ESCONDIDO, Calif., March 21, 2019 (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, 2018. 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

  • $0.7 million operating profit for fourth quarter 2018 and $2.5 million full year 2018
  • Reduced fourth quarter net loss by 87.5% compared to 2017 from $ 4.0 million to $0.5 million; and full year 2018 net loss by 86.2% from $16.1 million to $2.2 million
  • Amended loan agreement with CRG to extend the “Interest-Only Period”, pushing out the principal payments to 2020
  • Cash position of $8.5 million as of December 31, 2018, an increase from $8.2 million as of September 30, 2018 and $7.3 million as of December 31, 2017

For the three months ended December 31, 2018, TearLab’s net revenues were $6.0 million, down 13% from $6.9 million for the same period in 2017.

The following table sets out the estimated annualized revenue per U.S. device and account analysis for the fourth quarter ended December 31, 2018:

      Annualized Annualized
  Active Active Revenue Revenue
Program Devices Accounts Per Device Per Account
Purchased   1,123 946 $  2,361 $  2,802
Masters   1,730 210 $  2,861 $  23,567
Flex   1,967 668 $  7,097 $  20,898
Total   4,820    1,824     

The Company’s reported net loss for the 2018 fourth quarter was approximately $0.5 million, or ($0.05) basic loss per share, compared to a reported net loss of approximately $4.0 million, or ($0.63) basic loss per share in the fourth quarter of 2017. 

“In the fourth quarter and throughout 2018, we made progress in executing our new business strategy, growing our customer base and strengthening our cash position. We are committed to capitalizing on the current market momentum for osmolarity and remain committed to bringing the Tearlab Discovery™ system to the U.S. market,” said Seph Jensen, TearLab’s Chief Executive Officer.

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, 2018, to be filed with the SEC on or about March 21, 2019. We do not undertake to update any forward-looking statements except as required by law.

CONTACT:  
The Ruth Group 
Lee Roth 
Tel: 646-536-7012 
lroth@theruthgroup.com



TearLab Corp.
Condensed Consolidated Statements of Operations
(Expressed in U.S. Dollars (000's) except for number of shares and net loss per share)
(Unaudited)


  Three months
   ended December 31,
   2018   2017 
Revenue    
  Product sales $  5,275   $  6,288 
  Reader equipment rentals     713       593 
Total revenue  5,988    6,881 
Cost of goods sold    
Cost of goods sold  (excluding amortization of intangible assets)  2,143    2,741 
Cost of goods sold - reader equipment depreciation  186    793 
Gross profit  3,659    3,347 
Operating expenses    
Sales and marketing  596    3,036 
Clinical, regulatory and research & development      822      1,119 
General and administrative     1,492       2,017 
Total operating expenses    2,910       6,172 
Income/Loss from operations      749      (2,825)
Other income (expense)     (1,261)    (1,141)
Net loss and comprehensive loss $  (512) $  (3,966)
Weighted average shares outstanding      11,296,998      6,303,589 
Net loss per share $  (0.05) $  (0.63)


TearLab Corp.
Condensed 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,
   2018   2017 
     
Revenue    
  Product sales $  22,153   $  24,237 
  Reader equipment rentals    2,846      2,882 
Total revenue  24,999    27,119 
Cost of goods sold    
Cost of goods sold  (excluding amortization of intangible assets)  8,495    10,993 
Cost of goods sold - reader equipment depreciation  961    2,121 
Gross profit  15,543    14,005 
Operating expenses    
Sales and marketing    3,334      12,330 
Clinical, regulatory and research & development     3,587      4,691 
General and administrative    6,160      8,772 
Total operating expenses    13,081      25,793 
Income/Loss from operations     2,462      (11,788)
Other income (expense)    (4,713)     (4,313)
Net loss and comprehensive loss $  (2,251) $  (16,101)
Weighted average shares outstanding  - basic and diluted   10,615,513      5,789,714 
Net loss per share  – basic and diluted $  (0.21) $  (2.78)




TearLab Corp.
Consolidated Balance Sheets
(Expressed in U.S. Dollars (000's)

 


  December 31, December 31,
   2018   2017 
ASSETS    
Current assets    
Cash $  8,473   $  7,272 
Accounts receivable, net    1,186      1,536 
Inventory    1,987      1,998 
Prepaid expenses and other current assets    690      690 
Total current assets  12,336   11,496 
     
Fixed assets, net  2,024   2,739 
Intangible assets, net  2   10 
Other non-current assets  151   100 
Total assets $  14,513   $  14,345 
     
LIABILITIES AND STOCKHOLDERS’ DEFICIT    
Current liabilities    
Accounts payable $  681   $  1,720 
Accrued liabilities  2,363   2,859 
Deferred Rent  13   42 
Total current liabilities  3,057   4,621 
     
Long-term debt, net    32,014      28,290 
Long-term related party payable    111     - 
     
Total liabilities  35,182   32,911 
     
Stockholders’ deficit    
Capital stock    
Preferred Stock, $0.001 par value, 10,000,000 authorized,  556 and  2,012 issued and outstanding at December 31, 2018 and December 31, 2017    -       -  
Common stock, $0.001 par value, and 40,000,000 authorized,  11,296,998 and 7,986,998 issued and outstanding at December 31, 2018 and December 31, 2017, respectively  11   8 
Additional paid-in capital  510,380   510,235 
Accumulated deficit    (531,060)    (528,809)
Total stockholders’ deficit    (20,669)    (18,566)
Total liabilities and stockholders’ deficit $  14,513   $  14,345