TearLab Corporation Reports Fourth Quarter and Full Year 2019 Financial Results


ESCONDIDO, Calif., March 05, 2020 (GLOBE NEWSWIRE) -- TearLab Corporation (OTCQB: TEAR) (“TearLab” or the “Company”) today reported its consolidated financial results for the fourth quarter and twelve months ended December 31, 2019. All dollar amounts are expressed in U.S. currency and results are reported in accordance with United States generally accepted accounting principles except where noted otherwise.

Recent Highlights

  • Fourth quarter revenue of $5.5 million
  • Cash position of $7.1 million as of December 31, 2019
  • Expanded the U.S. active device base to 4,834 and active accounts to 1,854 TearLab Osmolarity Systems

For the three months ended December 31, 2019, TearLab’s net revenues were $5.5 million, down 8.3% from $6.0 million for the same period in 2018.

The following table sets out the estimated annualized revenue per U.S. device and account analysis for the fourth quarter ended December 31, 2019:

      Annualized Annualized
  Active Active Revenue Revenue
Program Devices Accounts Per Device Per Account
Purchased 1,308 1,083 $2,164 $2,613
Masters 1,767 209 $2,868 $24,245
Flex 1,759 562 $6,618 $20,713
Total 4,834 1,854    
         

The Company’s reported net loss for the 2019 fourth quarter was approximately $1.2 million, or ($0.09) basic loss per share, compared to a reported net loss of approximately $0.5 million, or ($0.05) basic loss per share in the fourth quarter of 2018. 

“We were pleased to continue the expansion of our customer base throughout 2019,” said Seph Jensen, TearLab’s Chief Executive Officer. “We remain focused on the resubmission of our 510(k) application to secure FDA clearance of our next-generation TearLab Discovery™ System.”

About TearLab Corporation 
TearLab Corporation (www.tearlab.com) develops and markets lab-on-a-chip technologies that enable eye care practitioners to improve standard of care by objectively and quantitatively testing for disease markers in tears at the point-of-care. The TearLab Osmolarity Test, for diagnosing Dry Eye Disease, is the first assay developed for the award-winning TearLab Osmolarity System. TearLab Corporation's common shares trade on the OTCQB Market under the symbol 'TEAR'.

Forward-Looking Statements 
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include, among others, the ability to capitalize on the current market momentum for osmolarity and to bring the Tearlab Discovery™ system to the U.S. market. These forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause actual results to be materially different from any future results expressed or implied by the forward-looking statements.  Forward-looking statements are based on management’s current, preliminary expectations and are subject to various risks and uncertainties. Many factors, risks and uncertainties may cause our actual results to differ materially from forward-looking statements, including the factors, risks, and uncertainties detailed in our filings with the Securities and Exchange Commission, including but not limited to our Annual Report on Form 10-K for the year ended December 31, 2019. We do not undertake to update any forward-looking statements except as required by law.

CONTACT: Investor Contact: 
The Ruth Group 
James Salierno / Cameron Willis
Tel: 646-536-7028 / 7038 
jsalierno@theruthgroup.com / cwillis@theruthgroup.com

 
TearLab Corp.
Consolidated Statements of Operations
(Expressed in U.S. Dollars (000's) except for number of shares and net loss per share)
(Unaudited)
 Three months
 December 31,
 2019 2018
Revenue   
Product sales$  4,810   $5,275 
Reader equipment rentals   683    713 
Total revenue 5,493    5,988 
Cost of goods sold   
Cost of goods sold (excluding amortization of intangible assets) 1,945    2,143 
Cost of goods sold - reader equipment depreciation 78    186 
Gross profit 3,470    3,659 
Operating expenses   
Sales and marketing 889    596 
Clinical, regulatory and research & development   894    822 
General and administrative   1,349    1,492 
Total operating expenses   3,132    2,910 
Income from operations    338    749 
Other income (expense)   (1,490)   (1,261) 
Net loss and comprehensive loss$  (1,152)  $(512) 
Weighted average shares outstanding – basic and diluted   12,560,635    11,296,998 
Net loss per share – basic and diluted$  (0.09)  $(0.05) 


TearLab Corp.
Consolidated Statements of Operations
(Expressed in U.S. Dollars (000's) except for number of shares and net loss per share)
  
 Years ended December 31,
 2019 2018
    
Revenue   
Product sales$   19,903   $22,153 
Reader equipment rentals   2,752    2,846 
Total revenue 22,655    24,999 
Cost of goods sold   
Cost of goods sold (excluding amortization of intangible assets) 7,909    8,495 
Cost of goods sold - reader equipment depreciation 447    961 
Gross profit 14,299    15,543 
Operating expenses   
Sales and marketing   3,652    3,334 
Clinical, regulatory and research & development   3,817    3,587 
General and administrative   6,555    6,160 
Total operating expenses   14,024    13,081 
Income from operations    275    2,462 
Other income (expense)   (5,691)   (4,713) 
Net loss and comprehensive loss$   (5,416)  $(2,251) 
Weighted average shares outstanding - basic and diluted  12,178,565    10,615,513 
Net loss per share – basic and diluted$  (0.44)  $(0.21) 


TearLab Corp.
Consolidated Balance Sheet
(Expressed in U.S. Dollars (000's) except for number of shares and net loss per share)
 December 31, December 31,
 2019 2018
ASSETS   
Current assets   
Cash$   7,108   $8,473 
Accounts receivable, net   917    1,186 
Inventory   2,269    1,987 
Prepaid expenses and other current assets   1,562    690 
Total current assets 11,856   12,336 
    
Fixed assets, net 1,670   2,024 
Intangible assets, net 2   2 
Right of use assets 645   - 
Other non-current assets 120   151 
Total assets$   14,293   $14,513 
    
LIABILITIES AND STOCKHOLDERS’ DEFICIT   
Current liabilities   
Accounts payable$   599   $681 
Accrued liabilities 2,336   2,363 
Deferred Rent 2   13 
Current portion of long-term debt   36,578    - 
Current portion of lease liability   240    - 
Total current liabilities 39,755   3,057 
    
Long-term debt, net   -   32,014 
Long-term lease liability, net of current portion   429    - 
Long-term third party payable   130    111 
    
Total liabilities 40,314   35,182 
    
Stockholders’ deficit   
Capital stock   
Preferred Stock, $0.001 par value, 10,000,000 authorized, 0 and 556 issued and outstanding at December 31, 2019 and December 31, 2018, respectively   -   - 
Common stock, $0.001 par value, and 40,000,000 authorized, 12,560,635 and 11,296,998 issued and outstanding at December 31, 2019 and December 31, 2018, respectively 13   11 
Additional paid-in capital 510,442   510,380 
Accumulated deficit   (536,476)   (531,060) 
Total stockholders’ deficit   (26,021)   (20,669) 
Total liabilities and stockholders’ deficit$  14,293   $14,513