2015 Q2 Form 10-Q Financial Statement

#000119312515287911 Filed on August 12, 2015

View on sec.gov

Income Statement

Concept 2015 Q2 2014 Q2 2014 Q1
Revenue $7.129M $6.776M $5.924M
YoY Change 5.21% 24.17% 18.93%
Cost Of Revenue $2.508M $2.403M $2.162M
YoY Change 4.37% 13.4% 1.98%
Gross Profit $4.621M $4.373M $3.762M
YoY Change 5.67% 31.01% 31.54%
Gross Profit Margin 64.82% 64.54% 63.5%
Selling, General & Admin $4.855M $3.926M $3.269M
YoY Change 23.66% 42.87% 24.3%
% of Gross Profit 105.06% 89.78% 86.9%
Research & Development $2.510M $792.0K $720.0K
YoY Change 216.92% -6.38% -28.0%
% of Gross Profit 54.32% 18.11% 19.14%
Depreciation & Amortization $190.0K $110.0K $106.0K
YoY Change 72.73% -35.29% -119.63%
% of Gross Profit 4.11% 2.52% 2.82%
Operating Expenses $10.02M $7.121M $6.151M
YoY Change 40.64% 24.65% 68.98%
Operating Profit -$2.886M -$345.0K -$227.0K
YoY Change 736.52% 34.77% -70.9%
Interest Expense -$260.0K -$640.0K -$550.0K
YoY Change -59.38% 18.52% -3.51%
% of Operating Profit
Other Income/Expense, Net -$43.00K $366.0K -$529.0K
YoY Change -111.75% -7420.0% 5190.0%
Pretax Income -$3.185M -$623.0K -$1.300M
YoY Change 411.24% -22.32% -3.7%
Income Tax $0.00 -$1.500M $0.00
% Of Pretax Income
Net Earnings -$3.185M $877.0K -$1.304M
YoY Change -463.17% -209.35% -3.26%
Net Earnings / Revenue -44.68% 12.94% -22.01%
Basic Earnings Per Share -$0.27 $0.87 -$1.29
Diluted Earnings Per Share -$0.27 $0.13 -$1.29
COMMON SHARES
Basic Shares Outstanding 11.84M 1.013M 1.012M
Diluted Shares Outstanding 11.84M 6.940M 1.012M

Balance Sheet

Concept 2015 Q2 2014 Q2 2014 Q1
SHORT-TERM ASSETS
Cash & Short-Term Investments $36.90M $7.900M $4.800M
YoY Change 367.09%
Cash & Equivalents $36.89M $7.872M $5.128M
Short-Term Investments
Other Short-Term Assets $700.0K $3.300M $1.800M
YoY Change -78.79%
Inventory $731.0K $614.0K $700.0K
Prepaid Expenses
Receivables $1.700M $1.700M $2.100M
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $40.01M $13.53M $9.500M
YoY Change 195.68%
LONG-TERM ASSETS
Property, Plant & Equipment $2.559M $1.665M $1.500M
YoY Change 53.69%
Goodwill $12.01M $12.01M
YoY Change 0.0%
Intangibles $6.650M $6.650M
YoY Change 0.0%
Long-Term Investments
YoY Change
Other Assets $0.00 $0.00 $100.0K
YoY Change
Total Long-Term Assets $21.36M $20.47M $1.600M
YoY Change 4.37%
TOTAL ASSETS
Total Short-Term Assets $40.01M $13.53M $9.500M
Total Long-Term Assets $21.36M $20.47M $1.600M
Total Assets $61.37M $34.00M $11.10M
YoY Change 80.5%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $1.203M $1.741M $800.0K
YoY Change -30.9%
Accrued Expenses $4.200M $5.600M $1.600M
YoY Change -25.0%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $2.380M $10.43M $5.500M
YoY Change -77.19%
Total Short-Term Liabilities $8.242M $21.21M $10.60M
YoY Change -61.15%
LONG-TERM LIABILITIES
Long-Term Debt $13.39M $8.338M $10.60M
YoY Change 60.58%
Other Long-Term Liabilities $28.00K $5.100M $6.600M
YoY Change -99.45%
Total Long-Term Liabilities $13.42M $8.338M $17.20M
YoY Change 60.91%
TOTAL LIABILITIES
Total Short-Term Liabilities $8.242M $21.21M $10.60M
Total Long-Term Liabilities $13.42M $8.338M $17.20M
Total Liabilities $24.59M $35.46M $27.80M
YoY Change -30.65%
SHAREHOLDERS EQUITY
Retained Earnings -$164.8M -$160.6M
YoY Change 2.65%
Common Stock $12.00K $1.000K
YoY Change 1100.0%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $36.77M -$150.9M -$16.70M
YoY Change
Total Liabilities & Shareholders Equity $61.37M $34.00M $11.10M
YoY Change 80.5%

Cashflow Statement

Concept 2015 Q2 2014 Q2 2014 Q1
OPERATING ACTIVITIES
Net Income -$3.185M $877.0K -$1.304M
YoY Change -463.17% -209.35% -3.26%
Depreciation, Depletion And Amortization $190.0K $110.0K $106.0K
YoY Change 72.73% -35.29% -119.63%
Cash From Operating Activities -$1.740M $850.0K $180.0K
YoY Change -304.71% -342.86% -98.23%
INVESTING ACTIVITIES
Capital Expenditures -$370.0K -$140.0K $19.00K
YoY Change 164.29% 250.0% -96.04%
Acquisitions
YoY Change
Other Investing Activities $0.00 -$380.0K
YoY Change -100.0%
Cash From Investing Activities -$370.0K -$520.0K -$20.00K
YoY Change -28.85% 1200.0% -100.17%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 10.00K 2.700M -450.0K
YoY Change -99.63% -27100.0% -98.1%
NET CHANGE
Cash From Operating Activities -1.740M 850.0K 180.0K
Cash From Investing Activities -370.0K -520.0K -20.00K
Cash From Financing Activities 10.00K 2.700M -450.0K
Net Change In Cash -2.100M 3.030M -290.0K
YoY Change -169.31% -857.5% -83.98%
FREE CASH FLOW
Cash From Operating Activities -$1.740M $850.0K $180.0K
Capital Expenditures -$370.0K -$140.0K $19.00K
Free Cash Flow -$1.370M $990.0K $161.0K
YoY Change -238.38% -419.35% -98.34%

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us-gaap Net Cash Provided By Used In Financing Activities Continuing Operations
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us-gaap Earnings Per Share Diluted
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us-gaap Net Cash Provided By Used In Operating Activities Continuing Operations
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us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Expected Term1
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us-gaap Debt Instrument Description Of Variable Rate Basis
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us-gaap Number Of Operating Segments
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dei Document Fiscal Year Focus
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2015
dei Amendment Flag
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us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Risk Free Interest Rate
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us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Forfeitures In Period
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us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Forfeitures In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice
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us-gaap Share Based Compensation Arrangement By Share Based Payment Award Shares Issued In Period
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us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
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us-gaap Debt Instrument Date Of First Required Payment1
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2016-01-01
us-gaap Debt Instrument Description
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The Company agreed to issue to the lender detachable warrants to purchase shares of the Company's common stock upon the drawdown of each advance in an amount equal to 1.5% of the amount drawn, divided by the exercise price per share for that tranche.
dei Document Type
DocumentType
10-Q
dei Entity Central Index Key
EntityCentralIndexKey
0001217234
dei Entity Filer Category
EntityFilerCategory
Non-accelerated Filer
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us-gaap Additional Cash And Cash Equivalent Related Text
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Cash equivalents consist of short-term, highly liquid investments with original maturities of three months or less from the date of purchase.
us-gaap Concentration Risk Credit Risk
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<div> <p style="margin-top:18pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"> <b>Concentrations of Credit Risk and Other Risks and Uncertainties</b></p> <p style="margin-top:6pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"> Financial instruments that potentially subject the Company to credit risk consist of cash and cash equivalents and accounts receivable. The Company&#x2019;s policy is to invest its cash and cash equivalents in money market funds, obligations of U.S. government agencies and government-sponsored entities, commercial paper, and various bank deposit accounts. These financial instruments were held in Company accounts at two financial institutions. The counterparties to the agreements relating to the Company&#x2019;s investments consist of financial institutions of high credit standing. The Company is exposed to credit risk in the event of default by the financial institutions to the extent of amounts recorded on the balance sheets which may be in excess of insured limits.</p> <p style="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"> The Company is also subject to credit risk from its accounts receivable which are derived from revenue earned from AlloMap tests provided for patients located in the U.S. and billed to various third-party payers. For the six months ended June&#xA0;30, 2015 and 2014, approximately 50% and 49%, respectively, of testing revenue was derived from Medicare. No other payers represented more than 10% of testing revenue for these periods. At June&#xA0;30, 2015 and December&#xA0;31, 2014 approximately 40% and 78%, respectively, of accounts receivable was from Medicare. No other payer represented more than 10% of accounts receivable at June&#xA0;30, 2015 and December&#xA0;31, 2014.</p> </div>
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dei Entity Registrant Name
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CareDx, Inc.
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Upon the occurrence of an event of default, a default interest rate of an additional 5% may be applied to the outstanding loan balances, and the lender may declare all outstanding obligations immediately due and payable and take such other actions as set forth in the Loan Agreement.
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<div> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 18pt"> <b>Collaboration and License Revenue</b></p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 6pt"> The Company generates revenue from collaboration and license agreements. Collaboration and license agreements may include non-refundable upfront payments, partial or complete reimbursement of research and development costs, contingent payments based on the occurrence of specified events under the agreements, license fees and royalties on sales of products or product candidates if they are successfully commercialized. The Company&#x2019;s performance obligations under the collaborations may include the transfer of intellectual property rights in the form of licenses, obligations to provide research and development services and obligations to participate on certain development committees with the collaboration partners. The Company makes judgments that affect the periods over which it recognizes revenue. The Company periodically reviews its estimated periods of performance based on the progress under each arrangement and accounts for the impact of any change in estimated periods of performance on a prospective basis.</p> </div>
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IncrementalCommonSharesAttributableToShareBasedPaymentArrangements
0 shares
CY2015Q2 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
11835405 shares
CY2015Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Weighted Average Grant Date Fair Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue
2.10
CY2015Q2 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
-0.27
CY2015Q2 us-gaap Net Income Loss
NetIncomeLoss
-3185000
CY2015Q2 us-gaap Revenues
Revenues
7129000
CY2015Q2 us-gaap Interest Income Expense Net
InterestIncomeExpenseNet
-256000
CY2015Q2 us-gaap License And Services Revenue
LicenseAndServicesRevenue
85000
CY2015Q2 us-gaap Sales Revenue Services Net
SalesRevenueServicesNet
7044000
CY2015Q2 us-gaap Operating Income Loss
OperatingIncomeLoss
-2886000
CY2015Q2 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
-43000
CY2015Q2 us-gaap Recognition Of Deferred Revenue
RecognitionOfDeferredRevenue
16000
CY2015Q2 us-gaap Royalty Revenue
RoyaltyRevenue
89000
CY2015Q2 us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest
-3185000
CY2015Q2 us-gaap Net Income Loss Available To Common Stockholders Diluted
NetIncomeLossAvailableToCommonStockholdersDiluted
-3185000
CY2015Q2 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
0
CY2015Q2 us-gaap Selling And Marketing Expense
SellingAndMarketingExpense
2526000
CY2015Q2 us-gaap Operating Expenses
OperatingExpenses
10015000

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