ||||||
| Research revenue | 563 | 5,695 | 1,226 | |||||||||
| Contribution revenue | 2,445 | |||||||||||
| Total revenue | 8,335 | 10,500 | 4,666 | |||||||||
| Costs and expenses: | ||||||||||||
| Cost of product revenue | 16,763 | 15,404 | 12,028 | |||||||||
| Research and development | 16,326 | 14,489 | 23,733 | |||||||||
| Selling, general and administrative | 27,304 | 25,697 | 22,757 | |||||||||
| Total costs and expenses | 60,393 | 55,590 | 58,518 | |||||||||
| Loss from operations | (52,058 | ) | (45,090 | ) | (53,852 | ) | ||||||
| Interest expense, net | (7,348 | ) | (6,682 | ) | (8,907 | ) | ||||||
| Other income, net | 400 | 619 | 331 | |||||||||
| Net loss and comprehensive loss | (59,006 | ) | (51,153 | ) | (62,428 | ) | ||||||
| Net loss per share basic and diluted | $ | (1.30 | ) | $ | (1.26 | ) | $ | (1.94 | ) | |||
| Weighted-average number of common shares used in computing net loss per share basic and diluted | 45,507,754 | 40,558,826 | 32,131,512 |