Revenue Pace Continues And Liventa Contract
Signed
Cryoport, Inc. (OTCBB: CYRX) today announced financial results
for the quarter and nine months ended December 31, 2013.
Net revenues were $1.8 million for the nine months ended
December 31, 2013, as compared to $732,000 for the nine months
ended December 31, 2012. The 149% increase was primarily driven by
Cryoport’s Integrated Solution and overall growth in the number of
customers using Cryoport Express® Solutions compared to the same
period in the prior year.
Gross margin for the nine months ended December 31, 2013 was 16%
of net revenues, or $294,000, as compared to a gross loss of 46% of
net revenues, or $335,000, for the nine months ended December 31,
2012. Cost of revenues for the nine months ended December 31, 2013
was 84% of net revenues, or $1.5 million, as compared to 146% of
net revenues, or $1.1 million for the nine months ended December
31, 2012 which demonstrates continued improvement of Cryoport’s
positive gross margin.
Cryoport’s Chief Executive Officer, Jerrell Shelton, commented,
“I'm pleased to report continued revenue and gross profit growth
for the quarter and the first nine months of our fiscal year. Our
sales and marketing strategies are gaining momentum as evidenced by
our reported revenue and continue to be fueled by a very active and
growing sales pipeline. As reported in a press release earlier this
month, we entered into a strategic alliance with Liventa
Bioscience. This alliance is aimed at serving the many points of
orthopedic care delivery with Liventa Bioscience’s cell-based,
advanced biologics tissue forms. This exclusive agreement combines
Cryoport’s proprietary, purpose-built cold chain logistics
solutions for cell based and advanced biologic tissue forms with
Liventa Bioscience’s distribution capability to ‘point-of-use’
US-based orthopedic care providers.
“In addition, we continue to move forward with our ‘powered by
CryoportSM' partnering strategy designed to expand our sales and
marketing reach as well as to increase the awareness of our
solutions in the life sciences community. More and more companies
have started relying on our validated and technology-centric
solutions and expertise in time- and temperature-sensitive
logistics. We now have experienced nine consecutive quarters of
revenue growth and expect to further accelerate our sales
trajectory as implied by our current momentum.
“Moving forward, we expect to maintain our long-term view of the
market opportunity and stay true to our strategic plan. Our goal is
to be the leading provider of logistics solutions to the life
sciences industry. We are successfully transitioning from a ‘one
service fits all’ approach to being a ‘logistics solutions company’
developing customized plans to meet client-defined needs. In
addition to sales of our basic turnkey solution, our
customer-integrated solution is being particularly well received,
and we also have customers utilizing our customer-staged,
customer-managed, and distribution partner models. Our central role
in cold chain logistics in this fast growing market continues to be
validated by the increasing attention we receive from integrators,
specialty couriers, and freight forwarders; all of which provides
us with additional opportunities for revenue producing
partnerships.
“We have more than doubled our customer base over the past nine
months and are in the early adoption stages with a number of larger
life sciences companies. Revenues related to reproductive medicine,
in-vitro fertilization in particular, are increasing as is our
animal husbandry business. During this current fiscal 2014 and
beyond, I believe we will continue to drive shareholder value by
becoming even more effective in increasing market awareness,
closing sales, serving customer needs, efficiently managing
expenses, and prudently investing capital in support of our growth
plans. Our Cryoport team is indefatigably motivated for
success.”
Further information on Cryoport’s results are included on the
attached condensed consolidated balance sheets and statements of
operations and further explanation of Cryoport’s financial
performance is provided in Cryoport’s quarterly report for the
quarter ended December 31, 2013 on Form 10-Q, which was filed with
the SEC today. The full report is available on the SEC Filings
section of the Investor Relations section of our website at
www.cryoport.com.
About Cryoport, Inc.
Cryoport provides leading edge frozen shipping logistics
solutions to the life sciences industry through the combination of
purpose-built proprietary hardware and software technologies and
skilled total turnkey management of the entire logistics process.
Cryoport Express® liquid nitrogen dry vapor shippers are validated
to maintain a constant -150°C temperature for a 10-plus day dynamic
shipment duration, and its Cryoportal™ Logistics Management
Platform manages the entire shipment process, including initial
order input, document preparation, customs clearance, courier
management, shipment tracking, issue resolution, and delivery.
Cryoport’s total turnkey logistics solutions offer reliability,
cost effectiveness, and convenience, while the use of recyclable
and reusable components provides a “green” and environmentally
friendly solution. Cryoport service options include recording the
“chain of condition” and “chain of custody” for all shipments
thereby meeting the exacting requirements for scientific work and
for regulatory purposes. For more information visit
www.cryoport.com.
Forward Looking Statements
Statements in this press release which are not purely
historical, including statements regarding Cryoport, Inc.’s
intentions, hopes, beliefs, expectations, representations,
projections, plans or predictions of the future are forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. It is important to note that the company's
actual results could differ materially from those in any such
forward-looking statements. Factors that could cause actual results
to differ materially include, but are not limited to, risks and
uncertainties associated with the effect of changing economic
conditions, trends in the products markets, variations in the
company's cash flow, market acceptance risks, and technical
development risks. The company’s business could be affected by a
number of other factors, including the risk factors listed from
time to time in the company's SEC reports including, but not
limited to, the annual report on Form 10-K for the year ended March
31, 2013. The company cautions investors not to place undue
reliance on the forward-looking statements contained in this press
release. Cryoport, Inc. disclaims any obligation, and does not
undertake to update or revise any forward-looking statements in
this press release.
CRYOPORT, INC.
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS
(unaudited)
Three Months Ended Nine Months Ended
December 31, December 31, 2013
2012 2013 2012 Net revenues $ 757,327 $
307,153 $ 1,825,117 $ 732,049 Cost of revenues 590,266
368,795 1,531,312 1,066,853
Gross margin (loss) 167,061 (61,642 ) 293,805
(334,804 ) Operating expenses: Selling,
general and administrative 1,305,562 1,392,937 3,768,049 4,003,544
Research and development 118,490 94,424
329,569 305,031 Total operating
expenses 1,424,052 1,487,361 4,097,618
4,308,575 Loss from operations (1,256,991 )
(1,549,003 ) (3,803,813 ) (4,643,379 ) Other income (expense): Debt
conversion expense (552,750 ) -- (13,713,767 ) -- Interest expense
(31,786 ) (11,896 ) (626,781 ) (48,255 ) Change in fair value of
derivative liabilities 1,196 (6,112 ) 20,845
27,712 Loss before income taxes (1,840,331 )
(1,567,011 ) (18,123,516 ) (4,663,922 ) Income taxes --
-- -- 1,600 Net loss $
(1,840,331 ) $ (1,567,011 ) $(18,123,516 ) $ (4,665,522 )
Net loss per share, basic and diluted $ (0.03 ) $ (0.04 ) $ (0.40 )
$ (0.12 ) Basic and diluted weighted average common shares
58,995,821 37,760,628 45,342,320
37,760,628
CRYOPORT, INC.
SUMMARY CONDENSED CONSOLIDATED BALANCE
SHEETS
December 31, March 31,
2013 2013 (unaudited) Cash and cash equivalents $
219,970 $ 563,104 Accounts receivable, net 635,687 217,097
Inventories 30,008 39,212 Other current assets 102,718
138,892 Total current assets 988,383
958,305 Property and equipment, net 464,122 505,485 Intangible
assets, net 189,094 272,263 Deposits and other assets 9,358
19,744 Total assets $ 1,650,957
$ 1,755,797 Accounts payable and
accrued expenses $ 895,902 $ 858,709 Accrued compensation and
related expenses 391,438 217,432 Convertible debentures payable and
accrued interest, net of discount 390,471 1,304,419 Current portion
of related party notes payable 96,000 96,000 Derivative liabilities
3 20,848 Total current
liabilities 1,773,814 2,497,408 Related party notes payable and
accrued interest, net of current portion 1,277,546
1,321,664 Total liabilities 3,051,360
3,819,072 Total stockholders’ deficit (1,400,403 )
(2,063,275 ) Total liabilities and stockholders’ equity $
1,650,957 $ 1,755,797
Cryoport, Inc.Robert
Stefanovich619.481.6802rstefanovich@cryoport.com