Abiomed, Inc. (NASDAQ: ABMD) today announced revenue of $12.9
million for its third quarter of fiscal 2007 ended December 31, 2006.
Revenue for the quarter was up 23% as compared to third quarter of
fiscal 2006. During the third quarter of fiscal 2007 compared to the
same period of fiscal 2006, revenue from AB5000 disposables grew 61%,
BVS disposables revenue decreased 31%, and Impella disposables revenue
increased 225%, while not a significant contribution to total revenue
dollars. Revenue for the nine months ended December 31, 2006 was $36.8
million and increased 23% compared to the same period of the prior
year.
Recent operating highlights and financial results included:
-- Abiomed has submitted its application to the FDA for 510(k)
clearance of the Impella 2.5.
-- Gross margin for the third quarter of fiscal 2007 was 78%, up
700 basis points compared to the same period of fiscal 2006.
-- Total disposables of approximately 590 units shipped during
the quarter, including the most ever units shipped of Impella.
-- This was the third consecutive record quarter for the number
of patients supported by AB5000 Circulatory Support Systems
worldwide, second highest quarter for disposables unit sales
of AB5000, and AB5000 Console revenues in the U.S. grew 70%.
-- The Company's intra-aortic balloon (IAB) received 510(k)
clearance in the U.S. The Company also received CE Mark
approval in Europe for both the Intra-Aortic Balloon and the
new iPulse combination console system that can run Abiomed's
IAB, BVS 5000 Blood Pump and AB5000 Ventricle. Abiomed treated
its first Intra-Aortic Balloon Pump patient in Europe for
high-risk angioplasty with its new iPulse system.
-- Continued expansion of Abiomed's global distribution with the
addition of 12 global sales and clinical representatives.
-- The third quarter of fiscal 2007 net loss was $6.7 million, or
$.25 per share. The net loss for the third quarter of fiscal
2007 included stock option expense of $1.4 million, or $.05
per share. The third quarter of fiscal 2006 net loss was $4.5
million, or $.17 per share.
"We continue to make strides towards expanding our global
distribution and our product portfolio with the completion of our
Impella 2.5 510(k) submission to the FDA. Abiomed has nine products on
three platforms, Impella, iPulse and AbioCor. We look forward to
making regulatory progress with the six products not yet approved by
the FDA," said Michael R. Minogue, Chairman, CEO and President of
Abiomed.
Financial information for the third quarter of fiscal 2007 is
attached to this press release.
CONFERENCE CALL AND WEBCAST
The Company will host a conference call at 11:00 a.m. ET on
February 5, 2007. Michael R. Minogue, Chairman, Chief Executive
Officer and President, and Daniel J. Sutherby, Chief Financial
Officer, will host the conference call.
To listen to the call live, please tune into the webcast via
http://investor.abiomed.com or dial 866-314-4865; the international
number is 617-213-8050. The access code is 97813965. A replay of this
conference call will be available beginning at 1 p.m. ET on February
5, 2007 through 11:59 p.m. ET on February 19, 2007. The replay phone
number is 888-286-8010; the international number is 617-801-6888. The
replay access code is 55114880.
ABOUT ABIOMED
Based in Danvers, Massachusetts, Abiomed, Inc., is a leading
developer, manufacturer and marketer of medical products designed to
assist or replace the pumping function of the failing heart. Abiomed
currently manufactures and sells the AB5000(TM) Circulatory Support
System and the BVS(R) 5000 Biventricular Support System for the
temporary support of all patients with failing but potentially
recoverable hearts. The Company also developed the AbioCor(R)
Implantable Replacement Heart. In Europe, Abiomed offers the
Impella(R) LP2.5, Impella(R) LP5.0, Impella(R) LD, the Impella(R) RD
and an Intra-Aortic Balloon under CE Mark approval. The Impella(R) 5.0
and 2.5 are investigational devices limited by Federal Law solely to
investigational use in the United States. Other Impella devices and
the iPulse(TM) combination console system are not yet available for
sale in the United States. For additional information please visit:
www.abiomed.com.
FORWARD-LOOKING STATEMENTS
This Release contains forward-looking statements, including
statements regarding development of Abiomed's existing and new
products, the Company's progress toward commercial growth, and future
opportunities. The Company's actual results may differ materially from
those anticipated in these forward-looking statements based upon a
number of factors, including uncertainties associated with
development, testing and related regulatory approvals, anticipated
future losses, complex manufacturing, high quality requirements,
dependence on limited sources of supply, competition, technological
change, government regulation, future capital needs and uncertainty of
additional financing, and other risks and challenges detailed in the
Company's filings with the Securities and Exchange Commission,
including the Annual Report filed on Form 10-K. Readers are cautioned
not to place undue reliance on any forward-looking statements, which
speak only as of the date of this Release. The Company undertakes no
obligation to publicly release the results of any revisions to these
forward-looking statements that may be made to reflect events or
circumstances that occur after the date of this Release or to reflect
the occurrence of unanticipated events.
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ABIOMED, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except per share data)
December 31, March 31,
2006 2006
(Unaudited)
------------- ------------
ASSETS
Current assets:
Cash and cash equivalents $ 6,081 $ 7,832
Short-term marketable securities 11,160 23,003
Accounts receivable, net of allowance
for doubtful accounts of $274 at
December 31, 2006 and $211 at
March 31, 2006 9,230 8,880
Inventories 6,883 4,868
Prepaid expenses and other current assets 1,640 1,860
------------- ------------
Total current assets 34,994 46,443
Property and equipment, net 5,572 4,824
Intangible assets, net 7,613 8,164
Goodwill 26,355 19,106
------------- ------------
Total assets $74,534 $78,537
============= ============
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 4,636 $ 3,070
Accrued expenses 5,786 5,185
Deferred revenue 577 484
------------- ------------
Total current liabilities 10,999 8,739
Long-term deferred tax liability 873 310
Accrued costs of acquisition 5,583 --
------------- ------------
Total liabilities 17,455 9,049
------------- ------------
Commitments and contingencies -- --
Stockholders' equity
Class B Preferred Stock, $.01 par value -- --
Authorized - 1,000,000 shares;
Issued and outstanding - none
Common stock, $.01 par value 268 265
Authorized - 100,000,000 shares;
Issued - 26,775,474 shares at
December 31, 2006 and 26,474,270
shares at March 31, 2006;
Outstanding - 26,764,455 shares at
December 31, 2006 and 26,468,091
shares at March 31, 2006
Additional paid-in-capital 221,438 214,666
Deferred stock-based compensation -- (171)
Accumulated deficit (164,840) (143,308)
Treasury stock at cost 11,019 shares at
December 31, 2006 and 6,179 shares at
March 31, 2006 (116) (66)
Accumulated other comprehensive income
(loss) 329 (1,898)
------------- ------------
Total stockholders' equity 57,079 69,488
------------- ------------
Total liabilities and stockholders' equity $74,534 $78,537
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ABIOMED, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(in thousands, except per share data)
Three months ended Nine months ended
December 31, December 31,
-------------------- -------------------
2006 2005 2006 2005
---------- --------- --------- ---------
Revenue:
Products $ 12,823 $ 10,447 $ 36,698 $ 29,605
Funded research and
development 81 68 100 269
---------- --------- --------- ---------
12,904 10,515 36,798 29,874
Costs and expenses:
Cost of product revenue
excluding amortization 2,873 3,070 9,281 7,851
Research and development 5,625 4,226 16,329 12,517
Selling, general and
administrative 10,917 7,411 31,355 21,558
Expensed in-process
research and development -- -- 800 13,306
Amortization of intangible
assets 373 348 1,243 955
---------- --------- --------- ---------
19,788 15,055 59,008 56,187
Loss from operations (6,884) (4,540) (22,210) (26,313)
---------- --------- --------- ---------
Other income:
Investment income 240 316 841 876
Foreign exchange gain
(loss) 62 (56) 149 (168)
Other income (expense), net (40) 53 32 91
---------- --------- --------- ---------
262 313 1,022 799
---------- --------- --------- ---------
Net loss before provision for
income taxes (6,622) (4,227) (21,188) (25,514)
Provision for income taxes 103 253 344 253
---------- --------- --------- ---------
Net loss $(6,725) $(4,480) $(21,532) $(25,767)
========== ========= ========= =========
Basic and diluted net loss
per share $(0.25) $(0.17) $(0.81) $(1.01)
Weighted average shares
outstanding 26,712 26,351 26,602 25,447
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