Roka Bioscience Reports Second Quarter 2014 Financial Results

Aug 11, 2014, 07:00 ET from Roka Bioscience, Inc.

WARREN, N.J., Aug. 11, 2014 /PRNewswire/ -- Roka Bioscience, Inc. (NASDAQ: ROKA), a molecular diagnostics company focused on providing advanced testing solutions for the detection of foodborne pathogens, today reported its financial results for the three and six months ended June 30, 2014.

Financial Highlights

  • Revenue of $1.4 million in the quarter, 107% year-over-year growth
  • Revenue of $2.2 million in the six months, 137% year-over year growth
  • $60 million initial public offering completed in July 2014

Financial Results

Revenues for the quarter ended June 30, 2014 rose 107% to $1.4 million, from $671,000 in the same period in 2013.  Revenues for the six months ended June 30, 2014 rose 137% to $2.2 million, from $937,000 in the same period in 2013.  The increased revenue in the quarter and six months resulted from an increase in the number of Atlas® instruments placed with commercial customers and increased commercial utilization of the Atlas® instruments. As of June 30, 2014, the Company had 36 instruments placed with customers under commercial agreements, compared to 21 instruments as of June 30, 2013.

Total operating expenses for the second quarter were $8.4 million compared to $7.9 million for the same period in 2013.  Total operating expenses for the six months ended June 30, 2014 were $16.6 million compared to $15.9 million for the same period in 2013.

Net loss for the second quarter was $7.4 million, or a loss of $(11.28) per share, compared with $7.9 million, or a loss of $(15.96) per share, for the same period in 2013.  Net loss for the six months ended June 30, 2014 was $15.7 million, or a loss of $(24.88) per share, compared with $15.7 million, or a loss of $(34.10) per share, for the same period in 2013.

As of June 30, 2014, the Company had $26.0 million in cash, which did not include the proceeds received by the Company in connection with the IPO.

"Our strong revenue growth in the quarter results from the growing demand for our Atlas Detection assays," said Paul Thomas, Roka Bioscience President and Chief Executive Officer.  "With the completion of our IPO in July, we believe we are positioned for continued growth."

Conference Call

Roka Bioscience will host a conference call today at 8:30 a.m. Eastern Time to discuss these results and answer questions. To listen to the conference call live, go to http://rokabio.investorroom.com/ or dial 1-877-870-4263 for domestic callers and 1-412-317-0790 for international callers.  A replay of the call will be available commencing two hours after the completion of the call through August 18, 2014 by dialing 1-877-344-7529 domestic and 1-412-317-0088 international, passcode 10050698.  An online archive of the conference call will also be available at http://rokabio.investorroom.com/.  

About Roka Bioscience

Roka Bioscience is a molecular diagnostics company focused on developing and commercializing advanced testing solutions for the food safety testing market. Our Atlas Detection Assays incorporate our advanced molecular technologies and are performed on our "sample-in, result-out" Atlas System that automates all aspects of molecular diagnostic testing on a single, integrated platform. The Atlas System and Detection Assays are designed to provide our customers with accurate and rapid test results with reduced labor costs and improved laboratory efficiencies.  For more information, visit http://rokabio.com.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act, as amended (the "Exchange Act"). These forward-looking statements are based on current expectations, estimates, forecasts and projections about the industry and markets in which we operate and management's current beliefs and assumptions. Any statements contained herein (including, without limitation, statements to the effect that we "believe", "expect", "anticipate", "plan" and similar expressions) that are not statements of historical fact should be considered forward-looking statements and should be read in conjunction with the Condensed Financial Statements  included in this press release and the discussion below. These statements relate to future events or our financial performance and involve known and unknown risks, uncertainties and other factors that could cause our actual results, levels of activity, performance or achievement to differ materially from those expressed or implied by these forward looking statements. There are a number of important factors that could cause actual results to differ materially from those indicated by such forward-looking statements. Such factors include those set forth in the company's filings with the Securities and Exchange Commission. We expressly disclaim any obligation to update any forward-looking statements, except as may be required by law.  Given these uncertainties, you should not place undue reliance on these forward-looking statements. These forward-looking statements represent our estimates and assumptions only as of the date of this press release and, except as required by law, we undertake no obligation to update or review publicly any forward-looking statements, whether as a result of new information, future events or otherwise after the date of this press release.

Investor Contact:

Roka Bioscience, Inc. Steve Sobieski Chief Financial Officer (908) 605-4621 ssobieski@rokabio.com

 

Condensed Statements of Operations and Comprehensive Loss

(unaudited)

(in thousands, except share and per share data)

Three Months Ended June 30,

Six Months Ended June 30,

2014

2013

2014

2013

Revenue

$

1,390

$

671

$

2,218

937

Operating expenses:

Cost of revenue

1,573

1,676

2,838

3,549

Research and development

2,227

1,945

4,069

3,697

Selling, general and administrative

4,548

4,275

9,596

8,533

Amortization of intangible assets

42

42

84

84

Total operating expenses

8,390

7,938

16,587

15,863

Loss from operations

(7,000)

(7,267)

(14,369)

(14,926)

Other income (expense):

Change in fair value of financial instruments

41

(594)

(562)

(575)

Interest income (expense), net

(378)

(80)

(768)

(154)

Loss before income taxes

(7,337)

(7,941)

(15,699)

(15,655)

Income tax provision (benefit)

12

1

17

1

Net loss and comprehensive loss

$

(7,349)

$

(7,942)

$

(15,716)

$

(15,656)

Net Loss per Common Share:

Basic and diluted

$

(11.28)

$

(15.96)

$

(24.88)

$

(34.10)

Weighted average common shares outstanding used in computing net loss per common share:

Basic and diluted

651,598

486,184

631,620

453,768

 

Condensed Balance Sheets

(unaudited)

(in thousands, except share and per share data)

June 30,

December 31,

2014

2013

ASSETS

Current Assets:

   Cash and cash equivalents

$

26,013

$

32,728

   Trade accounts receivable, net of $0 allowance for doubtful accounts

566

277

   Inventories

4,706

3,879

   Deferred tax assets

3,135

   Prepaid expenses and other current assets

3,819

2,437

          Total current assets

35,104

42,456

Property and equipment, net

13,258

14,510

Intangible assets, net

1,260

1,344

Goodwill

360

360

Other assets

2,823

444

         Total assets

$

52,805

$

59,114

LIABILITIES, CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' DEFICIT

Current Liabilities:

Accounts payable

$

882

$

1,226

Short-term deferred payments

521

339

Notes payable, current

9,800

4,919

Accrued expenses

5,487

2,381

          Total current liabilities

16,690

8,865

Deferred payments

3,216

3,205

Convertible preferred stock warrant liability

1,142

212

Deferred tax liabilities

40

40

Other long-term liabilities

342

339

Total liabilities

21,430

12,661

Convertible Preferred Stock

127,698

127,797

Stockholders' Deficit:

Total stockholders' deficit

(96,323)

(81,344)

Total liabilities and stockholders' deficit

$

52,805

$

59,114

 

SOURCE Roka Bioscience, Inc.



RELATED LINKS

http://www.rokabio.com