EX-99.1 2 v097182_ex99-1.htm

 
BIOFORM ANNOUNCES FINANCIAL RESULTS FOR QUARTER ENDED SEPTEMBER 30, 2007, FIRST QUARTER OF FISCAL 2008

San Mateo, CA - December 13, 2007. BioForm Medical, Inc. (NASDAQ: BFRM) today announced its financial results for the quarter ended September 30, 2007, which is the Company’s first quarter of fiscal year 2008. Net sales were $15.2 million for the quarter ended September 30, 2007 as compared to $7.8 million for the quarter ended September 30, 2006, an increase of $7.4 million or 95.1%. The net loss was $3.4 million for the quarter ended September 30, 2007 as compared to $2.3 million for the quarter ended September 30, 2006.

“We are pleased that physicians are rapidly adopting Radiesse® in their practices,” stated Steve Basta, Chief Executive Officer of BioForm Medical. “The growth of Radiesse revenue over the last year reflects the continued growth in aesthetics use of Radiesse following the facial aesthetics approval in December 2006. The growth in sales versus the prior-year quarter also demonstrates the benefit of our late 2006 sales force expansion. Our recent initial public offering in November 2007 provides us with substantial resources to continue our efforts to maximize the potential of Radiesse and our future products in development, including the leading sclerotherapy product in Europe for which we have U.S. rights, and a leading surgical adhesive.”
 
Operating Results:
Domestic sales were $12.6 million for the quarter ended September 30, 2007 compared to $6.8 million for the quarter ended September 30, 2006, an increase of $5.8 million or 85.2%. International sales were $2.6 million for the quarter ended September 30, 2007, compared to $1.0 million for the quarter ended September 30, 2006, an increase of $1.6 million or 164.5%. The Company attributes the sales increase primarily to the growing appreciation by doctors of the benefits provided by Radiesse dermal filler, clinical training programs, the hiring of additional direct sales personnel and improvements in our distributor network.

Gross profit was $12.4 million for the quarter ended September 30, 2007 as compared to $6.2 million for the quarter ended September 30, 2006, an increase of $6.2 million, or 99.1%. As a percentage of sales, gross profit for the quarter ended September 30, 2007 was 81.6% as compared to 80.0% for the quarter ended September 30, 2006. The increase was due to lower product overhead and royalty expenses per unit as volumes have grown.
 
Operating expenses were $16.0 million in the quarter ended September 30, 2007 compared to $8.8 million in the quarter ended September 30, 2006. The increase in operating expenses was primarily attributable to an increase in sales and marketing costs as a result of the continued expansion of our sales forces in the United States and Europe, and higher employee related expenses in research and development and general and administration.
 
Net loss per share applicable to common stockholders increased to $0.82 for the quarter ended September 30, 2007 as compared to $0.68 for the quarter ended September 30, 2006 due to the higher net loss incurred. 
 
Use of Non-GAAP Financial Measures:
To supplement our condensed consolidated financial statements presented in accordance with generally accepted accounting principles (“GAAP”) in the United States, this press release includes the pro forma basic and diluted loss per common share which are defined as non-GAAP financial measures by the SEC. We are presenting this information to provide investors with information illustrating the effect of converting all outstanding shares of our convertible preferred stock into common stock upon the closing of our initial public offering which occurred after the end of the quarter being reported, but prior to the release of our quarterly report on Form 10-Q. The presentation of this financial information is not intended to be considered as an alternative or substitute for the financial information prepared and presented in accordance with GAAP. Our non-GAAP financial measures included in this press release may be different from and not comparable to similar presentations by other companies.
 
Subsequent Event - Initial Public Offering in November 2007:
In November 2007, BioForm Medical completed its initial public offering of 11,500,000 shares, inclusive of the underwriter's full exercise of its over-allotment option. The shares were sold for $8.00 per share, resulting in net proceeds to the Company of approximately $83.4 million. As of November 7, 2007, there were 46,200,183 total common stock shares issued and outstanding.
 
Fiscal Year 2008 Revenue Guidance:
BioForm Medical is providing revenue guidance for the full fiscal year 2008 ending June 30, 2008 of approximately $76 to $81 million of net sales.
 
Conference Call:
BioForm Medical will hold a conference call today at 2:30 pm Pacific Time (5:30 p.m. Eastern Time) to discuss the financial results. The conference call will be webcast live on the Investor Relations section of BioForm Medical’s website at www.bioform.com. The conference call may be accessed by dialing 888.661.5138 for callers in the U.S. and 913.312.0952 for international callers. Please notify the operator that you would like to join “BioForm Medical’s First Quarter Earnings Call” and provide the participant code “2949717”, if prompted.

 
About BioForm Medical, Inc.:
BioForm Medical, Inc. is a medical aesthetics company headquartered in San Mateo, California. BioForm Medical is dedicated to bringing doctors and their patients safe and effective products for use in the dermatology, plastic surgery and ENT markets. BioForm Medical’s products include Radiesse® dermal filler for use in facial aesthetics and vocal fold insufficiency, and Coaptite® injectable implant for treating female stress urinary incontinence which is marketed through a partnership with Boston Scientific Corporation. BioForm Medical has licensed U.S. marketing rights to Aethoxysklerol® sclerotherapy agent, which is the leading worldwide sclerotherapy agent and is currently being evaluated in a Phase III clinical trial. BioForm Medical has also licensed BioGlue® surgical adhesive product for plastic surgery applications, which is being developed in a partnership with CryoLife, Inc.

Forward-Looking Statements:
This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Specifically, statements concerning BioForm Medical’s ability to continue to grow demand for Radiesse, likelihood and timing of future product introductions, as well as financial guidance for fiscal year 2008 are forward-looking statements within the meaning of the Safe Harbor. Forward-looking statements are based on management's current, preliminary expectations and are subject to risks and uncertainties, which may cause BioForm Medical’s actual results to differ materially from the statements contained herein. BioForm Medical’s first quarter fiscal 2008 financial results, as discussed in this release, are preliminary and unaudited, and subject to adjustment. Further information on potential risk factors that could affect BioForm Medical’s business and its financial results are detailed in its prospectus as filed with the Securities and Exchange Commission on November 6, 2007. Undue reliance should not be placed on forward-looking statements, especially guidance on future financial performance, which speaks only as of the date they are made. BioForm Medical undertakes no obligation to update publicly any forward-looking statements to reflect new information, events or circumstances after the date they were made, or to reflect the occurrence of unanticipated events.
 
 
BioForm Medical, Inc.
Summary Statement of Operations (Unaudited)
(in thousands, except per share data)
 
     
Three months ended September 30,
  
     
2007
    
2006
  
Net sales
  
$
15,201
  
$
7,790
  
Cost of sales
    
2,792
    
1,559
  
Gross profit
    
12,409
    
6,231
  
               
Operating expenses:
              
Sales and marketing
    
11,754
    
6,453
  
Research and development
    
2,181
    
1,021
  
General and administrative
    
2,024
    
1,321
  
Total operating expenses
    
15,959
    
8,795
  
               
Other income (expenses), net
              
Interest income, net
    
161
    
254
  
Other income (expenses), net
    
31
    
(12
)
Loss before income taxes
    
(3,358
)
  
(2,322
)
               
Provision for income taxes
    
58
    
20
  
Net loss
  
$
(3,416
)
$
(2,342
)
               
Net loss per common share, basic and diluted
  
$
(0.82
)
$
(0.68
)
Pro forma net loss per common share, basic and diluted
  
$
(0.10
)
      
               
Basic and diluted weighted-average common shares
    
4,166
    
3,461
  
Pro forma basic and diluted weighted-average common shares
    
34,533
        

 
BioForm Medical, Inc.
Condensed Consolidated Balance Sheets
 
     
September 30,
2007
    
June 30,
2007
  
ASSETS
    
(unaudited) 
        
Current assets:
              
Cash and cash equivalents
  
$
10,468
  
$
17,610
  
Accounts receivable, net of allowance for doubtful accounts of $451 at September 30, 2007 and $428 at June 30, 2007, respectively
    
8,058
    
7,725
  
Inventories
    
5,274
    
4,864
  
Prepaid initial public offering costs
    
1,348
    
66
  
Prepaid royalties
    
1,281
    
―
  
Prepaid other
    
1,153
    
1,128
  
Other current assets
    
233
    
262
  
Total current assets
    
27,815
    
31,655
  
               
Property and equipment, net
    
6,553
    
5,741
  
Prepaid royalties
    
3,409
    
―
  
Other long-term assets
    
147
    
103
  
Total assets
  
$
37,924
  
$
37,499
  
               
LIABILITIES AND STOCKHOLDERS’ EQUITY
              
Current liabilities:
              
Accounts payable
 
$
2,783
  
$
3,754
  
Deferred revenues
    
363
    
446
  
Accrued royalty expenses
    
5,748
    
869
  
Other accrued liabilities
    
5,783
    
6,686
  
Capital lease obligations, current portion
    
32
    
20
  
Total current liabilities
    
14,709
    
11,775
  
Capital lease obligations, long-term portion
    
87
    
36
  
Total Liabilities
    
14,796
    
11,811
  
               
Total stockholders’ equity
    
23,128
    
25,688
  
Total liabilities and stockholders’ equity
  
$
37,924
  
$
37,499
  

Source: BioForm Medical, Inc.

Contact:
Adam Gridley
650.286.4025
Vice President, Corporate Development
BioForm Medical, Inc.