- Q3 2021 revenue of $15.1
million and Adjusted EBITDA of $6.9
million, up 15% and 53%, respectively, from Q3 2020
- Generated strong Vascepa® prescription growth - amid
persistent COVID-19 disruptions - achieving increases in
prescribers and patients of 30% and 23%, respectively, from the end
of Q2 2021
- Vascepa revenue increased 33% sequentially from Q2
2021
- Generated cash from operations of $12.5 million year-to-date compared to
$3.5 million in the same period last
year
- Announced promotional agreement with Pfizer for Vascepa in
Canada
TORONTO, Nov. 4, 2021 /CNW/ - HLS Therapeutics Inc. ("HLS"
or the "Company") (TSX: HLS), a pharmaceutical company focusing on
central nervous system ("CNS") and cardiovascular markets,
announces its financial results for the three- and nine-month
periods ended September 30, 2021. All
amounts are in thousands of United
States ("U.S.") dollars unless otherwise stated.
Q3 FISCAL 2021 HIGHLIGHTS
- Q3 2021 revenue was $15.1 million
compared to $13.1 million in Q3
2020.
- Q3 2021 Adjusted EBITDA was $6.9
million compared to $4.5
million in Q3 2020.
- Q3 2021 net loss was ($2.0)
million, or ($0.06) per common
share, compared to net loss of ($1.7)
million, or ($0.05) per common
share, in Q3 2020.
- Q3 2021 cash generated from operations was $3.6 million compared to $2.4 million in Q3 2020.
- Cash and cash equivalents were $21.7
million at September 30, 2021
compared to $20.6 million at
December 31, 2020.
- Pfizer initiated its promotional activity for Vascepa in late
September.
- Grew the number of Clozaril patients 3% year-over-year for Q3
2021 and the year-to-date period and gaining market share in the
process.
"Revenue and Adjusted EBITDA grew in Q3 driven by strength and
resilience with our foundational products as well as a growing
contribution from Vascepa," said Gilbert
Godin, CEO of HLS. "We continue to make important
operational progress with Vascepa despite the impact of the
COVID-19 delta variant, which has slowed market re-opening and kept
in-person patient-physician interactions well below pre-pandemic
norms. Encouragingly, the percentage of patient-physician visits
that are taking place in-person is growing again and top health
officials in Canada's largest
provincial jurisdiction are publicly urging physicians to increase
their face-to-face interactions. We believe this call-to-action
will serve as a catalyst for Vascepa as a recent study1
found that physicians are 50% more comfortable initiating new
therapies in a face-to-face setting versus virtual
communications."
"A key step in Vascepa's progress during the quarter was the
announcement on August 16, 2021, of a
promotional agreement with Pfizer for the Canadian market. We
expect this agreement will enable the rapid, efficient and
impactful expansion of Vascepa to a primary care physician audience
that is more than four times larger than that which is already
being served by the HLS team with its focus primarily on
specialists. Pfizer began detailing Vascepa toward the end of
September and ultimately, we believe this collaboration will
benefit patients and physicians while at the same time
strengthening the economic potential for the product and expanding
the benefit to society."
RENEWAL OF NORMAL COURSE ISSUER BID
The Company
announced today that it has filed with the Toronto Stock Exchange
(the "TSX"), and the TSX has accepted, the Company's notice of
intention to renew its Normal Course Issuer Bid (the "NCIB")
for its issued and outstanding common shares (each a "Common
Share"). Pursuant to the NCIB, HLS may, if considered advisable,
purchase for cancellation through the facilities of the TSX and/or
alternative Canadian trading systems, from time to time over the
next 12 months, up to an aggregate of 1,622,559 Common Shares,
representing 5% of the Common Shares as of October 26, 2021.
HLS may commence purchases of Common Shares under the NCIB on
November 9, 2021, and the NCIB will
remain in effect until the earliest of: (i) November 8, 2022, (ii) the date upon which HLS
acquires the maximum number of Common Shares permitted under the
NCIB, and (iii) the date upon which HLS provides written notice of
termination of the NCIB to the TSX. Daily purchases pursuant to the
NCIB will be limited to 4,537 Common Shares, other than purchases
made pursuant to the block purchase exception, based on the average
daily trading volume on the TSX for six months ending October 31, 2021, of 18,149 Common Shares.
Purchases of Common Shares under the NCIB will be made by
Haywood Securities Inc. ("Haywood") based on the parameters
prescribed by the TSX, the provisions of the Company's credit
agreement and applicable Canadian securities laws at a price per
Common Share equal to the market price at the time of acquisition.
All Common Shares acquired by the Company under the NCIB will be
cancelled.
The Company also intends to renew the automatic share purchase
plan (the "ASPP") with Haywood to
allow for the purchase of Common Shares under the NCIB at times
when the Company would ordinarily not be permitted to purchase
shares due to regulatory restrictions or self-imposed blackout
periods.
HLS believes that any purchases pursuant to the NCIB, if
considered advisable, will be in the best interests of the Company
and will be a desirable use of corporate funds. HLS previously
sought and received approval of the TSX to purchase up to 1,587,193
Common Shares in a normal course issuer bid (the "Previous
Bid") that commenced on November 9,
2020 and will expire on November 8,
2021. To date under the Previous Bid, HLS has purchased
3,600 Common Shares on the open market at an average purchase price
of C$16.41 per Common Share.
DIVIDEND
On November 3,
2021, the Company's Board of Directors declared a dividend
of C$0.05 per outstanding common
share to be paid on March 15, 2022,
to shareholders of record as of January 28,
2022.
These dividends paid on the Company's common shares are
designated to be "eligible dividends" for purposes of section 89(1)
of the Income Tax Act (Canada).
Q3 & YEAR-TO-DATE FISCAL 2021 FINANCIAL REVIEW
The
Company's Management's Discussion and Analysis and Consolidated
Financial Statements for the three-and nine-month periods ended
September 30, 2021 are available at
the Company's website and at its profile at SEDAR.
Revenue
The following table provides revenue
segmentation by revenue type for the three- and nine-month periods
ended September 30, 2021:
|
Three months
ended
September
30,
|
Nine months
ended
September
30,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
Product
sales
|
|
|
|
|
Canada
|
8,619
|
7,383
|
25,364
|
21,737
|
United
States
|
4,214
|
3,988
|
12,010
|
12,067
|
|
12,833
|
11,371
|
37,374
|
33,804
|
Royalty
revenue
|
2,227
|
1,758
|
6,945
|
5,820
|
|
15,060
|
13,129
|
44,319
|
39,624
|
Product Sales
Product sales grew by 13% in Q3 2021 and
11% for the 2021 year-to-date period. The increases primarily
reflect growth in sales of Vascepa and the strengthening of the
Canadian dollar from its lows at the outset of the pandemic last
year. Despite the impact the pandemic has had on market re-opening,
Q3 2021 activities led to a 30% increase in Vascepa prescribers and
a 23% increase in Vascepa patients from Q2 2021, while Vascepa
product sales increased 33% sequentially.
Royalty revenues
On September
30, 2020, the Company acquired a diversified portfolio of
royalty interests on global sales of four different products. HLS
recorded royalty revenues of $2.2
million in Q3 2021 and $6.9
million for the 2021 year-to-date period from this royalty
portfolio.
Royalty revenues in the respective periods of the prior year
were $1.8 million and $5.8 million and were based on sales of Absorica
in the U.S. market. As intended from the outset of that agreement,
HLS terminated its ownership of those marketing rights effective
December 31, 2020.
Operating
Expenses
|
Three months
ended
September
30,
|
Nine months
ended
September
30,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
Cost of product
sales
|
1,180
|
824
|
2,850
|
2,314
|
Selling and
marketing
|
3,354
|
2,847
|
10,253
|
9,640
|
Medical, regulatory
and patient support
|
1,337
|
1,238
|
4,171
|
4,183
|
General and
administrative
|
2,266
|
3,700
|
6,893
|
8,084
|
|
8,137
|
8,609
|
24,167
|
24,221
|
Operating expenses in Q3 2021 were $8.1
million, a decrease of 5% from Q3 2020, and for the 2021
year-to-date period were $24.2
million, a level consistent with the same period last year.
Cost of product sales and selling and marketing costs grew in Q3
2021 and for the year-to-date period due primarily to the growth in
sales, and related activities, for Vascepa. General and
administrative expenses were lower year-over-year due primarily to
Q3 2020 incurring a one-time expense related to the retirement of
the Company's former CEO.
Adjusted
EBITDA2
|
Three months
ended
September
30,
|
Nine months
ended
September
30,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
Net loss for the
period
|
(1,979)
|
(1,733)
|
(8,929)
|
(8,053)
|
Stock-based
compensation
|
(113)
|
(643)
|
1,825
|
111
|
Amortization and
depreciation
|
7,372
|
6,916
|
22,219
|
23,673
|
Acquisition and
transaction costs
|
8
|
234
|
92
|
557
|
Finance and related
costs, net
|
1,448
|
(506)
|
4,307
|
640
|
Income tax expense
(recovery)
|
187
|
252
|
638
|
(1,525)
|
Adjusted
EBITDA
|
6,923
|
4,520
|
20,152
|
15,403
|
Adjusted EBITDA in Q3 2021 was $6.9
million, an increase of 53% from Q3 2020, and for the 2021
year-to-date period was $20.2
million, an increase of 31% from the same period last year.
The increases were due primarily to higher sales of Vascepa and
higher royalty revenues from royalty interests along with the
one-time retirement costs in Q3 2020, which were partially offset
by the increase in cost of product sales and selling and marketing
activities related to the increase in Vascepa sales volumes.
(2) See "Cautionary Note Regarding
Non-IFRS Measures" section of this press release.
|
Net Loss
Net loss for Q3 2021 was ($2.0) million, or ($0.06) per share, compared to a net loss of
($1.7) million, or ($0.05) per share, in Q3 2020. Net loss for the
2021 year-to-date period was ($8.9)
million, or ($0.28) per share,
compared to a net loss of ($8.1)
million, or ($0.25) per share,
in the same period last year. Net loss increased year-over-year due
primarily to non-cash fair-value adjustments made in the prior year
periods and increased investment in sales and marketing for Vascepa
in 2021, offset in part by higher 2021 revenues from Vascepa and
royalty interests.
Cash from Operations and Financial
Position
Cash generated from operations was $3.6 million in Q3 2021, compared to $2.4 million in Q3 2020. For the 2021
year-to-date period, cash from operations is $12.5 million compared to $3.5 million in the same period last year. As at
September 30, 2021, the Company had
cash and cash equivalents of $21.7
million compared to $20.6
million at December 31,
2020.
HLS has a strong financial position with $21.7 million of cash and cash equivalents, a
$35.0 million revolving facility that
was undrawn at September 30, 2021,
and the Company may also request to be provided with incremental
loans, up to a maximum amount of $70.0
million, to support acquisitions and other growth
opportunities. In addition, in fiscal 2020, the Company filed a
preliminary short-form base shelf prospectus with the securities
commissions in each of the provinces and territories of
Canada, other than Quebec, to raise up to C$250.0 million over a period of 25 months should
an appropriate strategic opportunity emerge.
Q3 FISCAL 2021 CONFERENCE CALL
HLS will hold a
conference call today at 8:30 am Eastern
Time to discuss its Q3 2021 financial results. The call will
be hosted by Mr. Gilbert Godin,
Chief Executive Officer and Mr. Tim
Hendrickson, Chief Financial Officer. To view the slides
that accompany management's discussion, please use the webcast
link.
CONFERENCE
ID:
|
97175749
|
DATE:
|
Thursday, November 4,
2021
|
TIME:
|
8:30 a.m. Eastern
Standard Time
|
DIAL-IN
NUMBER:
|
1-888-664-6392 or
416-764-8659
|
WEBCAST
LINK:
|
https://produceredition.webcasts.com/starthere.jsp?ei=1503335&tp_key=b9fb30d53b
|
TAPED
REPLAY:
|
1-888-390-0541 or
416-764-8677
|
REPLAY
CODE:
|
175749
|
The taped replay will be available for 14 days and the archived
webcast will be available for 365 days.
A link to the live audio webcast of the conference call will
also be available on the events page of the investors section of
HLS Therapeutics' website at www.hlstherapeutics.com. Please
connect at least 15 minutes prior to the conference call to ensure
adequate time for any software download that may be required to
hear the webcast.
ABOUT HLS THERAPEUTICS INC.
Formed in 2015, HLS is a
pharmaceutical company focused on the acquisition and
commercialization of late-stage development, commercial stage
promoted and established branded pharmaceutical products in the
North American markets. HLS's focus is on products targeting the
central nervous system and cardiovascular therapeutic areas. HLS's
management team is composed of seasoned pharmaceutical executives
with a strong track record of success in these therapeutic areas
and at managing products in each of these lifecycle stages. For
more information visit: www.hlstherapeutics.com
2CAUTIONARY NOTE REGARDING NON-IFRS
MEASURES
This press release refers to certain non-IFRS
measures. These measures are not recognized measures under IFRS, do
not have a standardized meaning prescribed by IFRS and are
therefore unlikely to be comparable to similar measures presented
by other companies. Rather, these measures are provided as
additional information to complement those IFRS measures by
providing further understanding of HLS's results of operations from
management's perspective. Accordingly, they should not be
considered in isolation nor as a substitute for analysis of HLS's
financial information reported under IFRS. HLS uses non-IFRS
measures to provide investors with supplemental measures of its
operating performance and thus highlight trends in its core
business that may not otherwise be apparent when relying solely on
IFRS financial measures. HLS also believes that securities
analysts, investors and other interested parties frequently use
non-IFRS measures in the evaluation of issuers. HLS's management
also uses non-IFRS measures in order to facilitate operating
performance comparisons from period to period, prepare annual
operating budgets and assess HLS's ability to meet its future debt
service, capital expenditure and working capital
requirements.
In particular, management uses Adjusted EBITDA as a
measure of HLS's performance. To reconcile net income (loss)
for the period with Adjusted EBITDA, each of (i) "stock-based
compensation", (ii) "amortization and depreciation", (iii)
"acquisition and transaction costs", (iv) "finance and related
costs", and (v) "income tax expense (recovery)" appearing in the
Consolidated Statement of Net Income (Loss) are added to net income
(loss) for the period to determine Adjusted EBITDA. Adjusted EBITDA
does not have any standardized meaning prescribed by IFRS and is
not necessarily comparable to similar measures presented by other
companies. Adjusted EBITDA should not be considered in
isolation or as a substitute for net income (loss) prepared in
accordance with IFRS as issued by the IASB.
FORWARD LOOKING INFORMATION
This release includes
forward-looking statements regarding HLS and its business. Such
statements are based on the current expectations and views of
future events of HLS's management. In some cases the
forward-looking statements can be identified by words or phrases
such as "may", "will", "expect", "plan", "anticipate", "intend",
"potential", "estimate", "believe" or the negative of these terms,
or other similar expressions intended to identify forward-looking
statements, including, among others, statements with respect to
HLS's pursuit of additional product and pipeline opportunities in
certain therapeutic markets, statements regarding growth
opportunities, expectations regarding financial performance, and
the NCIB and ASPP. The forward-looking events and circumstances
discussed in this release may not occur and could differ materially
as a result of known and unknown risk factors and uncertainties
affecting HLS, including risks relating to the specialty
pharmaceutical industry, risks related to the regulatory approval
process, economic factors and many other factors beyond the control
of HLS. Forward-looking statements and information by their nature
are based on assumptions and involve known and unknown risks,
uncertainties and other factors which may cause HLS's actual
results, performance or achievements, or industry results, to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking statement
or information. Accordingly, readers should not place undue
reliance on any forward-looking statements or information. A
discussion of the material risks and assumptions associated with
this release can be found in the Company's Annual Information Form
dated March 17, 2021 and Management's
Discussion and Analysis dated August 4, 2021, both of which
have been filed on SEDAR and can be accessed at www.sedar.com.
Accordingly, readers should not place undue reliance on any
forward-looking statements or information. Except as required by
applicable securities laws, forward-looking statements speak only
as of the date on which they are made and HLS undertakes no
obligation to publicly update or revise any forward-looking
statement, whether as a result of new information, future events,
or otherwise.
REFERENCES
1 MD Analytics, COVID-19
Impact, A 4th wave survey among physicians, October 2021
HLS THERAPEUTICS
INC.
|
CONDENSED INTERIM
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
|
Unaudited
|
[in thousands of U.S.
dollars]
|
|
|
|
|
|
As
at
|
As
at
|
|
|
September 30,
2021
|
December 31,
2020
|
|
|
|
|
ASSETS
|
|
|
|
Current
|
|
|
|
Cash and cash
equivalents
|
|
21,736
|
20,612
|
Accounts
receivable
|
|
12,002
|
12,497
|
Inventories
|
|
9,747
|
10,630
|
Prepaid expenses and
other current assets
|
|
2,590
|
2,172
|
Total current
assets
|
|
46,075
|
45,911
|
Property, plant and
equipment
|
|
1,205
|
1,384
|
Intangible
assets
|
|
235,894
|
253,404
|
Restricted
assets
|
|
—
|
2,034
|
Deferred income tax
asset
|
|
739
|
1,173
|
Total
assets
|
|
283,913
|
303,906
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
Current
|
|
|
|
Accounts payable and
accrued liabilities
|
|
12,365
|
14,223
|
Provisions
|
|
3,236
|
4,516
|
Debt and other
liabilities
|
|
14,276
|
16,358
|
Income taxes
payable
|
|
45
|
545
|
Total current
liabilities
|
|
29,922
|
35,642
|
Debt and other
liabilities
|
|
89,207
|
99,015
|
Deferred income tax
liability
|
|
85
|
—
|
Total
liabilities
|
|
119,214
|
134,657
|
|
|
|
|
Shareholders'
equity
|
|
|
|
Share
capital
|
|
265,561
|
257,411
|
Contributed
surplus
|
|
11,377
|
11,393
|
Accumulated other
comprehensive income
|
|
2,161
|
2,020
|
Deficit
|
|
(114,400)
|
(101,575)
|
Total shareholders'
equity
|
|
164,699
|
169,249
|
Total liabilities and
shareholders' equity
|
283,913
|
303,906
|
|
|
|
|
HLS THERAPEUTICS
INC.
|
CONDENSED INTERIM
CONSOLIDATED STATEMENTS OF LOSS
|
Unaudited
|
[in thousands of U.S.
dollars, except per share amounts]
|
|
|
|
Three months
ended
September
30,
|
Nine months
ended
September
30,
|
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
|
Revenue
|
|
15,060
|
13,129
|
44,319
|
39,624
|
|
|
|
|
|
|
Expenses
|
|
|
|
|
|
Cost of product
sales
|
|
1,180
|
824
|
2,850
|
2,314
|
Selling and
marketing
|
|
3,354
|
2,847
|
10,253
|
9,640
|
Medical, regulatory
and patient support
|
|
1,337
|
1,238
|
4,171
|
4,183
|
General and
administrative
|
|
2,266
|
3,700
|
6,893
|
8,084
|
Stock-based
compensation
|
|
(113)
|
(643)
|
1,825
|
111
|
Amortization and
depreciation
|
|
7,372
|
6,916
|
22,219
|
23,673
|
Operating
loss
|
|
(336)
|
(1,753)
|
(3,892)
|
(8,381)
|
Acquisition and
transaction costs
|
|
8
|
234
|
92
|
557
|
Finance and related
costs, net
|
|
1,448
|
(506)
|
4,307
|
640
|
Loss before income
taxes
|
|
(1,792)
|
(1,481)
|
(8,291)
|
(9,578)
|
Income tax expense
(recovery)
|
|
187
|
252
|
638
|
(1,525)
|
Net loss for the
period
|
|
(1,979)
|
(1,733)
|
(8,929)
|
(8,053)
|
|
|
|
|
Net loss per
share:
|
|
|
|
Basic and
diluted
|
|
$(0.06)
|
$(0.05)
|
$(0.28)
|
$(0.25)
|
|
|
|
|
HLS THERAPEUTICS
INC.
|
CONDENSED INTERIM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(LOSS)
|
Unaudited
|
[in thousands of U.S.
dollars]
|
|
|
|
Three months
ended
September
30,
|
Nine months
ended
September
30,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
Net loss for the
period
|
(1,979)
|
(1,733)
|
(8,929)
|
(8,053)
|
|
|
|
|
|
Item that may be
reclassified subsequently to net loss
|
|
|
|
|
Unrealized foreign
currency translation adjustment
|
(4,039)
|
2,910
|
141
|
(4,828)
|
Comprehensive
income (loss) for the period
|
(6,018)
|
1,177
|
(8,788)
|
(12,881)
|
|
|
|
HLS
THERAPEUTICS INC.
|
|
|
|
|
|
|
INTERIM
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS'
EQUITY
|
|
|
|
Unaudited
|
|
|
|
|
|
|
[in
thousands of U.S. dollars]
|
|
|
|
|
|
|
|
|
|
Share
|
Contributed
|
|
|
|
|
|
|
capital
|
surplus
|
AOCI
|
Deficit
|
Total
|
|
|
|
|
|
|
|
|
|
Balance,
December 31, 2020
|
|
257,411
|
11,393
|
2,020
|
(101,575)
|
169,249
|
|
Warrants
exercised
|
|
3,203
|
(192)
|
-
|
-
|
3,011
|
|
Stock options
exercised
|
|
4,976
|
(1,314)
|
-
|
-
|
3,662
|
|
Shares
repurchased
|
|
(29)
|
-
|
-
|
(18)
|
(47)
|
|
Stock option
expense
|
|
-
|
1,490
|
-
|
-
|
1,490
|
|
Net loss for
the period
|
|
-
|
-
|
-
|
(8,929)
|
(8,929)
|
|
Dividends
declared
|
|
-
|
-
|
-
|
(3,878)
|
(3,878)
|
|
Foreign
currency translation adjustment
|
|
-
|
-
|
141
|
-
|
141
|
|
Balance,
September 30, 2021
|
|
265,561
|
11,377
|
2,161
|
(114,400)
|
164,699
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance,
December 31, 2019
|
|
248,687
|
11,517
|
(537)
|
(81,468)
|
178,199
|
|
Warrants
exercised
|
|
7,544
|
(1,652)
|
-
|
-
|
5,892
|
|
Stock options
exercised
|
|
61
|
(16)
|
-
|
-
|
45
|
|
Stock option
expense
|
|
-
|
1,123
|
-
|
-
|
1,123
|
|
Net loss for
the period
|
|
-
|
-
|
-
|
(8,053)
|
(8,053)
|
|
Dividends
declared
|
|
-
|
-
|
-
|
(3,535)
|
(3,535)
|
|
Foreign
currency translation adjustment
|
|
-
|
-
|
(4,828)
|
-
|
(4,828)
|
|
Balance,
September 30, 2020
|
|
256,292
|
10,972
|
(5,365)
|
(93,056)
|
168,843
|
HLS THERAPEUTICS
INC.
|
CONDENSED INTERIM
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
Unaudited
|
[in thousands of U.S.
dollars]
|
|
|
|
Three months
ended
September
30,
|
Nine months
ended
September
30,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
OPERATING
ACTIVITIES
|
|
|
|
|
Net loss for the
period
|
(1,979)
|
(1,733)
|
(8,929)
|
(8,053)
|
Adjustments to
reconcile net loss to cash provided
by operating
activities
|
|
|
Stock-based
compensation
|
(113)
|
(643)
|
1,825
|
111
|
Amortization and
depreciation
|
7,372
|
6,916
|
22,219
|
23,673
|
Accreted
interest
|
209
|
244
|
577
|
912
|
Fair value adjustment
on financial assets and liabilities
|
(478)
|
(1,786)
|
(1,173)
|
(3,885)
|
Foreign
exchange
|
—
|
—
|
—
|
176
|
Deferred income
taxes
|
254
|
(14)
|
519
|
(2,352)
|
Net change in
non-cash working capital balances
related to
operations
|
(1,714)
|
(619)
|
(2,587)
|
(7,084)
|
Cash provided by
operating activities
|
3,551
|
2,365
|
12,451
|
3,498
|
|
|
|
|
|
INVESTING
ACTIVITIES
|
|
|
|
|
Additions to
property, plant and equipment
|
(10)
|
(5)
|
(25)
|
(32)
|
Royalty
acquisition
|
—
|
(30,837)
|
—
|
(30,837)
|
Rights
acquisitions
|
—
|
(1,825)
|
(3,820)
|
(10,225)
|
Other additions to
intangible assets
|
(192)
|
(2)
|
(243)
|
(761)
|
Cash used in
investing activities
|
(202)
|
(32,669)
|
(4,088)
|
(41,855)
|
|
|
|
|
|
FINANCING
ACTIVITIES
|
|
|
|
|
Stock options
exercised
|
1,531
|
7
|
3,662
|
45
|
Warrants
exercised
|
66
|
—
|
986
|
1,590
|
Shares
repurchased
|
(47)
|
—
|
(47)
|
—
|
Dividends
paid
|
(1,276)
|
(1,201)
|
(3,853)
|
(3,511)
|
Repayment of senior
secured term loan
|
(3,000)
|
(1,250)
|
(7,500)
|
(3,882)
|
Drawdown of senior
secured term loan
|
—
|
20,000
|
—
|
20,000
|
Debt costs
|
—
|
(482)
|
—
|
(658)
|
Lease
payments
|
(159)
|
(130)
|
(476)
|
(374)
|
Cash provided by
(used in) financing activities
|
(2,885)
|
16,944
|
(7,228)
|
13,210
|
|
|
|
|
|
Net increase
(decrease) in cash and cash equivalents
during the
period
|
464
|
(13,360)
|
1,135
|
(25,147)
|
Foreign currency
translation
|
(75)
|
588
|
(11)
|
(1,041)
|
Cash and cash
equivalents, beginning of period
|
21,347
|
33,662
|
20,612
|
47,078
|
Cash and cash
equivalents, end of period
|
21,736
|
20,890
|
21,736
|
20,890
|
|
|
|
SOURCE HLS Therapeutics Inc.