Nuo Therapeutics Inc (OTCMKTS:NUOT) a pioneer company in biodynamic therapies posted financial results for FY2014. In the year, the company executed a series of strategic measures to reposition Nuo as an exclusive chronic wound care company. It opted for corporate name change to ‘Nuo Therapeutics’ and re-introduced chronic wound care solution under Aurix™ brand.
Nuo Therapeutics concluded convertible debt financing amounting to $35 million with Deerfield Management Company to support execution of commercial strategic plans. It halted ‘ALD-401’ Bright Cell development plan and also closed its R&D facility based in Durham, NC. The company entered into exclusive licensing and distribution deal with Rohto Pharmaceutical Co. to make and market Aurix in Japan. It even initiated post-market trial of Aurix under CMS Coverage with Evidence Development CED Program.
The financial performance
Nuo Therapeutics reported total revenue of $7.8 million in FY2014 compared with $11.6 million in FY2013. The net loss came at $18.9 million compared with $20.2 million in FY2013. The cash/cash equivalents totaled about $15.9 million as of December 31, 2014. IN 4Q2014, the revenue came at $1.9 million against $3.5 million in 4Q2013. The net income came at $2.9 million versus a net loss of $4.9 million in 4Q2013. The 4Q net income constituted unrealized non-cash benefit linked to change in fair value of derivative liabilities amounting to $8.3 million against $0.7 million in 4Q2013.
The management view
Martin Rosendale, the CEO of Nuo Therapeutics Inc (OTCMKTS:NUOT), said that FY2014 was a year in which the company reported a considerable progress toward executing commercial strategy and set the necessary platform for sustainable long-term growth. The results for FY2014 reflect several key measures directed at establishing the company as an emerging leader firm in individualized wound care. The measures include creating a world-class commercial firm, the closure of the ALD-401 R&D study and in process transition of the Angel® solution to Arthrex as per 2013 licensing agreement.