electroCore Announces Second Quarter 2024 Financial Results
Seventh consecutive record quarterly net sales of $6.1 million, an increase of 73% over second quarter 2023
ROCKAWAY, N.J., Aug. 07, 2024 (GLOBE NEWSWIRE) — electroCore, Inc. (Nasdaq: ECOR), a commercial-stage bioelectronic medicine company and wellness company, today announced second quarter 2024 financial results.
Recent Highlights
- Net loss of $2.7 million, a decrease of 46% over second quarter 2023
- Launched direct-to-consumer mobile app-enabled product for general wellness, Truvaga Plus™
- Raised ~$9.0 million in a Registered Direct Offering and Concurrent Private Placements priced At-the-Market under Nasdaq Rules
- Joined the Russell Microcap® Index
- Commercial launch of our next generation TAC-STIM™
- Seventh consecutive record quarterly revenue of $6.1 million, an increase of 73% over second quarter 2023
Second Quarter 2024 Financial Results
For the quarter ended June 30, 2024, electroCore reported net sales of $6.1 million compared to $3.6 million during the same period of 2023, which represents an approximately 73% increase over the prior year. The increase of $2.6 million is primarily due to an increase in net sales across the majority of our major channels.
Gross profit for the second quarter of 2024 was $5.3 million as compared to $3.0 million for the second quarter of 2023. Gross margin was 86% for the second quarter of 2024 as compared to 84% in the second quarter of 2023.
Total operating expenses in the second quarter of 2024 were approximately $7.9 million as compared to $8.0 million in the second quarter of 2023.
Research and development expense in the second quarter of 2024 was $0.6 million as compared to $1.2 million in the second quarter of 2023. This decrease was primarily due to a significant reduction in investments associated with the development of our next generation app-enabled platform.
Selling, general and administrative expense in the second quarter of 2024 was $7.3 million as compared to $6.8 million in the second quarter of 2023. The increase was driven by continued targeted investments in sales and marketing to support our commercial efforts.
GAAP net loss in the second quarter of 2024 was $2.7 million compared to the $4.9 million in the second quarter of 2023. This significant improvement was primarily due to the increase in net sales to $6.1 million for the second quarter of 2024 compared to $3.6 million during the same period in 2023.
Adjusted EBITDA net loss in the second quarter of 2024 was $1.9 million as compared to adjusted EBITDA net loss of $4.5 million in the second quarter of 2023. These improved results are also primarily due to the 73% increase in the second quarter 2024 net sales over the second quarter 2023.
The Company defines adjusted EBITDA net loss as GAAP net loss, adjusted to exclude non-operating gains/losses, depreciation and amortization, stock-compensation expense, inventory reserve charges, severance and other related charges, legal fees associated with stockholders’ litigation, and benefit from income taxes. A reconciliation of GAAP net loss to Non-GAAP adjusted EBITDA net loss has been provided in the financial statement tables included in this press release.
Cash, cash equivalents, marketable securities and restricted cash at June 30, 2024 totaled approximately $14.5 million, as compared to approximately $10.6 million as of December 31, 2023.
Webcast and Conference Call Information
electroCore’s management team will host a conference call August 7, 2024, beginning at 4:30 PM EST. Investors interested in listening to the conference call, or webcast may dial 877-407-8835 for domestic callers or 201-689-8779 for international callers, using Conference ID: 13744119, or click through the following link: https://event.choruscall.com/mediaframe/webcast.html?webcastid=CJzxi2hM
An archived webcast of the event will be available on the “Investors” section of the company’s website at: www.electrocore.com.
About electroCore, Inc.
electroCore, Inc. is a commercial stage bioelectronic medicine and wellness company dedicated to improving health through its non-invasive vagus nerve stimulation (“nVNS”) technology platform. Our focus is the commercialization of medical devices for the management and treatment of certain medical conditions and consumer product offerings utilizing nVNS to promote general wellbeing and human performance in the United States and select overseas markets.
For more information, visit www.electrocore.com.
Forward-Looking Statements
This press release and other written and oral statements made by representatives of electroCore may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements about, electroCore’s business prospects and clinical and product development plans; its pipeline or potential markets for its technologies; the timing, outcome and impact of regulatory, clinical and commercial developments; business prospects around its prescription gammaCore product, general wellness Truvaga and TAC-STIM products, and other potential new products and markets, and other statements that are not historical in nature, particularly those that utilize terminology such as “anticipates,” “will,” “expects,” “believes,” “intends,” and other words of similar meaning, derivations of such words and the use of future dates. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the ability to raise the additional funding needed to continue to pursue electroCore’s business and product development plans, the inherent uncertainties associated with developing new products or technologies, the ability to commercialize gammaCore, TAC-STIM, and Truvaga, electroCore’s results of operations and financial performance, inflation and currency fluctuations, and any expectations electroCore may have with respect thereto, competition in the industry in which electroCore operates and overall economic and market conditions. Any forward-looking statements are made as of the date of this press release, and electroCore assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements, except as required by law. Investors should consult all of the information set forth herein and should also refer to the risk factor disclosure set forth in the reports and other documents electroCore files with the SEC available at www.sec.gov.
Contact:
ECOR Investor Relations
(973) 302-9253
investors@electrocore.com