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electroCore(ECOR) - 2024 Q2 - Quarterly Results
ECORelectroCore(ECOR)2024-08-07 20:11

Financial Performance - Record quarterly net sales of 6.1million,a736.1 million, a 73% increase compared to 3.6 million in Q2 2023[2] - Net loss reduced to 2.7million,a462.7 million, a 46% improvement from the 4.9 million loss in Q2 2023[5] - Gross profit for Q2 2024 was 5.3million,withagrossmarginof865.3 million, with a gross margin of 86%, up from 84% in Q2 2023[4] - Adjusted EBITDA net loss improved to 1.9 million from 4.5millioninQ22023,primarilyduetoincreasednetsales[5]−GAAPnetlossforthethreemonthsendedJune2024was4.5 million in Q2 2023, primarily due to increased net sales[5] - GAAP net loss for the three months ended June 2024 was 2,655,000, an improvement from a loss of 4,903,000inthesameperiodof2023[17]−AdjustedEBITDAnetlossforthesixmonthsendedJune30,2024,was4,903,000 in the same period of 2023[17] - Adjusted EBITDA net loss for the six months ended June 30, 2024, was 5,006,000, compared to a loss of 9,554,000forthesameperiodin2023[17]Expenses−Researchanddevelopmentexpensesdecreasedto9,554,000 for the same period in 2023[17] Expenses - Research and development expenses decreased to 0.6 million from 1.2millioninQ22023,reflectingreducedinvestmentintheapp−enabledplatform[4]−Selling,generalandadministrativeexpensesincreasedto1.2 million in Q2 2023, reflecting reduced investment in the app-enabled platform[4] - Selling, general and administrative expenses increased to 7.3 million from 6.8millioninQ22023,drivenbyinvestmentsinsalesandmarketing[4]−Stock−basedcompensationincreasedto6.8 million in Q2 2023, driven by investments in sales and marketing[4] - Stock-based compensation increased to 472,000 for the three months ended June 2024, up from 183,000inthesameperiodof2023[17]−Interestandotherexpensesimprovedto183,000 in the same period of 2023[17] - Interest and other expenses improved to 64,000 for the three months ended June 2024, compared to an expense of 85,000inthesameperiodof2023[17]−Legalfeesassociatedwithstockholders′litigationwere85,000 in the same period of 2023[17] - Legal fees associated with stockholders' litigation were 2,000 for the three months ended June 2024, down from 35,000inthesameperiodof2023[17]−Depreciationandamortizationexpensesdecreasedto35,000 in the same period of 2023[17] - Depreciation and amortization expenses decreased to 201,000 for the three months ended June 2024, compared to 322,000inthesameperiodof2023[17]−Thecompanyreportedaninventoryreservechargeof322,000 in the same period of 2023[17] - The company reported an inventory reserve charge of 0 for the three months ended June 2024, compared to a charge of 10,000inthesameperiodof2023[17]CashandSecurities−Cash,cashequivalents,marketablesecurities,andrestrictedcashtotaledapproximately10,000 in the same period of 2023[17] Cash and Securities - Cash, cash equivalents, marketable securities, and restricted cash totaled approximately 14.5 million as of June 30, 2024, up from $10.6 million at the end of 2023[6] Product Launches - Launched the direct-to-consumer mobile app-enabled product Truvaga Plus™[2] - Commercial launch of the next generation TAC-STIM™[2] Company Developments - electroCore joined the Russell Microcap® Index[2] Non-GAAP Measures - The company highlighted the limitations of non-GAAP measures, emphasizing the need to consider them alongside GAAP-based financial performance measures[18] - The reconciliation of GAAP net loss to non-GAAP adjusted EBITDA net loss was provided in the financial statements table[18] - The company noted that adjusted EBITDA net loss does not reflect interest or tax payments, depreciation, or changes in working capital needs[18]