2018 Q4 Form 10-Q Financial Statement
#000119312518323795 Filed on November 09, 2018
Income Statement
Concept | 2018 Q4 | 2018 Q3 | 2018 Q2 |
---|---|---|---|
Revenue | $2.442M | $486.0K | $715.0K |
YoY Change | 161.74% | 26.23% | 2.0% |
Cost Of Revenue | $0.00 | ||
YoY Change | |||
Gross Profit | $715.0K | ||
YoY Change | |||
Gross Profit Margin | 100.0% | ||
Selling, General & Admin | $9.270M | $7.807M | $5.732M |
YoY Change | 275.3% | 203.54% | 118.78% |
% of Gross Profit | 801.68% | ||
Research & Development | $4.180M | $6.233M | $4.765M |
YoY Change | -2.08% | 63.21% | 13.18% |
% of Gross Profit | 666.43% | ||
Depreciation & Amortization | $670.0K | $43.00K | $650.0K |
YoY Change | 191.3% | 10.26% | 209.52% |
% of Gross Profit | 90.91% | ||
Operating Expenses | $13.45M | $14.04M | $10.50M |
YoY Change | 99.53% | 119.68% | 53.46% |
Operating Profit | -$11.01M | -$13.55M | -$9.782M |
YoY Change | 89.48% | 125.67% | 59.42% |
Interest Expense | -$590.0K | $815.0K | $720.0K |
YoY Change | -2066.67% | 3500.0% | |
% of Operating Profit | |||
Other Income/Expense, Net | -$19.57M | -$24.65M | |
YoY Change | -85195.65% | ||
Pretax Income | -$11.59M | -$33.13M | -$34.43M |
YoY Change | 100.52% | 454.01% | 462.58% |
Income Tax | $0.00 | $0.00 | $0.00 |
% Of Pretax Income | |||
Net Earnings | -$11.59M | -$33.13M | -$34.43M |
YoY Change | 100.52% | 453.67% | 462.92% |
Net Earnings / Revenue | -474.77% | -6816.05% | -4815.1% |
Basic Earnings Per Share | |||
Diluted Earnings Per Share | -$1.010M | -$4.406M | -$6.215M |
COMMON SHARES | |||
Basic Shares Outstanding | 94.86M shares | 74.51M shares | 54.03M shares |
Diluted Shares Outstanding |
Balance Sheet
Concept | 2018 Q4 | 2018 Q3 | 2018 Q2 |
---|---|---|---|
SHORT-TERM ASSETS | |||
Cash & Short-Term Investments | $45.30M | $55.80M | $38.80M |
YoY Change | 251.16% | 372.88% | 129.59% |
Cash & Equivalents | $45.26M | $55.76M | $38.78M |
Short-Term Investments | |||
Other Short-Term Assets | $1.400M | $1.400M | $800.0K |
YoY Change | 180.0% | 250.0% | 33.33% |
Inventory | $279.0K | ||
Prepaid Expenses | |||
Receivables | $600.0K | $500.0K | $400.0K |
Other Receivables | $0.00 | $0.00 | $0.00 |
Total Short-Term Assets | $47.60M | $57.64M | $39.91M |
YoY Change | 248.85% | 359.41% | 124.97% |
LONG-TERM ASSETS | |||
Property, Plant & Equipment | $288.0K | $320.0K | $253.0K |
YoY Change | -1.71% | -5.04% | -19.17% |
Goodwill | |||
YoY Change | |||
Intangibles | |||
YoY Change | |||
Long-Term Investments | |||
YoY Change | |||
Other Assets | $200.0K | $200.0K | $200.0K |
YoY Change | -33.33% | -33.33% | -33.33% |
Total Long-Term Assets | $30.57M | $31.21M | $31.76M |
YoY Change | 5437.5% | 3901.67% | 3289.65% |
TOTAL ASSETS | |||
Total Short-Term Assets | $47.60M | $57.64M | $39.91M |
Total Long-Term Assets | $30.57M | $31.21M | $31.76M |
Total Assets | $78.17M | $88.86M | $71.67M |
YoY Change | 450.6% | 566.73% | 283.73% |
SHORT-TERM LIABILITIES | |||
YoY Change | |||
Accounts Payable | $2.640M | $4.075M | $2.940M |
YoY Change | 78.02% | 132.06% | 189.37% |
Accrued Expenses | $3.789M | $3.343M | $3.723M |
YoY Change | 67.51% | 33.03% | -11.86% |
Deferred Revenue | |||
YoY Change | |||
Short-Term Debt | $0.00 | $0.00 | $0.00 |
YoY Change | |||
Long-Term Debt Due | |||
YoY Change | |||
Total Short-Term Liabilities | $21.46M | $22.42M | $21.66M |
YoY Change | 404.92% | 423.91% | 309.51% |
LONG-TERM LIABILITIES | |||
Long-Term Debt | $17.62M | $17.46M | $17.31M |
YoY Change | |||
Other Long-Term Liabilities | $1.455M | $1.269M | $1.231M |
YoY Change | 2313.73% | ||
Total Long-Term Liabilities | $19.08M | $18.73M | $18.54M |
YoY Change | 36252.94% | ||
TOTAL LIABILITIES | |||
Total Short-Term Liabilities | $21.46M | $22.42M | $21.66M |
Total Long-Term Liabilities | $19.08M | $18.73M | $18.54M |
Total Liabilities | $40.54M | $41.15M | $59.98M |
YoY Change | 844.43% | 851.23% | 1023.07% |
SHAREHOLDERS EQUITY | |||
Retained Earnings | -$408.5M | -$396.9M | -$364.0M |
YoY Change | 26.63% | 25.28% | 17.11% |
Common Stock | $445.3M | $443.8M | $374.8M |
YoY Change | 34.26% | 36.56% | 15.93% |
Preferred Stock | |||
YoY Change | |||
Treasury Stock (at cost) | |||
YoY Change | |||
Treasury Stock Shares | |||
Shareholders Equity | $37.63M | $47.71M | $11.69M |
YoY Change | |||
Total Liabilities & Shareholders Equity | $78.17M | $88.86M | $71.67M |
YoY Change | 450.6% | 566.73% | 283.73% |
Cashflow Statement
Concept | 2018 Q4 | 2018 Q3 | 2018 Q2 |
---|---|---|---|
OPERATING ACTIVITIES | |||
Net Income | -$11.59M | -$33.13M | -$34.43M |
YoY Change | 100.52% | 453.67% | 462.92% |
Depreciation, Depletion And Amortization | $670.0K | $43.00K | $650.0K |
YoY Change | 191.3% | 10.26% | 209.52% |
Cash From Operating Activities | -$10.82M | -$11.77M | -$6.080M |
YoY Change | 114.68% | 97.15% | 36.63% |
INVESTING ACTIVITIES | |||
Capital Expenditures | -$20.00K | $109.0K | -$50.00K |
YoY Change | 70.31% | -61.54% | |
Acquisitions | |||
YoY Change | |||
Other Investing Activities | $0.00 | -$1.710M | |
YoY Change | -168.4% | ||
Cash From Investing Activities | -$20.00K | -$109.0K | -$1.750M |
YoY Change | 70.31% | -173.53% | |
FINANCING ACTIVITIES | |||
Cash Dividend Paid | |||
YoY Change | |||
Common Stock Issuance & Retirement, Net | $28.90M | ||
YoY Change | 2901.04% | ||
Debt Paid & Issued, Net | |||
YoY Change | |||
Cash From Financing Activities | 340.0K | 28.86M | 30.26M |
YoY Change | -94.41% | 2897.2% | 396.07% |
NET CHANGE | |||
Cash From Operating Activities | -10.82M | -11.77M | -6.080M |
Cash From Investing Activities | -20.00K | -109.0K | -1.750M |
Cash From Financing Activities | 340.0K | 28.86M | 30.26M |
Net Change In Cash | -10.50M | 16.99M | 22.43M |
YoY Change | -1109.62% | -435.4% | 456.58% |
FREE CASH FLOW | |||
Cash From Operating Activities | -$10.82M | -$11.77M | -$6.080M |
Capital Expenditures | -$20.00K | $109.0K | -$50.00K |
Free Cash Flow | -$10.80M | -$11.88M | -$6.030M |
YoY Change | 114.29% | 96.87% | 39.58% |
Facts In Submission
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Liabilities
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963000 | |
CY2017Q3 | us-gaap |
Net Cash Provided By Used In Operating Activities
NetCashProvidedByUsedInOperatingActivities
|
-5968000 | |
CY2017Q3 | us-gaap |
Net Income Loss
NetIncomeLoss
|
-5983000 | |
CY2017Q3 | us-gaap |
Other Comprehensive Income Loss Net Of Tax
OtherComprehensiveIncomeLossNetOfTax
|
4000 | |
CY2017Q3 | us-gaap |
Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
|
23000 | |
CY2017Q3 | us-gaap |
Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
|
4000 | |
CY2017Q3 | us-gaap |
Operating Expenses
OperatingExpenses
|
6391000 | |
CY2017Q3 | us-gaap |
Operating Income Loss
OperatingIncomeLoss
|
-6006000 | |
CY2017Q3 | us-gaap |
Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
|
64000 | |
CY2017Q3 | us-gaap |
Proceeds From Issuance Of Common Stock
ProceedsFromIssuanceOfCommonStock
|
963000 | |
CY2017Q3 | us-gaap |
Proceeds From Warrant Exercises
ProceedsFromWarrantExercises
|
0 | |
CY2017Q3 | us-gaap |
Profit Loss
ProfitLoss
|
-5983000 | |
CY2017Q3 | us-gaap |
Research And Development Expense
ResearchAndDevelopmentExpense
|
3819000 | |
CY2017Q3 | us-gaap |
Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
|
385000 | |
CY2017Q3 | us-gaap |
Share Based Compensation
ShareBasedCompensation
|
681000 | |
CY2017Q3 | us-gaap |
Stock Issued During Period Value New Issues
StockIssuedDuringPeriodValueNewIssues
|
963000 | |
CY2017Q3 | us-gaap |
Selling And Marketing Expense
SellingAndMarketingExpense
|
0 | |
CY2017Q3 | us-gaap |
Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
|
39430000 | shares |
CY2017Q3 | eypt |
Increase Decrease In Deferred Rent
IncreaseDecreaseInDeferredRent
|
-4000 | |
CY2017Q3 | eypt |
Amortization Of Debt Discount
AmortizationOfDebtDiscount
|
0 | |
CY2017Q3 | eypt |
Warrants To Purchase Common Shares Expired
WarrantsToPurchaseCommonSharesExpired
|
623605 | shares |
CY2017Q3 | eypt |
Exercise Price Of Expired Warrants
ExercisePriceOfExpiredWarrants
|
2.50 | |
CY2018Q3 | us-gaap |
Allocated Share Based Compensation Expense
AllocatedShareBasedCompensationExpense
|
1397000 | |
CY2018Q3 | us-gaap |
Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
|
10369196 | shares |
CY2018Q3 | dei |
Amendment Flag
AmendmentFlag
|
false | |
CY2018Q3 | us-gaap |
Adjustments To Additional Paid In Capital Sharebased Compensation Requisite Service Period Recognition Value
AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue
|
1397000 | |
CY2018Q3 | us-gaap |
Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
|
615000 | |
CY2018Q3 | us-gaap |
Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect
|
16988000 | |
CY2018Q3 | us-gaap |
Comprehensive Income Net Of Tax
ComprehensiveIncomeNetOfTax
|
-33126000 | |
CY2018Q3 | dei |
Current Fiscal Year End Date
CurrentFiscalYearEndDate
|
--06-30 | |
CY2018Q3 | us-gaap |
Increase Decrease In Accounts Payable And Other Operating Liabilities
IncreaseDecreaseInAccountsPayableAndOtherOperatingLiabilities
|
756000 | |
CY2018Q3 | us-gaap |
Interest Expense
InterestExpense
|
815000 | |
CY2018Q3 | us-gaap |
Depreciation
Depreciation
|
43000 | |
CY2018Q3 | dei |
Document Fiscal Period Focus
DocumentFiscalPeriodFocus
|
Q1 | |
CY2018Q3 | dei |
Document Fiscal Year Focus
DocumentFiscalYearFocus
|
2019 | |
CY2018Q3 | dei |
Document Type
DocumentType
|
10-Q | |
CY2018Q3 | us-gaap |
Earnings Per Share Basic And Diluted
EarningsPerShareBasicAndDiluted
|
-0.44 | |
CY2018Q3 | us-gaap |
Effective Income Tax Rate Reconciliation At Federal Statutory Income Tax Rate
EffectiveIncomeTaxRateReconciliationAtFederalStatutoryIncomeTaxRate
|
0.21 | pure |
CY2018Q3 | dei |
Entity Central Index Key
EntityCentralIndexKey
|
0001314102 | |
CY2018Q3 | us-gaap |
Effect Of Exchange Rate On Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
EffectOfExchangeRateOnCashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
|
0 | |
CY2018Q3 | us-gaap |
Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Period For Recognition1
EmployeeServiceShareBasedCompensationNonvestedAwardsTotalCompensationCostNotYetRecognizedPeriodForRecognition1
|
P1Y7M6D | |
CY2018Q3 | dei |
Entity Registrant Name
EntityRegistrantName
|
EyePoint Pharmaceuticals, Inc. | |
CY2018Q3 | dei |
Entity Small Business
EntitySmallBusiness
|
true | |
CY2018Q3 | dei |
Document Period End Date
DocumentPeriodEndDate
|
2018-09-30 | |
CY2018Q3 | dei |
Entity Emerging Growth Company
EntityEmergingGrowthCompany
|
false | |
CY2018Q3 | dei |
Entity Filer Category
EntityFilerCategory
|
Non-accelerated Filer | |
CY2018Q3 | us-gaap |
Finite Lived Intangible Assets Foreign Currency Translation Gain Loss
FiniteLivedIntangibleAssetsForeignCurrencyTranslationGainLoss
|
0 | |
CY2018Q3 | us-gaap |
Gain Loss On Derivative Instruments Net Pretax
GainLossOnDerivativeInstrumentsNetPretax
|
-18886000 | |
CY2018Q3 | us-gaap |
Finitelived Intangible Assets Acquired1
FinitelivedIntangibleAssetsAcquired1
|
0 | |
CY2018Q3 | us-gaap |
General And Administrative Expense
GeneralAndAdministrativeExpense
|
4161000 | |
CY2018Q3 | us-gaap |
Income Tax Expense Benefit
IncomeTaxExpenseBenefit
|
0 | |
CY2018Q3 | us-gaap |
Increase Decrease In Accounts Receivable And Other Operating Assets
IncreaseDecreaseInAccountsReceivableAndOtherOperatingAssets
|
529000 | |
CY2018Q3 | us-gaap |
Increase Decrease In Deferred Revenue
IncreaseDecreaseInDeferredRevenue
|
0 | |
CY2018Q3 | us-gaap |
Interest Paid Net
InterestPaidNet
|
583000 | |
CY2018Q3 | us-gaap |
Nature Of Operations
NatureOfOperations
|
<div> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> <b>1. Operations and Basis of Presentation</b></p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 6pt; LETTER-SPACING: normal; TEXT-INDENT: 4%; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> The accompanying condensed consolidated financial statements of EyePoint Pharmaceuticals, Inc. and subsidiaries (collectively, the “Company”) as of September 30, 2018 and for the three months ended September 30, 2018 and 2017 are unaudited. Certain information in the footnote disclosures of these financial statements has been condensed or omitted in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”). These financial statements should be read in conjunction with the Company’s audited consolidated financial statements and footnotes included in its Annual Report on Form <font style="WHITE-SPACE: nowrap">10-K</font> for the fiscal year ended June 30, 2018 (“fiscal 2018”). In the opinion of management, these statements have been prepared on the same basis as the audited consolidated financial statements as of and for the year ended June 30, 2018, and include all adjustments, consisting only of normal recurring adjustments, that are necessary for the fair presentation of the Company’s financial position, results of operations, comprehensive loss and cash flows for the periods indicated. The preparation of financial statements in accordance with United States (“U.S.”) generally accepted accounting principles (“GAAP”) requires management to make assumptions and estimates that affect, among other things, (i) reported amounts of assets and liabilities; (ii) disclosure of contingent assets and liabilities at the date of the consolidated financial statements; and (iii) reported amounts of revenues and expenses during the reporting period. The results of operations for the three months ended September 30, 2018 are not necessarily indicative of the results that may be expected for the entire fiscal year or any future period.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 4%; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> The Company is a specialty biopharmaceutical company committed to developing and commercializing innovative ophthalmic products for the treatment of eye diseases. Following U.S. Food and Drug Administration (“FDA”) approval of DEXYCU™ and YUTIQ™, the Company is targeting the direct U.S. commercial launch of YUTIQ in the first quarter of calendar 2019 and DEXYCU in the first half of calendar 2019.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 4%; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> DEXYCU™ (dexamethasone intraocular suspension) 9%, approved by the FDA in February 2018 for the treatment of post-operative inflammation, is administered as a single dose at the end of ocular surgery and is the first long-acting intraocular product approved by the FDA for the treatment of post-operative inflammation. DEXYCU utilizes the Company’s proprietary Verisome<sup style="FONT-SIZE: 11px; VERTICAL-ALIGN: top">®</sup> drug-delivery platform, which allows for a single injection that releases dexamethasone, a corticosteroid, over time. There are approximately four million cataract surgeries performed annually in the U.S. and the Company expects to launch DEXYCU in the U.S. in the first half of 2019 with a primary focus on its use following cataract surgery. The Company acquired DEXYCU in connection with its acquisition of Icon Bioscience, Inc. (“Icon”) in March 2018.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 4%; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> YUTIQ™, a <font style="WHITE-SPACE: nowrap">non-erodible</font> fluocinolone acetonide insert for the treatment of chronic <font style="WHITE-SPACE: nowrap">non-infectious</font> posterior uveitis affecting the posterior segment of the eye (chronic “NIPU”), was approved by the FDA on October 12, 2018. Injected into the eye in an office visit, YUTIQ is a micro-insert that delivers a micro-dose of a corticosteroid to the back of the eye on a sustained basis (zero order release) for approximately three years. YUTIQ is based on the Company’s proprietary Durasert™ sustained-release drug delivery technology platform, which can deliver drugs for predetermined periods of time ranging from months to years. NIPU is the third leading cause of blindness in the U.S. and is estimated to affect between 55,000 to 120,000 people. The Company expects to launch YUTIQ in the U.S. in the first quarter of calendar 2019.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 4%; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> ILUVIEN<sup style="FONT-SIZE: 11px; VERTICAL-ALIGN: top">®</sup> for diabetic macular edema (“DME”), the Company’s lead licensed product, was also developed from the Durasert technology platform and is sold directly in the U.S. and several European Union (“EU”) countries by Alimera Sciences, Inc. (“Alimera”). Retisert<sup style="FONT-SIZE: 11px; VERTICAL-ALIGN: top">®</sup>, one of the Company’s earlier generation products, was approved in 2005 by the FDA for the treatment of chronic NIPU and is sold in the U.S. by Bausch & Lomb Incorporated (“Bausch & Lomb”). The Company’s development programs are focused primarily on developing sustained release products that utilize its Durasert and Verisome technology platforms to deliver approved drugs to treat chronic diseases. The Company’s strategy includes developing products independently while continuing to leverage its technology platforms through collaborations and license agreements.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 4%; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> The Company has financed its operations primarily from sales of equity securities, issuance of debt and the receipt of license fees, milestone payments, research and development funding and royalty income from its collaboration partners. The Company has a history of operating losses and, to date, has not had significant recurring cash inflows from revenue. The Company’s anticipated recurring use of cash to fund operations in combination with no probable source of additional capital raises substantial doubt about its ability to continue as a going concern for one year from the issuance of its financial statements. The Company received proceeds of $28.9 million in late September 2018 from the exercise of investor warrants (the “Second Tranche Warrants) (see Note 8) and had total cash and cash equivalents of $55.8 million at September 30, 2018. The Company believes that its cash and cash equivalents of $55.8 million at September 30, 2018, and expected proceeds from existing collaboration agreements, will enable the Company to maintain its current and planned operations (including continuation of its two Phase 3 clinical trials for YUTIQ and plans for the U.S. commercial launch of both DEXYCU and YUTIQ) into the second quarter of calendar year 2019. In order to extend the Company’s ability to fund its operations beyond then, management’s plans include obtaining additional equity financing and/or additional debt financing and/or, as applicable, reducing or deferring operating expenses. The timing and extent of the Company’s implementation of these plans is expected to depend on the amount and timing of cash receipts from existing or any future collaborations or other agreements and/or proceeds from any financing transactions. There is no assurance that the Company will receive significant revenues from its planned commercialization of DEXYCU or YUTIQ, or from its product license revenues under existing collaboration agreements or be able to obtain financing from any other sources.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 18pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> <b>Recently Adopted and Recently Issued Accounting Pronouncements</b></p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 6pt; LETTER-SPACING: normal; TEXT-INDENT: 4%; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> New accounting pronouncements are issued periodically by the Financial Accounting Standards Board (“FASB”) and are adopted by the Company as of the specified effective dates. Unless otherwise disclosed below, the Company believes that recently issued and adopted accounting pronouncements will not have a material impact on the Company’s financial position, results of operations and cash flows or do not apply to the Company’s operations.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 4%; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> The Company adopted Accounting Standards Codification (“ASC”) 606, <i>Revenue from Contracts with Customers</i>, with a date of initial application of July 1, 2018. As a result, the Company has updated its accounting policy for revenue recognition to reflect the new standard (see Note 2). The adoption of ASC 606 represents a change in accounting principle that will more closely align revenue recognition with the delivery of the Company’s services and will provide financial statement readers with enhanced disclosures. The Company applied ASC 606 using the modified retrospective method. The cumulative effect of initially applying the new revenue standard resulted in a $218,000 reduction to the opening balance of accumulated deficit at July 1, 2018.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 4%; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> In February 2016, the FASB issued ASU <font style="WHITE-SPACE: nowrap">No. 2016-02,</font> <i>Leases</i>. The new standard establishes a <font style="WHITE-SPACE: nowrap"><font style="WHITE-SPACE: nowrap">right-of-use</font></font> (“ROU”) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Based on the change in the Company’s fiscal year (see Note 14), ASU <font style="WHITE-SPACE: nowrap">2016-02</font> will become effective on January 1, 2019. A modified retrospective transition approach is required for lessee capital and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. The Company is evaluating the impact the adoption of this standard will have on its consolidated financial statements.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: "Times New Roman"; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; FONT-WEIGHT: 400; COLOR: rgb(0,0,0); FONT-STYLE: normal; ORPHANS: 2; WIDOWS: 2; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 4%; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial"> In June 2018, the FASB issued ASU <font style="WHITE-SPACE: nowrap">2018-07,</font> <i>Improvements to Nonemployee Share-Based Payment Accounting</i>. The standard aligns the measurement and classification guidance for share-based payments to nonemployees with the guidance for share-based payments to employees, with certain exceptions. Under the new guidance, the measurement of equity-classified nonemployee awards will be fixed at the grant date. The ASU is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted, but not before an entity adopts the new revenue guidance. ASU <font style="WHITE-SPACE: nowrap">2018-07,</font> which was early adopted on July 1, 2018, did not have a significant impact on the Company’s financial statements.</p> </div> | |
CY2018Q3 | us-gaap |
Net Cash Provided By Used In Investing Activities
NetCashProvidedByUsedInInvestingActivities
|
-109000 | |
CY2018Q3 | us-gaap |
Net Cash Provided By Used In Financing Activities
NetCashProvidedByUsedInFinancingActivities
|
28863000 | |
CY2018Q3 | us-gaap |
Net Cash Provided By Used In Operating Activities
NetCashProvidedByUsedInOperatingActivities
|
-11766000 | |
CY2018Q3 | us-gaap |
Net Income Loss
NetIncomeLoss
|
-33126000 | |
CY2018Q3 | us-gaap |
Other Comprehensive Income Loss Net Of Tax
OtherComprehensiveIncomeLossNetOfTax
|
0 | |
CY2018Q3 | us-gaap |
Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
|
129000 | |
CY2018Q3 | us-gaap |
Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
|
0 | |
CY2018Q3 | us-gaap |
Operating Expenses
OperatingExpenses
|
14040000 | |
CY2018Q3 | us-gaap |
Operating Income Loss
OperatingIncomeLoss
|
-13554000 | |
CY2018Q3 | us-gaap |
Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
|
109000 | |
CY2018Q3 | us-gaap |
Proceeds From Issuance Of Common Stock
ProceedsFromIssuanceOfCommonStock
|
0 | |
CY2018Q3 | us-gaap |
Proceeds From Warrant Exercises
ProceedsFromWarrantExercises
|
28863000 | |
CY2018Q3 | us-gaap |
Profit Loss
ProfitLoss
|
-33126000 | |
CY2018Q3 | us-gaap |
Research And Development Expense
ResearchAndDevelopmentExpense
|
6233000 | |
CY2018Q3 | us-gaap |
Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
|
486000 | |
CY2018Q3 | us-gaap |
Share Based Compensation
ShareBasedCompensation
|
1397000 | |
CY2018Q3 | us-gaap |
Selling And Marketing Expense
SellingAndMarketingExpense
|
3646000 | |
CY2018Q3 | dei |
Trading Symbol
TradingSymbol
|
EYPT | |
CY2018Q3 | us-gaap |
Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
|
75170000 | shares |
CY2018Q3 | eypt |
Stock Issued During Period Value Warrant Exercised
StockIssuedDuringPeriodValueWarrantExercised
|
28863000 | |
CY2018Q3 | eypt |
Finite Lived Intangible Assets Foreign Currency Translation Of Accumulated Amortization
FiniteLivedIntangibleAssetsForeignCurrencyTranslationOfAccumulatedAmortization
|
0 | |
CY2018Q3 | eypt |
Increase Decrease In Deferred Rent
IncreaseDecreaseInDeferredRent
|
38000 | |
CY2018Q3 | eypt |
Amortization Of Debt Discount
AmortizationOfDebtDiscount
|
154000 | |
CY2018Q3 | eypt |
Warrants To Purchase Common Shares Expired
WarrantsToPurchaseCommonSharesExpired
|
0 | shares |
CY2018Q3 | eypt |
Exercise Price Of Expired Warrants
ExercisePriceOfExpiredWarrants
|
0.00 | |
CY2018Q3 | eypt |
Stock Issued During Period Shares Settlement Of Derivative Liability To Adjustment To Additional Paid In Capital
StockIssuedDuringPeriodSharesSettlementOfDerivativeLiabilityToAdjustmentToAdditionalPaidInCapital
|
0 | shares |
CY2018Q3 | eypt |
Stock Issued During Period Value Settlement Of Derivative Liability To Adjustment To Additional Paid In Capital
StockIssuedDuringPeriodValueSettlementOfDerivativeLiabilityToAdjustmentToAdditionalPaidInCapital
|
38666000 |