2016 Q4 Form 10-Q Financial Statement

#000119312516767770 Filed on November 14, 2016

View on sec.gov

Income Statement

Concept 2016 Q4 2016 Q3 2015 Q3
Revenue $0.00 $0.00 $0.00
YoY Change
Cost Of Revenue
YoY Change
Gross Profit
YoY Change
Gross Profit Margin
Selling, General & Admin $1.210M $1.400M $1.260M
YoY Change -1.63% 11.11% 63.64%
% of Gross Profit
Research & Development $3.450M $3.380M $2.076M
YoY Change 10.93% 62.77% 73.66%
% of Gross Profit
Depreciation & Amortization $10.00K $10.00K $10.00K
YoY Change 0.0% 0.0%
% of Gross Profit
Operating Expenses $4.650M $3.380M $2.076M
YoY Change 7.14% 62.77% 73.66%
Operating Profit -$4.776M -$3.338M
YoY Change 43.11% 69.58%
Interest Expense $0.00 $26.65K $28.08K
YoY Change -100.0% -5.08% -31.63%
% of Operating Profit
Other Income/Expense, Net $1.138K -$28.08K
YoY Change -104.05% -31.63%
Pretax Income -$4.650M -$4.780M -$3.370M
YoY Change 6.65% 41.84% 67.66%
Income Tax
% Of Pretax Income
Net Earnings -$4.650M -$4.775M -$3.366M
YoY Change 6.65% 41.88% 67.51%
Net Earnings / Revenue
Basic Earnings Per Share -$0.35
Diluted Earnings Per Share -$369.6K -$383.3K -$0.35
COMMON SHARES
Basic Shares Outstanding 12.58M shares 12.47M shares 9.713M shares
Diluted Shares Outstanding 9.713M shares

Balance Sheet

Concept 2016 Q4 2016 Q3 2015 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $24.90M $28.90M $30.60M
YoY Change -9.78% -5.56% 202.97%
Cash & Equivalents $12.02M $14.57M $30.62M
Short-Term Investments $12.90M $14.30M
Other Short-Term Assets $200.0K $300.0K $600.0K
YoY Change -60.0% -50.0% 200.0%
Inventory
Prepaid Expenses
Receivables
Other Receivables
Total Short-Term Assets $25.13M $29.13M $31.23M
YoY Change -10.53% -6.72% 201.85%
LONG-TERM ASSETS
Property, Plant & Equipment $56.35K $65.69K $88.46K
YoY Change -29.85% -25.74% 1433.69%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $0.00 $0.00 $0.00
YoY Change
Total Long-Term Assets $56.35K $65.69K $124.7K
YoY Change -51.66% -47.32% 2061.91%
TOTAL ASSETS
Total Short-Term Assets $25.13M $29.13M $31.23M
Total Long-Term Assets $56.35K $65.69K $124.7K
Total Assets $25.19M $29.19M $31.35M
YoY Change -10.7% -6.89% 202.89%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $275.4K $733.6K $743.6K
YoY Change -67.64% -1.35% 54.13%
Accrued Expenses $1.946M $1.477M $630.3K
YoY Change 64.04% 134.26% 73.33%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $77.55K $426.5K $0.00
YoY Change 0.0%
Total Short-Term Liabilities $2.299M $2.637M $1.374M
YoY Change 8.7% 91.9% 62.38%
LONG-TERM LIABILITIES
Long-Term Debt $1.239M $883.3K $1.281M
YoY Change 2.25% -31.05% 3.24%
Other Long-Term Liabilities
YoY Change
Total Long-Term Liabilities $1.239M $883.3K $1.281M
YoY Change 2.25% -31.05% 3.24%
TOTAL LIABILITIES
Total Short-Term Liabilities $2.299M $2.637M $1.374M
Total Long-Term Liabilities $1.239M $883.3K $1.281M
Total Liabilities $3.538M $3.520M $2.655M
YoY Change 6.36% 32.58% 27.22%
SHAREHOLDERS EQUITY
Retained Earnings -$77.30M -$72.65M -$54.25M
YoY Change 31.91% 33.93% 23.1%
Common Stock $98.95M $98.31M $82.94M
YoY Change 18.52% 18.54% 1490311.34%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $21.65M $25.67M $28.70M
YoY Change
Total Liabilities & Shareholders Equity $25.19M $29.19M $31.35M
YoY Change -10.7% -6.89% 202.89%

Cashflow Statement

Concept 2016 Q4 2016 Q3 2015 Q3
OPERATING ACTIVITIES
Net Income -$4.650M -$4.775M -$3.366M
YoY Change 6.65% 41.88% 67.51%
Depreciation, Depletion And Amortization $10.00K $10.00K $10.00K
YoY Change 0.0% 0.0%
Cash From Operating Activities -$3.910M -$3.510M -$2.880M
YoY Change 31.21% 21.88% 138.02%
INVESTING ACTIVITIES
Capital Expenditures $0.00 $0.00 -$60.00K
YoY Change -100.0% 500.0%
Acquisitions
YoY Change
Other Investing Activities $1.320M $570.0K
YoY Change -110.19%
Cash From Investing Activities $1.320M $560.0K -$60.00K
YoY Change -110.19% -1033.33% 500.0%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 40.00K -100.0K -10.00K
YoY Change -200.0% 900.0% -94.12%
NET CHANGE
Cash From Operating Activities -3.910M -3.510M -2.880M
Cash From Investing Activities 1.320M 560.0K -60.00K
Cash From Financing Activities 40.00K -100.0K -10.00K
Net Change In Cash -2.550M -3.050M -2.950M
YoY Change -84.03% 3.39% 112.23%
FREE CASH FLOW
Cash From Operating Activities -$3.910M -$3.510M -$2.880M
Capital Expenditures $0.00 $0.00 -$60.00K
Free Cash Flow -$3.910M -$3.510M -$2.820M
YoY Change 31.21% 24.47% 135.0%

Facts In Submission

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<div> <table style="FONT-SIZE: 10pt; FONT-FAMILY: &quot;Times New Roman&quot;; WORD-SPACING: 0px; BORDER-COLLAPSE: collapse; TEXT-TRANSFORM: none; ORPHANS: 2; WIDOWS: 2; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td valign="top" width="4%" align="left"><b>2.</b></td> <td valign="top" align="left"><b>BASIS OF PRESENTATION</b></td> </tr> </table> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: &quot;Times New Roman&quot;; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: normal; COLOR: rgb(0,0,0); FONT-STYLE: normal; MARGIN-LEFT: 62px; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 6pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px; font-variant-ligatures: normal; font-variant-caps: normal"> The accompanying interim unaudited condensed financial statements and related disclosures are unaudited and have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the Company&#x2019;s financial statements and related footnotes for the year ended December&#xA0;31, 2015 included in the Company&#x2019;s Annual Report on Form 10-K for the year ended December&#xA0;31, 2015, which was filed with the Securities and Exchange Commission on March&#xA0;30, 2016. The financial information as of September&#xA0;30, 2016, the three and nine months ended September&#xA0;30, 2016 and 2015 is unaudited, but in the opinion of management, all adjustments, consisting only of normal recurring adjustments, considered necessary for a fair presentation of the financial position, results of operations and cash flows at the dates and for the periods presented of the results of these interim periods have been included. The balance sheet data as of December&#xA0;31, 2015 was derived from audited financial statements. The results of the Company&#x2019;s operations for any interim period are not necessarily indicative of the results that may be expected for any other interim period or for a full fiscal year.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: &quot;Times New Roman&quot;; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: normal; COLOR: rgb(0,0,0); FONT-STYLE: normal; MARGIN-LEFT: 62px; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 6pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px; font-variant-ligatures: normal; font-variant-caps: normal"> On June&#xA0;1, 2016, the Company closed an underwritten public offering in which it sold, an aggregate of approximately 2.8&#xA0;million shares of common stock, including 360,000 shares sold in connection with the exercise in full by the underwriter of its option to purchase additional shares. The net proceeds of the offering, including the full exercise of the option, were approximately $12.6&#xA0;million, after deducting the underwriting discounts and commissions and the other offering expenses payable by Aldeyra.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: &quot;Times New Roman&quot;; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: normal; COLOR: rgb(0,0,0); FONT-STYLE: normal; MARGIN-LEFT: 62px; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 6pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px; font-variant-ligatures: normal; font-variant-caps: normal"> The Company&#x2019;s management believes that its currently available resources, including amounts potentially available under its credit facility (Note 7), will provide sufficient funds to enable the Company to meet its expected obligations through approximately the second quarter of 2018 based on the Company&#x2019;s current business plan. However, these amounts will not be sufficient for the Company to commercialize its product candidates or conduct any substantial, additional development requirements requested by the U.S. Food and Drug Administration (FDA). Additional funding may not be available to the Company on acceptable terms, or at all. If the Company is unable to secure additional capital, or meet financial covenants that could be implemented under the Company&#x2019;s term loans in certain circumstances, it will be required to significantly decrease the amount of planned expenditures, and may be required to cease operations.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: &quot;Times New Roman&quot;; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: normal; COLOR: rgb(0,0,0); FONT-STYLE: normal; MARGIN-LEFT: 62px; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 6pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px; font-variant-ligatures: normal; font-variant-caps: normal"> Curtailment of operations would cause significant delays in the Company&#x2019;s efforts to introduce its products to market, which is critical to the realization of its business plan and the future operations of the Company.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: &quot;Times New Roman&quot;; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: normal; COLOR: rgb(0,0,0); FONT-STYLE: normal; MARGIN-LEFT: 62px; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 18pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px; font-variant-ligatures: normal; font-variant-caps: normal"> <b><i>Use of estimates</i></b></p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: &quot;Times New Roman&quot;; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: normal; COLOR: rgb(0,0,0); FONT-STYLE: normal; MARGIN-LEFT: 62px; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 6pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px; font-variant-ligatures: normal; font-variant-caps: normal"> The preparation of financial statements in conformity with GAAP requires management to make estimates that affect the reported amounts of assets and liabilities at the date of the financial statements, disclosure of contingent assets and liabilities, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: &quot;Times New Roman&quot;; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: normal; COLOR: rgb(0,0,0); FONT-STYLE: normal; MARGIN-LEFT: 62px; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 18pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px; font-variant-ligatures: normal; font-variant-caps: normal"> <b><i>Recent Accounting Pronouncements</i></b></p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: &quot;Times New Roman&quot;; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: normal; COLOR: rgb(0,0,0); FONT-STYLE: normal; MARGIN-LEFT: 62px; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 6pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px; font-variant-ligatures: normal; font-variant-caps: normal"> In August 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU)&#xA0;<font style="WHITE-SPACE: nowrap">No.&#xA0;2016-15</font>&#xA0;<font style="WHITE-SPACE: nowrap">(ASU&#xA0;2016-15),</font>&#xA0;Statement of Cash Flows (Topic&#xA0;230): Classification of Certain Cash Receipts and Cash Payments. The standard is intended to reduce the diversity in practice around how certain transactions are classified within the statement of cash flows. ASU&#xA0;2016-15 is effective for fiscal years beginning after December&#xA0;15, 2017, with early adoption permitted.&#xA0;<font style="WHITE-SPACE: nowrap">ASU&#xA0;2016-15</font>&#xA0;may be adopted retrospectively or prospectively if it is impractical to apply the amendments retrospectively. The Company does not expect this standard to have a material impact on its financial statements.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: &quot;Times New Roman&quot;; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: normal; COLOR: rgb(0,0,0); FONT-STYLE: normal; MARGIN-LEFT: 62px; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 6pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px; font-variant-ligatures: normal; font-variant-caps: normal"> In April 2016 and May 2016, the FASB issued ASU&#xA0;<font style="WHITE-SPACE: nowrap">No.&#xA0;2016-10</font>&#xA0;<font style="WHITE-SPACE: nowrap">(ASU&#xA0;2016-10),</font>&#xA0;Revenue from Contracts with Customers (Topic&#xA0;606): Identifying Performance Obligations &amp; Licensing which provides further clarification for the implementing the new revenue recognition standard, ASU&#xA0;2014-09. The effective date and transition requirements for&#xA0;<font style="WHITE-SPACE: nowrap">ASU&#xA0;2016-10</font>&#xA0;are the same as the effective date of ASU&#xA0;<font style="WHITE-SPACE: nowrap">2014-09.&#xA0;The</font>&#xA0;Company does not expect this standard to have a material impact on its financial statements.</p> <p style="MARGIN-BOTTOM: 0px; FONT-SIZE: 1px; FONT-FAMILY: &quot;Times New Roman&quot;; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: normal; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 6px; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px; font-variant-ligatures: normal; font-variant-caps: normal"> &#xA0;</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: &quot;Times New Roman&quot;; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: normal; COLOR: rgb(0,0,0); FONT-STYLE: normal; MARGIN-LEFT: 62px; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 0pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px; font-variant-ligatures: normal; font-variant-caps: normal"> In March 2016, the FASB issued ASU No.&#xA0;2016-09 &#x201C;Improvements to Employee Share-Based Payment Accounting&#x201D; (&#x201C;ASU 2016-09&#x201D;), to simplify the accounting for stock compensation. This update focuses on income tax accounting, award classification, estimating forfeitures, and cash flow presentation. The ASU becomes effective in 2017 for public companies and in 2018 for all other entities. Early adoption is permitted. Certain disclosures and detailed transition provisions apply.&#xA0;The Company does not believe that ASU 2016-09 will have a material impact on its financial statements.</p> </div>
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<div> <table style="BORDER-COLLAPSE:COLLAPSE; font-family:Times New Roman; font-size:10pt" border="0" cellpadding="0" cellspacing="0" width="100%"> <tr> <td width="4%" valign="top" align="left"><b>1.</b></td> <td align="left" valign="top"><b>NATURE OF BUSINESS</b></td> </tr> </table> <p style="margin-top:6pt; margin-bottom:0pt; margin-left:4%; font-size:10pt; font-family:Times New Roman"> Aldeyra Therapeutics, Inc. (the Company or Aldeyra), a Delaware corporation, is developing new products for inflammation, inborn errors of metabolism, and other diseases that are thought to be related to naturally occurring toxic and pro-inflammatory chemical species known as aldehydes.</p> <p style="margin-top:6pt; margin-bottom:0pt; margin-left:4%; font-size:10pt; font-family:Times New Roman"> The Company&#x2019;s principal activities to date include raising capital and research and development activities.</p> </div>
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