Wed, May 15, 9:11 PM (72 days ago)
Avinger, Inc.'s quarterly report for the period ending March 31, 2024, highlights several key developments and financial metrics: 1. **Revenue and Profitability**: Revenues were $1.86 million, nearly flat compared to $1.88 million in Q1 2023. The gross margin decreased to 18% from 34%, primarily due to higher production and material costs. 2. **Operating Expenses**: R&D expenses fell by 22% to $1.06 million, reflecting the completion of certain product development efforts. SG&A expenses rose by 24% to $4.37 million, driven by increased personnel costs and professional services. 3. **Net Loss**: The net loss widened to $5.52 million from $4.64 million in Q1 2023, influenced by higher operating expenses and lower gross margins. 4. **Liquidity**: Cash and cash equivalents stood at $7.2 million. The company anticipates needing additional financing by the end of Q2 2024 to sustain operations. 5. **Strategic Developments**: Avinger entered into a strategic collaboration with Zylox-Tonbridge, securing $7.5 million in initial financing and potentially another $7.5 million upon achieving certain milestones. Additionally, they exchanged Series A preferred stock for Series A-1 preferred stock and amended their loan agreement with CRG to extend interest-only periods and allow PIK interest payments. 6. **Nasdaq Compliance**: Avinger regained compliance with Nasdaq’s bid price requirement but continues to address stockholders’ equity requirements. An extension to regain compliance was granted until May 20, 2024. Overall, Avinger is focusing on new product launches and strategic partnerships to stabilize and grow its financial position while addressing Nasdaq listing requirements.