›Portfolio Companies

Past, Present and Future Leaders

InterWest is proud and privileged to partner with visionary management teams who are shaping the future of Information Technology and Healthcare. The companies they have started are vital parts of the portfolio of industry-leading startups that InterWest has helped over the last four decades.

Our Companies

Early stage IT and Healthcare Investing

Glaukos Corporation Announces Fourth Quarter and Full Year 2017 Financial Results

latestnews

Glaukos Corporation Announces Fourth Quarter and Full Year 2017 Financial Results Feb 2018

Glaukos Corporation Announces Fourth Quarter and Full Year 2017 Financial Results

 
February 28, 2018

SAN CLEMENTE, Calif.--(BUSINESS WIRE)-- Glaukos Corporation (NYSE: GKOS), an ophthalmic medical technology company focused on the development and commercialization of breakthrough products and procedures designed to transform the treatment of glaucoma, today announced financial results for the fourth quarter and full year ended December 31, 2017. Key highlights include:

  • Achieved 26% net sales growth to $41.7 million in the fourth quarter of 2017, compared to $33.2 million in the fourth quarter of 2016.
  • Reported 39% growth in net sales to $159.3 million for 2017, compared to $114.4 million in 2016.
  • Introduced 2018 net sales guidance of $160 million to $165 million.

“Our fourth quarter and full year 2017 results illustrate the continuing demand for our novel iStent technologies, which offer physicians and patients a viable alternative to daily, lifelong use of topical glaucoma medications or invasive surgeries,” said Thomas Burns, Glaukos president and chief executive officer. “As we move into 2018, we remain focused on strengthening our beachhead position in the combination-cataract market segment while advancing our comprehensive pipeline of next-generation surgical devices and sustained pharmaceutical therapies, which we believe will significantly expand our addressable market opportunity and facilitate our evolution into a hybrid ophthalmic medical device and pharmaceutical company.”

Fourth Quarter 2017 Financial Results

Net sales rose 26% in the fourth quarter of 2017 to $41.7 million, compared to $33.2 million in the same period in 2016. The growth reflected unit volume increases worldwide, higher average selling prices and expansion of the company’s direct sales operations into new international markets.

Gross margin for the fourth quarter of 2017 was approximately 89%, compared to approximately 85% in the same period in 2016.

Operating expenses for the fourth quarter of 2017 rose 31% to $36.5 million, compared to $27.9 million in the same period in 2016. The year-over-year increase reflected primarily increasing domestic sales, marketing and administrative personnel and expenses and the company’s ongoing investment in, and expansion of, its global infrastructure by adding international sales operations.

Income from operations in the fourth quarter of 2017 was $0.5 million compared to operating income of $0.5 million in the fourth quarter of 2016. Net income in the fourth quarter of 2017 was $1.0 million, or $0.03 per diluted share, compared to net income of $0.1 million, or $0.00 per diluted share, in the fourth quarter of 2016.

Full Year 2017 Financial Results

Net sales rose 39% in 2017 to $159.3 million, compared to $114.4 million in 2016. The growth reflected unit volume increases worldwide, higher average selling prices and expansion of the company’s direct sales operations into new international markets.

Gross margin for 2017 was approximately 87%, compared to approximately 86% in 2016.

Operating expenses for 2017 rose 49% to $140.5 million, compared to $94.0 million in the same period in 2016. In addition to the $5.3 millionacquisition-related in-process R&D charge in 2017, the year-over-year increase reflected primarily increasing domestic sales, marketing and administrative personnel and expenses and the company’s ongoing investment in, and expansion of, its global infrastructure by adding international sales operations.

Loss from operations in 2017 was $2.3 million, which included the in-process R&D charge, compared to operating income of $4.2 million in 2016. Net loss in 2017 was $0.1 million, or $0.00 per diluted share, compared to net income of $4.5 million, or $0.12 per diluted share, in 2016.

2018 Revenue Guidance

The company expects 2018 net sales to be in the range of $160 million to $165 million.

Webcast & Conference Call

The company will host a conference call and simultaneous webcast today at 1:30 p.m. PST (4:30 p.m. EST) to discuss the results and provide additional information about the company’s financial outlook. A link to the webcast is available on the company’s website at http://investors.glaukos.com. To participate in the conference call, please dial 866-393-4306 (U.S.) or 734-385-2616 (international) and enter Conference ID 5292739. A replay of the webcast will be archived on the company’s website following completion of the call.

About Glaukos

Glaukos (www.glaukos.com) is an ophthalmic medical technology company focused on the development and commercialization of breakthrough products and procedures to transform the treatment of glaucoma, one of the world’s leading causes of blindness. The company pioneered Micro-Invasive Glaucoma Surgery, or MIGS, to revolutionize the traditional glaucoma treatment and management paradigm. Glaukos launched the iStent, its first MIGS device, in the United States in July 2012 and is leveraging its platform technology to build a comprehensive and proprietary portfolio of micro-scale injectable therapies designed to address the complete range of glaucoma disease states and progression. The company believes the iStent, measuring 1.0 mm long and 0.33 mm wide, is the smallest medical device ever approved by the FDA.

Forward-Looking Statements

All statements other than statements of historical facts included in this press release that address activities, events or developments that we expect, believe or anticipate will or may occur in the future are forward-looking statements. Although we believe that we have a reasonable basis for forward-looking statements contained herein, we caution you that they are based on current expectations about future events affecting us and are subject to risks, uncertainties and factors relating to our operations and business environment, all of which are difficult to predict and many of which are beyond our control, that may cause our actual results to differ materially from those expressed or implied by forward-looking statements in this press release. These potential risks and uncertainties include, without limitation, uncertainties about our ability to maintain profitability; our dependence on the success and market acceptance of the iStent; our ability to leverage our sales and marketing infrastructure to increase market penetration and acceptance both in the United States and internationally of our products; our ability to bring our pipeline products to market; our dependence on a limited number of third-party suppliers for components of our products; the occurrence of a crippling accident, natural disaster or other disruption at our primary facility, which may materially affect our manufacturing capacity and operations; maintaining adequate coverage or reimbursement by third-party payors for procedures using the iStent or other products in development; our ability to properly train, and gain acceptance and trust from, ophthalmic surgeons in the use of our products; our ability to successfully develop and commercialize additional products; our ability to compete effectively in the highly competitive and rapidly changing medical device industry and against current and future competitors (including MIGS competitors) that are large public companies or divisions of publicly traded companies that have competitive advantages; the timing, effect and expense of navigating different regulatory approval processes as we develop additional products and penetrate foreign markets; the impact of any product liability claims against us and any related litigation; the effect of the extensive and increasing federal and state regulation in the healthcare industry on us and our suppliers; the lengthy and expensive clinical trial process and the uncertainty of outcomes from any particular clinical trial; our ability to protect, and the expense and time-consuming nature of protecting, our intellectual property against third parties and competitors that could develop and commercialize similar or identical products; the impact of any claims against us of infringement or misappropriation of third party intellectual property rights and any related litigation; and the market’s perception of our limited operating history as a public company. These and other known risks, uncertainties and factors are described in detail under the caption “Risk Factors” and elsewhere in our filings with the Securities and Exchange Commission, including our Quarterly Report on Form 10-Q for the quarter ended September 30, 2017and will also be included in our Annual Report on Form 10-K for 2017, which we expect to file on or before March 1, 2018. Our filings with theSecurities and Exchange Commission are available in the Investor Section of our website at www.glaukos.com or at www.sec.gov. In addition, information about the risks and benefits of our products is available on our website at www.glaukos.com. All forward-looking statements included in this press release are expressly qualified in their entirety by the foregoing cautionary statements. You are cautioned not to place undue reliance on the forward-looking statements in this press release, which speak only as of the date hereof. We do not undertake any obligation to update, amend or clarify these forward-looking statements whether as a result of new information, future events or otherwise, except as may be required under applicable securities law.

GLAUKOS CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited)

(in thousands, except per share amounts)

             
             
  Three Months Ended 
December 31,
 Twelve Months Ended

December 31,

  2017  2016  2017  2016 
Net sales $41,650  $33,172  $159,254  $114,397 
Cost of sales  4,630   4,811   21,050   16,177 
Gross profit  37,020   28,361   138,204   98,220 
Operating expenses:            
Selling, general and administrative  25,963   20,494   96,260   64,756 
In-process research and development  -   -   5,320   - 
Research and development  10,525   7,399   38,905   29,223 
Total operating expenses  36,488   27,893   140,485   93,979 
Income (loss) from operations  532   468   (2,281)  4,241 
Other income (expense), net:            
Interest and other income  437   265   2,326   889 
Interest and other expense, net  -   (696)  (44)  (608)
Change in fair value of stock warrant liability  -   -   -   43 
Total other income (expense), net  437   (431)  2,282   324 
Income before taxes  969   37   1   4,565 
Income tax (benefit) provision  (37)  (97)  93   43 
Net income (loss) $1,006  $134  $(92) $4,522 
Basic net income (loss) per share $0.03  $0.00  $(0.00) $0.14 
Diluted net income (loss) per share $0.03  $0.00  $(0.00) $0.12 

Weighted average shares used to compute basic net income (loss) per share

  34,578   33,634   34,381   32,928 
Weighted average shares used to compute diluted net income (loss) per share  37,287   37,185   34,381   36,459 
             

GLAUKOS CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands, except par values)

     
     
     
     
  

December 31,

 December 31,
  2017  2016 
   (unaudited)  
Assets      
Current assets:      
Cash and cash equivalents $24,508  $6,494 
Short-term investments  94,506   89,268 
Accounts receivable, net  16,656   14,305 
Inventory, net  11,222   6,844 
Prepaid expenses and other current assets  2,568   3,032 
Restricted cash  -   80 
Total current assets  149,460   120,023 
Property and equipment, net  11,794   7,593 
Intangible assets, net  3,147   6,567 
Deferred tax asset, net  235   - 
Deposits and other assets  1,200   188 
Total assets $165,836  $134,371 
       
Liabilities and stockholders’ equity      
Current liabilities:      
Accounts payable $6,244  $2,967 
Accrued liabilities  20,449   13,911 
Deferred rent  95   60 
Total current liabilities  26,788   16,938 
Other liabilities  846   159 
Total liabilities  27,634   17,097 
       
Stockholders’ equity:      
Preferred stock, $0.001 par value; 5,000 authorized; no shares issued and outstanding  -   - 
Common stock, $0.001 par value; 150,000 authorized; 34,647 and 33,971 shares issued and 34,619 and 33,943 shares outstanding at December 31, 2017 and 2016, respectively  35   34 
Additional paid-in capital  331,073   308,815 
Accumulated other comprehensive (loss) income  (591)  648 
Accumulated deficit  (192,183)  (192,091)
Less treasury stock (28 shares)  (132)  (132)
Total stockholders’ equity  138,202   117,274 
Total liabilities and stockholders’ equity $165,836  $134,371 

 

Source: Glaukos Corporation

Glaukos Corporation

Chris Lewis

Director, Investor Relations, Corporate Strategy & Development

(949) 481-0510

clewis@glaukos.com

Portfolio Press Releases

About InterWest

Facebook Google+ Twitter Email LinkedIn Share