Quarterly Report (10-q)

Date : 11/05/2019 @ 9:16PM
Source : Edgar (US Regulatory)
Stock : Antares Pharma Inc (ATRS)
Quote : 2.1199  -0.2401 (-10.17%) @ 7:58PM

Quarterly Report (10-q)

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-Q

 

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D)

OF THE SECURITIES EXCHANGE ACT OF 1934.

For the quarterly period ended September 30, 2019

Commission File Number 1-32302

 

ANTARES PHARMA, INC.

 

 

A Delaware Corporation

(State or Other Jurisdiction of Incorporation)

 

41-1350192

(I.R.S. Employer Identification No.)

 

100 Princeton South, Suite 300, Ewing, NJ

 

08628

(Address of Principal Executive Offices)

 

(Zip Code)

 

Registrant’s telephone number, including area code: (609) 359-3020

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange on which registered

Common Stock, par value $0.01 per share

 

ATRS

 

NASDAQ

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes      No  

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes      No  

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer”, “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer

 

  

Accelerated filer

 

 

 

 

 

 

 

 

Non–accelerated filer

 

  

  

Smaller reporting company

 

 

 

 

 

 

 

 

Emerging growth company

 

  

 

 

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.          

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes      No  

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court.     Yes      No  

As of October 31, 2019, the registrant had 163,226,089 shares of common stock, $0.01 par value per share, outstanding.

 

 

 

 


 

ANTARES PHARMA, INC.

INDEX

 

 

 

 

 

 

 

PAGE

 

 

 

 

 

 

 

PART I.

 

 

 

FINANCIAL INFORMATION

 

3

 

 

 

 

 

 

 

 

 

Item 1.

 

Financial Statements

 

3

 

 

 

 

 

 

 

 

 

 

 

Consolidated Balance Sheets as of September 30, 2019 (Unaudited) and December 31, 2018

 

3

 

 

 

 

 

 

 

 

 

 

 

Consolidated Statements of Operations for the three and nine months ended September 30, 2019 and 2018 (Unaudited)

 

4

 

 

 

 

 

 

 

 

 

 

 

Consolidated Statements of Comprehensive Income (Loss) for the three and nine months ended September 30, 2019 and 2018 (Unaudited)

 

5

 

 

 

 

 

 

 

 

 

 

 

Consolidated Statements of Changes in Stockholders’ Equity for the three and nine months ended September 30, 2019 and 2018 (Unaudited)

 

6

 

 

 

 

 

 

 

 

 

 

 

Consolidated Statements of Cash Flows for the nine months ended September 30, 2019 and 2018 (Unaudited)

 

8

 

 

 

 

 

 

 

 

 

 

 

Notes to Consolidated Financial Statements (Unaudited)

 

9

 

 

 

 

 

 

 

 

 

Item 2.

 

Management’s Discussion and Analysis of Financial Condition and Results of Operations

 

20

 

 

 

 

 

 

 

 

 

Item 3.

 

Quantitative and Qualitative Disclosures About Market Risk

 

27

 

 

 

 

 

 

 

 

 

Item 4.

 

Controls and Procedures

 

27

 

 

 

 

 

 

 

PART II.

 

 

 

OTHER INFORMATION

 

28

 

 

 

 

 

 

 

 

 

Item 1.

 

Legal Proceedings

 

28

 

 

 

 

 

 

 

 

 

Item 1A.

 

Risk Factors

 

28

 

 

 

 

 

 

 

 

 

Item 2.

 

Unregistered Sales of Equity Securities and Use of Proceeds

 

28

 

 

 

 

 

 

 

 

 

Item 3.

 

Default Upon Senior Securities

 

28

 

 

 

 

 

 

 

 

 

Item 4.

 

Mine Safety Disclosures

 

28

 

 

 

 

 

 

 

 

 

Item 5.

 

Other Information

 

29

 

 

 

 

 

 

 

 

 

Item 6.

 

Exhibits

 

29

 

 

 

 

 

 

 

 

 

 

 

SIGNATURES

 

30

 

 

 

2


 

PART I – FINANCIAL INFORMATION

Item 1.

FINANCIAL STATEMENTS

ANTARES PHARMA, INC.

CONSOLIDATED BALANCE SHEETS

(in thousands, except per share amounts)

 

 

 

September 30,

 

 

December 31,

 

 

 

2019

 

 

2018

 

 

 

(Unaudited)

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

Current Assets:

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

41,874

 

 

$

27,892

 

Accounts receivable

 

 

33,931

 

 

 

18,976

 

Inventories

 

 

16,503

 

 

 

11,350

 

Contract assets

 

 

6,199

 

 

 

10,442

 

Prepaid expenses and other current assets

 

 

1,429

 

 

 

2,648

 

Total current assets

 

 

99,936

 

 

 

71,308

 

Equipment, molds, furniture and fixtures, net

 

 

15,409

 

 

 

14,895

 

Operating lease right-of-use assets

 

 

5,462

 

 

 

 

Goodwill

 

 

1,095

 

 

 

1,095

 

Intangibles, net

 

 

508

 

 

 

831

 

Other assets

 

 

519

 

 

 

148

 

Total Assets

 

$

122,929

 

 

$

88,277

 

Liabilities and Stockholders’ Equity

 

 

 

 

 

 

 

 

Current Liabilities:

 

 

 

 

 

 

 

 

Accounts payable

 

$

16,530

 

 

$

11,135

 

Accrued expenses and other liabilities

 

 

14,966

 

 

 

11,997

 

Long-term debt, current portion

 

 

 

 

 

3,043

 

Operating lease liabilities, current portion

 

 

975

 

 

 

 

Deferred revenue

 

 

1,412

 

 

 

1,018

 

Total current liabilities

 

 

33,883

 

 

 

27,193

 

Long-term debt

 

 

40,269

 

 

 

22,083

 

Operating lease liabilities, long-term

 

 

4,362

 

 

 

 

Total liabilities

 

 

78,514

 

 

 

49,276

 

Stockholders’ Equity:

 

 

 

 

 

 

 

 

Preferred Stock: $0.01 par; 3,000 shares authorized, none outstanding

 

 

 

 

 

 

Common Stock: $0.01 par; 300,000 shares authorized; 163,204 and

    159,721 issued and outstanding at September 30, 2019 and

   December 31, 2018, respectively

 

 

1,632

 

 

 

1,597

 

Additional paid-in capital

 

 

326,895

 

 

 

314,907

 

Accumulated deficit

 

 

(283,406

)

 

 

(276,800

)

Accumulated other comprehensive loss

 

 

(706

)

 

 

(703

)

 

 

 

44,415

 

 

 

39,001

 

Total Liabilities and Stockholders’ Equity

 

$

122,929

 

 

$

88,277

 

 

See accompanying notes to consolidated financial statements.

3


 

ANTARES PHARMA, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share amounts)

(UNAUDITED)

 

 

 

For the Three Months Ended

 

 

For the Nine Months Ended

 

 

 

September 30,

 

 

September 30,

 

 

 

2019

 

 

2018

 

 

2019

 

 

2018

 

Revenue:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Product sales

 

$

24,687

 

 

$

11,597

 

 

$

63,607

 

 

$

33,641

 

Licensing and development revenue

 

 

1,211

 

 

 

2,554

 

 

 

4,365

 

 

 

5,624

 

Royalties

 

 

8,408

 

 

 

3,717

 

 

 

18,053

 

 

 

5,468

 

Total revenue

 

 

34,306

 

 

 

17,868

 

 

 

86,025

 

 

 

44,733

 

Cost of revenue:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of product sales

 

 

12,510

 

 

 

6,982

 

 

 

33,791

 

 

 

20,195

 

Cost of development revenue

 

 

552

 

 

 

307

 

 

 

2,658

 

 

 

1,240

 

Total cost of revenue

 

 

13,062

 

 

 

7,289

 

 

 

36,449

 

 

 

21,435

 

Gross profit

 

 

21,244

 

 

 

10,579

 

 

 

49,576

 

 

 

23,298

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Research and development

 

 

2,863

 

 

 

3,191

 

 

 

7,744

 

 

 

9,321

 

Selling, general and administrative

 

 

16,385

 

 

 

8,747

 

 

 

46,407

 

 

 

24,866

 

Total operating expenses

 

 

19,248

 

 

 

11,938

 

 

 

54,151

 

 

 

34,187

 

Operating income (loss)

 

 

1,996

 

 

 

(1,359

)

 

 

(4,575

)

 

 

(10,889

)

Interest expense

 

 

(1,097

)

 

 

(674

)

 

 

(2,470

)

 

 

(1,959

)

Other income

 

 

144

 

 

 

97

 

 

 

323

 

 

 

199

 

Net income (loss)

 

$

1,043

 

 

$

(1,936

)

 

$

(6,722

)

 

$

(12,649

)

Net income (loss) per common share, basic and diluted

 

$

0.01

 

 

$

(0.01

)

 

$

(0.04

)

 

$

(0.08

)

Weighted average common shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

163,119

 

 

 

157,471

 

 

 

162,109

 

 

 

157,076

 

Diluted

 

 

168,503

 

 

 

157,471

 

 

 

162,109

 

 

 

157,076

 

 

See accompanying notes to consolidated financial statements.

4


 

ANTARES PHARMA, INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(in thousands)

(UNAUDITED)

 

 

 

For the Three Months Ended

 

 

For the Nine Months Ended

 

 

 

September 30,

 

 

September 30,

 

 

 

2019

 

 

2018

 

 

2019

 

 

2018

 

Net income (loss)

 

$

1,043

 

 

$

(1,936

)

 

$

(6,722

)

 

$

(12,649

)

Foreign currency translation adjustment

 

 

(2

)

 

 

(2

)

 

 

(3

)

 

 

(2

)

Comprehensive income (loss)

 

$

1,041

 

 

$

(1,938

)

 

$

(6,725

)

 

$

(12,651

)

 

See accompanying notes to consolidated financial statements.

5


 

ANTARES PHARMA, INC.

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY

(in thousands)

(UNAUDITED)

 

 

 

Common Stock

 

 

 

 

 

 

 

 

 

 

Accumulated

 

 

 

 

 

 

 

Shares

 

 

Amount

 

 

Additional

Paid-In

Capital

 

 

Accumulated

Deficit

 

 

Other

Comprehensive

Loss

 

 

Total

Stockholders’

Equity

 

June 30, 2019

 

 

163,053

 

 

$

1,630

 

 

$

325,075

 

 

$

(284,449

)

 

$

(704

)

 

$

41,552

 

Common stock issued under equity

   compensation plan, net of

   shares withheld for taxes

 

 

9

 

 

 

1

 

 

 

(14

)

 

 

 

 

 

 

 

 

(13

)

Exercise of options

 

 

142

 

 

 

1

 

 

 

189

 

 

 

 

 

 

 

 

 

190

 

Share-based compensation

 

 

 

 

 

 

 

 

1,645

 

 

 

 

 

 

 

 

 

1,645

 

Net income

 

 

 

 

 

 

 

 

 

 

 

1,043

 

 

 

 

 

 

1,043

 

Other comprehensive loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(2

)

 

 

(2

)

September 30, 2019

 

 

163,204

 

 

$

1,632

 

 

$

326,895

 

 

$

(283,406

)

 

$

(706

)

 

$

44,415

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common Stock

 

 

 

 

 

 

 

 

 

 

Accumulated

 

 

 

 

 

 

 

Shares

 

 

Amount

 

 

Additional

Paid-In

Capital

 

 

Accumulated

Deficit

 

 

Other

Comprehensive

Loss

 

 

Total

Stockholders’

Equity

 

December 31, 2018

 

 

159,721

 

 

$

1,597

 

 

$

314,907

 

 

$

(276,800

)

 

$

(703

)

 

$

39,001

 

Issuance of common stock,

   net of offering costs

 

 

2,307

 

 

 

23

 

 

 

7,758

 

 

 

 

 

 

 

 

 

7,781

 

Common stock issued under equity

   compensation plan, net of

   shares withheld for taxes

 

 

664

 

 

 

7

 

 

 

(1,084

)

 

 

 

 

 

 

 

 

(1,077

)

Exercise of options

 

 

512

 

 

 

5

 

 

 

669

 

 

 

 

 

 

 

 

 

674

 

Share-based compensation

 

 

 

 

 

 

 

 

4,645

 

 

 

 

 

 

 

 

 

4,645

 

Cumulative effect of change in

   accounting principle

 

 

 

 

 

 

 

 

 

 

 

116

 

 

 

 

 

 

116

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

(6,722

)

 

 

 

 

 

(6,722

)

Other comprehensive income loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(3

)

 

 

(3

)

September 30, 2019

 

 

163,204

 

 

$

1,632

 

 

$

326,895

 

 

$

(283,406

)

 

$

(706

)

 

$

44,415

 

 

See accompanying notes to consolidated financial statements.

6


 

ANTARES PHARMA, INC.

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY (Cont.)

(in thousands)

(UNAUDITED)

 

 

 

Common Stock

 

 

 

 

 

 

 

 

 

 

Accumulated

 

 

 

 

 

 

 

Shares

 

 

Amount

 

 

Additional

Paid-In

Capital

 

 

Accumulated

Deficit

 

 

Other

Comprehensive

Loss

 

 

Total

Stockholders’

Equity

 

June 30, 2018

 

 

157,437

 

 

$

1,574

 

 

$

304,770

 

 

$

(280,998

)

 

$

(700

)

 

$

24,646

 

Common stock issued under equity

   compensation plan, net of

   shares withheld for taxes

 

 

9

 

 

 

1

 

 

 

(14

)

 

 

 

 

 

 

 

 

(13

)

Exercise of options

 

 

75

 

 

 

 

 

 

74

 

 

 

 

 

 

 

 

 

74

 

Share-based compensation

 

 

 

 

 

 

 

 

1,605

 

 

 

 

 

 

 

 

 

1,605

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

(1,936

)

 

 

 

 

 

(1,936

)

Other comprehensive loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(2

)

 

 

(2

)

September 30, 2018

 

 

157,521

 

 

$

1,575

 

 

$

306,435

 

 

$

(282,934

)

 

$

(702

)

 

$

24,374

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common Stock

 

 

 

 

 

 

 

 

 

 

Accumulated

 

 

 

 

 

 

 

Shares

 

 

Amount

 

 

Additional

Paid-In

Capital

 

 

Accumulated

Deficit

 

 

Other

Comprehensive

Loss

 

 

Total

Stockholders’

Equity

 

December 31, 2017

 

 

156,675

 

 

$

1,567

 

 

$

302,965

 

 

$

(270,285

)

 

$

(700

)

 

$

33,547

 

Common stock issued under equity

   compensation plan, net of

   shares withheld for taxes

 

 

462

 

 

 

4

 

 

 

(547

)

 

 

 

 

 

 

 

 

(543

)

Exercise of options

 

 

384

 

 

 

4

 

 

 

362

 

 

 

 

 

 

 

 

 

366

 

Share-based compensation

 

 

 

 

 

 

 

 

3,655

 

 

 

 

 

 

 

 

 

3,655

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

(12,649

)

 

 

 

 

 

(12,649

)

Other comprehensive loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(2

)

 

 

(2

)

September 30, 2018

 

 

157,521

 

 

$

1,575

 

 

$

306,435

 

 

$

(282,934

)

 

$

(702

)

 

$

24,374

 

 

See accompanying notes to consolidated financial statements.

 

7


 

ANTARES PHARMA, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(UNAUDITED)

 

 

 

Nine Months Ended

 

 

 

September 30,

 

 

 

2019

 

 

2018

 

Cash flows from operating activities:

 

 

 

 

 

 

 

 

Net loss

 

$

(6,722

)

 

$

(12,649

)

Adjustments to reconcile net loss to net cash used in operating activities:

 

 

 

 

 

 

 

 

Stock-based compensation expense

 

 

4,645

 

 

 

3,655

 

Depreciation and amortization

 

 

1,916

 

 

 

1,808

 

Other

 

 

279

 

 

 

193

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

Accounts receivable

 

 

(14,957

)

 

 

(3,606

)

Inventories

 

 

(5,153

)

 

 

(2,000

)

Contract assets

 

 

1,743

 

 

 

230

 

Prepaid expenses and other assets

 

 

847

 

 

 

517

 

Accounts payable

 

 

4,669

 

 

 

1,518

 

Accrued expenses and other liabilities

 

 

2,854

 

 

 

2,157

 

Deferred revenue

 

 

394

 

 

 

(1,983

)

Net cash used in operating activities

 

 

(9,485

)

 

 

(10,160

)

Cash flows from investing activities:

 

 

 

 

 

 

 

 

Proceeds from sale of assets

 

 

2,500

 

 

 

7,500

 

Purchases of equipment, molds, furniture and fixtures

 

 

(1,274

)

 

 

(526

)

Additions to patent rights

 

 

 

 

 

(40

)

Proceeds from maturities of investment securities

 

 

 

 

 

5,000

 

Net cash provided by investing activities

 

 

1,226

 

 

 

11,934

 

Cash flows from financing activities:

 

 

 

 

 

 

 

 

Proceeds from issuance of long-term debt

 

 

15,000

 

 

 

 

Payment of debt issuance costs

 

 

(136

)

 

 

 

Proceeds from issuance of common stock, net

 

 

7,781

 

 

 

 

Proceeds from exercise of stock options

 

 

674

 

 

 

366

 

Taxes paid related to net share settlement of equity awards

 

 

(1,077

)

 

 

(543

)

Net cash provided by (used in) financing activities

 

 

22,242

 

 

 

(177

)

Effect of exchange rate changes on cash

 

 

(1

)

 

 

1

 

Net increase in cash and cash equivalents

 

 

13,982

 

 

 

1,598

 

Cash and cash equivalents:

 

 

 

 

 

 

 

 

Beginning of period

 

 

27,892

 

 

 

26,562

 

End of period

 

$

41,874

 

 

$

28,160

 

Supplemental disclosure of cash flow information:

 

 

 

 

 

 

 

 

Cash paid for interest

 

$

2,073

 

 

$

1,752

 

Supplemental disclosure of non-cash investing activities:

 

 

 

 

 

 

 

 

Purchases of equipment, molds, furniture and fixtures recorded in accounts payable

   and accrued expenses

 

$

881

 

 

$

56

 

 

See accompanying notes to consolidated financial statements.

 

 

8


ANTARES PHARMA, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(in thousands, except per share amounts)

(UNAUDITED)

 

 

 

1.

Description of Business

Antares Pharma, Inc. (“Antares” or the “Company”) is a combination drug device company focused primarily on the development and commercialization of self-administered parenteral pharmaceutical products and technologies.  The Company develops and commercializes, for itself or with partners, novel therapeutic products using its advanced drug delivery technology to enhance existing drug compounds and delivery methods. The Company’s intramuscular and subcutaneous injection technology platforms include the VIBEX® and VIBEX® QuickShot® pressure-assisted auto injector systems suitable for branded and generic injectable drugs in unit dose containers and disposable multi-dose pen injectors. The Company has a portfolio of proprietary and partnered commercial products and ongoing product development programs in various stages of development. The Company has formed significant strategic alliances with Teva Pharmaceutical Industries, Ltd. (“Teva”), AMAG Pharmaceuticals, Inc. (“AMAG”) and Pfizer Inc. (“Pfizer”).

The Company markets and sells its proprietary product XYOSTED® (testosterone enanthate) injection in the U.S., which is indicated for testosterone replacement therapy in adult males for conditions associated with a deficiency or absence of endogenous testosterone. XYOSTED® was approved by the U.S. Food and Drug Administration (“FDA”) on September 28, 2018 and launched for commercial sale in November 2018.

The Company also markets and sells its proprietary product OTREXUP® (methotrexate) injection in the U.S., which is indicated for adults with severe active rheumatoid arthritis, children with active polyarticular juvenile idiopathic arthritis and adults with severe recalcitrant psoriasis.  

Through its commercialization partner Teva, the Company sells Sumatriptan Injection USP, indicated in the U.S. for the acute treatment of migraine and cluster headache in adults.  

In collaboration with AMAG, the Company developed a subcutaneous auto injector for use with AMAG’s progestin hormone drug Makena® (hydroxyprogesterone caproate injection) under an exclusive license and development agreement. The Makena® subcutaneous auto injector drug-device combination product, which is a ready-to-administer treatment indicated to reduce the risk of preterm birth in women pregnant with one baby and who spontaneously delivered at least one preterm baby in the past, was approved by the FDA in February 2018 and launched for commercial sale by AMAG in the first quarter of 2018. The Company is the exclusive supplier of the devices and final assembled and packaged commercial product to AMAG.

Through a license, development and supply agreement with Teva, Antares developed and is the exclusive supplier of the device for Teva’s Epinephrine Injection USP, which is indicated for emergency treatment of severe allergic reactions in adults and certain pediatric patients. The product was approved by the FDA in August 2018 and launched for commercial sale in late fourth quarter of 2018.

The Company is also developing two multi-dose pen injector products in collaboration with Teva, a combination drug device rescue pen in collaboration with Pfizer, and has other ongoing internal research and development programs.

 

 

2.

Basis of Presentation and Significant Accounting Policies

The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) in the U.S. for interim financial information and with the instructions to Form 10-Q and Article 10 of the Securities and Exchange Commission's Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the U.S. for complete financial statements.  In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included.  The accompanying consolidated financial statements and notes thereto should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2018.  Operating results for the three and nine months ended September 30, 2019 are not necessarily indicative of the results that may be expected for the year ending December 31, 2019.

9


ANTARES PHARMA, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(in thousands, except per share amounts)

(UNAUDITED)

 

Revisions of Prior Period Financial Statements

During the preparation of the consolidated financial statements for the year ended December 31, 2018, management revised the presentation of certain regulatory fees between research and development expenses and selling, general and administrative expenses. As a result, the Company also made revisions to its prior period interim consolidated statements of operations as follows:

 

 

Three months ended

 

 

Nine months ended

 

 

September 30,

 

 

September 30,

 

 

2018

 

 

2018

 

Research and development, as reported

$

3,611

 

 

$

10,581

 

Research and development, as revised

 

3,191

 

 

 

9,321

 

Selling, general and administrative, as reported

 

8,327

 

 

 

23,606

 

Selling, general and administrative, as revised

 

8,747

 

 

 

24,866