Sintx Technologies(US:SINT)2021-08-12 19:24Financial Performance - For the three months ended June 30, 2021, product revenue was $0.1 million, a decrease of 50% compared to $0.2 million in the same period of 2020, primarily due to reduced orders from CTL Amedica[91]. - Gross profit for the three months ended June 30, 2021, was $28,000, down 32% from $41,000 in the same period of 2020, with a gross profit margin increase of 8% year over year[92]. - For the six months ended June 30, 2021, the Company incurred a net loss of $4.8 million, compared to a net loss of $2.9 million for the same period in 2020, reflecting an increase in losses[100]. - The Company had an accumulated deficit of $245.9 million as of June 30, 2021, up from $241.1 million as of December 31, 2020[100]. - Net cash used in operating activities was $5.3 million for the six months ended June 30, 2021, an increase of $0.4 million from $4.9 million used in the same period in 2020[108]. - Net cash provided by financing activities decreased significantly to $0.7 million for the six months ended June 30, 2021, down from $20.4 million in the same period in 2020, a decrease of $19.7 million[110]. Research and Development - Research and development expenses increased by $0.1 million, or 13%, for the three months ended June 30, 2021, reflecting a rise in R&D activities to support new technology development[94]. - The Company expects to incur additional research and development costs as it continues to develop new products, including armored plates and dental applications[87]. Sales and Marketing - Sales and marketing expenses surged by $0.2 million, or 151%, for the three months ended June 30, 2021, driven by increased marketing efforts for new product lines[96]. Other Income and Financial Activities - Other income for the three months ended June 30, 2021, rose by $2.2 million, or 108%, primarily due to a change in the fair value of derivative liabilities in the previous year[97]. - Net cash provided by investing activities increased to $1.5 million for the six months ended June 30, 2021, compared to $0.9 million for the same period in 2020[109]. - The Company has raised approximately $30.3 million through various offerings since its initial public offering in February 2014, including $9.4 million from a rights offering in February 2020 and $20.9 million from direct offerings between June and August 2020[102]. Operations and Market Strategy - The company operates a 30,000 square foot manufacturing facility in Salt Lake City, Utah, and is the only vertically integrated silicon nitride medical device manufacturer globally[79]. - The company is targeting OEM and private label partnerships to accelerate the adoption of silicon nitride in various markets, including hip and knee replacements and dental implants[75]. - The company believes its silicon nitride technology addresses limitations of existing biomaterials in medical applications[76]. - The Company is focusing on expanding the use of its silicon nitride material beyond spinal fusion applications, with potential applications in personal protection products[101]. COVID-19 Impact and Financial Outlook - The Company received a Paycheck Protection Program loan of $0.5 million in March 2021, which has a five-year term and an interest rate of 1.0% per annum[112]. - The Company has implemented protective measures in response to the COVID-19 pandemic, which may impact its operations and liquidity[106]. - Management believes existing capital resources will be sufficient to fund operations for at least the next 12 months, through August 2022[105].