Evofem Biosciences Announces Financial Results for the First Quarter of 2024
- Received
$1 million from Aditxt, Inc. (Nasdaq: ADTX) inMay 2024 in consideration for reinstating and amending the Merger Agreement, as amended, between the companies.Aditxt agreed to invest an additional$2.5 million in Evofem byJuly 1, 2024 . The companies are working to close the contemplated transaction in the second half of 2024.
- Strengthened Phexxi intellectual property with the allowance of a new Composition of Matter Patent by the USPTO. Once issued, this will be the fifth
U.S. patent covering Evofem's hormone-free contraceptive.
- Launched a partnership with Modern Remedies, one of the top pharmacies dispensing Phexxi in the Northeast, effective
May 2024 .
- Successfully renegotiated the rebate for Phexxi with
Medi-Cal , the California state Medicaid program serving more than 15.4 million beneficiaries. EffectiveJuly 1, 2024 , Evofem will pay a 7.4% lower rebate toMedi-Cal on Phexxi prescriptions dispensed to its beneficiaries.
- Net sales were
$3.6 million for the first quarter of 2024, reflecting anticipated cyclical softness following the wholesale acquisition cost (WAC) increase onJanuary 1, 2024 , and the impact of the cyberattack onChange Healthcare onFebruary 19, 2024 .
- Total operating expenses decreased 31% vs. the first quarter of 2023 to
$6.4 million .
- Narrowed loss from operations to
$2.8 million , a 21% improvement compared to the first quarter of 2023.
"We expect 2024 will be our fourth consecutive year of net sales growth, driven in part by continued execution of our market access strategy with payer wins and successful rebate reductions," said
Financial Results
For the three months ended
The typical cycle is that our customers A) place larger orders ahead of a price increase, B) sell from this inventory for several months after the price increase, and C) resume ordering the following quarter. Phexxi WAC increased on
Following the cyberattack on
Total operating expenses decreased 31% to
As a result, loss from operations improved to
Liquidity
At
Subsequent to the quarter close, in
In
About
Phexxi® is a registered trademark of
Forward-Looking Statements
This press release includes "forward-looking statements" within the meaning of the safe harbor for forward-looking statements provided by Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995 including, without limitation, statements related to the Company's anticipated financial performance, the anticipated benefits of the contemplated
Contact
araskopf@evofem.com
(917) 673-5775
-- Financial Tables Follow --
CONDENSED CONSOLIDATED BALANCE SHEET DATA (Unaudited) (In thousands) |
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As of |
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|
Cash and cash equivalents |
$ - |
|
$ - |
Restricted cash |
689 |
|
580 |
Trade accounts receivable, net |
4,306 |
|
5,738 |
Total current liabilities |
74,239 |
|
72,463 |
Total stockholders' deficit |
(70,666) |
|
(66,510) |
Total liabilities, convertible and redeemable preferred |
8,217 |
|
10,554 |
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In thousands, except share and per share data) |
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Three Months Ended |
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|||||
|
|
2024 |
|
|
2023 |
|
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Product sales, net |
|
$ |
3,603 |
|
|
$ |
5,809 |
|
|
|
|
|
|
|
|
|
|
Operating Expenses: |
|
|
|
|
|
|
|
|
Cost of goods sold |
|
|
684 |
|
|
|
1,376 |
|
Research and development |
|
|
594 |
|
|
|
540 |
|
Selling and marketing |
|
|
2,345 |
|
|
|
3,854 |
|
General and administrative |
|
|
2,824 |
|
|
|
3,618 |
|
Total operating expenses |
|
|
6,447 |
|
|
|
9,388 |
|
Loss from operations |
|
|
(2,844) |
|
|
|
(3,579) |
|
Other income (expense): |
|
|
|
|
|
|
|
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Interest income |
|
|
4 |
|
|
|
18 |
|
Other expense, net |
|
|
(616) |
|
|
|
(318) |
|
Loss on issuance of financial instruments |
|
|
(3,275) |
|
|
|
(84) |
|
Gain on debt extinguishment |
|
|
1,120 |
|
|
|
- |
|
Change in fair value of financial instruments |
|
|
802 |
|
|
|
1,612 |
|
Total other income (expense), net |
|
|
(1,965) |
|
|
|
1,228 |
|
Loss before income tax |
|
|
(4,809) |
|
|
|
(2,351) |
|
Income tax expense |
|
|
- |
|
|
|
(3) |
|
Net loss |
|
|
(4,809) |
|
|
|
(2,354) |
|
Convertible preferred stock deemed dividends |
|
|
(47) |
|
|
|
- |
|
Net loss attributable to common stockholders |
|
$ |
(4,856) |
|
|
$ |
(2,354) |
|
Net loss per share attributable to common stockholders |
|
|
|
|
|
|
|
|
(basic and diluted): |
|
$ |
(0.16) |
|
|
$ |
(1.85) |
|
Weighted-average shares used to compute net loss per share |
|
|
|
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|
|
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attributable to common shareholders (basic and diluted): |
|
|
31,194,393 |
|
|
|
1,271,524 |
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