-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, B7fmhYkaq4II0UZbJk8/6xUO7pzRFbgCwaLVTy/lcJSnfwx+ZnujB1sfvNR+Zn/u J+jl2l/VLuvQKd69WwvgZw== 0000912057-02-007074.txt : 20020414 0000912057-02-007074.hdr.sgml : 20020414 ACCESSION NUMBER: 0000912057-02-007074 CONFORMED SUBMISSION TYPE: 6-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20020221 FILED AS OF DATE: 20020221 FILER: COMPANY DATA: COMPANY CONFORMED NAME: VISIBLE GENETICS INC CENTRAL INDEX KEY: 0001010819 STANDARD INDUSTRIAL CLASSIFICATION: IN VITRO & IN VIVO DIAGNOSTIC SUBSTANCES [2835] IRS NUMBER: 000000000 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 6-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-28550 FILM NUMBER: 02554801 BUSINESS ADDRESS: STREET 1: 700 BAY ST STREET 2: SUITE 1000 CITY: TORONTO ONTARIO CANA STATE: A6 ZIP: 00000 BUSINESS PHONE: 2127025700 MAIL ADDRESS: STREET 1: 700 BAY ST STE 1000 STREET 2: TORONTO ONTARIO CANADA CITY: M5G 1Z6 6-K 1 a2071443z6-k.txt FORM 6-K - -------------------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 6-K REPORT OF FOREIGN ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 OF THE SECURITIES EXCHANGE ACT OF 1934 FILING NO. 1 FOR THE MONTH OF FEBRUARY, 2002 Visible Genetics Inc. --------------------- (Exact name of Registrant) 700 Bay Street, Suite 1000, Toronto ON, Canada M5G 1Z6 ------------------------------------------------------ (Address of principal executive offices) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F Form 20-F X Form 40-F --- --- Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934. Yes No X --- --- - -------------------------------------------------------------------------------- VISIBLE GENETICS INC. On February 21, 2002, we reported our financial results for the fourth quarter and year ended December 31, 2001. We reported sales of $3.2 million for the fourth quarter of 2001 and $13.6 million for the year ended December 31, 2001, compared to $3.0 million and $13.1 million for the respective periods in 2000. The net loss attributable to common shareholders for the fourth quarter of 2001 was $11.9 million or $0.71 per share, compared to a net loss attributable to common shareholders of $10.4 million or $0.65 per share for the same period in 2000. For the year ended December 31, 2001, we reported a net loss attributable to common shareholders of $44.1 million or $2.67 per share, compared to $35.4 million or $2.42 per share for 2000. (All amounts are in United States dollars.) Sales during 2001 rose slightly as we awaited FDA clearance of our TRUGENE(TM) HIV-1 Genotyping Kit. FDA clearance was received in late September, however no significant sales of FDA-approved product were made during the fourth quarter due to the time required to prepare and manufacture new production lots. Sales of GeneKits and consumables increased to $2.6 million and $10.7 million for the fourth quarter and full year of 2001 respectively, up from $2.4 million and $8.1 million for the comparable periods of 2000. Fourth quarter and full year 2001 sales of sequencing systems were $0.6 million and $2.7 million, respectively, compared to $0.6 million and $4.5 million for the comparable periods of 2000. Cash and short-term investments at December 31, 2001 amounted to $53.2 million, compared to $80.4 million at December 31, 2000. THIS FORM 6-K CONTAINS FORWARD-LOOKING STATEMENTS WITHIN THE MEANING OF THE "SAFE HARBOR" PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. A VARIETY OF FACTORS COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THE ANTICIPATED RESULTS OR OTHER EXPECTATIONS EXPRESSED IN THESE FORWARD LOOKING STATEMENTS. THE RISKS AND UNCERTAINTIES THAT MAY AFFECT THE OPERATIONS, PERFORMANCE, DEVELOPMENT AND RESULTS OF THE COMPANY INCLUDE BUT ARE NOT LIMITED TO: UNCERTAINTY OF ACCEPTANCE OF GENOTYPING IN GENERAL, AND OF OUR PRODUCTS, IN PARTICULAR IN THE CLINICAL DIAGNOSTIC MARKET; DESIRE OF THE FDA TO TAKE ENFORCEMENT ACTION TO RESTRICT THE USE OF HOME BREW GENOTYPING TESTS TO PROVIDE DRUG RESISTANCE REPORTS AND TESTS TO PHYSICIANS AND OTHER HEALTH CARE PROVIDERS; REFUSAL OF INSURANCE COMPANIES AND OTHER THIRD PARTY PAYORS TO REIMBURSE US FOR OUR PRODUCTS; PROBLEMS THAT WE MAY FACE IN BRINGING OUR HEPATITIS C GENOTYPING KIT TO MARKET; PROBLEMS THAT WE MAY FACE IN MANUFACTURING, MARKETING AND DISTRIBUTING OUR PRODUCTS; DELAYS WHICH MAY OCCUR IN MAKING OUR ATLANTA MANUFACTURING FACILITY FULLY OPERATIONAL; PROBLEMS WE MAY FACE WITH FUTURE CLINICAL TRIALS; DELAYS IN OBTAINING APPROVAL BY THE FDA FOR CHANGES MADE TO FDA APPROVED PRODUCTS; DELAYS IN OBTAINING OR OUR INABILITY TO OBTAIN FDA APPROVAL FOR CERTAIN OF OUR FUTURE PRODUCTS; DELAYS IN OBTAINING OR INABILITY TO OBTAIN APPROVAL BY CERTAIN FOREIGN REGULATORY AUTHORITIES FOR OUR PRODUCTS; PROBLEMS IN ACQUIRING AND PROTECTING INTELLECTUAL PROPERTY IMPORTANT TO OUR BUSINESS THROUGH PATENTS, LICENSES AND OTHER ARRANGEMENTS; OUR ABILITY TO SUCCESSFULLY DEFEND CLAIMS THAT OUR PRODUCTS MAY INFRINGE THE INTELLECTUAL PROPERTY RIGHTS OF OTHERS; PROBLEMS WITH IMPORTANT SUPPLIERS AND BUSINESS PARTNERS; DELAYS IN DEVELOPING NEW PRODUCTS AND ENHANCED VERSIONS OF EXISTING PRODUCTS; AND THE TIMING OF OUR FUTURE CAPITAL NEEDS AND/OR INABILITY TO RAISE CAPITAL WHEN NEEDED; AND OTHER ISSUES DETAILED FROM TIME TO TIME IN THE COMPANY'S SEC FILINGS. THESE FORWARD LOOKING STATEMENTS SPEAK ONLY AS OF THE DATE HEREOF. VISIBLE GENETICS DISCLAIMS ANY INTENT OR OBLIGATION TO UPDATE THESE FORWARD LOOKING STATEMENTS. We hereby incorporate by reference this Form 6-K into our Registration Statements on Form F-3 and into the prospectuses contained therein (File Nos. 333-76786 and 333-81406), and our outstanding Registration Statements on Form S-8 and into the reoffer prospectuses contained therein. Exhibit 1 - Fourth Quarter and 2001 Year End Financial Results SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. VISIBLE GENETICS INC. Date: February 21, 2002 By: /s/ THOMAS J. CLARKE -------------------- Name: Thomas J. Clarke Title: Chief Financial Officer EX-1 3 a2071443zex-1.txt EXHIBIT 1 VISIBLE GENETICS INC. CONSOLIDATED BALANCE SHEETS ( UNITED STATES DOLLARS)
DECEMBER 31 DECEMBER 31 2001 2000 -------------------- ------------------- ASSETS CURRENT ASSETS Cash and cash equivalents $ 15,502,095 $ 18,476,303 Short-term investments 37,692,756 61,922,687 Trade receivables, net of allowance for doubtful accounts 3,136,754 3,214,934 Other receivables 437,888 884,995 Prepaid and deposits 392,454 452,124 Inventory 2,756,950 2,268,877 -------------------- ------------------- TOTAL CURRENT ASSETS 59,918,897 87,219,920 -------------------- ------------------- FIXED ASSETS 18,656,995 10,292,282 PATENTS AND LICENSES 14,336,439 12,182,112 OTHER LONG TERM ASSETS 456,744 481,383 -------------------- ------------------- $ 93,369,075 $ 110,175,697 ==================== =================== LIABILITIES CURRENT LIABILITIES Accounts payable $ 3,851,701 $ 3,847,364 Accrued liabilities 5,081,814 5,265,864 -------------------- ------------------- TOTAL CURRENT LIABILITIES 8,933,515 9,113,228 -------------------- ------------------- MANDATORILY REDEEMABLE CONVERTIBLE PREFERRED SHARES 26,886,004 24,397,398 -------------------- ------------------- SHAREHOLDERS' EQUITY Share capital 195,408,884 169,717,379 Other equity - - Cumulative translation adjustment (1,018,839) (1,013,459) Deficit (136,840,489) (92,038,849) -------------------- ------------------- 57,549,556 76,665,071 -------------------- ------------------- $ 93,369,075 $ 110,175,697 ==================== ===================
VISIBLE GENETICS INC. CONSOLIDATED STATEMENTS OF OPERATIONS (UNITED STATES DOLLARS)
THREE MONTHS ENDED DECEMBER 31 YEARS ENDED DECEMBER 31 2001 2000 2001 2000 ---- ---- ---- ---- (UNAUDITED) (UNAUDITED) SALES Products $ 3,143,481 $ 2,984,628 $ 13,330,346 $ 12,659,783 Services 47,286 27,926 249,568 412,780 ---------------- ---------------- --------------- --------------- 3,190,767 3,012,554 13,579,914 13,072,563 ---------------- ---------------- --------------- --------------- COST OF SALES Products 2,537,497 2,551,490 9,789,570 9,815,741 Services 36,115 18,042 208,207 317,748 ---------------- ---------------- --------------- --------------- 2,573,612 2,569,532 9,997,777 10,133,489 ---------------- ---------------- --------------- --------------- GROSS MARGIN 617,155 443,022 3,582,137 2,939,074 EXPENSES Sales, general and administrative 8,980,419 8,429,225 33,986,435 28,570,747 Research and development 2,879,634 2,747,080 10,834,731 10,606,516 Exit and termination costs - - 1,920,000 - ---------------- ---------------- --------------- --------------- 11,860,053 11,176,305 46,741,166 39,177,263 ---------------- ---------------- --------------- --------------- LOSS FROM OPERATIONS BEFORE INTEREST (11,242,898) (10,733,283) (43,159,029) (36,238,189) Interest income 223,656 1,176,319 2,513,697 4,480,589 Interest and financing expense (699) (7,412) (8,402) (16,536) ---------------- ---------------- --------------- --------------- NET LOSS FOR THE PERIOD (11,019,941) (9,564,376) (40,653,734) (31,774,136) Cumulative preferred dividends and accretion of discount attributable to preferred shares (887,905) (850,221) (3,426,827) (3,656,355) NET LOSS ATTRIBUTABLE TO COMMON SHAREHOLDERS $ (11,907,846) $ (10,414,597) $ (44,080,561) $ (35,430,491) ---------------- ---------------- --------------- --------------- Weighted average number of common shares outstanding 16,775,455 16,229,554 16,481,916 14,612,172 BASIC AND FULLY DILUTED LOSS PER SHARE $ (0.71) $ (0.65) $ (2.67) $ (2.42) ---------------- ---------------- --------------- ---------------
VISIBLE GENETICS INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (UNITED STATES DOLLARS)
YEARS ENDED DECEMBER 31 2001 2000 ---------------- --------------- CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES Net loss for the period $ (40,653,734) $ (31,774,136) Add: Items not involving cash - Depreciation 4,651,803 3,078,551 Amortization 3,069,946 2,211,253 Patents and licences written off 65,014 142,165 Foreign exchange 13,903 (163,252) Increase ( decrease ) from changes in - Trade receivables 47,568 2,436,001 Other receivables 418,349 (267,177) Prepaids and deposits 55,530 (19,863) Inventory (486,797) 219,221 Other long-term assets 24,639 (188,979) Accounts payable 50,497 789,233 Accured liabilities (77,522) 1,783,467 --------------- --------------- (32,820,804) (21,753,516) --------------- --------------- CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES Purchase of fixed assets (13,192,037) (9,269,045) Licenses and patents acquired (5,289,287) (12,413,163) Purchase of short-term investments (116,002,357) (356,812,514) Redemption of short-term investments 140,232,288 334,784,805 --------------- --------------- 5,748,607 (43,709,917) --------------- --------------- CASH PROVIDED BY FINANCING ACTIVITIES Common shares issued, net of expenses 24,026,825 80,929,608 --------------- --------------- 24,026,825 80,929,608 --------------- --------------- EFFECT OF EXCHANGE RATE FLUCTUATIONS ON CASH BALANCES 71,164 217,143 --------------- --------------- INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS, DURING THE YEAR (2,974,208) 15,683,318 CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR 18,476,303 2,792,985 --------------- --------------- CASH AND CASH EQUIVALENTS, END OF YEAR $ 15,502,095 $ 18,476,303 =============== =============== SUPPLEMENTAL INFORMATION Interest paid $ 8,402 $ 16,536 Income taxes paid $ - $ -
VISIBLE GENETICS INC. CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (UNITED STATES DOLLARS)
YEARS ENDED DECEMBER 31 2001 2000 ------------------ ----------------- Net loss for the period $ (40,653,734) $ (31,774,136) Other comprehensive income: Foreign currency translation adjustments (5,380) (393,548) ------------------ ----------------- Comprehensive loss for the period $ (40,659,114) $ (32,167,684) ------------------ -----------------
VISIBLE GENETICS INC. CONSOLIDATED STATEMENTS OF DEFICIT (UNITED STATES DOLLARS)
YEARS ENDED DECEMBER 31 2001 2000 ------------------ ----------------- Deficit, beginning of year $ (92,038,849) $ (59,438,142) Net loss for the period (40,653,734) (31,774,136) Cumulative preferred dividends and accretion of discount attributable to preferred shares (4,147,906) (826,571) ------------------ ----------------- Deficit, end of the period $ (136,840,489) $ (92,038,849) ------------------ -----------------
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