Revenues Up 24% - Flagship PIFA
Heparin/PF4 Rapid Test Sales Double
Conference Call Scheduled for 10:30 a.m.
ET Today
Akers Biosciences, Inc. (Nasdaq:AKER) (AIM:AKR.L), ("Akers" or the
"Company"), a medical device company focused on reducing the cost
of healthcare through faster, easier diagnostics, reports its
financial results for the fiscal year ended December 31, 2014.
2014 Financial Highlights:
- 24% increase in revenue for 2014 to $4,427,174 (2013:
$3,577,851)
- Loss before tax of $3,127,167 (2013: loss of $1,526,773)
- Cash and marketable securities of $9,720,802 (2013:
$103,634)
- Sales of Akers' rapid test to detect a potentially fatal
allergy to the blood thinner Heparin (PIFA Heparin/PF4) more than
doubled in 2014 to $2,241,405
- First international sales of PIFA Heparin/PF4 products achieved
during 2014 with $1,000,000 initial order from China
2014 Operational Highlights:
- Completed IPO on NASDAQ Capital Market in January 2014, raising
approximately $15 million in gross proceeds
- Significant expansion of sales and marketing with senior
managerial appointments in the US and EU; and sales executives
placed in multiple strategic locations throughout US
- PIFA Heparin/PF4 products are now being marketed in the US by
four leading healthcare product distributors as well as direct
sales force
- Advancements in international sales strategy with product
distribution agreements signed for territories including India, the
Middle East, Australia, Singapore and multiple countries within
Europe
- Initial order valued at $864,000 for rapid cholesterol tests
for Australia, Singapore and the Middle East
- Established Joint Venture in China for marketing and
distribution of Akers products
- Commenced clinical trials for the first rapid finger stick
blood test for chlamydia
"January 2014's NASDAQ IPO facilitated a significant
acceleration of our commercialization and product development
process; and we are beginning to see the benefits," said Raymond F.
Akers, Jr. PhD, Co-founder and Executive Chairman of the Board.
"The Company has been able to attract multiple experienced sales
and marketing professionals both at head office and other strategic
locations across the US as well as in the EU," continued Dr. Akers.
"We believe the benefits are already evident in the growing number
of distribution partnerships formed, the growth in revenues and, in
particular, the more than doubling of sales of our flagship rapid
test for detecting an allergy to the widely used blood thinner
Heparin. We believe this rapid test has the capacity to save an
average US hospital upwards of $1 million per annum while at the
same time accelerating the process of diagnosis and therefore the
speed at which the right treatment is given to the patient. I
believe we are scratching the surface of a very substantial
existing market for Heparin PF4 antibody testing which can be
replaced with Akers' faster and more cost-effective single-use
devices. This proposition is actively being communicated to US
hospitals by the Company's marketing partners and by our internal
sales team."
"2014 has seen Akers add new distributors in the Middle East,
Australia, Singapore, India, France, Belgium, the Netherlands,
Luxembourg, Switzerland and Lichtenstein. During the period the
Company entered into a substantial Joint Venture agreement for the
marketing and distribution of all Akers' rapid tests – excluding
PIFA Heparin/PF4 – in China; while our Chinese distributor for PIFA
Heparin/PF4 placed its first order for $1 million worth of the
products in November 2014. This initial stocking order provides
some insight into just how large a market we believe China can
become for Akers. In fact, we believe China to be the second
biggest potential market in the world for our PIFA Heparin/PF4
tests after the US."
"The Company's improving balance sheet and growing sales is also
enabling Akers to fully develop a range of products that serve the
nutraceutical and weight loss marketplaces. These are large
marketplaces in all developed countries but nowhere more so than in
the US where the Company is currently focusing its efforts. Akers'
technology can measure biomarkers present in breath condensate
related to various metabolic processes. As a result, Akers has used
its proprietary, easy-to-use platform to design disposable breath
tubes that measure ketone (acid) production associated with
fat-burning and oxidative stress levels that relate to cellular
damage and the development of many preventable diseases. The
Company is developing a consumer-focused reagent device, and
linking this device to an app for smartphones and tablets that can
not only produce a result, but also track progress over time.
Initial marketing activities have commenced for these products and
the Company is preparing for commercialization."
"While the Company's sales and marketing professionals focus on
growing sales of existing product lines, the development team
continues to advance a pipeline of rapid tests designed to improve
the process of diagnosis in large markets such as respiratory
disease, where we are developing breath tests for lung cancer, for
asthma and for chronic obstructive pulmonary disease; in diabetes,
where we are developing a breath test to help diabetics rapidly
evaluate their ketone levels without the need to provide blood or
urine samples; in cardiovascular disease, where we are developing,
on the commission of Konica Minolta, a rapid blood test for heart
attacks; and in infectious diseases, where we are developing –
among other tests - an on-the-spot finger stick blood test for
chlamydia, one of the most prevalent of all STDs."
"What each of these areas has in common is that the market for
testing is already established with existing diagnostic procedures
which could be replaced with faster, easier and lower-costing
technology."
"Akers exited 2014 with an improved balance sheet, higher
revenues, with a more substantial sales and marketing function, new
distribution partners in new markets and with a pipeline of tests
advancing through the developmental process. Among our key goals
for 2015 are the continued acceleration of PIFA Heparin/PF4 sales
in the US; while assisting our international distributors in
establishing these tests in overseas markets. Additionally we will
in the coming months advance the consumer proposition for the
Company's Wellness product line which we believe could be
significant," added Dr. Akers. "I look forward to reporting further
progress throughout the year ahead."
Results of Operations
Revenues for 2014 were approximately $4.4 million, representing
a 24% increase on the prior year. Importantly the sales of the
Company's current flagship PIFA Heparin/PF4 tests more than doubled
in the year to over $2.2 million. A first order of $1 million worth
of product from China boosted those sales.
The Company's overall gross margin percentage was 71% for 2014
as compared to 37% in 2013. The Company made a gross profit on
those revenues of $3.25 million. After administrative, sales,
research and exceptional costs, the Company recorded a loss before
income tax of approximately $3.1 million which was in line with the
Company's expectations. The loss before income tax was
approximately double that of 2013 before the additional overheads
from the growing personnel and additional stock market related
costs began to be incurred.
The basic and diluted loss per common share was 66 cents as
compared to 96 cents in 2013 (with the number of shares outstanding
having increased as a result of the successful initial public
offering on NASDAQ in 2014).
The Company is maintaining a very strong balance sheet as a
result of the cash infusion from the January 2014 NASDAQ IPO. Akers
had cash and marketable securities at the year-end of just over
$9.7 million compared to $0.1 million at the end of 2013.
Financial Statements
A summary report including the key financial statements for the
fiscal year 2014 appears below. A Form 10-K containing the detailed
financial statements is available for viewing on the Company's
website at www.akersbiosciences.com or www.sec.gov.
Conference Call Information:
Monday, March 23, 2015 at 10:30 a.m. Eastern
Time |
US: 1-888-271-8595 |
International: 1-913-981-4901 |
Conference ID: 8825228 |
Webcast:
http://ir.akersbiosciences.com/events.cfm |
|
Replays - Available through April 6,
2015 |
US: 1-877-870-5176 |
International: 1-858-384-5517 |
Conference ID: 8825228 |
ABOUT AKERS BIOSCIENCES, INC.
Akers Biosciences develops, manufactures, and supplies rapid
screening and testing products designed to deliver quicker and more
cost-effective healthcare information to healthcare providers and
consumers. The Company has advanced the science of diagnostics
while responding to major shifts in healthcare through the
development of several proprietary platform technologies. The
Company's state-of-the-art rapid diagnostic assays can be performed
virtually anywhere in minutes when time is of the essence. The
Company has aligned with major healthcare companies and high volume
medical product distributors to maximize product offerings, and to
be a major worldwide competitor in diagnostics.
Additional information on the Company and its products can be
found at www.akersbiosciences.com. Follow us on Twitter
@AkersBio
Cautionary Statement Regarding Forward Looking
Statements
Statements contained herein that are not based upon current or
historical fact are forward-looking in nature and constitute
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934. Such forward-looking statements reflect the Company's
expectations about its future operating results, performance and
opportunities that involve substantial risks and uncertainties.
These statements include but are not limited to statements
regarding the intended terms of the offering, closing of the
offering and use of any proceeds from the offering. When used
herein, the words "anticipate," "believe," "estimate," "upcoming,"
"plan," "target," "intend" and "expect" and similar expressions, as
they relate to Akers Biosciences, Inc., its subsidiaries, or its
management, are intended to identify such forward-looking
statements. These forward-looking statements are based on
information currently available to the Company and are subject to a
number of risks, uncertainties, and other factors that could cause
the Company's actual results, performance, prospects, and
opportunities to differ materially from those expressed in, or
implied by, these forward-looking statements.
CONTACT: For more information:
Akers Biosciences, Inc.
Raymond F. Akers, Jr. PhD
Executive Chairman of the Board
Tel. +1 856 848 8698
finnCap (UK Nominated Adviser and Broker)
Geoff Nash / Scott Mathieson (Corporate Finance)
Steve Norcross (Broking)
Tel. +44 (0)20 7220 0500
Taglich Brothers, Inc. (US Investor Relations)
Chris Schreiber
Tel. +1 917 445 6207
Vigo Communications (UK Investor Relations)
Ben Simons / Alexandra Roper
Tel. +44 (0)20 7016 9570
Email: akers@vigocomms.com
Akers Biosciences (NASDAQ:AKER)
Historical Stock Chart
From Jun 2024 to Jul 2024
Akers Biosciences (NASDAQ:AKER)
Historical Stock Chart
From Jul 2023 to Jul 2024