Quarterly Net Revenue Increase of 109% When Compared to the First Quarter of 2017
Innovus Pharmaceuticals, Inc., (“Innovus Pharma” or the “Company”) (OTCQB: INNV), today announced first quarter 2018 net revenue of $4.5 million compared to $2.2 million in net revenue for the same period in 2017.
“We are delighted with our first quarter net revenues of $4.5 million, which beat our previously announced first quarter expectations,” stated Bassam Damaj, President and Chief Executive Officer of Innovus Pharma. “We are very confident in our business strategy and in our ability to grow our sales revenue through our continuously expanding and proprietary Beyond Human™ sales and marketing channels and to develop new products that satisfy the needs of our growing customer base. With a strong cash position of close to $5 million in cash at the end of the first quarter, we are committed and aggressively working towards our goal of profitability as we continue to strengthen and advance our pipeline, which is as strong as it's ever been and expand the sales channels of our Beyond Human™ sales and marketing platform both in the US and abroad,” continued Dr. Damaj.
Financial highlights for the three months ended March 31, 2018 included:
First quarter 2018 and recent developments:
The Company will host a conference call at 4:15 p.m. ET/1:15 p.m. PT today to discuss the financial results and recent business developments. To participate in the call, please dial 1-877-883-0383 for domestic callers or 1-412-902-6506 for international callers. Participant Elite Entry Number: 9576665. A replay of the call will be available for 30 days. To access the replay, dial 1-877-344-7529 domestically or 1-412-317-0088 internationally and reference Conference ID: 10118224. The replay will be available shortly after the end of the conference call.
| Consolidated Statements of Operations | ||||||||||||||
| Three months ended | ||||||||||||||
| March 31, | ||||||||||||||
| 2018 | 2017 | |||||||||||||
| (unaudited) | ||||||||||||||
| Net revenue: | ||||||||||||||
| Product sales, net | $4,542,026 | $2,177,290 | ||||||||||||
| License revenue | 2,578 | - | ||||||||||||
| Total net revenue | 4,544,604 | 2,177,290 | ||||||||||||
| Operating expense: | ||||||||||||||
| Cost of product sales | 864,095 | 440,476 | ||||||||||||
| Research and development | 11,287 | 3,183 | ||||||||||||
| Sales and marketing | 3,301,784 | 1,687,351 | ||||||||||||
| General and administrative | 1,696,021 | 1,704,663 | ||||||||||||
| Total operating expense | 5,873,187 | 3,835,673 | ||||||||||||
| Loss from operations | (1,328,583 | ) | (1,658,383 | ) | ||||||||||
| Other income and (expense): | ||||||||||||||
| Interest expense | (241,888 | ) | (557,479 | ) | ||||||||||
| Loss on extinguishment of debt | (255,685 | ) | (304,828 | ) | ||||||||||
| Other income (expense), net | 109 | (616 | ) | |||||||||||
| Fair value adjustment for contingent consideration | (2,845 | ) | 27,175 | |||||||||||
| Change in fair value of derivative liabilities | - | (51,656 | ) | |||||||||||
| Total other expense, net | (500,309 | ) | (887,404 | ) | ||||||||||
| Net loss | (1,828,892 | ) | (2,545,787 | ) | ||||||||||
| Net loss per share of common stock – basic and diluted: |
$(0.01 |
) |
|
$(0.02 |
) |
|||||||||
| Weighted average number of shares of common stock outstanding – basic and diluted |
186,933,622 |
135,099,173 |
||||||||||||
|
Condensed Consolidated Balance Sheet Data |
||||||||||||||
| March 31, 2018 | ||||||||||||||
|
1 |
||||||||||||||
| Assets | ||||||||||||||
| Cash | $4,923,796 | |||||||||||||
| Accounts receivable, net | 195,242 | |||||||||||||
| Prepaid expenses and other current assets | 333,136 | |||||||||||||
| Inventories | 1,648,730 | |||||||||||||
| Intangible assets and other non-current assets |
5,292,4661 |
|||||||||||||
| Total assets | $12,393,370 | |||||||||||||
| Liabilities & Stockholders' Equity | ||||||||||||||
| Accounts payable & accrued liabilities | $2,910,282 | |||||||||||||
| Total accrued compensation | 2,820,113 | |||||||||||||
| Deferred revenue and customer deposits | 142,769 | |||||||||||||
| Accrued interest payable | 11,671 | |||||||||||||
| Short-term loans payable | 32,775 | - | ||||||||||||
| Notes payable and non-convertible debenture, net of discount | 2,288,876 | |||||||||||||
| Total contingent consideration | 1,481,848 | |||||||||||||
| Total stockholders' equity |
2,705,036 |
|||||||||||||
| Total liabilities & stockholders' equity | $12,393,370 | |||||||||||||
1 The Condensed Consolidated Balance Sheet Data has been derived from the audited consolidated financial statements as of that date.
About Innovus Pharmaceuticals, Inc.
Headquartered in San Diego, Innovus Pharma is an emerging OTC consumer goods and specialty pharmaceutical company engaged in the commercialization, licensing and development of safe and effective non-prescription medicine and consumer care products to improve men’s and women’s health and vitality and respiratory diseases. Innovus Pharma delivers innovative and uniquely presented and packaged health solutions through its (a) OTC medicines and consumer and health products, which we market directly, (b) commercial partners to primary care physicians, urologists, gynecologists and therapists, and (c) directly to consumers through our on-line channels, retailers and wholesalers. The Company is dedicated to being a leader in developing and marketing new OTC and branded Abbreviated New Drug Application (“ANDA”) products. The Company is actively pursuing opportunities where existing prescription drugs have recently, or are expected to, change from prescription (or Rx) to OTC.
For more information, go to www.innovuspharma.com; www.zestra.com; www.ejectdelay.com; www.myvesele.com; www.urivarx.com; www.sensumplus.com; www.myandroferti.com; www.beyondhumantestosterone.com; www.getbeyondhuman.com; www.trybeyondhuman.com; www.recalmax.com;www.prostagorx.com; www.fluticare.com; www.allervarx.com; www.apeaz.com; and www.diabasens.com.
Innovus Pharma’s Forward-Looking Safe Harbor
Statements under the Private Securities Litigation Reform Act, as amended: with the exception of the historical information contained in this release, the matters described herein contain forward-looking statements that involve risks and uncertainties that may individually or mutually impact the matters herein described for a variety of reasons that are outside the control of the Company, including, but not limited to, its financial results, projected revenues, projected online subscribers and other customers, estimated markets for its products, and statements about achieving its other corporate and business development, growth, commercialization, financial and staffing objectives. Readers are cautioned not to place undue reliance on these forward-looking statements as actual results could differ materially from the forward-looking statements contained herein. Readers are urged to read the risk factors set forth in the Company's most recent filing on Form S-1, annual report on Form 10-K, subsequent quarterly reports filed on Form 10-Q and other filings made with the SEC. Copies of these reports are available from the SEC's website or without charge from the Company.
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Innovus Pharma Investor Relations
Randy Berholtz, +1 858 249 7865
ir@innovuspharma.com