Venus Concept Inc. reported developments around its medical aesthetic technology business, including device platforms for minimally invasive and non-invasive treatments and hair restoration systems such as NeoGraft and ARTAS iX. Recurring company news covered financial results, product portfolio updates, FDA 510(k) clearance for the Venus NOVA multi-application platform, and capital-structure actions involving debt exchanges and financing arrangements.
The company also announced a completed short-form merger that consolidated ownership of its common stock under funds managed by Madryn Asset Management, after prior steps to voluntarily delist from Nasdaq and deregister its common stock with the SEC.
Venus Concept (NASDAQ: VERO) will announce its Q3 fiscal 2020 financial results on November 16, 2020, before market opening. The management will host a conference call at 8:00 a.m. ET on the same day to discuss the results, followed by a Q&A session. Those interested can join via phone or listen through a live webcast available on their investor relations website. Venus Concept operates in over 60 countries, offering a diverse portfolio of medical aesthetic technologies and hair restoration systems, focusing on a subscription-based sales strategy.
Venus Concept (NASDAQ: VERO) reported Q2 2020 results with a 39% decline in revenue to $17.0 million, impacted by COVID-19. The company experienced a GAAP net loss of $13.2 million, significantly higher than the previous year's loss of $5.9 million. Operating loss rose to $9.2 million from $3.9 million in 2019. Cost savings from restructuring efforts reached $7.0 million, with a full-year target of $20.0 million. Notably, the company received FDA 510(k) clearance for the Venus Epileve device, enhancing its product offerings. Cash and equivalents stood at $14.0 million as of June 30, 2020.
Venus Concept (NASDAQ: VERO) reported preliminary revenue results for Q2 2020, with expected GAAP revenue between $16.4 million and $16.9 million, reflecting a 39% to 41% decline from $27.8 million in Q2 2019 due to COVID-19 impacts. CEO Domenic Serafino noted improvements as practices reopened, and highlighted strong growth from new product launches. The company projects $38 million in cost savings from ongoing restructuring initiatives, alongside a $31 million stock purchase agreement with Lincoln Park Capital to strengthen its financial position.
Venus Concept (NASDAQ: VERO) announced FDA 510(k) clearance for its Venus Viva MD, a non-invasive skin rejuvenation device. This new product enhances the company's offerings beyond the existing Venus Viva and Venus Versa. The Venus Viva MD features a new 80 pin tip design, increasing energy output for better treatment outcomes while maintaining safety. The device is aimed at dermatologists and plastic surgeons and is expected to drive long-term growth in the $3.4 billion global aesthetic market. A limited launch is anticipated by late Q3 2020.
Venus Concept (NASDAQ: VERO) announced its inclusion in the Russell 2000, Russell 3000, and Russell Microcap Indexes, effective after the US market close on June 26, 2020. This membership is significant as the Russell indexes are benchmarks for approximately $9 trillion in assets managed by investment professionals. CEO Domenic Serafino expressed optimism about the company's long-term prospects in the minimally invasive aesthetics and hair restoration market. The company's diverse product portfolio includes a range of aesthetic and hair restoration technologies, with operations in over 60 countries.
Venus Concept (NASDAQ: VERO) will release its second quarter fiscal 2020 financial results on August 13, 2020, after market close. A conference call is scheduled for 5:00 p.m. ET that day to discuss the results, with a Q&A session included. Participants can join by dialing 877-407-2991 (international: 201-389-0925) and using access code 13706095. The call will also be available via a live webcast on the company’s investor relations website, and a replay will be accessible for two weeks.
Venus Concept (VERO) has entered a common stock purchase agreement with Lincoln Park Capital for up to $31 million. An initial purchase of $1 million has been made. The company can sell shares over 24 months at prevailing market prices. This agreement aims to enhance Venus Concept's balance sheet, with expected cost savings of approximately $38 million in 2020 and 2021 from recent restructuring and merger synergies. Proceeds will support working capital and corporate purposes. The agreement includes no short selling from Lincoln Park and can be terminated by Venus Concept at any time.
Venus Concept (NASDAQ: VERO) announced FDA 510(k) clearance for its new hair removal device, Venus Epileve, designed for permanent hair reduction. This product expands the company's offerings in the U.S. aesthetics market, building upon its previously launched Venus Velocity. The Epileve features a versatile, portable design and is suitable for all skin types, including tanned skin. Its Internet of Things (IoT) integration aims to enhance treatment efficiency. The company anticipates the U.S. launch will bolster growth in the $1.4 billion global hair removal market.