SAN JOSE, Calif., June 11, 2019 /PRNewswire/ -- BioPharmX
Corporation (NYSE American: BPMX), a specialty pharmaceutical
company focused on developing innovative medical dermatology
products, today reports financial results for the quarter
ended April 30, 2019.
Recent Highlights
- Completed the last patient visit in the Phase 2b clinical trial of BPX-041, a novel
topical gel formulation of fully solubilized minocycline for the
treatment of papulopustular rosacea. The company anticipates
announcing topline efficacy and safety data from the study in early
July 2019 pending database lock and
results validation.
- Raised net proceeds of $3.6
million from the sale of common stock in a registered direct
offering.
- Regained compliance with NYSE American continued listing
standards related to the company's low stock price by effecting a
1-for-25 reverse stock split.
- Entered into a Capital on Demand Sales Agreement with
JonesTrading Institutional Services LLC whereby the company may
issue common stock for proceeds up to $8.5
million from time to time through "at the market
offerings."
- Further reduced operating costs by reducing its workforce by
approximately 20%.
"The company continues to take steps on behalf of its
shareholders to advance and to drive value in its topical
minocycline programs." said Dr. Tierney, BioPharmX CEO. "As such,
we are looking forward to communicating the topline results from
our Phase 2b rosacea study."
First Quarter Financial Results
For the first quarter ended April 30, 2019, total operating
expenses were $3.6 million, compared with total operating
expenses of $4.4 million in the prior fiscal year's first
quarter.
Net loss for the quarter ended April 30,
2019 was $3.6 million, or $0.38 per share,
compared with a net loss of $4.4 million, or $0.61 per
share, during the prior fiscal year's first quarter.
Excluding stock-based compensation expense and the impact of
change in fair value of warrant liability, non-GAAP net loss for
the quarter ended April 30, 2019 was $3.4 million,
or $0.36 per share. During the first quarter of the prior
fiscal year, the comparable non-GAAP net loss was $3.7
million, or $0.52 per share.
Cash and cash equivalents, as of April 30, 2019,
were $3.3 million.
About BioPharmX® Corporation
BioPharmX Corporation
(NYSE American: BPMX) is a specialty pharmaceutical company focused
on developing prescription products utilizing its proprietary
HyantX Topical Delivery System for dermatology indications. To
learn more about BioPharmX, visit www.BioPharmX.com.
Use of Non-GAAP Measures
BioPharmX Corporation has
supplemented its financial information prepared in accordance with
generally accepted accounting principles in the United States ("GAAP") with non-GAAP
measures, including non-GAAP net loss and non-GAAP net loss per
share, which do not include stock-based compensation expense and
the impact of changes in fair value of warrant liability. The
presentation of this additional information is not meant to be
considered in isolation or as a substitute for results prepared in
accordance with GAAP. Management uses the non-GAAP information
internally to evaluate its ongoing business, operational
performance and cash requirements and believes these non-GAAP
measures are useful to investors as they provide the same basis for
evaluating BioPharmX Corporation's performance as applied by
management.
BioPharmX Corporation has provided a reconciliation of each
non-GAAP financial measure to the most directly comparable GAAP
financial measure. These non-GAAP measures may be different from
non-GAAP measures used by other companies, including peer
companies, and therefore, comparability may be limited. In
addition, these non-GAAP measures are not based on any
comprehensive set of accounting rules or principles. BioPharmX
Corporation believes that non-GAAP measures have limitations in
that they do not reflect all of the amounts associated with its
results of operations as determined in accordance with GAAP and
that these measures should be considered in addition to, not as a
substitute for or in isolation from, measures prepared in
accordance with GAAP. BioPharmX Corporation encourages investors
and others to review the company's financial information in its
entirety and not rely on a single financial measure.
Stock-based compensation expense represents non-cash charges
related to equity awards granted by BioPharmX Corporation. The
change in fair value of warrant liability results from the periodic
revaluing of the warrant liability. These amounts are excluded
from the company's non-GAAP net loss and non-GAAP net loss per
share because they are not reflective of ongoing operating results
in the period incurred. Although these may be recurring charges to
BioPharmX Corporation's operations, management believes the
measurement of these amounts can vary considerably from period to
period and depend substantially on factors that are not a direct
consequence of operating performance that is within management's
control. Thus, management believes that excluding these charges
from non-GAAP net loss and non-GAAP net loss per share facilitates
comparisons of BioPharmX Corporation's operational performance in
different periods, as well as with similarly determined non-GAAP
financial measures of comparable companies.
Forward-Looking Statement
The information in this
press release contains forward-looking statements and information
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended, which are subject to the "safe harbor" created by those
sections. This press release contains forward-looking statements
about the company's expectations, plans, intentions, and
strategies, including, but not limited to the timing to complete
the Phase 2b study for BPX-04, the
topline results from the company's Phase 2b rosacea study, the company's ability to raise
capital under its Capital On Demand Sales Agreement, the
commencement and results of future trials for BPX-04, level of
operating expenditures, the company's ability to obtain patent
protection and defend its intellectual property and the company's
ability to regain compliance with the NYSE American LLC's continued
listing standards and maintain its listing in the future.
Additional risks are set forth in our filings with the Securities
and Exchange Commission, including those described in the company's
Quarterly Report on Form 10-Q for the quarter ended April 30, 2019. The forward-looking statements
included in this press release are made only as of the date hereof,
and the company undertakes no obligation to publicly update such
statements.
1Caution: BPX-04 is a new drug limited by the U.S.
law to investigational use only.
BioPharmX and HyantX are registered trademarks of BioPharmX,
Inc.
--TABLES TO FOLLOW --
BIOPHARMX
CORPORATION
|
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE
LOSS
|
(in thousands,
except per share amounts; unaudited)
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
|
April
30,
|
|
|
|
|
2019
|
|
2018
|
|
|
|
|
|
|
|
|
Revenues,
net
|
$
-
|
|
$
18
|
|
Cost of goods
sold
|
-
|
|
7
|
|
Gross
margin
|
-
|
|
11
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
Research and
development
|
2,199
|
|
2,327
|
|
|
Sales and
marketing
|
264
|
|
601
|
|
|
General and
administrative
|
1,177
|
|
1,446
|
|
|
|
Total operating
expenses
|
3,640
|
|
4,374
|
|
|
|
|
|
|
|
|
|
Loss from
operations
|
(3,640)
|
|
(4,363)
|
|
Change in fair value
of warrant liability
|
9
|
|
(66)
|
|
Other income,
net
|
10
|
|
29
|
|
|
Loss before provision
for income taxes
|
(3,621)
|
|
(4,400)
|
|
|
Provision for income
taxes
|
2
|
|
2
|
|
Net and
comprehensive loss
|
$(3,623)
|
|
$
(4,402)
|
|
|
|
|
|
|
|
|
Net loss per
share
|
|
|
|
|
|
Basic and
diluted
|
($0.38)
|
|
($0.61)
|
|
Shares used in
computing net loss per share
|
|
|
|
|
|
Basic and
diluted
|
9,433
|
|
7,189
|
|
BIOPHARMX
CORPORATION
|
CONDENSED
CONSOLIDATED BALANCE SHEETS
|
(in thousands,
unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
April
30,
|
|
January
31,
|
|
|
|
|
2019
|
|
2019
|
Assets
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
Cash and cash
equivalents
|
$
3,283
|
|
$
3,069
|
|
|
Prepaid expenses and
other
|
250
|
|
316
|
|
|
|
Total current
assets
|
3,533
|
|
3,385
|
|
|
|
|
|
|
|
|
Property and
equipment, net
|
140
|
|
148
|
|
Operating lease
right-of-use asset
|
1,136
|
|
—
|
|
Other
|
|
121
|
|
121
|
|
|
|
Total
assets
|
$
4,930
|
|
$
3,654
|
|
|
|
|
|
|
|
Liabilities and
Stockholders' Equity
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
Accounts
payable
|
$
1,185
|
|
$
1,363
|
|
|
Accrued expenses and
other
|
1,346
|
|
934
|
|
|
|
Total current
liabilities
|
2,531
|
|
2,297
|
|
|
|
|
|
|
|
|
Long-term
liabilities
|
975
|
|
59
|
|
|
|
Total
liabilities
|
3,506
|
|
2,356
|
|
|
|
|
|
|
|
|
Stockholders'
equity
|
1,424
|
|
1,298
|
|
|
|
Total liabilities and
stockholders' equity
|
$
4,930
|
|
$
3,654
|
BIOPHARMX
CORPORATION
|
Reconciliation of
GAAP Net Loss to Non-GAAP Net Loss
|
(in thousands,
except per share amounts; unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
|
April
30,
|
|
|
|
|
2019
|
|
2018
|
|
|
|
|
|
|
|
|
GAAP net loss
available to common stockholders
|
$(3,623)
|
|
$
(4,402)
|
|
|
|
|
|
|
|
|
|
Change in fair value
of warrant liability
|
(9)
|
|
66
|
|
|
Stock-based
compensation expense:
|
|
|
|
|
|
-
|
Research and
development
|
103
|
|
200
|
|
|
-
|
Sales and
marketing
|
21
|
|
129
|
|
|
-
|
General and
administrative
|
67
|
|
264
|
|
|
|
Total stock-based
compensation expense
|
191
|
|
593
|
|
|
Total reconciling
items
|
182
|
|
659
|
|
Non-GAAP net loss
available to common stockholders
|
$(3,441)
|
|
$
(3,743)
|
|
|
|
|
|
|
|
|
GAAP net loss
available to common stockholders
|
$
(0.38)
|
|
$
(0.61)
|
|
|
Reconciling
items
|
|
|
|
|
|
-
|
Change in fair value
of warrant liability
|
—
|
|
0.01
|
|
|
-
|
Stock-based
compensation expense
|
0.02
|
|
0.08
|
|
|
|
|
|
|
|
|
Non-GAAP net loss
per share: basic and diluted
|
$
(0.36)
|
|
$
(0.52)
|
|
|
|
|
|
|
|
|
Shares used in
computing non-GAAP net loss per share
|
|
|
|
|
|
Basic and
diluted
|
9,433
|
|
7,189
|
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SOURCE BioPharmX Corporation