Predictive Oncology Reports Financial Results for Quarter Ended June 30, 2021, and Provides Business Update
Predictive Oncology (POAI) reported strong financial results for Q2 2021, highlighting revenue of $350,207, a 92% increase from the previous year. The company's cash balance rose to $44.9 million, up from $3.4 million in 2020, following a $19.4 million equity offering. Total Stockholders’ Equity surged to $53.1 million. Key developments include the partnership with Cellevate AB and the construction of new GMP facilities expected to enhance revenue growth. CEO J. Melville Engle indicated confidence in retaining growth momentum through strategic investments in personnel and technology.
- Revenue increased 92% YoY to $350,207 for Q2 2021.
- Cash balance improved to $44.9 million compared to $3.4 million in Q2 2020.
- Total Stockholders’ Equity rose to $53.1 million, significantly up from $2.6 million at year-end 2020.
- Successful equity offering generated $19.4 million.
- New GMP facilities being built expected to drive future revenue growth.
- Net cash used in operating activities was $5.5 million, which indicates ongoing cash outflows.
MINNEAPOLIS, Aug. 11, 2021 (GLOBE NEWSWIRE) -- Predictive Oncology (Nasdaq: POAI), a knowledge-driven company focused on applying artificial intelligence (“AI”) to personalized medicine and drug discovery, today reported financial results for the quarter ended June 30, 2021, and provided an update on business activities.
Q2 2021 Highlights:
- Net proceeds of
$19.4 million from registered direct equity offering, contributing to a cash balance of$44.9 million on June 30, 2021, compared to$3.4 million for the same period in 2020. - Total Stockholders’ Equity increased
$50.4 million to$53.1 million as of June 30, 2021, compared to$2.6 million on December 31, 2020. - Predictive subsidiary TumorGenesis partners with Swedish firm Cellevate AB, a collaboration designed to help give researchers next-generation tools to build treatments for difficult diseases.
- Subsidiaries TumorGenesis and Soluble Biotech announce construction of GMP facilities expected to be completed by year end, allowing an expansion of their unique services to better meet the needs of their growing customer bases.
- Introduced Dr. Christina Jenkins, MD, strategic advisor and venture investor with expertise in clinical medicine, health systems, and health plans as its newest board member.
“We are pleased with the progress our business segments are making as we conclude the first full year of operations for Soluble Biotech,” commented J. Melville Engle, Predictive Oncology Chief Executive Officer. “Soluble and TumorGenesis’ new GMP facilities are slated for completion by the end of 2021, which we expect will drive revenue growth opportunities as we meet the needs of researchers who are exploring ways to use the cancer cell’s own mechanisms to produce a target, expressed protein or biological target.”
“Predictive Oncology believes the results from this quarter show growth opportunities in our business segments, consistent with our goals and business objectives, and with even greater potential in the future. As we look towards the latter half of the year, we are confident that we will retain this trajectory as we invest in our people and our product offerings, supporting pharmaceutical companies to deliver more targeted approaches to therapy, increasing our footprint in this space and bringing value to our shareholders.”
Q2 2021 Financial results
The Company recorded revenue of
During the three months ended June 30, 2021, revenue increased to
The gross profit margin was approximately
Operations expense increased by
The Company’s sales and marketing expenses increased by
Net cash used in operating activities was
Net cash provided by financing activities was
About Predictive Oncology Inc.
Predictive Oncology (NASDAQ: POAI) operates through three segments (Skyline, Helomics and Soluble Biotech), which contain four subsidiaries: Helomics, TumorGenesis, Skyline Medical and Soluble Biotech.
Helomics applies artificial intelligence to its rich data gathered from patient tumors to both personalize cancer therapies for patients and drive the development of new targeted therapies in collaborations with pharmaceutical companies. TumorGenesis Inc. specializes in media that help cancer cells grow and retain their DNA/RNA and proteomic signatures, providing researchers with a tool to expand and study cancer cell types found in tumors of the blood and organ systems of all mammals, including humans. Skyline Medical markets its patented and FDA cleared STREAMWAY System, which automates the collection, measurement and disposal of waste fluid, including blood, irrigation fluid and others, within a medical facility, through both domestic and international divisions. Soluble Biotech is a provider of soluble and stable formulations for proteins including vaccines, antibodies, large and small proteins and protein complexes.
Forward-Looking Statements:
Certain matters discussed in this release contain forward-looking statements. These forward-looking statements reflect our current expectations and projections about future events and are subject to substantial risks, uncertainties and assumptions about our operations and the investments we make. All statements, other than statements of historical facts, included in this press release regarding our strategy, future operations, future financial position, future revenue and financial performance, projected costs, prospects, plans and objectives of management are forward-looking statements. The words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “plan,” “would,” “target” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Our actual future performance may materially differ from that contemplated by the forward-looking statements as a result of a variety of factors including, among other things, factors discussed under the heading “Risk Factors” in our filings with the SEC. Except as expressly required by law, the Company disclaims any intent or obligation to update these forward-looking statements.
PREDICTIVE ONCOLOGY INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
| June 30, 2021 | December 31, 2020 | |||||||||
| (unaudited) | (audited) | |||||||||
| ASSETS | ||||||||||
| Current Assets: | ||||||||||
| Cash and cash equivalents | $ | 44,881,034 | $ | 678,332 | ||||||
| Accounts Receivable | 196,520 | 256,878 | ||||||||
| Inventories | 317,826 | 289,535 | ||||||||
| Prepaid Expense and Other Assets | 241,799 | 289,490 | ||||||||
| Total Current Assets | 45,637,179 | 1,514,235 | ||||||||
| Fixed Assets, net | 3,950,613 | 3,822,700 | ||||||||
| Intangibles, net | 3,254,838 | 3,398,101 | ||||||||
| Lease Right-of-Use Assets | 1,131,795 | 1,395,351 | ||||||||
| Other Long-Term Assets | 124,096 | 116,257 | ||||||||
| Goodwill | 2,813,792 | 2,813,792 | ||||||||
| Total Assets | $ | 56,912,313 | 13,060,436 | |||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||
| Current Liabilities: | ||||||||||
| Accounts Payable | $ | 941,960 | $ | 1,372,070 | ||||||
| Notes Payable – Net of Discounts of | - | 4,431,925 | ||||||||
| Accrued Expenses and other liabilities | 1,256,087 | 2,588,047 | ||||||||
| Derivative Liability | 229,620 | 294,382 | ||||||||
| Deferred Revenue | 154,345 | 53,028 | ||||||||
| Lease Liability | 640,353 | 597,469 | ||||||||
| Total Current Liabilities | 3,222,365 | 9,336,921 | ||||||||
| Lease Liability – Net of current portion | 554,716 | 845,129 | ||||||||
| Other long-term liabilities | 47,146 | 235,705 | ||||||||
| Total Liabilities | 3,824,227 | 10,417,755 | ||||||||
| Stockholders’ Equity: | ||||||||||
| Preferred Stock, 20,000,000 authorized inclusive of designated below | ||||||||||
| Series B Convertible Preferred Stock, $.01 par value, 2,300,000 shares authorized, 79,246 and 79,246 shares outstanding | 792 | 792 | ||||||||
| Common Stock, $.01 par value, 100,000,000 shares authorized, 65,335,159 and 19,804,787 outstanding | 653,352 | 198,048 | ||||||||
| Additional paid-in capital | 167,279,695 | 110,826,949 | ||||||||
| Accumulated Deficit | (114,845,753 | ) | (108,383,108 | ) | ||||||
| Total Stockholders’ Equity | 53,088,086 | 2,642,681 | ||||||||
| Total Liabilities and Stockholders’ Equity | $ | 56,912,313 | $ | 13,060,436 | ||||||
PREDICTIVE ONCOLOGY INC.
CONDENSED CONSOLIDATED STATEMENTS OF NET LOSS
(Unaudited)
| 2021 | 2020 | 2021 | 2020 | ||||||||||||
| Revenue | $ | 350,207 | $ | 182,784 | $ | 630,524 | $ | 477,727 | |||||||
| Cost of goods sold | 142,877 | 85,261 | 240,635 | 177,918 | |||||||||||
| Gross profit | 207,330 | 97,523 | 389,889 | 299,809 | |||||||||||
| General and administrative expense | 2,077,973 | 3,211,817 | 5,348,750 | 6,040,293 | |||||||||||
| Operations expense | 567,796 | 521,116 | 1,142,608 | 1,069,869 | |||||||||||
| Sales and marketing expense | 159,788 | 133,015 | 274,429 | 397,424 | |||||||||||
| Total operating loss | (2,598,227 | ) | (3,768,425 | ) | (6,375,898 | ) | (7,207,777 | ) | |||||||
| Other income | 57,033 | 52,965 | 85,292 | 52,968 | |||||||||||
| Other expense | (1,829 | ) | (729,837 | ) | (236,801 | ) | (1,846,912 | ) | |||||||
| Gain (loss) on derivative instruments | (30,909 | ) | (422,081 | ) | 64,762 | (394,974 | ) | ||||||||
| Gain on notes receivables associated with asset purchase | - | 1,290,000 | - | 1,290,000 | |||||||||||
| Net loss | $ | (2,573,932 | ) | $ | (3,577,378 | ) | $ | (6,462,645 | ) | $ | (8,106,695 | ) | |||
| Net loss attributable to common shareholders per common shares-basic and diluted | $ | (2,573,932 | ) | $ | (3,577,378 | ) | $ | (6,462,645 | ) | $ | (8,106,695 | ) | |||
| Loss per common share basic | $ | (0.05 | ) | $ | (0.36 | ) | $ | (0.15 | ) | $ | (1.10 | ) | |||
| Loss per common share diluted | (0.05 | ) | (0.36 | ) | (0.15 | ) | (1.10 | ) | |||||||
| Weighted average shared used in computation - basic | 51,581,762 | 9,838,152 | 44,089,157 | 7,362,240 | |||||||||||
| Weighted average shared used in computation - diluted | 51,581,762 | 9,838,152 | 44,089,157 | 7,362,240 | |||||||||||
Investor Relations Contact:
Landon Capital
Keith Pinder
(404) 995-6671
kpinder@landoncapital.net
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