Market Newsdesk

WOBURN, Mass., July 27, 2023 (GLOBE NEWSWIRE) — NeuroMetrix, Inc. (Nasdaq: NURO) today reported business and financial highlights for the quarter and six months period ended June 30, 2023. The Company’s mission is to reduce the impact of neurological disorders and pain syndromes through innovative non-invasive medical devices.

“We have taken an important step to expand the availability of Quell^® Fibromyalgia in key U.S. markets,” said Shai N. Gozani, M.D., Ph.D., Chief Executive Officer of NeuroMetrix. “This follows positive evidence of physician and patient traction from our strategic launch this year. Also, we were encouraged by recently reported results from a phase 2 randomized controlled trial (RCT) of Quell in chemotherapy induced peripheral neuropathy (CIPN), which may help address a large unmet need. We are finalizing our CIPN regulatory strategy. These developments highlight the growth opportunities for our Quell prescription neurotherapeutics portfolio.”

Dr. Gozani continued, “We believe that there remains an attractive growth opportunity for DPNCheck^® despite the recent instability in the Medicare Advantage market created by changes in risk-adjustment announced by the Centers for Medicare and Medicaid Services (CMS) earlier this year. We will continue to develop the DPNCheck market through a patient and flexible strategy that carefully deploys resources in line with emerging opportunities.”

Recent Business Highlights:

• The Company reported positive results from its strategic launch of Quell Fibromyalgia. There were 123 unique prescribers during Q2 compared to 92 during Q1. The cumulative number of Quell Fibromyalgia prescriptions that have been written increased to 490 in Q2 from 234 in Q1, with approximately 60% of prescriptions filled by patients. The cumulative number of month-refills increased to 348 in Q2 from 141 in Q1.

• In light of the encouraging early Quell Fibromyalgia experience, the Company announced a sales force expansion to drive further adoption. The next stage of the commercialization process will focus on the Texas, California and Florida markets.

• The University of Rochester School of Medicine and Dentistry reported results of an NIH-funded multi-center randomized sham-controlled trial of Quell for CIPN. Subjects with moderate to severe CIPN symptoms of hot/burning pain, sharp/shooting pain or muscle cramping experienced about a 50% reduction in symptoms for active Quell treatment compared to about 30% for sham Quell treatment. The Company expects to make a 510(k) filing with the FDA in Q4 of this year. The use of Quell for moderate to severe CIPN received a FDA breakthrough designation in January 2022.

• Several Quell clinical trials are active and enrolling, including for fibromyalgia-like long COVID, chronic overlapping pain conditions (COPC) and peripheral edema. These indications represent potential new or expanded labels for the Quell prescription neurotherapeutics platform.

• The University of Sheffield diabetes research group reported results of a prospective study of abnormal sural nerve function, detected using DPNCheck and a complimentary technology, which predicts all-cause mortality in type 2 diabetes, even after adjusting for cardiovascular and other risk factors. Hence, early-stage diagnosis using DPNCheck is vital to identifying the risk of potentially devastating health complications.

• Two large recently published clinical studies support the clinical utility of DPNCheck in screening people with diabetes. Ke and colleagues developed an algorithm to predict progression to vision threatening diabetic retinopathy based on DPNCheck testing. Fukuda and colleagues analyzed the correlation of diabetic peripheral neuropathy to kidney function and found that DPNCheck test results were an independent predictor of kidney disease.

Financial Results:

Financial results in Q2 2023 were in line with the Company’s expectations. This follows the Q1 2023 disruption to the Medicare Advantage market by CMS with its changes to Risk Adjustment Data Validation (RADV) and to risk adjustment calculations. Revenue in Q2 2023 of $1.7 million was lower by $0.5 million or 23% from Q2 2022 primarily due to reduced sales volume for DPNCheck in the Medicare Advantage market. The gross margin rate of 68% in Q2 2023 was flat with Q2 2022. Operating expenses of $2.7 million were approximately level with the prior year quarter. The Q2 2023 net loss was $1.5 million ($0.19 per share) versus a net loss of $1.2 million ($0.17 per share) in Q2 2022.

Revenues in H1 2023 of $3.4 million were lower by $1.1 million or 24% from H1 2022. Net loss of $3.1 million or ($0.40) per share in H1 2023 increased from $2.1 million or ($0.30) per share in H1 2022.

The Company ended the period with $19.6 million in cash and securities.       

Company to Host Live Conference Call and Webcast

NeuroMetrix will host a conference call at 8:00 a.m. Eastern today, July 27, 2023. Participants who wish to access the call live via telephone and be able to ask questions must register in advance here. Upon registering, a dial-in and unique PIN will be provided on screen and via email to join the call. An audio-only webcast of the call may be accessed in the “Investors Relations” section of the Company’s website at www.NeuroMetrix.com. A replay of the call will be available for one year on the Company’s website under the “Investor Relations” tab.

About NeuroMetrix

NeuroMetrix is a commercial stage healthcare company that develops and commercializes neurotechnology devices to address unmet needs in the chronic pain and diabetes markets. The Company’s products are wearable or hand-held medical devices enabled by proprietary consumables and software solutions that include mobile apps, enterprise software and cloud-based systems. The Company has two commercial brands. Quell^® is a wearable neuromodulation platform. DPNCheck^® is a point-of-care screening test for peripheral neuropathy. For more information, visit www.neurometrix.com.

Safe Harbor Statement

The statements contained in this press release include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including, without limitation, statements regarding the company’s or management’s expectations regarding the business, as well as events that could have a meaningful impact on the company’s revenues and cash resources. While the company believes the forward-looking statements contained in this press release are accurate, there are a number of factors that could cause actual events or results to differ materially from those indicated by such forward-looking statements, including, without limitation, estimates of future performance, and the ability to successfully develop, receive regulatory clearance, commercialize and achieve market acceptance for any products. There can be no assurance that future developments will be those that the company has anticipated. Such forward-looking statements involve known and unknown risks, uncertainties and other factors including those risks, uncertainties and factors referred to in the company’s most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, as well as other documents that may be filed from time to time with the Securities and Exchange Commission or otherwise made public. The company is providing the information in this press release only as of the date hereof, and expressly disclaims any intent or obligation to update the information included in this press release or revise any forward-looking statements.

Source: NeuroMetrix, Inc.

Thomas T. Higgins
SVP and Chief Financial Officer
[email protected]

NeuroMetrix, Inc. Statements of Operations (Unaudited)
	Quarters Ended June 30,								Six Months Ended June 30,
	2023				2022				2023				2022
Revenues	$	1,655,744			$	2,138,301			$	3,380,515			$	4,440,692
Cost of revenues	536,486				686,121				1,062,858				1,194,995
Gross profit	1,119,258				1,452,180				2,317,657				3,245,697
Operating expenses:
Research and development	753,509				915,799				1,452,934				1,626,376
Sales and marketing	744,963				566,598				1,560,835				1,425,437
General and administrative	1,244,241				1,180,101				2,637,412				2,366,192
Total operating expenses	2,742,713				2,662,498				5,651,181				5,418,005
Loss from operations	(1,623,455		)		(1,210,318		)		(3,333,524		)		(2,172,308		)
Other income	86,426				50,395				222,321				53,823
Net loss	$	(1,537,029	)		$	(1,159,923	)		$	(3,111,203	)		$	(2,118,485	)

NeuroMetrix, Inc. Condensed Balance Sheets (Unaudited)
		June 30, 2023				December 31, 2022
Cash, cash equivalents and securities		$	19,627,209			$	21,199,727
Other current assets			2,662,197				2,907,260
Noncurrent assets			484,097				562,628
Total assets		$	22,773,503			$	24,669,615
Current liabilities		$	1,209,929			$	1,106,412
Lease obligation, net of current portion			152,143				207,516
Stockholders’ equity			21,411,431				23,355,687
Total liabilities and stockholders’ equity		$	22,773,503			$	24,669,615

REDWOOD CITY, Calif., July 27, 2023 (GLOBE NEWSWIRE) — PROCEPT BioRobotics Corporation (Nasdaq: PRCT) (the “Company”), a surgical robotics company focused on advancing patient care by developing transformative solutions in urology, today reported unaudited financial results for the quarter ended June 30, 2023.

Recent Highlights

• Total revenue of $33.1 million for the second quarter of 2023, an increase of 98% compared to the same period in 2022
• Sold a record 40 U.S. robotic systems in the second quarter of 2023
• U.S. system and rental revenue of $14.8 million for the second quarter of 2023, an increase of 74% compared to the same period in 2022
• U.S. handpiece and consumables revenue of $13.6 million for the second quarter of 2023, an increase of 138% compared to the same period in 2022
• Increased fiscal year 2023 total revenue guidance to $131.0 million
• Received positive coverage policy decision from United Healthcare, effective June 1, 2023
• Initiated patient enrollment in Japanese post market survey in mid-July

“Our record performance in the second quarter reflects strong execution across all our growth drivers. Procedure numbers saw impressive growth in the quarter, largely attributed to increased utilization rates among our existing accounts on a sequential basis. As we move into the second half of 2023, our pipeline of opportunities continues to grow meaningfully, which gives us increased confidence to meet our growth objectives,” said Reza Zadno, Chief Executive Officer. “We believe the combination of compelling long-term clinical data, increased private payor coverage, outstanding real-world patient outcomes and an expanded field based commercial team continue to drive surgeon interest, patient demand and adoption of Aquablation® therapy.”

Second Quarter
2023
Financial Results

Total revenue for the second quarter of 2023 was $33.1 million, an increase of 98% compared to the prior year period. U.S. revenue was $29.9 million, representing growth of 102% compared to the prior year period. The increase was primarily driven by system sales to new hospital customers and increased handpiece revenue. U.S. handpiece and consumable revenue for the second quarter of 2023 was $13.6 million, an increase of 138% compared to the prior year period. Second quarter of 2023 monthly utilization per account increased 9% compared to the prior year period. U.S. system revenue for the second quarter of 2023 was a record $14.8 million, an increase of 74% compared to the prior year period. As of June 30, 2023, the install base of AquaBeam Robotic Systems in the U.S. was 233 systems. International revenue was $3.2 million for the quarter, an increase of 68% compared to the prior year period.

Gross margin for the second quarter 2023 was 56% compared to 51% in the prior year period and 51% in the first quarter of 2023. Sequential gross margin improvement was primarily attributable to increased operations and manufacturing efficiencies to absorb overhead expenses and increased sales volume.

Operating expenses in the second quarter of 2023 were $44.1 million, compared with $26.4 million in the prior year period. The increase was driven by increased sales and marketing expenses primarily to expand the commercial organization, and increased research and development and general and administrative expenses.

Net loss was $25.3 million for the second quarter of 2023, compared to a loss of $19.2 million in the prior year period. Adjusted EBITDA was a loss of $19.9 million for the second quarter of 2023, compared to a loss of $14.6 million in the prior year period.

Cash and short-term investments as of June 30, 2023, totaled $149.7 million, while long-term borrowings totaled $52.0 million.

Full Year
2023
Financial Guidance

• The Company projects revenue for the full year 2023 to be approximately $131 million, which represents 75% growth over the Company’s prior year revenue. This compares to previous revenue guidance of $128 million.
• The Company projects full year 2023 gross margin to be approximately 55%. This compares to previous guidance of approximately 54%.
• The Company projects full year 2023 total operating expense of approximately $174 million. This compares to previous guidance of approximately $167 million.
• The Company projects full year 2023 Adjusted EBITDA loss to be ($74.5) million.

Adjusted EBITDA is a financial measure that is not prepared in accordance with generally accepted accounting principles in the United States (GAAP). For more information about the Company’s use of non-GAAP financial measures, please see the section below titled “Use of Non-GAAP Financial Measures (Unaudited).”

Webcast and Conference Call Information

PROCEPT BioRobotics will host a conference call to discuss the second quarter 2023 financial results on Thursday, July 27, 2023, at 8:00 a.m. Eastern Time.

Investors interested in listening to the conference call may do so by following one of the below links:

• Webcast link for interested listeners:
  • https://edge.media-server.com/mmc/p/fw7aiho7
• Dial-in registration for sell-side research analysts:
  • https://register.vevent.com/register/BIef004df48e304420a49f82d3ae63fa4a

About PROCEPT BioRobotics Corporation

PROCEPT BioRobotics is a surgical robotics company focused on advancing patient care by developing transformative solutions in urology. PROCEPT BioRobotics develops, manufactures and sells the AquaBeam Robotic System, an advanced, image-guided, surgical robotic system for use in minimally invasive urologic surgery with an initial focus on treating benign prostatic hyperplasia, or BPH. BPH is the most common prostate disease and impacts approximately 40 million men in the United States. PROCEPT BioRobotics designed Aquablation therapy to deliver effective, safe and durable outcomes for males suffering from lower urinary tract symptoms, or LUTS, due to BPH that are independent of prostate size and shape or surgeon experience. The Company has developed a significant and growing body of clinical evidence, which includes nine clinical studies and over 150 peer-reviewed publications, supporting the benefits and clinical advantages of Aquablation therapy.

Use of Non-GAAP Financial Measures (Unaudited)

This press release references Adjusted EBITDA, a financial measure that is not prepared in accordance with generally accepted accounting principles in the United States (GAAP). The Company defines Adjusted EBITDA as earnings before interest expense, taxes, depreciation and amortization and stock-based compensation. Non-GAAP financial measures are not a substitute for or superior to measures of financial performance prepared in accordance with GAAP and should not be considered as an alternative to any other performance measures derived in accordance with GAAP.

The Company believes that presenting Adjusted EBITDA provides useful supplemental information to investors about the Company in understanding and evaluating its operating results, enhancing the overall understanding of its past performance and future prospects, and allowing for greater transparency with respect to key financial metrics used by its management in financial and operational decision making. However, there are a number of limitations related to the use of non-GAAP measures and their nearest GAAP equivalents. For example, other companies may calculate non-GAAP measures differently, or may use other measures to calculate their financial performance, and therefore any non-GAAP measures the Company uses may not be directly comparable to similarly titled measures of other companies.

Forward Looking Statements

This release contains forward‐looking statements within the meaning of federal securities laws, including with respect to the Company’s projected financial performance for full year 2023, statements regarding the potential utilities, values, benefits and advantages of Aquablation® therapy performed using PROCEPT BioRobotics’ products, including AquaBeam® Robotic System, which involve risks and uncertainties that could cause the actual results to differ materially from the anticipated results and expectations expressed in these forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements. Forward-looking statements are only predictions based on our current expectations, estimates, and assumptions, valid only as of the date they are made, and subject to risks and uncertainties, some of which we are not currently aware. Forward-looking statements may include statements regarding financial guidance, market opportunity and penetration, the Company’s possible or assumed future results of operations, including descriptions of the Company’s revenues, gross margin, profitability, operating expenses, installed base growth, commercial momentum and overall business strategy. Forward‐looking statements should not be read as a guarantee of future performance or results and may not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. These forward‐looking statements are based on the Company’s current expectations and inherently involve significant risks and uncertainties. Actual results and the timing of events could differ materially from those anticipated in such forward‐looking statements as a result of these risks and uncertainties. These risks and uncertainties are described more fully in the section titled “Risk Factors” in the Company’s filings with the Securities and Exchange Commission (the “SEC”), including the Company’s annual report on Form 10-K filed with the SEC on February 28, 2023. PROCEPT BioRobotics does not undertake any obligation to update forward‐looking statements and expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward‐looking statements contained herein. These forward-looking statements should not be relied upon as representing PROCEPT BioRobotics’ views as of any date subsequent to the date of this press release.

Important Safety Information

All surgical treatments have inherent and associated side effects. For a list of potential side effects visit https://aquablation.com/safety-information/

Investor Contact:

Matt Bacso, CFA
VP, Investor Relations and Business Operations
[email protected]

PROCEPT BioRobotics Corporation
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited, in thousands, except per share data)
		Three Months Ended June 30,								Six Months Ended June 30,
			2023				2022				2023				2022
Revenue		$	33,104			$	16,691			$	57,508			$	30,888
Cost of sales			14,675				8,205				26,588				14,710
Gross profit			18,429				8,486				30,920				16,178
Operating expenses:
Research and development			11,613				6,706				22,350				11,717
Selling, general and administrative			32,441				19,655				62,574				38,040
Total operating expenses			44,054				26,361				84,924				49,757
Loss from operations			(25,625	)			(17,875	)			(54,004	)			(33,579	)
Interest expense			(965	)			(1,441	)			(1,851	)			(2,862	)
Interest and other income, net			1,305				132				2,084				72
Net loss		$	(25,285	)			(19,184	)			(53,771	)			(36,369	)
Net loss per share, basic and diluted		$	(0.56	)		$	(0.43	)		$	(1.19	)		$	(0.82	)
Weighted-average common shares used to
Compute net loss per share attributable to
Common shareholders, basic and diluted			45,160				44,324				45,023				44,091

PROCEPT BioRobotics Corporation
RECONCILIATION OF GAAP NET LOSS TO ADJUSTED EBITDA
(Unaudited, in thousands)
	Three Months Ended June 30,								Six Months Ended June 30,
		2023				2022				2023				2022
Net loss	$	(25,285	)		$	(19,184	)		$	(53,771	)		$	(36,369	)
Depreciation and amortization expense		642				717				1,435				1,475
Stock-based compensation expense		5,104				2,676				8,827				4,228
Interest (income) and interest expense, net		(400	)			1,196				(351	)			2,581
Adjusted EBITDA	$	(19,939	)		$	(14,595	)		$	(43,860	)		$	(28,085	)

PROCEPT BioRobotics Corporation
RECONCILIATION OF GAAP NET LOSS TO ADJUSTED 2023 EBITDA Guidance
(Unaudited, in thousands)
		2023
Net loss	$	(100,650	)
Depreciation and amortization expense		4,800
Stock-based compensation expense		22,200
Interest (income) and interest expense, net		(850	)
Adjusted EBITDA	$	(74,500	)

PROCEPT BioRobotics Corporation
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited, in thousands)
		June 30, 2023				December 31, 2022
Assets
Current assets:
Cash and cash equivalents		$	149,691			$	221,859
Restricted cash, current			777				777
Accounts receivable, net			33,173				15,272
Inventory			42,636				28,543
Prepaid expenses and other current assets			3,739				6,175
Total current assets			230,016				272,626
Restricted cash, non-current			3,038				3,038
Property and equipment, net			16,357				8,656
Operating lease right-of-use assets, net			21,563				23,481
Intangible assets, net			1,341				1,477
Other assets			131				51
Total assets		$	272,446			$	309,329
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable		$	10,036			$	9,391
Accrued compensation			9,949				13,447
Deferred revenue, current			4,717				2,855
Operating leases, current			2,354				2,129
Other current liabilities			8,889				7,468
Total current liabilities			35,945				35,290
Long-term debt			51,275				51,213
Operating leases, non-current			27,135				23,975
Loan facility derivative liability			1,832				1,779
Deferred revenue, non-current			357				—
Total liabilities			116,544				112,257
Stockholders’ equity:
Additional paid-in capital			558,352				545,753
Accumulated other comprehensive loss			(6	)			(6	)
Accumulated deficit			(402,444	)			(348,675	)
Total stockholders’ equity			155,902				197,072
Total liabilities and stockholders’ equity		$	272,446			$	309,329

PROCEPT BioRobotics Corporation
REVENUE BY TYPE AND GEOGRAPHY
(Unaudited, in thousands)
		Three Months Ended						Six Months Ended
		June 30,						June 30,
		2023			2022			2023			2022
U.S.
System sales and rentals		$	14,828		$	8,516		$	23,598		$	16,270
Handpieces and other consumables			13,601			5,723			25,371			10,167
Service			1,499			567			2,734			929
Total U.S. revenue			29,928			14,806			51,703			27,366
Outside of U.S.
System sales and rentals			1,599			869			3,068			1,610
Handpieces and other consumables			1,269			832			2,175			1,578
Service			308			184			562			334
Total outside of U.S. revenue			3,176			1,885			5,805			3,522
Total revenue		$	33,104		$	16,691		$	57,508		$	30,888

NEWARK, N.Y., July 27, 2023 (GLOBE NEWSWIRE) — Ultralife Corporation (NASDAQ: ULBI) reported operating results for the second quarter ended June 30, 2023 with the following highlights:

• Sales of $42.7 million representing a 32.9% year-over-year increase
• Operating income of $3.7 million compared to $0.8 million for the 2022 second quarter
• Adjusted EPS of $0.29 compared to $0.03 for the 2022 second quarter
• Adjusted EBITDA of $6.3 million or 14.7% of sales versus $2.2 million or 6.8% last year
• Backlog increase to $110.9 million, the highest level in the Company’s history

“Driven by surging demand from our government/defense and medical customers, we delivered a 33% year-over-year sales increase to $42.7 million for the second quarter. Leveraged by a sequential improvement in gross margin and disciplined spending, operating profit more than quadrupled from the year-earlier quarter to $3.7 million, the highest level since the third quarter of 2010. With backlog increasing to $110.9 million and durable demand across our diverse end markets, the near-term highest priority remains to recapture gross margin through continued execution of price realization activities, qualification of alternate component suppliers, and lean manufacturing initiatives,” said Mike Manna, President and Chief Executive Officer. “These actions position us to deliver high-quality, sustainable profitable growth for 2023 generating incremental cash flow to pay down our acquisition debt and further invest in our businesses. We continue to strengthen our relationships with our key customers using our global new product development and sales resources to support future growth in target markets.”

Second Quarter 2023 Financial Results

Revenue was $42.7 million, an increase of $10.6 million, or 32.9%, as compared to revenue of $32.1 million for the second quarter of 2022. Overall, government/defense sales increased 111.5% and commercial sales increased 9.2% over the 2022 period. Battery & Energy Products sales increased 12.3% to $33.9 million, compared to $30.1 million last year, reflecting increases of 26.6% in government/defense sales, 25.2% in medical battery sales, and 17.9% in oil & gas market sales, partially offset by an 18.8% decrease in other commercial sales. Communications Systems sales increased more than four-fold to $8.8 million compared to $2.0 million for the same period last year, primarily attributable to shipments of vehicle-amplifier adaptors to a global defense contractor for the U.S. Army and of integrated systems of amplifiers and radio vehicle mounts to a major international defense contractor under an ongoing allied country government/defense modernization program. Our total backlog exiting the second quarter was $110.9 million representing a 40.1% increase over the comparable period last year with $76.4 million of the total backlog due to ship over the remaining six months of 2023. Total backlog increased $2.8 million or 2.6% compared to the backlog exiting the first quarter.

Gross profit was $10.6 million, or 24.8% of revenue, compared to $7.6 million, or 23.8% of revenue, for the same quarter a year ago. Battery & Energy Products’ gross margin was 22.3%, compared to 23.7% last year, primarily due to lingering inefficiencies resulting from the first quarter cyber-attack, disposition of certain non-conforming materials and continued investments in the transition of new products to high volume production, partially offset by improved price realization. Communications Systems gross margin was 34.5% compared to 24.9% last year, primarily due to higher factory volume and favorable product mix.

Operating expenses were $6.9 million, the same as that reported for the 2022 second quarter. Operating expenses were 16.2% of revenue compared to 21.3% of revenue for the year-earlier period.

The combination of higher gross profit and flat operating expenses resulted in a $2.9 million increase in operating income to $3.7 million from $0.8 million last year.

Other income, reported below operating income, includes an Employee Retention Credit (“ERC”) for $1.5 million under Section 2301 of the Coronavirus Aid, Relief and Economic Security Act of 2020 and the American Rescue Plan of 2021 which was filed with the Internal Revenue Service during the second quarter of 2023.

Net income was $3.3 million or $0.21 per diluted share on a GAAP basis, compared to net income of $0.5 million or $0.03 per diluted share for the second quarter of 2022. Adjusted EPS was $0.29 on a diluted basis for the second quarter of 2023, compared to $0.03 for the 2022 period. Adjusted EPS excludes the provision for deferred taxes of $1.3 million which primarily represents non-cash charges for U.S. taxes which will be fully offset by net operating loss carryforwards and other tax credits for the foreseeable future.

Adjusted EBITDA, defined as EBITDA including non-cash, stock-based compensation expense, was $6.3 million for the second quarter of 2023, or 14.7% of sales, including the ERC, compared to $2.2 million, or 6.8% of sales, for the year-earlier period.

See the “Non-GAAP Financial Measures” section of this release for a reconciliation of adjusted EPS to EPS and adjusted EBITDA to net income attributable to Ultralife Corporation.

About Ultralife Corporation

Ultralife Corporation serves its markets with products and services ranging from power solutions to communications and electronics systems. Through its engineering and collaborative approach to problem solving, Ultralife serves government/defense and commercial customers across the globe.

Headquartered in Newark, New York, the Company’s business segments include Battery & Energy Products and Communications Systems. Ultralife has operations in North America, Europe and Asia. For more information, visit www.ultralifecorporation.com.

Conference Call Information

Ultralife will hold its second quarter earnings conference call today at 8:30 AM ET.

To ensure a fast and reliable connection to our investor conference call, we now require participants dialing in by phone to register using the following link prior to the call: https://register.vevent.com/register/BI05d612e50dae4c4f91cf91687da98603. This will eliminate the need to speak with an operator. Once registered, dial-in information will be provided along with a personal identification number. Should you register early and misplace your details, you can simply click back on this same link at any time to register and view this information again. A live webcast of the conference call will be available to investors in the Events & Presentations section of the Company’s website at http://investor.ultralifecorporation.com. For those who cannot listen to the live broadcast, a replay of the webcast will be available shortly after the call at the same location.

This press release may contain forward-looking statements based on current expectations that involve a number of risks and uncertainties. The potential risks and uncertainties that could cause actual results to differ materially include the impact of COVID-19 and related supply chain disruptions, potential reductions in revenues from key customers, acceptance of our new products on a global basis and uncertain global economic conditions. The Company cautions investors not to place undue reliance on forward-looking statements, which reflect the Company’s analysis only as of today’s date. The Company undertakes no obligation to publicly update forward-looking statements to reflect subsequent events or circumstances. Further information on these factors and other factors that could affect Ultralife’s financial results is included in Ultralife’s Securities and Exchange Commission (SEC) filings, including the latest Annual Report on Form 10-K.

Company Contact:	Investor Relations Contact:
Ultralife Corporation	LHA
Philip A. Fain	Jody Burfening
(315) 210-6110	(212) 838-3777
[email protected]	[email protected]

ULTRALIFE CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Dollars in Thousands)
(Unaudited)
ASSETS
		June 30,					December 31,
		2023					2022
Current Assets:
Cash		$8,283					$5,713
Trade Accounts Receivable, Net		28,630					27,779
Inventories, Net		46,063					41,192
Prepaid Expenses and Other Current Assets		4,850					4,304
Total Current Assets		87,826					78,988
Property, Plant and Equipment, Net		21,122					21,716
Goodwill		37,501					37,428
Other Intangible Assets, Net		15,552					15,921
Deferred Income Taxes, Net		11,084					12,069
Other Non-Current Assets		2,307					2,308
Total Assets		$175,392					$168,430
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current Liabilities:
Accounts Payable		$18,541					$16,074
Current Portion of Long-Term Debt		2,000					2,000
Accrued Compensation and Related Benefits		2,320					2,890
Accrued Expenses and Other Current Liabilities		6,342					7,949
Total Current Liabilities		29,203					28,913
Long-Term Debt, Net		22,642					19,310
Deferred Income Taxes		1,876					1,917
Other Non-Current Liabilities		1,996					1,887
Total Liabilities		55,717					52,027
Shareholders’ Equity:
Common Stock		2,059					2,057
Capital in Excess of Par Value		187,758					187,405
Accumulated Deficit		(44,957)					(47,951)
Accumulated Other Comprehensive Loss		(3,846)					(3,750)
Treasury Stock		(21,484)					(21,484)
Total Ultralife Equity		119,530					116,277
Non-Controlling Interest		145					126
Total Shareholders’ Equity		119,675					116,403
Total Liabilities and Shareholders’ Equity		$175,392					$168,430

ULTRALIFE CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(In Thousands Except Per Share Amounts)
(Unaudited)
	Three-Month Period Ended				Six-Month Period Ended
	June 30,		June 30,		June 30,		June 30,
	2023		2022		2023		2022
Revenues:
Battery & Energy Products	$33,861		$30,140		$62,331		$59,290
Communications Systems	8,831		1,986		12,277		3,209
Total Revenues	42,692		32,126		74,608		62,499
Cost of Products Sold:
Battery & Energy Products	26,318		22,989		48,276		45,418
Communications Systems	5,786		1,491		8,308		2,477
Total Cost of Products Sold	32,104		24,480		56,584		47,895
Gross Profit	10,588		7,646		18,024		14,604
Operating Expenses:
Research and Development	1,778		1,672		3,810		3,529
Selling, General and Administrative	5,145		5,181		10,523		10,577
Total Operating Expenses	6,923		6,853		14,333		14,106
Operating Income	3,665		793		3,691		498
Other Income (Expense)	1,058		(115)		564		(232)
Income Before Income Taxes	4,723		678		4,255		266
Income Tax Provision (Benefit)	1,375		170		1,242		(81)
Net Income	3,348		508		3,013		347
Net Income (Loss) Income Attributable to Non-Controlling Interest	8		(4)		19		3
Net Income Attributable to Ultralife Corporation	$3,340		$512		$2,994		$344
Net Income Per Share Attributable to Ultralife Common Shareholders – Basic	$.21		$.03		$.19		$.02
Net Income Per Share Attributable to Ultralife Common Shareholders – Diluted	$.21		$.03		$.19		$.02
Weighted Average Shares Outstanding – Basic	16,141		16,129		16,138		16,116
Weighted Average Shares Outstanding – Diluted	16,144		16,149		16,141		16,141

Non-GAAP Financial Measures

Adjusted EBITDA

In evaluating our business, we consider and use adjusted EBITDA, a non-GAAP financial measure, as a supplemental measure of our operating performance in addition to U.S. Generally Accepted Accounting Principles (“GAAP”) financial measures. We define adjusted EBITDA as net income attributable to Ultralife Corporation before net interest expense, provision (benefit) for income taxes, depreciation and amortization, and stock-based compensation expense, plus/minus expense/income that we do not consider reflective of our ongoing continuing operations. We reconcile adjusted EBITDA to net income attributable to Ultralife Corporation, the most comparable financial measure under GAAP. Neither current nor potential investors in our securities should rely on adjusted EBITDA as a substitute for any GAAP measures and we encourage investors to review the following reconciliation of adjusted EBITDA to net income attributable to Ultralife Corporation.

ULTRALIFE CORPORATION AND SUBSIDIARIES
CALCULATION OF ADJUSTED EBITDA
(Dollars in Thousands)
(Unaudited)
	Three-Month Period Ended				Six-Month Period Ended
	June 30, 2023		June 30, 2022		June 30, 2023		June 30, 2022
Net Income Attributable to Ultralife Corporation	$3,340		$512		$2,994		$344
Adjustments:
Interest Expense, Net	440		177		864		311
Income Tax Provision (Benefit)	1,375		170		1,242		(81)
Depreciation Expense	760		819		1,522		1,635
Amortization Expense	227		323		436		651
Stock-Based Compensation Expense	154		184		293		373
Cyber-Insurance Policy Deductible	–		–		100		–
Non-Cash Purchase Accounting Adjustment	–		–		–		55
Adjusted EBITDA	$6,296		$2,185		$7,451		$3,288

Adjusted Earnings Per Share

In evaluating our business, we consider and use adjusted EPS, a non-GAAP financial measure, as a supplemental measure of our business performance. We define adjusted EPS as net income attributable to Ultralife Corporation excluding the provision (benefit) for deferred income taxes divided by our weighted average shares outstanding on both a basic and diluted basis. We believe that this information is useful in providing period-to-period comparisons of our results by reflecting the portion of our tax provision that will be predominantly offset by our U.S. net operating loss carryforwards and other tax credits for the foreseeable future. We reconcile adjusted EPS to EPS, the most comparable financial measure under GAAP. Neither current nor potential investors in our securities should rely on adjusted EPS as a substitute for any GAAP measures and we encourage investors to review the following reconciliation of adjusted EPS to EPS and net income attributable to Ultralife.

ULTRALIFE CORPORATION AND SUBSIDIARIES
CALCULATION OF ADJUSTED EPS
(In Thousands Except Per Share Amounts)
(Unaudited)
	Three-Month Period Ended
	June 30, 2023						June 30, 2022
	Amount		Per Basic Share		Per Diluted Share		Amount		Per Basic Share		Per Diluted Share
Net Income	$3,340		$.21		$.21		$512		$.03		$.03
Deferred Tax Provision	1,278		.08		.08		27		–		–
Adjusted Net Income	$4,618		$.29		$.29		$539		$.03		$.03
Weighted Average Shares Outstanding			16,141		16,144				16,129		16,149

	Six-Month Period Ended
	June 30, 2023						June 30, 2022
	Amount		Per Basic Share		Per Diluted Share		Amount		Per Basic Share		Per Diluted Share
Net Income	$2,994		$.19		$.19		$344		$.02		$.02
Deferred Tax Provision (Benefit)	888		.05		.05		(375)		(.02)		(.02)
Adjusted Net Income (Loss)	$3,882		$.24		$.24		($31)		$.00		$.00
Weighted Average Shares Outstanding			16,138		16,141				16,116		16,141

MONTREAL and RALEIGH, NC, July 27, 2023 (GLOBE NEWSWIRE) — Nuvei Corporation (“Nuvei” or the “Company”) (Nasdaq: NVEI) (TSX: NVEI), the Canadian fintech company, and CloudPay, a leading global employee pay provider, are today announcing a strategic partnership that enables CloudPay customers to access faster, more flexible payroll solutions.

Nuvei’s market-leading agile technology and global reach through a unified solution provide significant advantages for CloudPay customers that demand the ability to make payroll fast, flexible, and certain. The partnership also supports a broad range of global salary payment solutions, including the capability to push salary payment to cards through Visa Direct, reducing payment times from days to 30 minutes or less.

These expanded capabilities generated through the partnership are currently live in the U.S., and an expansion into new regions including Europe and APAC is expected to launch before the end of the year.

“This partnership enables us to meet the growing global demand for innovative payment solutions that are transforming the end-to-end employee pay process and providing new ways of attracting and retaining talent,” said CloudPay Strategic Initiatives Director Nick Newman.

Nuvei Chair and CEO Philip Fayer commented on the announcement: “We’re excited to be demonstrating yet another fantastic use case for our cutting-edge payments technology. Our mission is to enable our partners to offer a market-leading payments experience for pay ins and payouts, bringing businesses closer to their customers, or in this case employees. Enabling CloudPay to offer a transformative payroll solution is just the latest example of how our agile, customizable platform is revolutionizing online payments globally.”

CloudPay data finds 95% of employees who use the CloudPay NOW app choose to use their debit card to receive salary payments because the transaction is instant and available 24/7. Traditional salary payment structures rely on banks and limited hours of operation. There are no waiting periods when transactions are processed through Nuvei. In some instances, this allows companies to move from a biweekly pay cycle to a monthly cycle, saving time, money, and resources.

“The next generation of global money movement is one where companies may soon say goodbye to the traditional, biweekly pay cycle,” said Anastasia Serikova, Head of Visa Direct, Europe. “CloudPay and Nuvei are at the forefront of providing solutions that help workers access their pay faster. With Visa Direct, CloudPay’s clients can eliminate inefficiencies associated with traditional ways that employees are paid, and provide quick access to the money they’ve already earned.”

Together with its partners, CloudPay is defining the modern pay experience. Through strategic partnerships that extend capabilities and increase speed, the company is elevating pay from an operational function to a business driver. Employers looking for ways to elevate the employee experience now have the ability to do so at scale across the globe.

About CloudPay

Employee pay processes have broad business consequences, requiring modern solutions and trusted experts across the globe. CloudPay connects all employee pay processes – including payroll, payments, and on-demand pay – through a unified platform available across 130+ countries, and 168 currencies. CloudPay’s experts help global companies implement best practices, navigate change, optimize operations, and improve employee experiences, guiding them with vision and care toward the comprehensive pay experience employees deserve.

Media Contact:

Abbey Hogan
[email protected]
(847) 858-4354

About Nuvei 

Nuvei (Nasdaq: NVEI) (TSX: NVEI) is the Canadian fintech company accelerating the business of clients around the world. Nuvei’s modular, flexible and scalable technology allows leading companies to accept next-gen payments, offer all payout options and benefit from card issuing, banking, risk and fraud management services. Connecting businesses to their customers in more than 200 markets, with local acquiring in 47+ markets, 150 currencies and more than 600 alternative payment methods, Nuvei provides the technology and insights for customers and partners to succeed locally and globally with one integration. 

For more information, visit www.nuvei.com

NVEI-IR

Alex Hammond
Nuvei
[email protected]

Investor Relations
Nuvei
[email protected]

ALACHUA and TAMPA, Fla., July 27, 2023 (GLOBE NEWSWIRE) — Axogen, Inc. (NASDAQ: AXGN), a global leader in developing and marketing innovative surgical solutions for peripheral nerve injuries, today announced that Karen Zaderej, Chairman, Chief Executive Officer, and President, will participate in a fireside chat at Canaccord Genuity’s 43^rd Annual Growth Conference in Boston, MA, on Wednesday, August 9, 2023, at 2 p.m. ET.

The webcast can be accessed live through the Investors page at www.axogeninc.com. For those not available to listen to the live broadcast, the replay will be archived for 90 days and available through the Investors page on www.axogeninc.com.

About Axogen

Axogen (AXGN) is the leading company focused specifically on the science, development, and commercialization of technologies for peripheral nerve regeneration and repair. Axogen employees are passionate about helping to restore peripheral nerve function and quality of life to patients with physical damage or transection to peripheral nerves by providing innovative, clinically proven, and economically effective repair solutions for surgeons and health care providers. Peripheral nerves provide the pathways for both motor and sensory signals throughout the body. Every day, people suffer traumatic injuries or undergo surgical procedures that impact the function of their peripheral nerves. Physical damage to a peripheral nerve, or the inability to properly reconnect peripheral nerves, can result in the loss of muscle or organ function, the loss of sensory feeling, or the initiation of pain.

Axogen’s platform for peripheral nerve repair features a comprehensive portfolio of products, including Avance^® Nerve Graft, a biologically active off-the-shelf processed human nerve allograft for bridging severed peripheral nerves without the comorbidities associated with a second surgical site; Axoguard Nerve Connector^®, a porcine submucosa extracellular matrix (ECM) coaptation aid for tensionless repair of severed peripheral nerves; Axoguard Nerve Protector^®, a porcine submucosa ECM product used to wrap and protect damaged peripheral nerves and reinforce the nerve reconstruction while preventing soft tissue attachments; Axoguard HA+ Nerve Protector™, a porcine submucosa ECM base layer coated with a proprietary hyaluronate-alginate gel, is a next-generation technology designed to provide short- and long-term protection for peripheral nerve injuries; and Axoguard Nerve Cap^®, a porcine submucosa ECM product used to protect a peripheral nerve end and separate the nerve from the surrounding environment to reduce the development of symptomatic or painful neuroma. The Axogen portfolio of products is available in the United States, Canada, Germany, the United Kingdom, Spain, South Korea, and several other countries.

Contact:
Axogen, Inc.
[email protected]

Logistics leader lau
n
ches full operations
in Italy in
one month
after contract signature

Expanded
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TREZZO SULL’ADDA, Italy, July 27, 2023 (GLOBE NEWSWIRE) —  

GXO Logistics, Inc.
 (NYSE: GXO), the world’s largest pure-play contract logistics provider, announced today that it is partnering with leading global energy drink maker Red Bull to manage the Italian subsidiary’s warehousing and distribution from its facility in Trezzo sull’Adda, Italy. GXO also provides logistics services to Red Bull in France.

“We’re delighted to expand our partnership with Red Bull in Europe to optimize their warehousing and distribution,” said Paul Mohan, Managing Director, Continental Europe, GXO. “We designed a site that has the ability to scale quickly to support Red Bull’s growth and began operations in near record time. We’re looking forward to helping this great global brand optimize its logistics.”

GXO will provide end-to-end logistics support – including reverse logistics, value added services and local distribution – to Red Bull for both beverages and promotional items out of a 10,000 square-meter warehouse space. A leader in ESG logistics solutions, GXO implemented a distribution solution to Red Bull’s retail and wholesale customers that optimizes carbon emissions.

Across Europe, GXO has decades of experience managing food and beverage products for more than 50 customers in temperature-controlled and ambient warehouses – operating temperatures from ambient to -20 degrees celsius – out of nearly 125 sites in Europe.

About GXO Logistics

GXO Logistics, Inc. (NYSE: GXO) is the world’s largest pure-play contract logistics provider and is benefiting from the rapid growth of ecommerce, automation and outsourcing. GXO is committed to providing a diverse, world-class workplace for more than 130,000 team members across more than 970 facilities totaling approximately 200 million square feet. The company partners with the world’s leading blue-chip companies to solve complex logistics challenges with technologically advanced supply chain and ecommerce solutions, at scale and with speed. GXO corporate headquarters is in Greenwich, Connecticut, USA. Visit GXO.com for more information and connect with GXO on LinkedIn, Twitter, Facebook, Instagram and YouTube. 

Media contacts

Anne Lafourcade 
+33 (0)6 75 22 52 90 
[email protected] 

Matthew Schmidt 
+1 203-307-2809 
[email protected]