Apollo Endosurgery, Inc.

CIK:0001251769|SEC Filings

Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Income Statement [Abstract]
Revenues	$ 76,856	$ 62,989
Cost of sales	34,429	28,030
Gross margin	42,427	34,959
Operating expenses:
Sales and marketing	36,009	24,311
General and administrative	20,582	18,448
Research and development	11,908	9,524
Amortization of intangible assets	1,750	1,875
Merger-related expense	3,600	0
Total operating expenses	73,849	54,158
Loss from operations	(31,422)	(19,199)
Other (income) expenses:
Interest expense, net	4,671	8,318
Gain on forgiveness of PPP loan	0	(2,852)
Other expense (income), net	3,162	(139)
Net loss before income taxes	(39,255)	(24,526)
Income tax expense	584	156
Net loss	(39,839)	(24,682)
Other comprehensive (loss)/income:
Foreign currency translation	2,838	(793)
Comprehensive loss	$ (37,001)	$ (25,475)
Net loss per share, basic (USD per share)	$ (0.98)	$ (0.82)
Net loss per share, diluted (USD per share)	$ (0.98)	$ (0.82)
Shares used in computing net loss per share, basic (shares)	40,650,039	30,243,264
Shares used in computing net loss per share, diluted (shares)	40,650,039	30,243,264

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Cash flows from operating activities:
Net loss	$ (39,839)	$ (24,682)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	2,966	3,232
Gain on forgiveness of PPP loan	0	(2,852)
Amortization of deferred financing costs	456	1,419
Non-cash interest	1,929	1,575
Provision for doubtful accounts receivable	505	152
Inventory impairment	97	50
Stock-based compensation	6,783	6,386
Unrealized foreign exchange on intercompany payables	2,779	(444)
Changes in operating assets and liabilities:
Accounts receivable	(5,589)	(2,332)
Inventory	(6,437)	(1,740)
Prepaid expenses and other assets	(686)	(1,251)
Accounts payable and accrued expenses	5,774	6,033
Net cash used in operating activities	(31,262)	(14,454)
Cash flows from investing activities:
Purchases of property and equipment	(2,268)	(1,195)
Purchases of intangibles and other assets	(477)	(261)
Proceeds from sale of equipment	0	17
Divestiture of Surgical product line	0	3,000
Net cash (used in)/provided by investing activities	(2,745)	1,561
Cash flows from financing activities:
Proceeds from exercise of stock options	830	2,488
Proceeds from exercise of warrants	0	2
Proceeds from issuance of common stock	0	69,782
Proceeds from senior secured term loans	0	35,000
Shares forfeited for tax obligation in connection with restricted stock units	(481)	0
Payments of deferred financing costs	0	(1,540)
Repayments of senior secured notes	0	(38,150)
Net cash provided by financing activities	349	67,582
Effect of exchange rate changes on cash	(142)	(77)
Net increase in cash, cash equivalents and restricted cash	(33,800)	54,612
Cash, cash equivalents and restricted cash at beginning of year	91,812	37,200
Cash, cash equivalents and restricted cash at end of year	58,012	91,812
Supplemental disclosure of cash flow information:
Cash paid for interest	2,767	6,550
Cash paid for income taxes	343	272
Right-of-use assets recognized in exchange for lease obligations (non-cash)	709	(556)
Gain on forgiveness of PPP loan (non-cash)	0	2,852
Issuance of common stock for convertible debt interest (non-cash)	1,226	1,229
Issuance of common stock for conversion of convertible debt (non-cash)	$ 0	$ 74

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 57,002	$ 90,691
Accounts receivable, net of allowance for doubtful accounts of $785 and $330, respectively	14,991	10,078
Inventory	18,246	11,966
Prepaid expenses and other current assets	2,639	1,965
Total current assets	92,878	114,700
Restricted cash	1,010	1,121
Property, equipment and right-of-use assets, net	7,507	5,593
Goodwill	5,290	5,290
Intangible assets, net of accumulated amortization of $16,248 and $14,814, respectively	3,121	4,400
Other assets	425	424
Total assets	110,231	131,528
Current liabilities:
Accounts payable	7,419	4,584
Accrued expenses	12,404	9,902
Convertible debt (Note 8)	19,713	0
Total current liabilities	39,536	14,486
Long-term debt	33,963	33,473
Convertible debt	0	19,513
Long-term liabilities	4,138	2,819
Total liabilities	77,637	70,291
Commitments and contingencies (Note 13)
Stockholders’ equity:
Common stock; $0.001 par value; 100,000,000 shares authorized; 41,983,708 and 39,546,323 shares issued and outstanding at December 31, 2022 and 2021, respectively	42	40
Additional paid-in capital	364,872	356,516
Accumulated other comprehensive income	4,974	2,136
Accumulated deficit	(337,294)	(297,455)
Total stockholders’ equity	32,594	61,237
Total liabilities and stockholders’ equity	$ 110,231	$ 131,528