Aqua Bounty Tech Inc - Interim Results For the Six Months Ended 30 June 2016
("AquaBounty" or "the Company")
Interim results for the six months ended
Summary:
·
· Initiated field trials of AAS in
· Purchase of
· Agreed to a
· Net loss for the first six months was
· Balance of cash and marketable securities at
"This was another significant milestone period for us during which AquaBounty took important steps towards the commercialization of our AquAdvantage Salmon.
"We are making the necessary preparations for the commercial launch of our product and we look forward to bringing our more sustainably produced salmon to consumers, with the assurance that it is nutritious, safe and healthy."
This announcement contains inside information as defined in Article 7 of the Market Abuse Regulation No. 596/2014 and is disclosed in accordance with the Company's obligations under Article 17 of those Regulations
For further information, please contact:
Harry Chathli,
Chairman's Statement
Regulatory Review
Health Canada Approval
As reported on
Having received approval from the
Update on Legal Actions
In
In
The Company expects that the Canadian appeal will be dismissed and that the
Congressional Developments
In
Operational Review
Production Expansion in
AquaBounty purchased the former Snow Island Sea Smolt plant in
Field Trials
Since mid-2014, the Company has been working with local regulatory agencies to prepare for field trials of AAS in several foreign markets. This process has progressed and in
Financial Review
Convertible Debt Facility
On
Six-Month Results
Operating expenses for the six-month period ended
Outlook
The Company believes that the market opportunity for its salmon remains strong, especially in light of the current restrictive limits on global Atlantic salmon farm production. The Board is evaluating all options for the commercial development of AAS and depending upon the extent of the Company's direct involvement in such activity, it will, as previously stated, require funding in addition to the Company's ongoing working capital needs. The Board remains mindful of the importance of shareholder value in determining the appropriate course forward.
Chairman
Consolidated balance sheets
(unaudited)
|
|
June 30, |
December 31, |
|
|
2016 |
2015 |
ASSETS |
|
|
|
Current assets: |
|
|
|
Cash and cash equivalents |
|
$1,929,659 |
$1,313,421 |
Certificate of deposit |
|
11,068 |
10,339 |
Other receivables |
|
23,674 |
41,897 |
Prepaid expenses and other assets |
|
977,273 |
109,898 |
Total current assets |
|
2,941,674 |
1,475,555 |
Property, plant and equipment, net |
|
744,615 |
741,340 |
Definite lived intangible assets, net |
|
205,372 |
206,381 |
Indefinite lived intangible assets |
|
191,800 |
191,800 |
Other assets |
|
21,628 |
21,628 |
Total assets |
|
$4,105,089 |
$2,636,704 |
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) |
|
|
|
Current liabilities: |
|
|
|
Accounts payable and accrued liabilities |
|
$812,725 |
$621,909 |
Current debt |
|
5,000,000 |
- |
Total current liabilities |
|
5,812,725 |
621,909 |
Long‑term debt |
|
2,216,260 |
2,070,366 |
Total liabilities |
|
8,028,985 |
2,692,275 |
Commitments and contingencies |
|
|
|
Stockholders' equity (deficit): |
|
|
|
Common stock, $0.001 par value, 200,000,000 shares authorized; 157,512,265 (2015: 157,425,309) shares outstanding |
|
157,512 |
157,425 |
Additional paid‑in capital |
|
90,931,212 |
90,816,636 |
Accumulated other comprehensive loss |
|
(326,607) |
(226,432) |
Accumulated deficit |
|
(94,686,013) |
(90,803,200) |
Total stockholders' equity (deficit) |
|
(3,923,896) |
(55,571) |
Total liabilities and stockholders' equity (deficit) |
|
$4,105,089 |
$2,636,704 |
Consolidated statements of operations and comprehensive loss
(unaudited)
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
||
|
2016 |
2015 |
|
2016 |
2015 |
COSTS AND EXPENSES |
|
|
|
|
|
Sales and marketing |
$514,076 |
$380,293 |
|
$892,110 |
$948,023 |
Research and development |
640,807 |
628,365 |
|
1,276,546 |
1,225,438 |
General and administrative |
824,138 |
723,505 |
|
1,603,663 |
1,359,065 |
Total costs and expenses |
1,979,021 |
1,732,163 |
|
3,772,319 |
3,532,526 |
OPERATING LOSS |
(1,979,021) |
(1,732,163) |
|
(3,772,319) |
(3,532,526) |
OTHER INCOME (EXPENSE): |
|
|
|
|
|
Interest and other income (expense), net |
(84,815) |
(949) |
|
(110,494) |
(2,712) |
Total other income (expense) |
(84,815) |
(949) |
|
(110,494) |
(2,712) |
NET LOSS |
$(2,063,836) |
$(1,733,112) |
|
$(3,882,813) |
$(3,535,238) |
OTHER COMPREHENSIVE INCOME (LOSS): |
|
|
|
|
|
Foreign currency translation gain (loss) |
(3,182) |
(33,392) |
|
(100,175) |
74,261 |
Total other comprehensive income (loss) |
(3,182) |
(33,392) |
|
(100,175) |
74,261 |
COMPREHENSIVE LOSS |
$(2,067,018) |
$(1,766,504) |
|
$(3,982,988) |
$(3,460,977) |
|
|
|
|
|
|
Basic and diluted net loss per share |
$(0.01) |
$(0.01) |
|
$(0.02) |
$(0.02) |
Weighted average number of common shares - basic and diluted |
157,512,265 |
144,837,134 |
|
157,483,598 |
144,715,431 |
Consolidated statements of cash flows
(unaudited)
|
Six Months Ended June 30, |
|
|
2016 |
2015 |
OPERATING ACTIVITIES |
|
|
Net loss |
$(3,882,813) |
$(3,535,238) |
Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
Depreciation and amortization |
64,728 |
51,213 |
Share‑based compensation |
114,662 |
118,714 |
Gain on disposal of equipment |
(2,861) |
- |
Changes in operating assets and liabilities: |
|
|
Other receivables |
20,640 |
(22,701) |
Prepaid expenses and other assets |
(129,771) |
(120,476) |
Accounts payable and accrued liabilities |
178,434 |
49,558 |
Net cash used in operating activities |
(3,636,981) |
(3,458,930) |
INVESTING ACTIVITIES |
|
|
Purchases of equipment |
(11,523) |
(37,114) |
Deposit on purchase of property, plant and equipment |
(717,225) |
- |
Proceeds from sale of equipment |
2,861 |
- |
Payment of patent costs |
(5,665) |
(12,796) |
Net cash used in investing activities |
(731,552) |
(49,910) |
FINANCING ACTIVITIES |
|
|
Proceeds from issuance of debt |
5,000,000 |
44,004 |
Proceeds from issuance of common stock |
- |
3,000,000 |
Net cash provided by financing activities |
5,000,000 |
3,044,004 |
Effect of exchange rate changes on cash and cash equivalents |
(15,229) |
(20,773) |
Net change in cash and cash equivalents |
616,238 |
(485,609) |
Cash and cash equivalents at beginning of period |
1,313,421 |
5,163,262 |
Cash and cash equivalents at end of period |
$1,929,659 |
$4,677,653 |
This information is provided by RNS