Pressure BioSciences, Inc. Reports Q2 2023 Financial Results, Provides Business Update, and Offers Guidance for 2nd Half 2023

Pressure BioSciences, Inc. (OTCQB:PBIO) (“PBI” or the “Company”) today reported financial results for the second quarter ended June 30, 2023, provided a business update, and offered limited guidance for expected achievements through the remainder of 2023.

Investor Call Scheduled for Tuesday, August 22, 2023 at 4:30 p.m. ET

SOUTH EASTON, MA / ACCESSWIRE / August 22, 2023 / Pressure BioSciences, Inc., (OTCQB:PBIO) ("PBI" or the "Company"), a leader in the development and sale of broadly enabling, pressure-based instruments, consumables, and specialty testing services to the worldwide biotechnology, biotherapeutics, nutraceuticals, cosmeceuticals, agriculture, and food & beverage industries, today reported financial results for the second quarter ended June 30, 2023, provided a business update, and offered limited guidance for expected achievements through the remainder of 2023.

Financial Highlights: Q2 2023 vs. Q2 2022 (rounded to nearest hundred except EPS)

  • Total revenue for Q2 2023 was $511,800, an increase of 3% from $498,100 for Q2 2022.
  • Instrument/Consumable sales for Q2 2023 were $445,500 an increase of 13% from $388,100 for Q2 2022.
  • BaroFold/UltraShear services in Q2 2023 were $30,700 compared to $110,000 for Q2 2022, a decrease of 72%; the Company believes this decrease reflects timing differences in BaroFold contract services.
  • PBI Agrochem subsidiary sales for Q2 2023 were $35,600 as compared to $0 for Q2 2022.
  • Operating loss for Q2 2023 was $1,081,500 as compared to $901,600 for Q2 2022, an increase of 20%, due primarily to higher R&D and G&A expenses.
  • Cash Used from Operations in Q2 2023 was $899,200 vs. $1,241,900 for Q2 2022
  • Basic and diluted net loss per share was $(0.57) for Q2 2023 as compared to $(0.32) for Q2 2022.

Financial Highlights: 1st Half 2023 vs. 1st Half 2022 (rounded to nearest hundred except EPS)

  • Total revenue for the 1st Half 2023 was $1,252,403, an increase of 28% from $978,137 for the 1st Half 2022.
  • Instrument/Consumable sales for the 1st Half 2023 were $939,400, an increase of 39% from the 1st Half 2022.
  • BaroFold/UltraShear services for the 1st Half 2023 were $35,700, a decrease of 71% from the 1st Half 2022.
  • PBI Agrochem subsidiary sales for the 1st Half 2023 were $166,300, an increase of 100% from the 1st Half 2022.
  • Operating loss for 1st Half 2023 was $4,719,200 compared to $1,987,900 for 1st Half 2022. This increase in operating loss was primarily due to non-cash expense items totaling $2,911,800. Without the one-time charges, operating loss in the 1st Half 2023 would have been less than the operating loss in the 1st Half of 2022.
  • Cash Used from Operations in 1st Half 2023 was $1,321,400 vs. $1,998,200 for 1st Half 2022, a 34% decrease.
  • Basic and diluted net loss per share was $(1.03) for the 1st Half 2023 as compared to $(0.80) for 1st Half 2022.

Q2 2023 and Recent Operational and Technical Highlights

  • PBIO reports strongly accelerating UltraShear Nano-CBD orders. (Aug 9)
  • PBIO to evaluate UltraShear process for shelf-life extension coatings on fresh produce. (July 25)
  • Company's UltraShear Nano-CBD commercial rollout program enters rapid expansion Phase 2. (July 17)
  • Company announces Nano-CBD topical spray distribution agreement with Crème de Canna. (July 10)
  • Key academic publication further validates PBIO's UltraShear platform's impact in clean-label foods. (July 6)
  • PBIO partners with Somalab International for development of UltraShear-enabled health products. (July 5)
  • Consumer testing validates rapid absorption/effectiveness of UltraShear Nano-THC oral spray. (June 27)
  • PBIO partners with Veterans Service Team to offer exclusive access for VST members to Nano-CBD. (June 13)
  • Commercial availability of Best-in-Class Nano-CBD topical spray with lightning-fast action announced. (May 22)
  • PBIO announces Q1 2023 financial results: all-time quarterly record revenue. (May 16)
  • Consumer testing strongly validates transforming performance of UltraShear Nano-THC oral spray. (May 9)
  • PBIO and NutraLife Biosciences renew partnership for development of next generation nutraceuticals. (April 6)

Mr. Richard T. Schumacher, President and CEO of PBIO, commented: "We were pleased to report all-time record revenue in 1st Half 2023, despite our focus on preparations for the commercial launch and scale up of our UltraShear technology platform in late May. We more recently announced the initial surge in UltraShear distributor sign-ups and orders, which we believe will continue at an increasing rate through the coming months. We anticipate strong UltraShear revenues in 2nd Half 2023 and the announcement of contracts with multiple name brands across a diversity of industries."

Mr. Jeffrey N. Peterson, Chairman of PBIO, discussed the Company's strategic path forward: "The Board and PBIO's leadership team are highly focused on guiding the Company through financial repositioning and strategic options for growth acceleration and completion of our targeted re-uplist to the NASDAQ or NYSE equities market. We were pleased to announce that a major long-term debt and equity investor in PBIO voluntarily converted $10M of debt into equity during Q2 2023, as part of our balance sheet restructuring efforts. We believe large amounts of remaining debt are poised to do the same as the year progresses. The Board is also actively reviewing opportunities for strategic divestment of non-core assets, to complement our growth funding objectives and strategic concentration on UltraShear development. We are similarly examining opportunities for complementary and accretive merger/acquisition roll-ups that will be strategically leveraged by the market-transforming impact of our UltraShear platform."

Earnings Call

The Company will hold an Earnings Conference Call at 4:30 p.m. ET on Tuesday, August 22, 2023. To attend this teleconference via telephone, Dial-in: (888) 506-0062 (North America) & (973) 528-0011 (International); ACCESS CODE: 892354. Replay Number (877) 481-4010 (North America) & (919) 882-2331 (International); REPLAY ACCESS CODE: 48987. Teleconference Replay Available for 30 days.

About Pressure BioSciences, Inc.

Pressure BioSciences, Inc. (OTCQB: PBIO) is a global leader in providing innovative, broadly enabling, high pressure-based solutions for a range of industries, including biotechnology, pharmaceutical, nutraceutical, cosmeceutical, and agrochemical, as well as food and beverage manufacturing. Our products utilize both constant and alternating pressure. Our patented enabling technology platform, Pressure Cycling Technology (PCT), utilizes alternating cycles of pressure to control bio-molecular interactions (such as cell lysis and biomolecule extraction) safely and reproducibly. PCT-based products are beginning to be widely used for biomarker and target discovery, drug design and development, biotherapeutics characterization and quality control, soil & plant biology, forensics, and counter-bioterrorism applications. We have recently expanded our market opportunities with the acquisition of the BaroFold™ patented technology platform, allowing us to enter the bio-pharma contract services and GMP manufacturing equipment sector. We have also developed the scalable and high-efficiency pressure-based UltraShear Technology™ (UltraShear™) platform, which allows for the creation of stable nanoemulsions of otherwise immiscible fluids. It also allows for the preparation of higher quality, homogenized, extended shelf-life or room temperature-stable low-acid liquid foods that cannot be effectively preserved using existing non-thermal technologies. Our commitment to innovation and cutting-edge technology has established PBIO as a leader in the high-pressure industry, providing unique and effective solutions to our customers.

Forward Looking Statements

This press release contains forward-looking statements. These statements relate to future events or our future financial performance and involve known and unknown risks, uncertainties and other factors that may cause our or our industry's actual results, levels of activity, performance, or achievements to be materially different from any future results, levels of activity, performance or achievements expressed, implied, or inferred by these forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "could," "would," "expects," "plans," "intends," "anticipates," "believes," "estimates," "predicts," "projects," "potential" or "continue" or the negative of such terms and other comparable terminology. These statements are only predictions based on our current expectations and projections about future events. You should not place undue reliance on these statements. In evaluating these statements, you should specifically consider various factors. Actual events or results may differ materially. These and other factors may cause our actual results to differ materially from any forward-looking statement. These risks, uncertainties, and other factors include, but are not limited to, the risks and uncertainties discussed under the heading "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2022, and other reports filed by the Company from time to time with the SEC. The Company undertakes no obligation to update any of the information included in this release, except as otherwise required bylaw.

For more information about PBI and this press release, please click on the following website link:
http://www.pressurebiosciences.com Please visit us on Facebook, LinkedIn, and Twitter.

PRESSURE BIOSCIENCES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)

 
  June 30, 2023     December 31, 2022  
ASSETS
           
CURRENT ASSETS
           
Cash and cash equivalents
  $ 24,975     $ 3,865  
Accounts receivable
    189,015       295,374  
Inventories, net of $913,019 and $982,973 reserve, respectively
    553,688       686,383  
Prepaid expenses and other current assets
    281,014       257,527  
Total current assets
    1,048,692       1,243,149  
Investment in equity securities
    83,883       63,638  
Property and equipment, net
    93,393       103,351  
Right of use asset operating leases
    175,750       282,095  
Intangible assets, net
    274,038       317,308  
TOTAL ASSETS
  $ 1,675,756     $ 2,009,541  
 
               
LIABILITIES AND STOCKHOLDERS' DEFICIT
               
CURRENT LIABILITIES
               
Accounts payable
  $ 912,230     $ 637,238  
Accrued employee compensation
    288,187       167,247  
Accrued professional fees and other
    2,560,269       2,497,762  
Accrued interest and dividends payable
    3,316,693       10,803,983  
Deferred revenue
    302,037       58,242  
Convertible debt, net of unamortized debt discounts of $1,596,850 and $455,517, respectively
    16,578,261       17,823,669  
Other debt, net of unamortized discounts of $171,103 and $0, respectively
    1,895,750       1,638,969  
Related party, net of unamortized debt discount of $898 and $7,915, respectively
    621,802       634,885  
Right of use operating lease liability
    65,640       142,171  
Total current liabilities
    26,540,869       34,404,166  
LONG TERM LIABILITIES
               
Long term debt
    163,175       150,000  
Right of use operating lease liability long term
    80,906       139,924  
Deferred revenue
    5,902       1,822  
TOTAL LIABILITIES
    26,790,852       34,695,912  
COMMITMENTS AND CONTINGENCIES (Note 4)
    -       -  
STOCKHOLDERS' DEFICIT
               
Series D, G, H, H2, J, K, AA, BB and CC Convertible Preferred Stock, $.01 par value (Note 6)
    95       1,098  
Preferred stock, value
    95       1,098  
Common stock, $.01 par value; 100,000,000 shares authorized; 19,585,905 and 13,682,910 shares issued and outstanding on June 30, 2023 and December 31, 2022, respectively
    195,859       136,829  
Warrants to acquire common stock
    35,684,321       31,995,762  
Additional paid-in capital
    91,235,400       69,006,145  
Accumulated deficit
    (152,230,771 )     (133,826,205 )
TOTAL STOCKHOLDERS' DEFICIT
    (25,115,096 )     (32,686,371 )
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT
  $ 1,675,756     $ 2,009,541  

 

PRESSURE BIOSCIENCES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)

 
  For the Three Months Ended
June 30,
    For the Six Months Ended
June 30,
 
 
  2023     2022     2023     2022  
Revenue:
                       
Products, services, other
  $ 511,803     $ 498,137     $ 1,252,403     $ 978,137  
Total revenue
    511,803       498,137       1,252,403       978,137  
 
                               
Costs and expenses:
                               
Cost of products and services
    256,599       302,141       615,227       616,504  
Research and development
    280,446       172,726       716,092       454,315  
Selling and marketing
    154,014       129,434       380,029       195,896  
General and administrative
    902,265       795,466       4,260,321       1,699,351  
Total operating costs
    1,593,324       1,399,767       5,971,669       2,966,066  
Operating loss
    (1,081,521 )     (901,630 )     (4,719,266 )     (1,987,929 )
 
                               
Other (expense) income:
                               
Interest expense, net
    (5,879,653 )     (1,835,589 )     (9,773,339 )     (4,414,750 )
Unrealized gain (loss) on investment in equity securities
    12,184       (18,510 )     20,245       628  
Gain (loss) on extinguishment of liabilities
    28,314       (165,277 )     687,591       (755,127 )
Other income (expense)
    (2,027 )     4,668       4,232       1,155  
Total other expense
    (5,841,182 )     (2,014,708 )     (9,061,271 )     (5,168,094 )
Net loss
    (6,922,703 )     (2,916,338 )     (13,780,537 )     (7,156,023 )
Deemed dividends on extension of warrants
    (3,626,950 )     -       (3,626,950 )     -  
Preferred stock dividends
    (565,272 )     (431,708 )     (997,079 )     (863,857 )
Net loss attributable to common shareholders
  $ (11,114,925 )   $ (3,348,046 )   $ (18,404,566 )   $ (8,019,880 )
Basic and diluted net loss per share attributable to common shareholders
  $ (0.57 )   $ (0.32 )   $ (1.04 )   $ (0.80 )
Weighted average common shares outstanding used in the basic and diluted net loss per share calculation
    19,471,057       10,462,520       17,629,225       10,029,068  

Investor Contacts:

Richard T. Schumacher, President and CEO (508) 230-1828 (T)
Jeffrey N. Peterson, Chairman (650) 812-8121 (T)

SOURCE: Pressure BioSciences, Inc.

 


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https://www.accesswire.com/775948/Pressure-BioSciences-Inc-Reports-Q2-2023-Financial-Results-Provides-Business-Update-and-Offers-Guidance-for-2nd-Half-2023

 

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