TherapeuticsMD(TXMD) - 2022 Q2 - Quarterly Report

Financial Performance - The company reported a loss from operations of $45.1 million and interest expense of$ 26.1 million for the six months ended June 30, 2022[104]. - Total revenue for Q2 2022 was $28.6 million, an increase of$ 5.6 million, or 24.2%, compared to Q2 2021[119]. - ANNOVERA sales were $18.3 million for Q2 2022, an increase of$ 8.7 million, or 91.2%, compared to Q2 2021[120]. - IMVEXXY sales were $6.7 million for Q2 2022, a decrease of$ 3.2 million, or 32.2%, compared to Q2 2021[121]. - BIJUVA sales were $2.7 million for Q2 2022, an increase of$ 0.5 million, or 23.1%, compared to Q2 2021[122]. - Gross profit for Q2 2022 was $23.8 million, an increase of$ 5.0 million, or 26.2%, compared to Q2 2021[125]. - Total operating expenses for Q2 2022 were $42.7 million, a decrease of$ 11.4 million, or 21.1%, compared to Q2 2021[126]. - Net income for Q2 2022 was $112.3 million, or$ 12.83 per basic common share, including a non-recurring gain of $142.8 million from the vitaCare divestiture[131]. - Total revenue for the first six months of 2022 was$ 47.9 million, an increase of $5.0 million, or 11.7%, compared to the first six months of 2021[132]. - IMVEXXY sales for the first six months of 2022 were$ 13.6 million, a decrease of $3.2 million, or 19.1%, compared to the first six months of 2021[133]. - BIJUVA sales for the first six months of 2022 were$ 5.2 million, an increase of $0.6 million, or 13.3%, compared to the first six months of 2021[134]. - Prescription vitamin sales decreased to$ 1.8 million for the first six months of 2022, down $1.0 million or 37.1% compared to the same period in 2021[137]. - Total product sales increased to$ 47.4 million for the first six months of 2022, an increase of $4.8 million or 11.3% compared to the first six months of 2021[137]. - Gross profit for the first six months of 2022 was$ 38.3 million, an increase of $4.2 million or 12.5% compared to the same period in 2021[139]. - Total operating expenses decreased to$ 83.4 million for the first six months of 2022, a decrease of $15.1 million or 15.4% compared to the first six months of 2021[140]. - Net income for the first six months of 2022 was$ 63.3 million, or $7.29 per basic common share, including a non-recurring gain of$ 142.8 million from the sale of the vitaCare business[146]. Cash Flow and Liquidity - Net cash used in operating activities was $44.9 million for the first six months of 2022, a decrease of$ 20.0 million or 30.8% compared to the same period in 2021[151]. - Net cash provided by investing activities was $142.3 million for the first six months of 2022, an increase of$ 142.9 million or 27110.8% compared to the first six months of 2021[152]. - Net cash used in financing activities was $125.0 million for the first six months of 2022, a change of$ 221.4 million or 229.7% compared to the same period in 2021[153]. - As of June 30, 2022, the company had cash totaling $26.3 million[147]. - The company had$ 90.8 million in term loans outstanding under its Financing Agreement as of June 30, 2022, down from $200.0 million as of December 31, 2021[157]. Divestiture and Strategic Actions - The company completed the divestiture of vitaCare Prescription Services, receiving net proceeds of$ 142.6 million and recognizing a gain on sale of $143.4 million[96]. - The company may receive up to an additional$ 7.0 million in earn-out consideration from the vitaCare divestiture, contingent on vitaCare's financial performance through 2023[96]. - The company has a long-term services agreement with vitaCare to utilize its platform for product support post-divestiture[98]. - The company is pursuing various equity and debt refinancing options to address capital needs, including potential Chapter 11 protection if financing fails[105]. Product Development and Market Conditions - ANNOVERA, a contraceptive product, is expected to meet future demand with increased manufacturing capacity following FDA approval of a supplemental NDA[114]. - The company has implemented significant cost-saving measures in response to the COVID-19 pandemic, including reducing marketing expenses and hiring restrictions[101]. - The company continues to face uncertainties related to the COVID-19 pandemic, which may impact financial condition and liquidity[102]. - The company’s product portfolio includes IMVEXXY, BIJUVA, and ANNOVERA, with ongoing commercialization efforts since their respective launches[111]. Financial Position - Current liabilities exceeded current assets by $65.4 million, and total liabilities exceeded total assets by$ 26.1 million as of June 30, 2022[104]. - The company qualifies as a "smaller reporting company" under Rule 12b-2 of the Securities Exchange Act of 1934[160]. - The company is not required to provide quantitative and qualitative disclosures about market risk due to its reporting status[160].