Ontario, Canada
|
0-31198
|
Not Applicable
|
||
(State or other jurisdiction
|
(Commission File Number)
|
(I.R.S. Employer
|
||
of incorporation)
|
Identification Number)
|
(d)
|
Exhibits.
|
99.1 Tribute Pharmaceuticals Canada Inc. Press Release, dated November 11, 2013.
|
Tribute Pharmaceuticals Canada Inc.
|
|||
Date: November 14, 2013
|
By:
|
/s/ Scott Langille
|
|
Name: Scott Langille
|
|||
Title Chief Financial Officer
|
|||
Press Release
|
Source: Tribute Pharmaceuticals
Canada Inc.
|
·
|
Revenues increased 8% for the three months ended September 30, 2013 compared to same period in 2012;
|
·
|
Gross profit was up 16% for the three months ended September 30, 2013 compared to the same period in 2012;
|
·
|
The Company recently announced that the Investigational New Drug application (“IND”) has been cleared by the FDA. For further information see the Company’s press release date November 11, 2013
|
·
|
On August 8, 2013, SWK Funding LLC and the Company entered into a credit agreement pursuant to which US$6,000,000 has been advanced to the Company.
|
·
|
The regulatory authorities of Hong Kong approved the sale of NeoVisc in Hong Kong and management expects NeoVisc to be launched in Q4 2013.
|
As as
September 30,
2013
|
As at
December 31,
2012
|
|||||||
ASSETS
|
||||||||
Current
|
||||||||
Cash and cash equivalents
|
$
|
2,749,234
|
$
|
2,283,868
|
||||
Accounts receivable, net of allowance of $nil (December 31, 2012 - $nil)
|
1,308,868
|
1,205,087
|
||||||
Inventories
|
1,142,500
|
1,000,557
|
||||||
Taxes recoverable
|
545,326
|
261,400
|
||||||
Loan receivable
|
15,814
|
15,814
|
||||||
Prepaid expenses and other receivables
|
403,181
|
118,910
|
||||||
Current portion of debt issuance costs, net
|
82,908
|
185,403
|
||||||
Total current assets
|
6,247,831
|
5,071,039
|
||||||
Property, plant and equipment, net
|
1,112,236
|
1,159,375
|
||||||
Intangible assets, net
|
9,949,193
|
10,883,179
|
||||||
Goodwill
|
3,599,077
|
3,599,077
|
||||||
Debt issuance costs, net
|
266,566
|
115,862
|
||||||
Total assets
|
$
|
21,174,903
|
$
|
20,828,532
|
||||
LIABILITIES
|
||||||||
Current
|
||||||||
Accounts payable and accrued liabilities
|
$
|
3,242,485
|
$
|
5,455,664
|
||||
Current portion of long term debt
|
-
|
1,305,840
|
||||||
Warrant liability
|
4,078,296
|
202,213
|
||||||
Total current liabilities
|
7,320,781
|
6,963,717
|
||||||
Long term debt
|
5,617,124
|
1,815,791
|
||||||
Deferred tax liability
|
-
|
314,900
|
||||||
Total liabilities
|
12,937,905
|
9,094,408
|
||||||
Contingencies and commitments
|
||||||||
SHAREHOLDERS’ EQUITY
|
||||||||
AUTHORIZED
|
||||||||
Unlimited non-voting, convertible redeemable and
retractable preferred shares with no par value
Unlimited common shares with no par value
ISSUED (Note 7a)
Common shares 51,081,238 (December 31, 2012 - 39,610,042)
|
19,950,384
|
17,589,957
|
||||||
Additional paid-in capital options
|
2,296,205
|
1,867,723
|
||||||
Deficit
|
(14,009,591
|
)
|
(7,723,556
|
)
|
||||
Total shareholders’ equity
|
8,236,998
|
11,734,124
|
||||||
Total liabilities and shareholders’ equity
|
$
|
21,174,903
|
$
|
20,828,532
|
For the Three Month Period
Ended September 30
|
For the Nine Month Period
Ended September 30
|
|||||||||||||||
2013
|
2012
|
2013
|
2012
|
|||||||||||||
Revenues
|
||||||||||||||||
Licensed domestic product net sales
|
$
|
2,242,333
|
$
|
2,267,509
|
$
|
6,378,621
|
$
|
6,104,160
|
||||||||
Other domestic product sales
|
790,362
|
576,174
|
2,618,710
|
1,707,336
|
||||||||||||
International product sales
|
347,551
|
369,816
|
1,037,103
|
1,193,219
|
||||||||||||
Royalty and licensing revenues
|
99,884
|
-
|
197,924
|
-
|
||||||||||||
Total revenues
|
3,480,130
|
3,213,499
|
10,232,358
|
9,004,715
|
||||||||||||
Cost of Sales
|
||||||||||||||||
Licensor sales and distribution fees
|
1,501,243
|
1,526,690
|
4,262,968
|
4,226,247
|
||||||||||||
Cost of products sold
|
409,358
|
327,582
|
1,232,701
|
922,983
|
||||||||||||
Total Cost of Sales
|
1,910,601
|
1,854,272
|
5,495,669
|
5,149,230
|
||||||||||||
Gross Profit
|
1,569,529
|
1,359,227
|
4,736,689
|
3,855,485
|
||||||||||||
Expenses
|
||||||||||||||||
Selling, general and administrative
|
2,224,457
|
2,1231,379
|
7,681,179
|
6,240,007
|
||||||||||||
Amortization of assets (non-manufacturing property, plant and equipment)
|
313,635
|
155,807
|
977,693
|
380,270
|
||||||||||||
Total operating expenses
|
2,538,092
|
2,287,186
|
8,658,872
|
6,620,277
|
||||||||||||
(Loss) from operations
|
(968,563
|
)
|
(927,959
|
)
|
(3,922,183
|
)
|
(2,764,792
|
)
|
||||||||
Non-operating income (expenses)
|
||||||||||||||||
Change in warrant liability
|
(660,325
|
)
|
66,183
|
(1,510,800
|
)
|
203,396
|
||||||||||
Cost of extending the warrant expiration
|
-
|
-
|
-
|
(135,157
|
)
|
|||||||||||
Change in fair value of contingent consideration
|
-
|
-
|
-
|
79,724
|
||||||||||||
Research and development
|
-
|
(6,590
|
)
|
-
|
(14,916
|
)
|
||||||||||
Accretion expense
|
(20,895
|
)
|
(45,826
|
)
|
(68,123
|
)
|
(100,193
|
)
|
||||||||
Loss on disposal of intangible asset
|
(161,200
|
)
|
-
|
(1261,200
|
)
|
-
|
||||||||||
Loss on extinguishment of loan
|
(620,835
|
)
|
-
|
(620,835
|
)
|
-
|
||||||||||
Interest income
|
268
|
12,150
|
2,235
|
12,150
|
||||||||||||
Interest expense
|
(152,026
|
)
|
(103,551
|
)
|
(320,029
|
)
|
(158,175
|
)
|
||||||||
(Loss) and comprehensive (loss) before tax
|
(2,583,576
|
)
|
(1,005,593
|
)
|
(6,600,935
|
)
|
(2,877,963
|
)
|
||||||||
Current income tax recovery
|
-
|
71,153
|
71,153
|
|||||||||||||
Deferred income tax recovery
|
-
|
215,800
|
314,900
|
730,440
|
||||||||||||
Net (loss) and comprehensive (loss) for the period
|
(2,583,576
|
)
|
(718,640
|
)
|
(6,286,035
|
)
|
(2,076,410
|
)
|
||||||||
Deficit, beginning of period
|
(11,426,015
|
)
|
(5,732,360
|
)
|
(7,723,556
|
)
|
(4,374,590
|
)
|
||||||||
Deficit, end of period
|
(14,009,591
|
)
|
(6,451,000
|
)
|
(14,009,591
|
)
|
(6,451,000
|
)
|
||||||||
Loss per share - Basic and diluted
|
(0.05
|
)
|
(0.02
|
)
|
(0.13
|
)
|
(0.05
|
)
|
For the Nine Month Period
Ended September 30
|
||||||||
2013
|
2012
|
|||||||
Cash flows from (used in) operating activities
|
||||||||
Net (loss)
|
$
|
(6,286,035
|
)
|
$
|
(2,076,410
|
)
|
||
Items not affecting cash:
|
||||||||
Deferred income tax (recovery)
|
(314,900
|
)
|
(730,400
|
)
|
||||
Amortization
|
995,758
|
412,490
|
||||||
Changes in warrant liability
|
1,510,800
|
(203,396
|
)
|
|||||
Cost of extending the warrant expiration
|
-
|
135,157
|
||||||
Changes in fair value of contingent consideration
|
-
|
(79,724
|
)
|
|||||
Loss on extinguishment of loan
|
620,835
|
-
|
||||||
Loss on disposal of intangible asset
|
161,200
|
-
|
||||||
Stock-based compensation
|
428,482
|
460,332
|
||||||
Accretion expense
|
68,124
|
100,193
|
||||||
Change in non-cash operating assets and liabilities
|
(2,629,186
|
)
|
(249,493
|
)
|
||||
Cash flows (used in) operating activities
|
(5,444,922
|
)
|
(2,231,251
|
)
|
||||
Cash flows from (used in) investing activities
|
||||||||
Additions to property, plant and equipment
|
(25,562
|
)
|
(32,489
|
)
|
||||
Payment of contingent liability
|
(460,000
|
)
|
-
|
|||||
Increase in intangible assets
|
-
|
(32,270
|
)
|
|||||
Increase to patents and licensing agreements
|
(13,180
|
)
|
(425,000
|
)
|
||||
Cash flows (used in) investing activities
|
(498,742
|
)
|
(489,759
|
)
|
||||
Cash flows from (used in) financing activities
|
||||||||
Financing costs deferred
|
(305,227
|
)
|
(343,934
|
)
|
||||
Long term debt issued
|
6,084,437
|
3,500,000
|
||||||
Units issued
|
4,713,787
|
-
|
||||||
Long term debt repayment
|
(3,386,630
|
)
|
-
|
|||||
Debt extinguishment costs
|
(348,420
|
)
|
-
|
|||||
Share issuance costs
|
(433,871
|
)
|
-
|
|||||
Cash flows from financing activities
|
6,324,076
|
3,156,066
|
||||||
Changes in cash and cash equivalents
|
380,412
|
435,056
|
||||||
Change in cash due to changes in foreign exchange
|
84,954
|
(54,378
|
)
|
|||||
Cash and cash equivalents, beginning of period
|
2,283,868
|
2,227,973
|
||||||
Cash and cash equivalents, end of period
|
$
|
2,749,234
|
$
|
2,608,651
|