2024 Q1 Form 10-K Financial Statement

#000121390024028010 Filed on March 29, 2024

View on sec.gov

Income Statement

Concept 2024 Q1 2023 Q4 2023
Revenue $719.0K $808.0K $2.928M
YoY Change 66.05% 191.7% 323.73%
Cost Of Revenue $249.0K $249.0K $1.687M
YoY Change -48.13% -48.55% 26.65%
Gross Profit $470.0K $559.0K $1.241M
YoY Change -1100.0% -370.05% -293.6%
Gross Profit Margin 65.37% 69.18% 42.38%
Selling, General & Admin $3.307M $3.009M $13.81M
YoY Change -17.43% -56.45% -9.51%
% of Gross Profit 703.62% 538.28% 1112.41%
Research & Development $669.0K $691.0K $3.163M
YoY Change -19.78% -14.9% 11.85%
% of Gross Profit 142.34% 123.61% 254.88%
Depreciation & Amortization $100.0K $93.00K $199.0K
YoY Change 300.0% 272.0% 155.13%
% of Gross Profit 21.28% 16.64% 16.04%
Operating Expenses $3.976M $3.700M $16.97M
YoY Change -17.83% -52.08% -6.17%
Operating Profit -$3.506M -$3.141M -$15.73M
YoY Change -28.24% -60.38% -16.01%
Interest Expense $34.00K $7.000K $146.0K
YoY Change -39.29% -91.25% -183.91%
% of Operating Profit
Other Income/Expense, Net -$70.00K $0.00 $0.00
YoY Change -225.0% -100.0% -100.0%
Pretax Income -$3.576M -$3.134M -$15.58M
YoY Change -25.96% -60.35% -17.63%
Income Tax
% Of Pretax Income
Net Earnings -$3.576M -$3.134M -$15.58M
YoY Change -25.96% -60.35% -17.63%
Net Earnings / Revenue -497.36% -387.87% -532.14%
Basic Earnings Per Share -$1.25 -$8.59
Diluted Earnings Per Share -$1.25 -$1.24 -$8.59
COMMON SHARES
Basic Shares Outstanding 3.727M shares 2.471M shares 1.814K shares
Diluted Shares Outstanding 2.853K shares 1.814K shares

Balance Sheet

Concept 2024 Q1 2023 Q4 2023
SHORT-TERM ASSETS
Cash & Short-Term Investments $4.388M $2.428M $2.428M
YoY Change -10.74% -71.67% -71.67%
Cash & Equivalents $4.388M $2.428M $2.428M
Short-Term Investments $0.00 $0.00
Other Short-Term Assets $360.0K $389.0K $389.0K
YoY Change 86.53% 190.3% 190.3%
Inventory $632.0K $554.0K $554.0K
Prepaid Expenses $360.0K $389.0K
Receivables $571.0K $518.0K $518.0K
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $5.951M $3.889M $3.889M
YoY Change 1.88% -58.39% -58.39%
LONG-TERM ASSETS
Property, Plant & Equipment $993.0K $1.607M $1.607M
YoY Change 16.55% 102.65% -3.54%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $490.0K $849.0K $849.0K
YoY Change 315.25% 1017.11% 1017.11%
Total Long-Term Assets $2.069M $2.456M $2.456M
YoY Change 15.72% 40.99% 40.99%
TOTAL ASSETS
Total Short-Term Assets $5.951M $3.889M $3.889M
Total Long-Term Assets $2.069M $2.456M $2.456M
Total Assets $8.020M $6.345M $6.345M
YoY Change 5.13% -42.78% -42.78%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $266.0K $433.0K $433.0K
YoY Change -71.34% -21.27% -21.27%
Accrued Expenses $941.0K $1.534M $1.534M
YoY Change 77.55% 113.95% -22.53%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $1.173M $1.173M
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $2.262M $3.140M $3.140M
YoY Change -17.81% 24.11% 24.11%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00 $0.00
YoY Change
Other Long-Term Liabilities $2.134M $2.427M $2.427M
YoY Change -11.19% 5.2% 5.2%
Total Long-Term Liabilities $2.134M $2.427M $2.427M
YoY Change -11.19% 5.2% 5.2%
TOTAL LIABILITIES
Total Short-Term Liabilities $2.262M $3.140M $3.140M
Total Long-Term Liabilities $2.134M $2.427M $2.427M
Total Liabilities $4.396M $5.567M $5.567M
YoY Change -14.72% 15.09% 15.09%
SHAREHOLDERS EQUITY
Retained Earnings -$58.65M -$55.07M
YoY Change 32.32% 39.45%
Common Stock $58.97M $55.90M
YoY Change 536018.18% 508054.55%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $3.624M $778.0K $778.0K
YoY Change
Total Liabilities & Shareholders Equity $8.020M $6.345M $6.345M
YoY Change 5.13% -42.78% -42.78%

Cashflow Statement

Concept 2024 Q1 2023 Q4 2023
OPERATING ACTIVITIES
Net Income -$3.576M -$3.134M -$15.58M
YoY Change -25.96% -60.35% -17.63%
Depreciation, Depletion And Amortization $100.0K $93.00K $199.0K
YoY Change 300.0% 272.0% 155.13%
Cash From Operating Activities -$2.338M -$2.278M -$12.18M
YoY Change -34.62% -32.7% 1.31%
INVESTING ACTIVITIES
Capital Expenditures $119.0K $92.00K $361.0K
YoY Change 41.67% -84.69% -57.38%
Acquisitions
YoY Change
Other Investing Activities $0.00 $0.00 $6.503M
YoY Change -100.0% -100.0% -419.24%
Cash From Investing Activities -$119.0K -$92.00K $6.142M
YoY Change -102.55% -103.93% -312.97%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $5.561M
YoY Change -60.67%
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities $4.371M 1.371M 6.302M
YoY Change -10507.14% -5584.0% -55.35%
NET CHANGE
Cash From Operating Activities -$2.338M -2.278M -12.18M
Cash From Investing Activities -$119.0K -92.00K 6.142M
Cash From Financing Activities $4.371M 1.371M 6.302M
Net Change In Cash $1.960M -999.0K 261.0K
YoY Change 86.67% -6.72% -133.12%
FREE CASH FLOW
Cash From Operating Activities -$2.338M -$2.278M -$12.18M
Capital Expenditures $119.0K $92.00K $361.0K
Free Cash Flow -$2.457M -$2.370M -$12.54M
YoY Change -32.87% -40.54% -2.55%

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CY2023 us-gaap Nature Of Operations
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<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><span style="font-family: Times New Roman, Times, Serif"><b>1.  Organization and Business</b></span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif"><i> </i></span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif"><i>Nature of operations</i></span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Tenon Medical, Inc. (the “Company”) was incorporated in the State of Delaware on June 19, 2012 and was headquartered in San Ramon, California until June 2021 when it relocated to Los Gatos, California. The Company is a medical device company that has developed The Catamaran™ SI Joint Fusion System (“the Catamaran System”) that offers a novel, less invasive approach to the sacroiliac joint (the “SI Joint”) using a single, robust, titanium implant for treatment of the most common types of SI Joint disorders that cause lower back pain. The Company received U.S. Food and Drug Administration (“FDA”) clearance in 2018 for The Catamaran System and is currently focused on the U.S. market. Since the national launch of the Catamaran System in October 2022, the Company is focused on three commercial opportunities: 1) Primary SI Joint procedures, 2) Revision procedures of failed SI Joint implants and 3) SI Joint fusion adjunct to a spine fusion construct.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif"><i> </i></span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif"><i>Basis of consolidation</i></span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif"> </span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif">The condensed financial statements of the Company include the accounts of the Company and its wholly-owned subsidiary, Tenon Technology AG (“TTAG”), a Swiss company. All intercompany balances and transactions have been eliminated in consolidation. The financial statements of TTAG are prepared for the same reporting period as the parent, using consistent accounting policies in all material respects.</span></p>
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<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif"><i>Use of estimates</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. Significant estimates made by management include, but are not limited to, realization of deferred tax assets, accrued liabilities, obsolescence of inventory, the fair value of accrued commissions and stock-based compensation.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><span style="font-family: Times New Roman, Times, Serif"><i> </i></span></p>
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UnrecognizedTaxBenefits
38000 usd
CY2024Q1 us-gaap Warrants And Rights Outstanding Term
WarrantsAndRightsOutstandingTerm
P5Y
CY2023Q4 us-gaap Preferred Stock Liquidation Preference
PreferredStockLiquidationPreference
1.5125
CY2023 tnon Number Of Trading Days
NumberOfTradingDays
10 pure
CY2023 tnon Percentage Of Volumeweighted Average Price
PercentageOfVolumeweightedAveragePrice
2.50 pure
CY2023Q4 us-gaap Preferred Stock Convertible Conversion Ratio
PreferredStockConvertibleConversionRatio
50 pure
CY2023 us-gaap Revenues Net Of Interest Expense
RevenuesNetOfInterestExpense
2250000 usd
CY2023 tnon Percentage Of Shares Issued To Shareholders
PercentageOfSharesIssuedToShareholders
0.50 pure
CY2023 tnon Liquidation Preference Payable On Deemed Liquidation
LiquidationPreferencePayableOnDeemedLiquidation
1.10 pure
CY2023 us-gaap Credit Derivative Liquidation Proceeds Percentage
CreditDerivativeLiquidationProceedsPercentage
0.10 pure
CY2023 tnon Indebtedness Excess Cost
IndebtednessExcessCost
1000000 usd
CY2023Q4 ecd Non Rule10b51 Arr Trmntd Flag
NonRule10b51ArrTrmntdFlag
false
CY2023Q4 ecd Rule10b51 Arr Trmntd Flag
Rule10b51ArrTrmntdFlag
false
CY2023Q4 ecd Non Rule10b51 Arr Adopted Flag
NonRule10b51ArrAdoptedFlag
false
CY2023Q4 ecd Rule10b51 Arr Adopted Flag
Rule10b51ArrAdoptedFlag
false
CY2022 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
-23.62
CY2023 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
1814 shares
CY2022 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
801 shares
CY2023 us-gaap Stock Issued During Period Value Restricted Stock Award Gross
StockIssuedDuringPeriodValueRestrictedStockAwardGross
usd
CY2023 us-gaap Adjustments To Additional Paid In Capital Stock Split
AdjustmentsToAdditionalPaidInCapitalStockSplit
usd
CY2023 us-gaap Unrealized Gain Loss On Investments
UnrealizedGainLossOnInvestments
usd
CY2023 us-gaap Paid In Kind Interest
PaidInKindInterest
usd
CY2023 us-gaap Issuance Of Stock And Warrants For Services Or Claims
IssuanceOfStockAndWarrantsForServicesOrClaims
usd
CY2023 us-gaap Gain Loss On Disposition Of Assets1
GainLossOnDispositionOfAssets1
usd
CY2022 us-gaap Proceeds From Issuance Of Debt
ProceedsFromIssuanceOfDebt
usd
CY2022 us-gaap Proceeds From Convertible Debt
ProceedsFromConvertibleDebt
usd
CY2022 us-gaap Proceeds From Warrant Exercises
ProceedsFromWarrantExercises
usd
CY2023 us-gaap Stock Issued1
StockIssued1
usd
CY2023 us-gaap Interest Paid Capitalized
InterestPaidCapitalized
usd
CY2022 us-gaap Interest Paid Capitalized
InterestPaidCapitalized
usd
CY2023 us-gaap Income Taxes Paid Net
IncomeTaxesPaidNet
usd
CY2022 us-gaap Income Taxes Paid Net
IncomeTaxesPaidNet
usd
CY2023 us-gaap Conversion Of Stock Amount Issued1
ConversionOfStockAmountIssued1
usd
CY2023 us-gaap Debt Conversion Original Debt Amount1
DebtConversionOriginalDebtAmount1
usd
CY2021Q4 tnon Percentage Of Weightage Given To Market Approach
PercentageOfWeightageGivenToMarketApproach
pure
CY2023 us-gaap Current Federal Tax Expense Benefit
CurrentFederalTaxExpenseBenefit
usd
CY2022 us-gaap Current Federal Tax Expense Benefit
CurrentFederalTaxExpenseBenefit
usd
CY2023 us-gaap Current Foreign Tax Expense Benefit
CurrentForeignTaxExpenseBenefit
usd
CY2022 us-gaap Current Foreign Tax Expense Benefit
CurrentForeignTaxExpenseBenefit
usd
CY2023 us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
pure
CY2022 us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
pure
CY2023Q4 us-gaap Deferred Tax Assets Liabilities Net
DeferredTaxAssetsLiabilitiesNet
usd
CY2022Q4 us-gaap Deferred Tax Assets Liabilities Net
DeferredTaxAssetsLiabilitiesNet
usd
CY2021Q4 us-gaap Unrecognized Tax Benefits
UnrecognizedTaxBenefits
usd
CY2023 us-gaap Unrecognized Tax Benefits Decreases Resulting From Prior Period Tax Positions
UnrecognizedTaxBenefitsDecreasesResultingFromPriorPeriodTaxPositions
usd
CY2022 us-gaap Unrecognized Tax Benefits Decreases Resulting From Prior Period Tax Positions
UnrecognizedTaxBenefitsDecreasesResultingFromPriorPeriodTaxPositions
usd
CY2023 dei Entity Central Index Key
EntityCentralIndexKey
0001560293

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