<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=319805651697215&amp;ev=PageView&amp;noscript=1">

Cryoport Increases Revenues By 149% For The First Nine Months of Fiscal 2014

February 13, 2014

LAKE FOREST, CA – February 13, 2014 — Cryoport, Inc. (OTCBB: CYRX) today announced financial results for the quarter and nine months ended December 31, 2013.

Net revenues were $1.8 million for the nine months ended December 31, 2013, as compared to $732,000 for the nine months ended December 31, 2012. The 149% increase was primarily driven by Cryoport’s Integrated Solution and overall growth in the number of customers using Cryoport Express® Solutions compared to the same period in the prior year.

Gross margin for the nine months ended December 31, 2013 was 16% of net revenues, or $294,000, as compared to a gross loss of 46% of net revenues, or $335,000, for the nine months ended December 31, 2012. Cost of revenues for the nine months ended December 31, 2013 was 84% of net revenues, or $1.5 million, as compared to 146% of net revenues, or $1.1 million for the nine months ended December 31, 2012 which demonstrates continued improvement of Cryoport’s positive gross margin.

Cryoport’s Chief Executive Officer, Jerrell Shelton, commented, “I'm pleased to report continued revenue and gross profit growth for the quarter and the first nine months of our fiscal year. Our sales and marketing strategies are gaining momentum as evidenced by our reported revenue and continue to be fueled by a very active and growing sales pipeline. As reported in a press release earlier this month, we entered into a strategic alliance with Liventa Bioscience.  This alliance is aimed at serving the many points of orthopedic care delivery with Liventa Bioscience’s cell-based, advanced biologics tissue forms. This exclusive agreement combines Cryoport’s proprietary, purpose-built cold chain logistics solutions for cell based and advanced biologic tissue forms with Liventa Bioscience’s distribution capability to ‘point-of-use’ US-based orthopedic care providers.

“In addition, we continue to move forward with our ‘powered by CryoportSM’ partnering strategy designed to expand our sales and marketing reach as well as to increase the awareness of our solutions in the life sciences community. More and more companies have started relying on our validated and technology-centric solutions and expertise in time- and temperature-sensitive logistics. We now have experienced nine consecutive quarters of revenue growth and expect to further accelerate our sales trajectory as implied by our current momentum.

“Moving forward, we expect to maintain our long-term view of the market opportunity and stay true to our strategic plan. Our goal is to be the leading provider of logistics solutions to the life sciences industry. We are successfully transitioning from a ‘one service fits all’ approach to being a ‘logistics solutions company’ developing customized plans to meet client-defined needs. In addition to sales of our basic turnkey solution, our customer-integrated solution is being particularly well received, and we also have customers utilizing our customer-staged, customer-managed, and distribution partner models. Our central role in cold chain logistics in this fast growing market continues to be validated by the increasing attention we receive from integrators, specialty couriers, and freight forwarders; all of which provides us with additional opportunities for revenue producing partnerships.

“We have more than doubled our customer base over the past nine months and are in the early adoption stages with a number of larger life sciences companies. Revenues related to reproductive medicine, in-vitro fertilization in particular, are increasing as is our animal husbandry business. During this current fiscal 2014 and beyond, I believe we will continue to drive shareholder value by becoming even more effective in increasing market awareness, closing sales, serving customer needs, efficiently managing expenses, and prudently investing capital in support of our growth plans.  Our Cryoport team is indefatigably motivated for success.”

Further information on Cryoport’s results are included on the attached condensed consolidated balance sheets and statements of operations and further explanation of Cryoport’s financial performance is provided in Cryoport’s quarterly report for the quarter ended December 31, 2013 on Form 10-Q, which was filed with the SEC today. The full report is available on the SEC Filings section of the Investor Relations section of our website at www.cryoport.com.

About Cryoport, Inc.

Cryoport provides leading edge frozen shipping logistics solutions to the life sciences industry through the combination of purpose-built proprietary hardware and software technologies and skilled total turnkey management of the entire logistics process. Cryoport Express® liquid nitrogen dry vapor shippers are validated to maintain a constant -150°C temperature for a 10-plus day dynamic shipment duration, and its Cryoportal™ Logistics Management Platform manages the entire shipment process, including initial order input, document preparation, customs clearance, courier management, shipment tracking, issue resolution, and delivery. Cryoport’s total turnkey logistics solutions offer reliability, cost effectiveness, and convenience, while the use of recyclable and reusable components provides a “green” and environmentally friendly solution. Cryoport service options include recording the “chain of condition” and “chain of custody” for all shipments thereby meeting the exacting requirements for scientific work and for regulatory purposes. For more information visit www.cryoport.com.

Forward Looking Statements

Statements in this press release which are not purely historical, including statements regarding Cryoport, Inc.’s intentions, hopes, beliefs, expectations, representations, projections, plans or predictions of the future are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. It is important to note that the company's actual results could differ materially from those in any such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, risks and uncertainties associated with the effect of changing economic conditions, trends in the products markets, variations in the company's cash flow, market acceptance risks, and technical development risks. The company’s business could be affected by a number of other factors, including the risk factors listed from time to time in the company's SEC reports including, but not limited to, the annual report on Form 10-K for the year ended March 31, 2013. The company cautions investors not to place undue reliance on the forward-looking statements contained in this press release. Cryoport, Inc. disclaims any obligation, and does not undertake to update or revise any forward-looking statements in this press release.

 

Contact:
 
Robert Stefanovich
 
619.481.6802
 
rstefanovich@cryoport.com

 

 

CRYOPORT, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

 (unaudited)

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 December  31,

 

Nine Months Ended

December  31,           

 

 

 

 

2013

 

2012

 

2013

 

2012

 

 

Net revenues             

$     757,327

$     307,153

$ 1,825,117

$    732,049

 

Cost of revenues      

       590,266

       368,795

   1,531,312

   1,066,853

 

 

 

 

 

 

 

Gross margin (loss)        

       167,061

       (61,642)

       293,805

    (334,804)

 

 

 

 

 

 

 

  Operating expenses:

 

 

 

 

 

Selling, general and administrative

    1,305,562

    1,392,937

   3,768,049

   4,003,544

 

Research and development   

       118,490

         94,424

       329,569

       305,031

 

 

 

 

 

 

 

Total operating expenses             

    1,424,052

    1,487,361

   4,097,618

   4,308,575

 

 

 

 

 

 

 

          Loss from operations               

(1,256,991)

  (1,549,003 )

(3,803,813)

(4,643,379)

 

  Other income (expense):

 

 

 

 

 

         Debt conversion expense

    (552,750)

                   --

(13,713,767)

                   --

 

         Interest expense

       (31,786)

       (11,896)

      (626,781)

      (48,255)

 

         Change in fair value of derivative liabilities

            1,196

         (6,112)

           20,845

         27,712

 

 

 

 

 

 

 

                  Loss before income taxes               

(1,840,331)

(1,567,011)

  (18,123,516)

(4,663,922)

 

         Income taxes             

                   --

                 --  

                   --

            1,600

 

 

 

 

 

 

 

         Net loss

$ (1,840,331)

$ (1,567,011)

$(18,123,516)

$   (4,665,522)

 

 

 

 

 

 

 

         Net loss per share, basic and diluted

$         (0.03)

$         (0.04)

$           (0.40)

$            (0.12)

 

 

 

 

 

 

 

         Basic and diluted weighted average common shares

58,995,821

37,760,628

45,342,320

37,760,628

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

                                   

CRYOPORT, INC.

SUMMARY CONDENSED CONSOLIDATED BALANCE SHEETS

 

 

 

 

 

 

 

 

 

 

 

 

December 31,

2013

 

March 31,

2013

 

(unaudited)

 

 

Cash and cash equivalents

$          219,970

 

$          563,104

Accounts receivable, net

             635,687

 

             217,097

Inventories                                                                                                                                     

               30,008

 

               39,212

Other current assets                                                                                                                      

             102,718

 

             138,892

 

 

 

 

Total current assets                                                                                                             

             988,383

 

             958,305

Property and equipment, net                                                                                                      

             464,122

 

             505,485

Intangible assets, net                                                                                                                   

             189,094

 

             272,263

Deposits and other assets

                  9,358

 

               19,744

 

 

 

 

Total assets                                                                                                                                    

$       1,650,957

 

$       1,755,797

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable and accrued expenses

$           895,902

 

$          858,709

Accrued compensation and related expenses

             391,438

 

             217,432

Convertible debentures payable and accrued interest, net of discount

             390,471

 

          1,304,419

Current portion of related party notes payable

               96,000

 

               96,000

Derivative liabilities

                          3

 

               20,848

 

 

 

 

Total current liabilities

          1,773,814

 

          2,497,408

Related party notes payable and accrued interest, net of current portion

          1,277,546

 

          1,321,664

 

 

 

 

Total liabilities

          3,051,360

 

          3,819,072

Total stockholders’ deficit                                                                                                          

       (1,400,403)

 

       (2,063,275)

 

 

 

 

Total liabilities and stockholders’ equity                                                                                 

$       1,650,957

 

$       1,755,797

 

 

 

 

 

 

Tags: Dry Shipper, Frozen Shipping, Clinical Trials Logistics, Cold Chain Logistics, cold shipping, Revenue