On 13 May 2020, Rockwell Medical, Inc. (NASDAQ: RMTI) changed -5.86% to recent value of $2.09. The stock transacted 715510 shares during most recent day however it has an average volume of 1467.81K shares. It spotted trading -60.93% off 52-week high price. On the other end, the stock has been noted 60.03% away from the low price over the last 52-weeks.
Rockwell Medical, Inc. (RMTI) recently stated business highlights and financial results for the three months and full year ended December 31, 2019.
“We are happy with the steady progress we are making to drive adoption of Dialysate Triferic as we strive to establish Triferic as the standard of care for hemodialysis patients in the United States. After two full quarters in market post-launch, our three-month Evaluation Program for Dialysate Triferic, with a consistent 75% conversion rate, continues to be a success and represents validation for the clinical benefits that dialysis centers see when they initiate Triferic therapy. In addition, with our first signed contract with an MDO, and continued execution of our sales, marketing and medical education initiatives, we expect adoption rates to accelerate through 2020. In support of the Triferic platform, we continue to invest in building our medical capabilities and our real-world data program in an effort to educate the clinical community about the exclusive properties of our highly innovative therapy,” stated Stuart Paul, President and Chief Executive Officer of Rockwell Medical.
Fourth Quarter 2019 Financial Results
Net loss for the fourth quarter of 2019 was $7.3M, or ($0.11) per basic and diluted share, contrast to a net loss of $9.4M, or ($0.17) per basic and diluted share, in the fourth quarter of 2018. The decrease in net loss for the fourth quarter of 2019 contrast to the fourth quarter of 2018 primarily reflects a reduction in general and administrative expenses and research and development expenses for licenses purchased, partially offset by a raise in research and development expenses to support the Company’s investments in its medical platform.
Net sales for the fourth quarter of 2019 were $15.5M contrast to sales of $16.9M for the fourth quarter of 2018. Net sales of hemodialysis concentrates to dialysis providers and distributors in the U.S. and abroad were $15.3M for the three months ended December 31, 2019 contrast to $16.8M for the three months ended December 31, 2018. The decrease in net sales was Because of a decrease in international concentrates sales of $1.1M, a decrease of $0.7M in concentrates sales to Baxter related to true-ups for cost of sales and transportation cost pass-throughs, partially offset by increased sales to DaVita, Inc. of $0.3M and Triferic sales of $0.2M.
Cost of sales during the fourth quarter of 2019 was $14.4M contrast to cost of sales of $15.7M during the fourth quarter of 2018. The decrease was due primarily to a decrease in distribution costs Because of reduced rates for third party shipping and reduced costs for materials and overhead tied to the reduction in concentrates sales volume.
Gross profit for the fourth quarter of 2019 was about $1.1M contrast to gross profit of $1.2M for the fourth quarter of 2018. The decrease in gross profit was primarily Because of a reduction in concentrates sales contrast to the fourth quarter of 2018, partially offset by a raise in Triferic sales.
Selling and marketing expenses were $1.9M during the three months ended December 31, 2019 contrast with $0.3M during the three months ended December 31, 2018. The increase of $1.6M was Because of investments the Company has made to develop a commercial platform to support the launch of Triferic.
General and administrative expenses were $4.7M during the three months ended December 31, 2019 contrast with $7.6M during the three months ended December 31, 2018. The decrease of $2.9M was primarily driven by reductions in compensation, legal, consulting, and recruiting expenses, partially offset by a raise in insurance and facility-related expenses.
Research and product development expenses were $2.0M for the three months ended December 31, 2019 contrast with $1.6M during the three months ended December 31, 2018. The increase was due primarily to a raise in clinical trial and consulting expenses, partially offset by a reduction Because of the write off of Calcitriol inventory that occurred in the fourth quarter of 2018. The Company expects its research and product development expenses to increase in the future Because of additional clinical development of Dialysate and I.V. Triferic, including the pediatric clinical trial for Triferic, expenses associated with real-world data collection and analysis for Triferic, a raise in headcount to support medical education efforts for Triferic and potential investments in developing Triferic for new clinical indications.
Research and development for licenses purchased from a related party were nil for the three months ended December 31, 2019 contrast to $1.1M for the three months ended December 31, 2018.
Other income for the three months ended December 31, 2019 was $0.1M, consisting primarily of interest income. Other income for the three months ended December 31, 2018 was about $49,000, consisting primarily of interest income.
RMTI has a gross margin of 4.60% and an operating margin of -54.70% while its profit margin remained -54.30% for the last 12 months. Its earnings per share (EPS) expected to touch remained -19.80% for this year while earning per share for the next 5-years is expected to reach at 27.70%. The company has 66.39M of outstanding shares and 57.43M shares were floated in the market. According to the most recent quarter its current ratio was 3.3 that represents company’s ability to meet its current financial obligations. The price moved ahead of -10.68% from the mean of 20 days, -11.70% from mean of 50 days SMA and performed -15.43% from mean of 200 days price. Company’s performance for the week was -13.99%, -16.73% for month and YTD performance remained -14.34%.