Delaware (State or other jurisdiction of incorporation or organization) | 13-3986004 (I.R.S. Employer Identification No.) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
Common Stock, $0.001 par value per share | SSKN | The NASDAQ Stock Market LLC |
Large accelerated filer | Accelerated filer | |||
Non-accelerated filer | Smaller reporting company | |||
Emerging growth company |
Part I. Financial Information: | PAGE | ||
a. | 1 | ||
b. | 2 | ||
c. | 3 | ||
d. | 4 | ||
5 | |||
f. | 6 | ||
g. | 7 | ||
E-31.1 |
September 30, 2020 | December 31, 2019 | September 30, 2021 | December 31, 2020 | |||||||||||||
ASSETS | (unaudited) | (unaudited) | ||||||||||||||
Current assets: | ||||||||||||||||
Cash and cash equivalents | $ | 11,063 | $ | 8,129 | $ | 13,047 | $ | 10,604 | ||||||||
Restricted cash | 7,397 | 7,500 | 0 | 7,508 | ||||||||||||
Accounts receivable, net of allowance for doubtful accounts of $249 and $184, respectively | 2,510 | 4,386 | ||||||||||||||
Accounts receivable, net of allowance for doubtful accounts of $248 and $274, respectively | 3,151 | 2,944 | ||||||||||||||
Inventories | 3,502 | 3,027 | 3,225 | 3,444 | ||||||||||||
Prepaid expenses and other current assets | 464 | 513 | 623 | 331 | ||||||||||||
Total current assets | 24,936 | 23,555 | 20,046 | 24,831 | ||||||||||||
Property and equipment, net | 5,258 | 5,369 | 6,403 | 5,529 | ||||||||||||
Operating lease right-of-use assets, net | 1,072 | 1,314 | 727 | 988 | ||||||||||||
Intangible assets, net | 6,697 | 7,955 | 10,546 | 6,345 | ||||||||||||
Goodwill | 8,803 | 8,803 | 8,803 | 8,803 | ||||||||||||
Other assets | 298 | 347 | 233 | 282 | ||||||||||||
Total assets | $ | 47,064 | $ | 47,343 | $ | 46,758 | $ | 46,778 | ||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||||||
Current liabilities: | ||||||||||||||||
Note payable | $ | 7,275 | $ | 7,275 | $ | 0 | $ | 7,275 | ||||||||
Current portion of long-term debt | 1,134 | - | 0 | 1,478 | ||||||||||||
Accounts payable | 3,488 | 1,880 | 2,480 | 2,764 | ||||||||||||
Other accrued liabilities | 4,558 | 5,134 | 5,548 | 4,690 | ||||||||||||
Current portion of operating lease liabilities | 361 | 313 | 359 | 369 | ||||||||||||
Deferred revenues | 1,864 | 2,832 | 3,767 | 2,262 | ||||||||||||
Total current liabilities | 18,680 | 17,434 | 12,154 | 18,838 | ||||||||||||
Long-term liabilities: | ||||||||||||||||
Long-term debt, net | 1,394 | - | 7,282 | 1,050 | ||||||||||||
Deferred tax liability | 207 | - | 266 | 254 | ||||||||||||
Long-term operating lease liabilities, net | 804 | 1,078 | 445 | 710 | ||||||||||||
Other liabilities | 52 | 178 | 428 | 34 | ||||||||||||
Total liabilities | 21,137 | 18,690 | 20,575 | 20,886 | ||||||||||||
Commitments and contingencies (see Note 15) | 0 | 0 | ||||||||||||||
Stockholders' equity: | ||||||||||||||||
Series C Convertible Preferred Stock, $.10 par value, 10,000,000 shares authorized; 0 and 2,103 shares issued and outstanding at September 30, 2020 and, December 31, 2019, respectively | - | 1 | ||||||||||||||
Common Stock, $.001 par value, 150,000,000 shares authorized; 33,754,909 and 32,932,273 shares issued and outstanding at September 30, 2020 and, December 31, 2019, respectively | 34 | 33 | ||||||||||||||
Series C Convertible Preferred Stock, $0.10 par value, 10,000,000 shares authorized; 0 shares issued and outstanding at September 30, 2021 and December 31, 2020 | 0 | 0 | ||||||||||||||
Common Stock, $0.001 par value, 150,000,000 shares authorized; 34,364,679, and 33,801,045 shares issued and outstanding at September 30, 2021 and December 31, 2020, respectively | 34 | 34 | ||||||||||||||
Additional paid-in capital | 244,423 | 243,180 | 246,979 | 244,831 | ||||||||||||
Accumulated deficit | (218,530 | ) | (214,561 | ) | (220,830 | ) | (218,973 | ) | ||||||||
Total stockholders' equity | 25,927 | 28,653 | 26,183 | 25,892 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 47,064 | $ | 47,343 | $ | 46,758 | $ | 46,778 |
For the Three Months Ended September 30, | ||||||||
2021 | 2020 | |||||||
Revenues, net | $ | 7,711 | $ | 5,613 | ||||
Cost of revenues | 2,335 | 2,383 | ||||||
Gross profit | 5,376 | 3,230 | ||||||
Operating expenses: | ||||||||
Engineering and product development | 371 | 411 | ||||||
Selling and marketing | 3,295 | 2,051 | ||||||
General and administrative | 2,175 | 1,929 | ||||||
5,841 | 4,391 | |||||||
Loss from operations | (465 | ) | (1,161 | ) | ||||
Interest expense net | (52 | ) | (21 | ) | ||||
Loss before income taxes | (517 | ) | (1,182 | ) | ||||
Income tax expense | (4 | ) | (72 | ) | ||||
Net loss | $ | (521 | ) | $ | (1,254 | ) | ||
Loss per common share - basic and diluted | $ | (0.02 | ) | $ | (0.04 | ) | ||
Weighted average shares of common stock outstanding – basic and diluted | 34,150,438 | 33,754,909 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
2020 | 2019 | 2021 | 2020 | |||||||||||||
Revenues, net | $ | 5,613 | $ | 7,480 | $ | 20,920 | $ | 16,373 | ||||||||
Cost of revenues | 2,383 | 2,855 | 7,070 | 6,780 | ||||||||||||
Gross profit | 3,230 | 4,625 | 13,850 | 9,593 | ||||||||||||
Operating expenses: | ||||||||||||||||
Engineering and product development | 411 | 249 | 1,158 | 950 | ||||||||||||
Selling and marketing | 2,051 | 2,887 | 9,387 | 6,446 | ||||||||||||
General and administrative | 1,929 | 2,218 | 7,085 | 5,921 | ||||||||||||
4,391 | 5,354 | 17,630 | 13,317 | |||||||||||||
Loss from operations | (1,161 | ) | (729 | ) | (3,780 | ) | (3,724 | ) | ||||||||
Other expense, net: | ||||||||||||||||
Other income (expense), net: | ||||||||||||||||
Gain on forgiveness of debt | 2,028 | 0 | ||||||||||||||
Interest expense, net | (21 | ) | (153 | ) | (93 | ) | (38 | ) | ||||||||
(21 | ) | (153 | ) | 1,935 | (38 | ) | ||||||||||
Loss before income taxes | (1,182 | ) | (882 | ) | (1,845 | ) | (3,762 | ) | ||||||||
Income tax (expense) benefit | (72 | ) | 22 | |||||||||||||
Income tax expense | (12 | ) | (207 | ) | ||||||||||||
Net loss | $ | (1,254 | ) | $ | (860 | ) | $ | (1,857 | ) | $ | (3,969 | ) | ||||
Loss attributable to common shares | $ | (1,254 | ) | $ | (840 | ) | $ | (1,857 | ) | $ | (3,947 | ) | ||||
Loss attributable to Series C Convertible Preferred shares | $ | - | $ | (20 | ) | |||||||||||
Loss per common share: | ||||||||||||||||
Basic | $ | (0.04 | ) | $ | (0.03 | ) | ||||||||||
Diluted | $ | (0.04 | ) | $ | (0.03 | ) | ||||||||||
Shares used in computing loss per common share: | ||||||||||||||||
Basic | 33,754,909 | 32,903,287 | ||||||||||||||
Diluted | 33,754,909 | 32,903,287 | ||||||||||||||
Loss per Series C Convertible Preferred share basic and diluted | $ | - | $ | (9.58 | ) | |||||||||||
Shares used in computing loss per basic and diluted Series C Convertible Preferred shares | - | 2,103 | ||||||||||||||
Loss attributable to Preferred Series C shares | $ | 0 | $ | (22 | ) | |||||||||||
Loss per common share – basic and diluted | $ | (0.05 | ) | $ | (0.12 | ) | ||||||||||
Weighted average common shares outstanding – basic and diluted | 33,944,321 | 33,551,070 | ||||||||||||||
Loss per Preferred Series C share - basic and diluted | 0 | $ | (43.73 | ) | ||||||||||||
Shares used in computing loss per basic and diluted Preferred Series C Shares | 0 | 491 |
For the Nine Months Ended September 30, | ||||||||
2020 | �� | 2019 | ||||||
Revenues, net | $ | 16,373 | $ | 22,688 | ||||
Cost of revenues | 6,780 | 8,544 | ||||||
Gross profit | 9,593 | 14,144 | ||||||
Operating expenses: | ||||||||
Engineering and product development | 950 | 788 | ||||||
Selling and marketing | 6,446 | 8,911 | ||||||
General and administrative | 5,921 | 7,398 | ||||||
13,317 | 17,097 | |||||||
Loss from operations | (3,724 | ) | (2,953 | ) | ||||
Other expense, net: | ||||||||
Interest expense, net | (38 | ) | (433 | ) | ||||
(38 | ) | (433 | ) | |||||
Loss before income taxes | (3,762 | ) | (3,386 | ) | ||||
Income tax (expense) benefit | (207 | ) | 111 | |||||
Net loss | $ | (3,969 | ) | $ | (3,275 | ) | ||
Loss attributable to common shares | $ | (3,947 | ) | $ | (3,079 | ) | ||
Loss attributable to Series C Convertible Preferred shares | $ | (22 | ) | $ | (196 | ) | ||
Loss per common share: | ||||||||
Basic | $ | (0.12 | ) | $ | (0.10 | ) | ||
Diluted | $ | (0.12 | ) | $ | (0.10 | ) | ||
Shares used in computing loss per common share: | ||||||||
Basic | 33,551,070 | 31,663,355 | ||||||
Diluted | 33,551,070 | 31,663,355 | ||||||
Loss per Series C Convertible Preferred share basic and diluted | $ | (43.73 | ) | $ | (36.14 | ) | ||
Shares used in computing loss per basic and diluted Series C Convertible Preferred shares | 491 | 5,412 |
Convertible Preferred Stock – Series C | Common Stock | Additional Paid-In | Accumulated | |||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Capital | Deficit | Total | ||||||||||||||||||||||
BALANCE, January 1, 2019 | 9,968 | $ | 1 | 29,943,086 | $ | 30 | $ | 241,988 | $ | (210,771 | ) | $ | 31,248 | |||||||||||||||
Stock-based compensation | - | - | - | - | 323 | - | 323 | |||||||||||||||||||||
Conversion of convertible preferred stock into common stock | (3,090 | ) | - | 1,148,698 | 1 | (1 | ) | - | - | |||||||||||||||||||
Exercise of stock options | - | - | 28,824 | - | - | - | - | |||||||||||||||||||||
Net loss | - | - | - | - | - | (1,333 | ) | (1,333 | ) | |||||||||||||||||||
BALANCE, March 31, 2019 | 6,878 | $ | 1 | 31,120,608 | $ | 31 | $ | 242,310 | $ | (212,104 | ) | $ | 30,238 |
Conversion of convertible preferred stock into common stock | (4,775 | ) | - | 1,775,093 | 2 | (2 | ) | - | - | |||||||||||||||||||
Stock-based compensation | - | - | - | - | 303 | - | 303 | |||||||||||||||||||||
Exercise of stock options | - | - | 7,586 | - | - | |||||||||||||||||||||||
Net loss | - | - | - | - | - | (1,082 | ) | (1,082 | ) | |||||||||||||||||||
BALANCE, June 30, 2019 | 2,103 | $ | 1 | 32,903,287 | $ | 33 | $ | 242,611 | $ | (213,186 | ) | $ | 29,459 | |||||||||||||||
Stock based compensation | - | - | - | - | 257 | - | 257 | |||||||||||||||||||||
Net loss | - | - | - | - | - | (860 | ) | (860 | ) | |||||||||||||||||||
BALANCE, September 30, 2019 | 2,103 | $ | 1 | 32,903,287 | $ | 33 | $ | 242,868 | $ | (214,046 | ) | $ | 28,856 | |||||||||||||||
Convertible Preferred Stock – Series C | Common Stock | Additional Paid-In | Accumulated | |||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Capital | Deficit | Total | ||||||||||||||||||||||
BALANCE, January 1, 2020 | 2,103 | $ | 1 | 32,932,273 | $ | 33 | $ | 243,180 | $ | (214,561 | ) | $ | 28,653 | |||||||||||||||
Stock-based compensation | - | 0 | - | 0 | 430 | 0 | 430 | |||||||||||||||||||||
Conversion of convertible preferred stock into common stock | (2,103 | ) | (1 | ) | 782,089 | 1 | 0 | 0 | 0 | |||||||||||||||||||
Net loss | - | 0 | - | 0 | 0 | (1,035 | ) | (1,035 | ) | |||||||||||||||||||
BALANCE, March 31, 2020 | 0 | $ | 0 | 33,714,362 | $ | 34 | $ | 243,610 | $ | (215,596 | ) | $ | 28,048 | |||||||||||||||
Stock-based compensation | - | 0 | - | 0 | 410 | 0 | 410 | |||||||||||||||||||||
Issuance of restricted stock | 0 | 0 | 40,547 | 0 | 0 | 0 | 0 | |||||||||||||||||||||
Net loss | - | 0 | - | 0 | 0 | (1,680 | ) | (1,680 | ) | |||||||||||||||||||
BALANCE, June 30, 2020 | 0 | $ | 0 | 33,754,909 | $ | 34 | $ | 244,020 | $ | (217,276 | ) | $ | 26,778 | |||||||||||||||
Stock based compensation | - | 0 | - | 0 | 403 | 0 | 403 | |||||||||||||||||||||
Net loss | - | 0 | - | 0 | 0 | (1,254 | ) | (1,254 | ) | |||||||||||||||||||
BALANCE, September 30, 2020 | 0 | $ | 0 | 33,754,909 | $ | 34 | $ | 244,423 | $ | (218,530 | ) | $ | 25,927 |
Convertible Preferred Stock – Series C | Common Stock | Additional Paid-In | Accumulated | |||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Capital | Deficit | Total | ||||||||||||||||||||||
BALANCE, January 1, 2020 | 2,103 | $ | 1 | 32,932,273 | $ | 33 | $ | 243,180 | $ | (214,561 | ) | $ | 28,653 | |||||||||||||||
Stock-based compensation | - | - | - | - | 430 | - | 430 | |||||||||||||||||||||
Conversion of convertible preferred stock into common stock | (2,103 | ) | (1 | ) | 782,089 | 1 | - | - | - | |||||||||||||||||||
Net loss | - | - | - | - | - | (1,035 | ) | (1,035 | ) | |||||||||||||||||||
BALANCE, March 31, 2020 | - | $ | - | 33,714,362 | $ | 34 | $ | 243,610 | $ | (215,596 | ) | $ | 28,048 | |||||||||||||||
Stock-based compensation | - | - | - | 410 | - | 410 | ||||||||||||||||||||||
Issuance of restricted stock | - | - | 40,547 | - | - | - | - | |||||||||||||||||||||
Net loss | - | - | - | - | - | (1,680 | ) | (1,680 | ) | |||||||||||||||||||
BALANCE, June 30, 2020 | - | $ | - | 33,754,909 | $ | 34 | $ | 244,020 | $ | (217,276 | ) | $ | 26,778 | |||||||||||||||
Stock based compensation | - | - | - | - | 403 | - | 403 | |||||||||||||||||||||
Net loss | - | - | - | - | - | (1,254 | ) | (1,254 | ) | |||||||||||||||||||
BALANCE, September 30, 2020 | - | $ | - | 33,754,909 | $ | 34 | $ | 244,423 | $ | (218,530 | ) | $ | 25,927 | |||||||||||||||
Common Stock | Additional Paid-In | Accumulated | ||||||||||||||||||
Shares | Amount | Capital | Deficit | Total | ||||||||||||||||
BALANCE, January 1, 2021 | 33,801,045 | $ | 34 | $ | 244,831 | $ | (218,973 | ) | $ | 25,892 | ||||||||||
Stock-based compensation | - | 0 | 662 | 0 | 662 | |||||||||||||||
Issuance of restricted stock | 16,260 | 0 | 0 | 0 | 0 | |||||||||||||||
Net loss | - | 0 | 0 | (2,418 | ) | (2,418 | ) | |||||||||||||
BALANCE, March 31, 2021 | 33,817,305 | $ | 34 | $ | 245,493 | $ | (221,391 | ) | $ | 24,136 | ||||||||||
Stock-based compensation | - | 0 | 581 | - | 581 | |||||||||||||||
Issuance of restricted stock | 71,934 | 0 | 0 | - | 0 | |||||||||||||||
Net income | - | 0 | 0 | 1,082 | 1,082 | |||||||||||||||
BALANCE, June 30, 2021 | 33,889,239 | $ | 34 | $ | 246,074 | $ | (220,309 | ) | $ | 25,799 | ||||||||||
Stock-based compensation | - | 0 | 320 | 0 | 320 | |||||||||||||||
Exercise of stock options | 329,076 | 0 | 0 | 0 | 0 | |||||||||||||||
Issuance of restricted stock | 146,364 | 0 | 0 | 0 | 0 | |||||||||||||||
Issuance of warrants | 0 | 0 | 585 | 0 | 585 | |||||||||||||||
Net Loss | - | (521 | ) | (521 | ) | |||||||||||||||
BALANCE, September 30, 2021 | 34,364,679 | $ | 34 | $ | 246,979 | $ | (220,830 | ) | $ | 26,183 |
For the Nine Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
2020 | 2019 | 2021 | 2020 | |||||||||||||
Cash Flows From Operating Activities: | ||||||||||||||||
Net loss | $ | (3,969 | ) | $ | (3,275 | ) | $ | (1,857 | ) | $ | (3,969 | ) | ||||
Adjustments to reconcile net loss to net cash provided by operating activities: | ||||||||||||||||
Depreciation and amortization | 2,793 | 3,437 | 2,689 | 2,793 | ||||||||||||
Amortization of right-of-use asset | 242 | 240 | 261 | 242 | ||||||||||||
Provision for doubtful accounts | 65 | 9 | ||||||||||||||
Loss on disposal of property and equipment and lasers placed in service | 23 | 29 | ||||||||||||||
Provision (recoveries) for doubtful accounts | (26 | ) | 65 | |||||||||||||
Stock-based compensation | 1,243 | 883 | 1,563 | 1,243 | ||||||||||||
Loss on disposal of property and equipment | 73 | 23 | ||||||||||||||
Gain on forgiveness of debt | (2,028 | ) | 0 | |||||||||||||
Deferred taxes | 207 | (111 | ) | 12 | 207 | |||||||||||
Amortization of debt discount | - | 43 | ||||||||||||||
Amortization of deferred financing costs | - | 64 | ||||||||||||||
Changes in operating assets and liabilities: | ||||||||||||||||
Accounts receivable | 1,811 | (261 | ) | (181 | ) | 1,811 | ||||||||||
Inventories | (475 | ) | (792 | ) | 219 | (475 | ) | |||||||||
Prepaid expenses and other assets | 98 | 76 | (243 | ) | 98 | |||||||||||
Accounts payable | 1,608 | 233 | (284 | ) | 1,608 | |||||||||||
Other accrued liabilities | (576 | ) | 437 | 859 | (576 | ) | ||||||||||
Other liabilities | (126 | ) | (61 | ) | (88 | ) | (126 | ) | ||||||||
Operating lease liabilities | (226 | ) | (219 | ) | (275 | ) | (226 | ) | ||||||||
Deferred revenues | (968 | ) | 384 | 145 | (968 | ) | ||||||||||
Net cash provided by operating activities | 1,750 | 1,116 | 839 | 1,750 | ||||||||||||
Cash Flows From Investing Activities: | ||||||||||||||||
Lasers placed-in-service | (1,430 | ) | (1,370 | ) | ||||||||||||
Purchases of property and equipment | (17 | ) | (5 | ) | ||||||||||||
Purchase of property and equipment | (2,523 | ) | (1,447 | ) | ||||||||||||
Cash paid in connection with Ra Medical asset acquisition | (3,473 | ) | 0 | |||||||||||||
Net cash used in investing activities | (1,447 | ) | (1,375 | ) | (5,996 | ) | (1,447 | ) | ||||||||
Cash Flows From Financing Activities: | ||||||||||||||||
Proceeds from note payable and long-term debt | 2,528 | - | ||||||||||||||
Cash Flows From Financing Activities | ||||||||||||||||
Proceeds from Senior Term Facility borrowings, net of fees | 7,867 | 0 | ||||||||||||||
Repayment of note payable | (7,275 | ) | 0 | |||||||||||||
Proceeds from (repayment of) long-term debt | (500 | ) | 2,528 | |||||||||||||
Net cash provided by financing activities | 2,528 | - | 92 | 2,528 | ||||||||||||
Net increase (decrease) in cash and cash equivalents and restricted cash | 2,831 | (259 | ) | |||||||||||||
Net (decrease) increase in cash and cash equivalents and restricted cash | (5,065 | ) | 2,831 | |||||||||||||
Cash, cash equivalents and restricted cash, beginning of period | 15,629 | 16,487 | 18,112 | 15,629 | ||||||||||||
Cash, cash equivalents and restricted cash, end of period | $ | 18,460 | $ | 16,228 | $ | 13,047 | $ | 18,460 | ||||||||
Cash and cash equivalents | $ | 11,063 | $ | 16,228 | $ | 13,047 | $ | 11,063 | ||||||||
Restricted cash | 7,397 | - | 0 | 7,397 | ||||||||||||
$ | 18,460 | $ | 16,228 | $ | 13,047 | $ | 18,460 | |||||||||
Supplemental information of cash and non-cash transactions: | ||||||||||||||||
Cash paid for interest | $ | 157 | $ | 604 | $ | 109 | $ | 157 | ||||||||
Lease liabilities arising from obtaining right-of-use assets | $ | - | $ | 1,632 | ||||||||||||
Fair value of warrants issued in connection with debt | $ | 585 | $ | 0 | ||||||||||||
Assumed deferred revenue in connection with Ra Medical asset acquisition | $ | 1,841 | $ | 0 |
• | Level 1 – unadjusted quoted prices are available in active markets for identical assets or liabilities that the Company has the ability to access as of the measurement date. | |
• | Level 2 – pricing inputs are other than quoted prices in active markets that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data. | |
• | Level 3 – pricing inputs are unobservable for the non-financial asset or liability and only used when there is little, if any, market activity for the non-financial asset or liability at the measurement date. The inputs into the determination of fair value require significant management judgment or estimation. Fair value is determined using comparable market transactions and other valuation methodologies, adjusted as appropriate for liquidity, credit, market and/or other risk factors. |
Three Months Ended September 30, 2020 | Nine Months Ended September 30, 2020 | |||||||||||||||
Common Stock | Series C Convertible Preferred Stock | Common Stock | Series C Convertible Preferred Stock | |||||||||||||
Loss attributable to each class | $ | (1,254 | ) | $ | - | $ | (3,947 | ) | $ | (22 | ) | |||||
Weighted average number of shares outstanding during the period | 33,754,909 | - | 33,551,070 | 491 | ||||||||||||
Basic and Diluted loss per share | $ | (0.04 | ) | $ | - | $ | (0.12 | ) | $ | (43.73 | ) |
Three Months Ended September 30, 2019 | Nine Months Ended September 30, 2019 | |||||||||||||||
Common Stock | Series C Convertible Preferred Stock | Common Stock | Series C Convertible Preferred Stock | |||||||||||||
Loss attributable to each class | $ | (840 | ) | $ | (20 | ) | $ | (3,079 | ) | $ | (196 | ) | ||||
Weighted average number of shares outstanding during the period | 32,903,287 | 2,105 | 31,663,355 | 5,412 | ||||||||||||
Basic and Diluted loss per share | $ | (0.03 | ) | $ | (9.58 | ) | $ | (0.10 | ) | $ | (36.14 | ) |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2020 | 2019 | 2020 | 2019 | |||||
Common stock purchase warrants | 149,901 | 1,073,319 | 530,923 | 1,776,216 | ||||
Restricted stock units | 119,330 | 120,773 | 149,637 | 123,675 | ||||
Common stock options | 4,908,038 | 4,033,038 | 4,908,038 | 4,178,663 | ||||
Total | 5,177,269 | 5,227,130 | 5,588,598 | 6,078,554 |
September 30, | ||||||||
2021 | 2020 | |||||||
Common stock purchase warrants | 373,626 | 149,901 | ||||||
Restricted stock units | 144,497 | 119,330 | ||||||
Common stock options | 3,963,889 | 4,908,038 | ||||||
Total | 4,482,012 | 5,177,269 |
Three Months Ended September 30, 2020 | ||||||||||||
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Domestic | $ | 3,690 | $ | 261 | $ | 3,951 | ||||||
Foreign | 145 | 1,517 | 1,662 | |||||||||
Total | $ | 3,835 | $ | 1,778 | $ | 5,613 |
Nine Months Ended September 30, 2020 | ||||||||||||
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Domestic | $ | 11,957 | $ | 701 | $ | 12,658 | ||||||
Foreign | 375 | 3,340 | 3,715 | |||||||||
Total | $ | 12,332 | $ | 4,041 | $ | 16,373 |
Three Months Ended September 30, 2019 | ||||||||||||
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Domestic | $ | 5,991 | $ | 241 | $ | 6,232 | ||||||
Foreign | - | 1,248 | 1,248 | |||||||||
Total | $ | 5,991 | $ | 1,489 | $ | 7,480 |
Nine Months Ended September 30, 2019 | ||||||||||||
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Domestic | $ | 17,142 | $ | 943 | $ | 18,085 | ||||||
Foreign | - | 4,603 | 4,603 | |||||||||
Total | $ | 17,142 | $ | 5,546 | $ | 22,688 |
Three Months Ended September 30, 2021 | ||||||||||||
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Domestic | $ | 5,370 | $ | 519 | $ | 5,889 | ||||||
Foreign | 340 | 1,482 | 1,822 | |||||||||
Total | $ | 5,710 | $ | 2,001 | $ | 7,711 |
Nine Months Ended September 30, 2021 | ||||||||||||
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Domestic | $ | 14,923 | $ | 1,113 | $ | 16,036 | ||||||
Foreign | 918 | 3,966 | 4,884 | |||||||||
Total | $ | 15,841 | $ | 5,079 | $ | 20,920 |
Three Months Ended September 30, 2020 | ||||||||||||
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Domestic | $ | 3,690 | $ | 261 | $ | 3,951 | ||||||
Foreign | 145 | 1,517 | 1,662 | |||||||||
Total | $ | 3,835 | $ | 1,778 | $ | 5,613 |
Nine Months Ended September 30, 2020 | ||||||||||||
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Domestic | $ | 11,957 | $ | 701 | $ | 12,658 | ||||||
Foreign | 375 | 3,340 | 3,715 | |||||||||
Total | $ | 12,332 | $ | 4,041 | $ | 16,373 |
Remaining 2021 | $ | 390 | ||
2022 | 1,556 | |||
2023 | 1,479 | |||
2024 | 1,076 | |||
2025 | 362 | |||
Thereafter | 0 | |||
Total | $ | 4,863 |
Remaining 2020 | $ | 148 | ||
2021 | 618 | |||
2022 | 618 | |||
2023 | 551 | |||
2024 | 267 | |||
Thereafter | 2 | |||
Total | $ | 2,204 |
September 30, 2020 | December 31, 2019 | |||||||
Raw materials and work-in-process | $ | 3,071 | $ | 2,651 | ||||
Finished goods | 431 | 376 | ||||||
Total inventories | $ | 3,502 | $ | 3,027 |
September 30, 2020 | December 31, 2019 | |||||||
Lasers placed-in-service | $ | 22,239 | $ | 20,925 | ||||
Equipment, computer hardware and software | 146 | 146 | ||||||
Furniture and fixtures | 234 | 234 | ||||||
Leasehold improvements | 43 | 26 | ||||||
22,662 | 21,331 | |||||||
Accumulated depreciation and amortization | (17,404 | ) | (15,962 | ) | ||||
Property and equipment, net | $ | 5,258 | $ | 5,369 |
Consideration: | ||||
Cash payment | $ | 3,700 | ||
Transaction costs | 57 | |||
Total consideration | $ | 3,757 | ||
Assets acquired: | ||||
Inventory | $ | 284 | ||
Customer lists | 5,314 | |||
Total assets acquired | $ | 5,598 | ||
Liabilities assumed: | ||||
Deferred revenues - service contracts | $ | 1,841 | ||
Total liabilities assumed | $ | 1,841 | ||
Net assets acquired | $ | 3,757 |
September 30, 2021 | December 31, 2020 | |||||||
Raw materials and work-in-process | $ | 3,024 | $ | 2,949 | ||||
Finished goods | 201 | 495 | ||||||
Total inventories | $ | 3,225 | $ | 3,444 |
Balance | Accumulated Amortization | Intangible assets, net | ||||||||||
Core technology | $ | 5,700 | $ | (2,993 | ) | $ | 2,707 | |||||
Product technology | 2,000 | (2,000 | ) | - | ||||||||
Customer relationships | 6,900 | (3,623 | ) | 3,277 | ||||||||
Tradenames | 1,500 | (787 | ) | 713 | ||||||||
$ | 16,100 | $ | (9,403 | ) | $ | 6,697 |
September 30, 2021 | December 31, 2020 | |||||||
Lasers placed-in-service | $ | 25,190 | $ | 22,942 | ||||
Equipment, computer hardware and software | 224 | 146 | ||||||
Furniture and fixtures | 236 | 243 | ||||||
Leasehold improvements | 43 | 43 | ||||||
25,693 | 23,374 | |||||||
Accumulated depreciation and amortization | (19,290 | ) | (17,845 | ) | ||||
Property and equipment, net | $ | 6,403 | $ | 5,529 |
Balance | Accumulated Amortization | Intangible assets, net | ||||||||||
Core technology | $ | 5,700 | $ | (3,562 | ) | $ | 2,138 | |||||
Product technology | 2,000 | (2,000 | ) | 0 | ||||||||
Customer relationships | 6,900 | (4,313 | ) | 2,587 | ||||||||
Tradenames | 1,500 | (938 | ) | 562 | ||||||||
Pharos customer list | 5,314 | (55 | ) | 5,259 | ||||||||
$ | 21,414 | $ | (10,868 | ) | $ | 10,546 |
Balance | Accumulated Amortization | Intangible assets, net | ||||||||||
Core technology | $ | 5,700 | $ | (3,135 | ) | $ | 2,565 | |||||
Product technology | 2,000 | (2,000 | ) | 0 | ||||||||
Customer relationships | 6,900 | (3,795 | ) | 3,105 | ||||||||
Tradenames | 1,500 | (825 | ) | 675 | ||||||||
$ | 16,100 | $ | (9,755 | ) | $ | 6,345 |
Remaining 2020 | $ | 352 | ||||||
2021 | 1,410 | |||||||
Remaining 2021 | $ | 463 | ||||||
2022 | 1,410 | 1,853 | ||||||
2023 | 1,410 | 1,853 | ||||||
2024 | 1,410 | 1,853 | ||||||
2025 | 705 | 1,148 | ||||||
Thereafter | 3,376 | |||||||
Total | $ | 6,697 | $ | 10,546 |
September 30, 2020 | December 31, 2019 | September 30, 2021 | December 31, 2020 | |||||||||||||
Accrued warranty, current | $ | 107 | $ | 170 | $ | 54 | $ | 87 | ||||||||
Accrued compensation, including commissions and vacation | 780 | 1,193 | 1,578 | 891 | ||||||||||||
Accrued state sales, use and other taxes | 3,094 | 3,193 | 3,152 | 3,105 | ||||||||||||
Accrued professional fees and other accrued liabilities | 577 | 578 | 764 | 607 | ||||||||||||
Total other accrued liabilities | $ | 4,558 | $ | 5,134 | $ | 5,548 | $ | 4,690 |
Three Months Ended, September 30, | Nine Months Ended, September 30, | Three Months Ended, September 30, | Nine Months Ended, September 30, | |||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||||
Accrual at beginning of period | $ | 139 | $ | 291 | $ | 232 | $ | 238 | $ | 98 | $ | 139 | $ | 113 | $ | 232 | ||||||||||||||||
Additions charged to warranty expense | 37 | 26 | 46 | 169 | 11 | 37 | 52 | 46 | ||||||||||||||||||||||||
Expiring warranties/claimed satisfied | (41 | ) | (61 | ) | (143 | ) | (151 | ) | (28 | ) | (41 | ) | (84 | ) | (143 | ) | ||||||||||||||||
Total | 135 | 256 | 135 | 256 | 81 | 135 | 81 | 135 | ||||||||||||||||||||||||
Less: current portion | (107 | ) | (179 | ) | (107 | ) | (179 | ) | (54 | ) | (107 | ) | (54 | ) | (107 | ) | ||||||||||||||||
Total long-term accrued warranty costs | $ | 28 | $ | 77 | $ | 28 | $ | 77 | $ | 27 | $ | 28 | $ | 27 | $ | 28 |
September 30, 2020 | ||||
Term notes | 2,528 | |||
Less: current portion | (1,134 | ) | ||
Total long-term debt | $ | 1,394 |
2024 | $ | 1,000 | ||
2025 | 4,000 | |||
2026 | 3,000 | |||
Total | $ | 8,000 |
Number of shares | Weighted average exercise price per share | Weighted average remaining contractual term (years) | ||||||||||
Outstanding at January 1, 2021 | 5,292,888 | $ | 1.87 | |||||||||
Granted | 2,043,714 | $ | 1.67 | |||||||||
Exercised | (1,557,628 | ) | $ | 1.12 | ||||||||
Forfeited/expired | (1,815,085 | ) | $ | 1.84 | ||||||||
Outstanding at September 30, 2021 | 3,963,889 | $ | 2.05 | 8.2 | ||||||||
Exercisable at September 30, 2021 | 1,236,841 | $ | 2.77 | 5.6 |
Issue Date | Expiration Date | Total Warrants | Exercise Price | |||||||
December 30, 2015 | December 30, 2020 | 130,089 | $ | 5.65 | ||||||
January 29, 2016 | January 29, 2021 | 19,812 | $ | 5.30 | ||||||
149,901 |
Expected volatility | 90.4 | % | ||
Risk‑free interest rate | 1.0 | % | ||
Expected life (in years) | 5.9 | |||
Expected dividend yield | 0 | % | ||
Fair value of common stock | $ | 1.68 |
Number of shares | Weighted average grant date fair value | |||||||
Unvested at January 1, 2021 | 0 | $ | 0 | |||||
Granted | 290,861 | $ | 1.44 | |||||
Vested | (146,364 | ) | $ | 1.42 | ||||
Unvested at September 30, 2021 | 144,497 | $ | 1.45 |
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Revenues | $ | 3,835 | $ | 1,778 | $ | 5,613 | ||||||
Costs of revenues | 1,368 | 1,015 | 2,383 | |||||||||
Gross profit | 2,467 | 763 | 3,230 | |||||||||
Gross profit % | 64.3 | % | 42.9 | % | 57.5 | % | ||||||
Allocated operating expenses: | ||||||||||||
Engineering and product development | 329 | 82 | 411 | |||||||||
Selling and marketing | 1,883 | 168 | 2,051 | |||||||||
Unallocated operating expenses | - | - | 1,929 | |||||||||
2,212 | 250 | 4,391 | ||||||||||
Income (loss) from operations | 255 | 513 | (1,161 | ) | ||||||||
Interest expense, net | - | - | (21 | ) | ||||||||
Income (loss) before income taxes | $ | 255 | $ | 513 | $ | (1,182 | ) |
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Revenues | $ | 5,710 | $ | 2,001 | $ | 7,711 | ||||||
Costs of revenues | 1,512 | 823 | 2,335 | |||||||||
Gross profit | 4,198 | 1,178 | 5,376 | |||||||||
Gross profit % | 73.5 | % | 58.9 | % | 69.7 | % | ||||||
Allocated operating expenses: | ||||||||||||
Engineering and product development | 333 | 38 | 371 | |||||||||
Selling and marketing | 3,094 | 201 | 3,295 | |||||||||
Unallocated operating expenses | 0 | 0 | 2,175 | |||||||||
3,427 | 239 | 5,841 | ||||||||||
Income (loss) from operations | 771 | 939 | (465 | ) | ||||||||
Interest expense, net | 0 | 0 | (52 | ) | ||||||||
Income (loss) before income taxes | $ | 771 | $ | 939 | $ | (517 | ) |
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Revenues | $ | 12,332 | $ | 4,041 | $ | 16,373 | ||||||
Costs of revenues | 4,534 | 2,246 | 6,780 | |||||||||
Gross profit | 7,798 | 1,795 | 9,593 | |||||||||
Gross profit % | 63.2 | % | 44.4 | % | 58.6 | % | ||||||
Allocated operating expenses: | ||||||||||||
Engineering and product development | 828 | 122 | 950 | |||||||||
Selling and marketing | 6,021 | 425 | 6,446 | |||||||||
Unallocated operating expenses | - | - | 5,921 | |||||||||
6,849 | 547 | 13,317 | ||||||||||
Income (loss) from operations | 949 | 1,248 | (3,724 | ) | ||||||||
Interest expense, net | - | - | (38 | ) | ||||||||
Income (loss) before income taxes | $ | 949 | $ | 1,248 | $ | (3,762 | ) |
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | |||||||||||||||||||
Revenues | $ | 5,991 | $ | 1,489 | $ | 7,480 | $ | 15,841 | $ | 5,079 | $ | 20,920 | ||||||||||||
Costs of revenues | 1,966 | 889 | 2,855 | 4,648 | 2,422 | 7,070 | ||||||||||||||||||
Gross profit | 4,025 | 600 | 4,625 | 11,193 | 2,657 | 13,850 | ||||||||||||||||||
Gross profit % | 67.2 | % | 40.3 | % | 61.8 | % | 70.7 | % | 52.3 | % | 66.2 | % | ||||||||||||
Allocated operating expenses: | ||||||||||||||||||||||||
Engineering and product development | 226 | 23 | 249 | 1,013 | 145 | 1,158 | ||||||||||||||||||
Selling and marketing | 2,762 | 125 | 2,887 | 8,805 | 582 | 9,387 | ||||||||||||||||||
Unallocated operating expenses | - | - | 2,218 | 0 | 0 | 7,085 | ||||||||||||||||||
2,988 | 148 | 5,354 | 9,818 | 727 | 17,630 | |||||||||||||||||||
Income (loss) from operations | 1,037 | 452 | (729 | ) | 1,375 | 1,930 | (3,780 | ) | ||||||||||||||||
Gain on forgiveness of debt | 0 | 0 | 2,028 | |||||||||||||||||||||
Interest expense, net | - | - | (153 | ) | 0 | 0 | (93 | ) | ||||||||||||||||
Income (loss) before income taxes | $ | 1,037 | $ | 452 | $ | (882 | ) | $ | 1,375 | $ | 1,930 | $ | (1,845 | ) |
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Revenues | $ | 3,835 | $ | 1,778 | $ | 5,613 | ||||||
Costs of revenues | 1,368 | 1,015 | 2,383 | |||||||||
Gross profit | 2,467 | 763 | 3,230 | |||||||||
Gross profit % | 64.3 | % | 42.9 | % | 57.5 | % | ||||||
Allocated operating expenses: | ||||||||||||
Engineering and product development | 329 | 82 | 411 | |||||||||
Selling and marketing | 1,883 | 168 | 2,051 | |||||||||
Unallocated operating expenses | 0 | 0 | 1,929 | |||||||||
2,212 | 250 | 4,391 | ||||||||||
Income (loss) from operations | 255 | 513 | (1,161 | ) | ||||||||
Interest expense, net | 0 | 0 | (21 | ) | ||||||||
Income (loss) before income taxes | $ | 255 | $ | 513 | $ | (1,182 | ) |
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Revenues | $ | 17,142 | $ | 5,546 | $ | 22,688 | ||||||
Costs of revenues | 5,492 | 3,052 | 8,544 | |||||||||
Gross profit | 11,650 | 2,494 | 14,144 | |||||||||
Gross profit % | 68.0 | % | 45.0 | % | 62.3 | % | ||||||
Allocated operating expenses: | ||||||||||||
Engineering and product development | 666 | 122 | 788 | |||||||||
Selling and marketing | 8,301 | 610 | 8,911 | |||||||||
Unallocated operating expenses | - | - | 7,398 | |||||||||
8,967 | 732 | 17,097 | ||||||||||
Income (loss) from operations | 2,683 | 1,762 | (2,953 | ) | ||||||||
Interest expense, net | - | - | (433 | ) | ||||||||
Income (loss) before income taxes | $ | 2,683 | $ | 1,762 | $ | (3,386 | ) |
Dermatology Recurring Procedures | Dermatology Procedures Equipment | TOTAL | ||||||||||
Revenues | $ | 12,332 | $ | 4,041 | $ | 16,373 | ||||||
Costs of revenues | 4,534 | 2,246 | 6,780 | |||||||||
Gross profit | 7,798 | 1,795 | 9,593 | |||||||||
Gross profit % | 63.2 | % | 44.4 | % | 58.6 | % | ||||||
Allocated operating expenses: | ||||||||||||
Engineering and product development | 828 | 122 | 950 | |||||||||
Selling and marketing | 6,021 | 425 | 6,446 | |||||||||
Unallocated operating expenses | 0 | 0 | 5,921 | |||||||||
6,849 | 547 | 13,317 | ||||||||||
Income (loss) from operations | 949 | 1,248 | (3,724 | ) | ||||||||
Interest expense, net | 0 | 0 | (38 | ) | ||||||||
Income (loss) before income taxes | $ | 949 | $ | 1,248 | $ | (3,762 | ) |
For the year ending December 31, | Amount | |||
Remaining 2021 | $ | 122 | ||
2022 | 371 | |||
2023 | 242 | |||
2024 | 186 | |||
Total remaining lease payments | 921 | |||
Less: imputed interest | (117 | ) | ||
Total lease liabilities | $ | 804 |
For the year ending December 31, | Amount | |||
Remaining 2020 | $ | 115 | ||
2021 | 456 | |||
2022 | 371 | |||
2023 | 242 | |||
2024 | 186 | |||
Total remaining lease payments | 1,370 | |||
Less: imputed interest | (205 | ) | ||
Total lease liabilities | $ | 1,165 |
ITEM 2. | Management’s Discussion and Analysis of Financial Condition and Results of Operations. |
• | XTRAC® Excimer Laser. XTRAC received FDA clearance in 2000 and has since become a widely recognized treatment among dermatologists for psoriasis and other skin diseases. The XTRAC System delivers ultra-narrowband ultraviolet B (“UVB”) light to affected areas of skin. Following a series of treatments typically performed twice weekly, psoriasis remission can be achieved, and vitiligo patches can be re-pigmented. XTRAC is endorsed by the National Psoriasis Foundation, and its use for psoriasis is covered by nearly all major insurance companies, including Medicare. We estimate that more than half of all major insurance companies now offer reimbursement for vitiligo as well, a figure that is increasing. |
• | ||
VTRAC® Lamp. VTRAC received FDA clearance in 2005 and provides targeted therapeutic efficacy demonstrated by excimer technology with the simplicity of design and reliability of a lamp system. |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||||
Dermatology Recurring Procedures | $ | 3,835 | $ | 5,991 | $ | 12,332 | $ | 17,142 | $ | 5,710 | $ | 3,835 | $ | 15,841 | $ | 12,332 | ||||||||||||||||
Dermatology Procedures Equipment | 1,778 | 1,489 | 4,041 | 5,546 | 2,001 | 1,778 | 5,079 | 4,041 | ||||||||||||||||||||||||
Total Revenues | $ | 5,613 | $ | 7,480 | $ | 16,373 | $ | 22,688 | $ | 7,711 | $ | 5,613 | $ | 20,920 | $ | 16,373 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||||
Dermatology Recurring Procedures | $ | 1,368 | $ | 1,966 | $ | 4,534 | $ | 5,492 | $ | 1,512 | $ | 1,368 | $ | 4,648 | $ | 4,534 | ||||||||||||||||
Dermatology Procedures Equipment | 1,015 | 889 | 2,246 | 3,052 | 823 | 1,015 | 2,422 | 2,246 | ||||||||||||||||||||||||
Total Cost of Revenues | $ | 2,383 | $ | 2,855 | $ | 6,780 | $ | 8,544 | $ | 2,335 | $ | 2,383 | $ | 7,070 | $ | 6,780 |
Company Profit Analysis | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Revenues | $ | 7,711 | $ | 5,613 | $ | 20,920 | $ | 16,373 | ||||||||
Cost of revenues | 2,335 | 2,383 | 7,070 | 6,780 | ||||||||||||
Gross profit | $ | 5,376 | $ | 3,230 | $ | 13,850 | $ | 9,593 | ||||||||
Gross profit percentage | 69.7 | % | 57.5 | % | 66.2 | % | 58.6 | % |
Company Profit Analysis | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||||||||||
Dermatology Recurring Procedures | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||||
Revenues | $ | 5,613 | $ | 7,480 | $ | 16,373 | $ | 22,688 | $ | 5,710 | $ | 3,835 | $ | 15,841 | $ | 12,332 | ||||||||||||||||
Percent decrease | (25.0 | )% | (27.8 | )% | ||||||||||||||||||||||||||||
Cost of revenues | 2,383 | 2,855 | 6,780 | 8,544 | 1,512 | 1,368 | 4,648 | 4,534 | ||||||||||||||||||||||||
Percent decrease | (16.5 | )% | (20.6 | )% | ||||||||||||||||||||||||||||
Gross profit | $ | 3,230 | $ | 4,625 | $ | 9,593 | $ | 14,144 | $ | 4,198 | $ | 2,467 | $ | 11,193 | $ | 7,798 | ||||||||||||||||
Gross profit percentage | 57.5 | % | 61.8 | % | 58.6 | % | 62.3 | % | 73.5 | % | 64.3 | % | 70.7 | % | 63.2 | % |
Dermatology Recurring Procedures | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||
Revenues | $ | 3,835 | $ | 5,991 | $ | 12,332 | $ | 17,142 | ||||||||
Percent decrease | (35.9 | )% | (28.1 | )% | ||||||||||||
Cost of revenues | 1,368 | 1,966 | 4,534 | 5,492 | ||||||||||||
Percent decrease | (30.4 | )% | (17.4 | )% | ||||||||||||
Gross profit | $ | 2,467 | $ | 4,025 | $ | 7,798 | $ | 11,650 | ||||||||
Gross profit percentage | 64.3 | % | 67.2 | % | 63.2 | % | 68.0 | % |
Dermatology Procedures Equipment | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||||
Revenues | $ | 1,778 | $ | 1,489 | $ | 4,041 | $ | 5,546 | $ | 2,001 | $ | 1,778 | $ | 5,079 | $ | 4,041 | ||||||||||||||||
Percent increase (decrease) | 19.4 | % | (27.1 | )% | ||||||||||||||||||||||||||||
Cost of revenues | 1,015 | 889 | 2,246 | 3,052 | 823 | 1,015 | 2,422 | 2,246 | ||||||||||||||||||||||||
Percent increase (decrease) | 14.2 | % | (26.4 | )% | ||||||||||||||||||||||||||||
Gross profit | $ | 763 | $ | 600 | $ | 1,795 | $ | 2,494 | $ | 1,178 | $ | 763 | $ | 2,657 | $ | 1,795 | ||||||||||||||||
Gross profit percentage | 42.9 | % | 40.3 | % | 44.4 | % | 45.0 | % | 58.9 | % | 42.9 | % | 52.3 | % | 44.4 | % |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Net loss | $ | (521 | ) | $ | (1,254 | ) | $ | (1,857 | ) | $ | (3,969 | ) | ||||
Adjustments: | ||||||||||||||||
Depreciation and amortization | 983 | 807 | 2,689 | 2,793 | ||||||||||||
Amortization of right-of-use-asset | 87 | 83 | 261 | 242 | ||||||||||||
Loss (gain) on disposal of property and equipment | 10 | 4 | 73 | 23 | ||||||||||||
Income taxes | 4 | 72 | 12 | 207 | ||||||||||||
Gain on forgiveness of debt | - | - | (2,028 | ) | - | |||||||||||
Interest expense, net | 52 | 21 | 93 | 38 | ||||||||||||
Non-GAAP EBITDA | 615 | (267 | ) | (757 | ) | (666 | ) | |||||||||
Stock compensation | 320 | 403 | 1,563 | 1,243 | ||||||||||||
Non-GAAP adjusted EBITDA | $ | 935 | $ | 136 | $ | 806 | $ | 577 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||
Net Loss | $ | (1,254 | ) | $ | (860 | ) | $ | (3,969 | ) | $ | (3,275 | ) | ||||
Adjustments: | ||||||||||||||||
Depreciation/amortization* | 890 | 1,183 | 3,035 | 3,677 | ||||||||||||
Income taxes | 72 | (22 | ) | 207 | (111 | ) | ||||||||||
Interest expense, net | 21 | 153 | 38 | 433 | ||||||||||||
Non-GAAP EBITDA | (271 | ) | 454 | (689 | ) | 724 | ||||||||||
Stock compensation | 403 | 257 | 1,243 | 883 | ||||||||||||
Non-GAAP adjusted EBITDA | $ | 132 | $ | 711 | $ | 554 | $ | 1,607 |
ITEM 3. | Quantitative and Qualitative Disclosure about Market Risk |
ITEM 4. | Controls and Procedures |
ITEM 1. | Legal Proceedings |
ITEM 1A. | Risk Factors |
ITEM 2. | Unregistered Sales of Equity Securities and Use of Proceeds |
ITEM 3. | Defaults Upon Senior Securities. |
ITEM 4. | Mine Safety Disclosures |
ITEM 5. | Other Information |
ITEM 6. | Exhibits |
3.1 | ||
3.2 | ||
10.1 |
10.3 | ||
10.4 | ||
10.5 | ||
10.6 | ||
31.1 | ||
31.2 | ||
32.1* | ||
101.INS | XBRL Instance Document | |
101.SCH | XBRL Taxonomy Schema | |
101.CAL | XBRL Taxonomy Calculation Linkbase | |
101.DEF | XBRL Taxonomy Definition Linkbase | |
101.LAB | XBRL Taxonomy Label Linkbase | |
101.PRE | XBRL Taxonomy Presentation Linkbase |
* | The certifications attached as Exhibit 32.1 accompany this Quarterly Report on Form 10-Q pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, and shall not be deemed “filed” by the Registrant for purposes of Section 18 of the Securities Exchange Act of 1934, as amended. |
STRATA SKIN SCIENCES, INC. |
Date November | By: | /s/ Robert J. Moccia | ||
Name | ||||
Robert J. Moccia | |||
Title President & Chief Executive Officer |
Date November 12, 2021 | By: | /s/ Christopher Lesovitz | |
Name Christopher Lesovitz | |||
Title Chief Financial Officer |