Calyno™ High Oleic Soybean Oil and High
Oleic Soybean Meal customers increase to nearly 20, which includes
Sysco
Signed agreement with Landus Cooperative,
providing crushing capacity and High Oleic Soybean Meal
distribution
Crushed more than 200,000 bushels of High
Oleic Soybeans in July, and sold out of resulting High Oleic
Soybean Meal
2018 grain purchases nearly complete as of
late July 2019
2019 planted acres exceed 36,000
acres
2020 acreage target remains at 100,000
contracted acres
Cash, cash equivalents and restricted cash
of $77.9M
Calyxt, Inc. (NASDAQ: CLXT), a healthy food ingredients company,
today announced its results for the second quarter ended June 30,
2019.
Investor Call Details
Calyxt will host an investor call on August 7, 2019 at 8:30 a.m.
Eastern Time – 7:30 a.m. Central Time to discuss its financial
results and provide a general business update.
US & Canada only: +1 (877) 407-9747 International: +1 (412)
902-0044
In addition, a replay of the call will be available for one
month following the conference by calling +1 (877) 660-6853 (Toll
Free US & Canada); +1 (201) 612-7415 (Toll Free
International).
The archived webcast of this event may be accessed through the
Calyxt website, using passcode 13673206.
“We are excited by our accomplishments in the second quarter, as
we continued to deliver on key operating milestones and progress on
the commercial launch of our first product. We have increased our
customer base to nearly 20. We are thrilled to have Landus, one of
the world’s leading agricultural cooperatives and soybean
processors, as a crusher and distributer of our High Oleic Soybean
Meal. We have also nearly completed the purchase of all stored
grain from our growers,” said Jim Blome, CEO of Calyxt. “I would
also like to highlight the addition of Travis Frey, Ph.D. as our
Chief Technology Officer – with Travis we continue to build our
leadership team in strategic areas as he advances our technical
capabilities and platform. In closing, the first half of 2019
experienced the impact of severe weather resulting in record
numbers of prevent plant acres. The impact was felt across the
Plains states, and nowhere more than in South Dakota, our primary
growing region. Nevertheless, our planted acres were slightly more
than 36,000 acres, doubling the acres planted in 2018 and
consistent with our original plans for 2019.”
High Oleic Soybean
- Continued revenue scale up of Calyno High Oleic Soybean
Oil. We are now selling our oil through Sysco, the world’s
largest foodservice distributor. Our oil is selling in Foodservice
at prices consistent with other premium oils. We continue to pursue
customers in both the foodservice and food manufacturing segments.
Calyno oil performance continues to impress with 3x fry life and
less varnish compared to commodity oils, as well as a neutral taste
and zero grams of trans fats per serving.
- Agreement with Landus Cooperative. We also continued to
accelerate our first-mover advantage by expanding our supply chain
further through our agreement with Landus Cooperative, one of the
world’s leading agricultural cooperatives and soybean processors,
as a crusher and distributer of our High Oleic Soybean Meal.
- Largest crush in our history. In the month of July, we
crushed over 200,000 bushels of our High Oleic Soybeans, the
largest crush in Calyxt history. We have subsequently sold out of
High Oleic Soybean Meal, and as a result July 2019 will be our best
revenue month to date.
- Prior year grain purchases nearly complete. As of late
July 2019, we had purchased more than 75% of all 2018 Calyxt High
Oleic Soybean grain produced by our contracted growers. Purchasing
2018 contracted grain helps us prime our supply chain, validate our
identity-preserved supply chain, and further the confidence our
valued growers have in Calyxt and our model.
- Planted acres for 2019 were slightly more than 36,000 acres,
consistent with our initial expectations for the year. This
amount was double what we planted in 2018.
- We reiterate our 2020 guidance of at least 100,000
contracted acres. We expect to launch 2-4 new varieties of
soybeans in 2020 and work to increase penetration with existing
growers and expand geographically out from our current base. We
have also launched our acreage acquisition plan for 2020.
Financial Highlights
- Revenues were $408,000 for the three months ended June
30, 2019, the majority of which were from sales of meal.
- R&D expenses were $2.7 million for the three months
ended June 30, 2019 compared to $3.2 million for the three months
ended June 30, 2018. The decrease was due to a $0.8 million
decrease in non-cash stock compensation expense partially offset by
an increase in cash expenses associated with additional staff.
- SG&A expenses were $6.4 million for the three months
ended June 30, 2019 compared to $4.0 million for the three months
ended June 30, 2018. The increase was due to the addition of
personnel to support the commercialization of our High Oleic
Soybean products in sales and supply chain and an increase in
non-cash stock compensation expense of $0.8 million.
- Cash, cash equivalents and restricted cash were $77.9
million at June 30, 2019. We are continuing to actively manage the
use of cash and expect to have sufficient cash to fund the business
into early 2021. Our cash spend for the remainder of 2019 is
estimated at between $3 million and $3.25 million per month and
will be focused in these areas:
- Supporting our product pipeline, including development of
additional varieties and traits for soybeans, wheat and alfalfa, as
well as continuing to build a strong intellectual property
portfolio;
- Continuing to drive the commercialization of our High Oleic
Soybean products including our Calyno oil and High Oleic Soybean
Meal, which includes spending for sales and marketing support,
product samples, and costs associated with agricultural activities
including seed production, product samples, grain purchases, and
processing and distribution;
- Strengthening our organization to scale to the needs of our
customer base and grower partners, including hiring talented
personnel and further developing our IT systems as we continue to
scale and separate our infrastructure from Cellectis.
- Loss from operations was $9.4 million for the three
months ended June 30, 2019 compared to $7.6 million for the three
months ended June 30, 2018.
- Net cash used in operating activities was $15.9 million
for the six months ended June 30, 2019, compared to $8.8 million
for the six months ended June 30, 2018.
Corporate Update
- Travis Frey, Ph.D., Chief Technology Officer. Travis
joined in May and brings his extensive knowledge in plant biology
and biotechnology to a newly created position at Calyxt. As CTO,
Travis is responsible for leading the R&D team, and propelling
product development and our pipeline of healthy food
ingredients.
- Trina Lundblad, Communications Director. Trina joined in
June and leads our efforts related to communicating company
initiatives and strategy across a variety of external and internal
channels. Prior to joining Calyxt, Trina oversaw marketing
communications for Ingredion’s North American business with similar
roles previously held at Nilfisk and Select Comfort.
- Paul Weier, Director of Information Technology. Paul
joined in July and is responsible for managing our IT
infrastructure. Prior to joining Calyxt, Paul held the role as
Senior Director of Technical Operations at LAKANA.
About Calyxt
Calyxt is committed to making the food you love a healthier
choice. The care we take extends beyond nutritional value. We
partner with farmers and food companies to deliver traceable
plant-based products developed to be healthier and more sustainable
than their conventional counterparts. We use cutting edge plant
breeding techniques to develop products that help improve diets by
reducing bad fats, allergens and toxins. Today oil from our high
oleic soybean plants has lower saturated fats than commodity
soybean oil. We are also developing high fiber wheat designed to
provide an excellent source of daily fiber when incorporated into
wheat-based foods. We continuously pursue innovation to deliver
good food that is good for you.
Calyxt®, Calyno™ and the corporate logo are trademarks owned by
Calyxt, Inc.
Calyxt is located in Roseville, MN, and is listed on the Nasdaq
market (ticker: CLXT). For further information please visit our
website at www.calyxt.com.
Calyxt Forward-Looking Statements
This communication contains “forward-looking statements” within
the meaning of the safe harbor provisions of the U.S. Private
Securities Litigation Reform Act of 1995. In some cases, you can
identify these statements by forward-looking words such as “may,”
“might,” “will,” “should,” “expects,” “plans,” “anticipates,”
“believes,” “estimates,” “predicts,” “potential” or “continue,” the
negative of these terms and other comparable terminology. These
forward-looking statements, which are subject to risks,
uncertainties and assumptions about us, may include projections of
our future financial performance, our anticipated growth strategies
and anticipated trends in our business. These statements are only
predictions based on our current expectations and projections about
future events. There are important factors that could cause our
actual results, level of activity, performance or achievements to
differ materially from the results, level of activity, performance
or achievements expressed or implied by the forward-looking
statements, including those factors discussed under the caption
entitled “Risk Factors” in our Annual Report on Form 10-K, along
with our other filings with the U.S. Securities and Exchange
Commission. We do not assume any obligation to publicly provide
revisions or updates to any forward-looking statements, whether as
a result of new information, future developments or otherwise,
should circumstances change, except as otherwise required by
applicable laws.
CALYXT, INC.
BALANCE SHEETS
(In Thousands, Except Par
Value and Share Amounts)
June 30, 2019
(unaudited)
December 31,
2018
Assets
Current assets:
Cash and cash equivalents
$
76,434
$
93,794
Restricted cash
381
381
Trade accounts receivable
810
-
Due from related parties
78
46
Inventory
111
-
Prepaid expenses and other current
assets
1,470
1,301
Total current assets
79,284
95,522
Non-current restricted cash
1,128
1,113
Land, buildings, and equipment
22,480
21,850
Other non-current assets
684
306
Total assets
$
103,576
$
118,791
Liabilities and stockholders’
equity
Current liabilities:
Accounts payable
$
395
$
818
Accrued expenses
1,993
2,007
Accrued compensation and benefits
1,238
1,305
Due to related parties
781
1,905
Current portion of financing lease
obligations
308
258
Other current liabilities
253
711
Total current liabilities
4,968
7,004
Financing lease obligations
18,259
18,227
Other non-current liabilities
159
163
Total liabilities
23,386
25,394
Stockholders’ equity:
Common stock, $0.0001 par value;
275,000,000 shares authorized; 32,918,599 shares issued and
32,859,700 shares outstanding as of June 30, 2019 and 32,664,429
shares issued and 32,648,893 shares outstanding as of December 31,
2018
3
3
Additional paid-in capital
180,237
176,069
Common stock in treasury, at cost; 58,899
shares as of June 30, 2019, and 15,536 shares as of December 31,
2018
(789)
(230)
Accumulated deficit
(99,223)
(82,445)
Accumulated other comprehensive loss
(38)
-
Total stockholders’ equity
80,190
93,397
Total liabilities and stockholders’
equity
$
103,576
$
118,791
CALYXT, INC.
STATEMENTS OF
OPERATIONS
(Unaudited and in Thousands
Except Shares and Per Share Amounts)
Three months ended June
30,
2019
2018
Revenue
$
408
$
196
Operating expenses:
Cost of revenue
303
-
Research and development
2,738
3,241
Selling and general and administrative
6,408
4,048
Management fees and royalties
451
399
Total operating expenses
9,900
7,688
Loss from operations
(9,492)
(7,492)
Interest, net
92
(72)
Foreign currency transaction loss
(3)
(12)
Loss before income taxes
(9,403)
(7,576)
Income taxes
-
-
Net loss
$
(9,403)
$
(7,576)
Basic and diluted loss per
share
$
(0.29)
$
(0.25)
Weighted average shares outstanding -
basic and diluted
32,732,988
29,840,827
CALYXT, INC.
STATEMENTS OF
OPERATIONS
(Unaudited and in Thousands
Except Shares and Per Share Amounts)
Six months ended June
30,
2019
2018
Revenue
$
566
$
207
Operating expenses:
Cost of revenue
337
-
Research and development
4,957
4,410
Selling and general and administrative
11,475
6,603
Management Fees
812
982
Total operating expenses
17,581
11,995
Loss from operations
(17,015)
(11,788)
Interest, net
264
(140)
Foreign currency transaction (loss)
gain
(27)
(18)
Loss before income taxes
(16,778)
(11,946)
Income taxes
-
-
Net loss
$
(16,778)
$
(11,946)
Basic and diluted loss per
share
$
(0.51)
$
(0.41)
Weighted average shares outstanding -
basic and diluted
32,704,834
28,851,491
CALYXT, INC.
STATEMENTS OF CASH
FLOWS
(Unaudited and in
Thousands)
Six months ended June
30,
2019
2018
Operating activities
Net loss
$
(16,778)
$
(11,946)
Adjustments to reconcile net loss to net
cash used in operating activities:
Depreciation
689
371
Stock-based compensation
3,860
2,427
Unrealized foreign exchange gain
—
6
Changes in operating assets and
liabilities:
Trade accounts receivable
(810)
—
Due to/from related parties
(1,156)
47
Inventory
(111)
—
Prepaid expenses and other assets
(169)
(799)
Accounts payable
(423)
25
Accrued expenses
(14)
275
Accrued compensation and benefits
(67)
(318)
Other accrued liabilities
(513)
1,084
Other non-current assets
(378)
—
Net cash used by operating
activities
(15,870)
(8,828)
Investing activities
Purchases of land, buildings and
equipment
(1,319)
(498)
Net cash used by investing
activities
(1,319)
(498)
Financing activities
Costs incurred related to the issuance of
stock
—
(665)
Proceeds from common stock issuance
—
57,706
Payments for financing lease
obligations
(122)
—
Proceeds from the exercise of stock
options
308
1,241
Costs incurred related to shares withheld
for net share settlement
(559)
—
Proceeds from sale and leaseback of land,
buildings, and equipment
217
—
Net cash (used) provided by financing
activities
(156)
58,282
Net decrease in cash, cash equivalents and
restricted cash
(17,345)
48,956
Cash, cash equivalents and restricted cash
– beginning of period
95,288
56,664
Cash, cash equivalents and restricted
cash – end of period
$
77,943
$
105,620
View source
version on businesswire.com: https://www.businesswire.com/news/home/20190806006025/en/
Investor Relations: Simon Harnest, VP Corporate Strategy
and Finance Phone: +1 (646) 385-9008 email:
simon.harnest@calyxt.com
Bill Koschak, Chief Financial Officer Phone: + (651)-401-4401
Email: bill.koschak@calyxt.com
Media: Trina Lundblad, Director of Communications Phone:
+1 (612) 790-0514 email: media@calyxt.com
Calyxt (NASDAQ:CLXT)
Historical Stock Chart
From Apr 2024 to May 2024
Calyxt (NASDAQ:CLXT)
Historical Stock Chart
From May 2023 to May 2024