International Stem Cell Corporation Announces Strong Financial Results for the Quarter Ended March 31, 2022
SAN DIEGO, CA / May 17, 2022 /International Stem Cell Corporation (OTC PINK:ISCO) (www.internationalstemcell.com) ("ISCO" or "the Company"), a California-based clinical stage biotechnology company developing novel stem cell-based therapies and biomedical products, today provided a business update and financial results for the three months ended March 31, 2022.
"I would like to highlight the fact that our business units are steadily growing based on the first quarter reported results and the evaluation portion of our Phase 1 clinical trial is progressing successfully as well." stated Andrey Semechkin, Ph.D., CEO and Co-Chairman of ISCO. " stated Andrey Semechkin, Ph.D., CEO and Co-Chairman of ISCO.
Q1 2022 Financial Highlights:
Consolidated revenue for the first quarter of 2022 was $2.02 million, an increase of 22% compared to the consolidated revenue of $1.66 million for the first quarter of 2021.
Combined operating income for the quarter ended March 31, 2022, from our two wholly owned revenue generating subsidiaries was $648,000, an increase of 164% compared to $245,000 in the first quarter of 2021.
Net loss for ISCO was $9,000 for the first quarter of 2022 compared to a net loss of $599,000 for the first quarter in 2021, a decrease of 98%.
About International Stem Cell Corporation
International Stem Cell Corporation is focused on the therapeutic applications of human parthenogenetic stem cells (hpSCs) and the development and commercialization of cell-based research and cosmetic products. ISCO's core technology, parthenogenesis, results in the creation of pluripotent human stem cells from unfertilized oocytes (eggs). hpSCs avoid ethical issues associated with the use or destruction of viable human embryos. ISCO scientists have created the first parthenogenetic, homozygous stem cell line that can be a source of therapeutic cells for hundreds of millions of individuals of differing genders, ages and racial background with minimal immune rejection after transplantation. hpSCs offer the potential to create the first true stem cell bank, UniStemCell™. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary Lifeline Cell Technology (www.lifelinecelltech.com), and stem cell-based skin care products through its subsidiary Lifeline Skin Care (www.lifelineskincare.com).
For more information, please visit http://internationalstemcell.com/ or contact: ir@intlstemcell.com
Statements pertaining to anticipated developments and company achievements, expected clinical studies (including results and ongoing evaluation of the phase 1 clinical trial), and other opportunities for the company and its subsidiaries, along with other statements about the future expectations, beliefs, goals, plans, or prospects expressed by management constitute forward-looking statements. Any statements that are not historical fact (including, but not limited to statements that contain words such as "will," "believes," "plans," "anticipates," "expects," "estimates,") should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties, including, without limitation, risks inherent in the development and/or commercialization of potential products, regulatory approvals, need and ability to obtain capital, application of capital resources among competing uses, and maintenance of intellectual property rights. Actual results may differ materially from the results anticipated in these forward-looking statements and as such should be evaluated together with the many uncertainties that affect the Company's business, particularly those mentioned in the cautionary statements found in the Company's Securities and Exchange Commission filings. The Company disclaims any intent or obligation to update forward-looking statements.
International Stem Cell Corporation and Subsidiaries Condensed Consolidated Balance Sheets (In thousands, except share and par value data)
March 31,
December 31,
2022
2021
(unaudited)
Assets
Current assets:
Cash
$
398
$
171
Accounts receivable, net
902
844
Inventory, net
1,322
1,184
Prepaid expenses and other current assets
338
135
Total current assets
2,960
2,334
Non-current inventory, net
390
372
Property and equipment, net
348
384
Intangible assets, net
933
949
Operating right-of-use assets
835
868
Deposits and other assets
35
39
Total assets
$
5,501
$
4,946
Liabilities, Redeemable Convertible Preferred Stock and Stockholders' Deficit
Current liabilities:
Accounts payable
$
635
$
508
Accrued liabilities
505
404
Operating lease liabilities, current
196
179
Advances
250
250
Related party note payable
3,225
2,943
Total current liabilities
4,811
4,284
Operating lease liabilities, net of current portion
896
950
Total liabilities
5,707
5,234
Commitments and contingencies (Note 8)
Series D redeemable convertible preferred stock, $0.001 par value; 50 shares
authorized; 43 shares issued and outstanding; liquidation preference of $4,300
at March 31, 2022 and December 31, 2021, respectively
4,300
4,300
Stockholders' deficit:
Non-redeemable convertible preferred stock, $0.001 par value; 10,004,310
shares authorized; 5,254,310 shares issued and outstanding; liquidation
preference of $9,770 and $9,766 at March 31, 2022 and December 31, 2021, respectively
5
5
Common stock, $0.001 par value; 120,000,000 shares authorized; 8,004,389
shares issued and outstanding at March 31, 2022 and December 31, 2021, respectively
8
8
Additional paid-in capital
105,504
105,413
Accumulated deficit
(110,023
)
(110,014
)
Total stockholders' deficit
(4,506
)
(4,588
)
Total liabilities, redeemable convertible preferred stock
and stockholders' deficit
$
5,501
$
4,946
International Stem Cell Corporation and Subsidiaries Condensed Consolidated Statements of Operations (In thousands, except per share data) (Unaudited)
Three Months Ended March 31,
2022
2021
Product sales, net
$
2,020
$
1,658
Operating expenses:
Cost of sales
725
615
Research and development
137
215
Selling and marketing
301
347
General and administrative
832
1,048
Total operating expenses
1,995
2,225
Income (loss) from operations
25
(567
)
Other expense:
Interest expense - related party
(34
)
(32
)
Total other expense
(34
)
(32
)
Net loss
$
(9
)
$
(599
)
Net loss per common share, basic and diluted
$
(0.00
)
$
(0.08
)
Weighted-average common shares used to compute
net loss per share, basic and diluted
8,004
7,539
Contacts: International Stem Cell Corporation Russell A. Kern, PhD Phone: 760-940-6383 Email: ir@intlstemcell.com
