SIGA Technologies, Inc. (SIGA) (NASDAQ: SIGA), a commercial-stage
pharmaceutical company, today reported financial results for the
three and twelve months ended December 31, 2023.
“In 2023, SIGA had approximately $131 million in
product revenues and approximately $84 million of pre-tax operating
income,” stated Diem Nguyen, Chief Executive Officer. “These
financial results represent a significant increase over the 2022
financial results; product revenues increased 51% over the
corresponding 2022 amount, and pre-tax operating income year
increased 96% over the corresponding 2022 amount. The overall
financial performance, and growth over prior-year financial
results, highlight the strength, resilience and growth potential of
SIGA’s business model and are a testament to SIGA’s long-standing
leadership within the public health sector. We look forward to
continuing our strong performance and sector leadership in
2024.”
Summary Financial Results
($ in millions, except per share amounts) |
Three Months Ended
December 31 |
|
Year EndedDecember
31 |
|
|
2023 |
|
|
2022 |
|
|
|
2023 |
|
|
2022 |
Product Sales(1) |
$115.7 |
|
$5.1 |
|
|
$130.7 |
|
$86.7 |
Total revenues |
$116.5 |
|
$11.4 |
|
|
$139.9 |
|
$110.8 |
Operating income (loss)(2) |
$91.7 |
|
|
($1.8 |
) |
|
$83.6 |
|
$42.7 |
Income (loss) before income taxes(2) |
$92.9 |
|
|
($1.2 |
) |
|
$87.8 |
|
$44.1 |
Net income (loss) |
$72.3 |
|
|
($0.8 |
) |
|
$68.1 |
|
$33.9 |
Diluted income (loss) per share |
$1.01 |
|
($.01) |
|
$0.95 |
|
$0.46 |
(1) Includes supportive services
related to product sales. (2) Operating
income (loss) excludes, and income (loss) before income taxes
includes, other income and adjustments to the fair value of the
Company’s outstanding warrant. Both line items exclude the impact
of income taxes.
2023 Key Activity:
- In 2023, SIGA had
$131 million of product sales, including: approximately $98 million
of fourth quarter product sales of oral TPOXX to the U.S. Strategic
National Stockpile (“SNS”); approximately $11 million of product
sales of oral TPOXX to the U.S. Department of Defense, of which
approximately $6 million was recognized in the fourth quarter; and
approximately $21 million of international sales, of which
approximately $12 million was recognized in the fourth quarter. In
the first two months of 2024, the Company delivered an additional
approximately $15 million of oral TPOXX to the SNS, substantially
completing the oral TPOXX order received in July 2023, as well as
delivered an additional approximately $7 million of oral TPOXX to
European countries and Canada.
- Highlighting the
continuing diversification of the Company’s revenue base, the
Company has received procurement orders for oral TPOXX from over 25
countries over the past two years. As an example of the
diversification trend, in October 2023, the Company reported the
creation by the European Commission’s DG HERA (Health Emergency
Preparedness and Response Authority) of a joint procurement
framework contract under which participating countries from the
European Union (EU) and the European Free Trade Association (EFTA)
can efficiently order oral TPOXX. Under this mechanism, $18 million
of oral TPOXX was ordered by 13 countries in the fourth quarter,
and revenues were recorded for deliveries on substantially of these
orders in the fourth quarter or the first two months of 2024.
Capital Management
Activity:
On March 12, 2024, SIGA’s Board of Directors
declared a special cash dividend of $0.60 per share, an increase of
$0.15 per share from last year’s special cash dividend. In 2023,
the Company paid a special cash dividend of $0.45 per share, as
well as repurchased approximately 1.7 million shares of its common
stock. Conference Call and Webcast
SIGA will host a conference call and webcast to
provide a business update today, Tuesday, March 12, 2024, at 4:30
P.M. ET.
Participants may access the call by dialing
1-888-886-7786 for domestic callers or 1-416-764-8658 for
international callers. A live webcast of the call will also be
available on the Company's website at www.siga.com under the
'Events & Presentations' tab in the Investor Relations section,
or by clicking here. Please log in approximately 5-10 minutes prior
to the scheduled start time.
A replay of the call will be available for two
weeks by dialing 1-844-512-2921 for domestic callers or
1-412-317-6671 for international callers and using Conference ID:
34411756. The archived webcast will be available in the Events and
Presentations section of the Company's website.
ABOUT SIGA TECHNOLOGIES, INC. and
TPOXX®
SIGA Technologies, Inc. is a commercial-stage
pharmaceutical company focused on the health security market.
Health security comprises countermeasures for biological, chemical,
radiological and nuclear attacks (biodefense market), vaccines and
therapies for emerging infectious diseases, and health
preparedness. Our lead product is TPOXX®, also known as tecovirimat
and ST-246®, an orally administered and IV formulation antiviral
drug for the treatment of human smallpox disease caused by variola
virus. TPOXX is a novel small-molecule drug and the US maintains a
supply of TPOXX under Project BioShield. The oral formulation of
TPOXX was approved by the FDA for the treatment of smallpox in
2018, and the IV formulation was approved for the same indication
in 2022. The full label is available by clicking here. Oral
tecovirimat received approval from the European Medicines Agency
(EMA) and the Medicines and Healthcare Products Regulatory Agency
(MHRA) in the United Kingdom in 2022. The EMA and UK approvals
include labeling for oral tecovirimat indicating its use for the
treatment of smallpox, monkeypox, cowpox, and vaccinia
complications following vaccination against smallpox. The full
label is available by clicking here. In September 2018, SIGA signed
a contract with the Biomedical Advanced Research and Development
Authority (BARDA), part of the office of the Administration for
Strategic Preparedness and Response within the U.S. Department of
Health and Human Services, for additional procurement and
development related to both oral and intravenous formulations of
TPOXX. For more information about SIGA, please visit
www.siga.com.
About Orthopoxviruses
Orthopoxvirus, belonging to the family of
poxvirus that infect humans, include smallpox, mpox, cowpox and
vaccinia. Smallpox, a highly contagious and fatal disease, presents
itself as a risk to global health security today given fears of its
release accidentally or intentionally as a bioweapon.
Mpox virus, similar to smallpox, causes intermittent human
infections, painful lesions, and possible case fatalities. Mpox
outbreaks have been observed recently in the US, Europe, and
Central & West Africa. Whether through natural occurrence or
potential bioweapon warfare, orthopox threatens global health.
Anti-virals and vaccines serve as possible solutions to address
these threats.
FORWARD-LOOKING STATEMENTS
This press release contains “forward-looking
statements” within the meaning of the Private Securities Litigation
Reform Act of 1995, as amended, including statements relating to
SIGA’s future business development including securing new contracts
and partnerships. The words or phrases “can be,” “expects,” “may
affect,” “may depend,” “believes,” “estimate,” “project” and
similar words and phrases are intended to identify such
forward-looking statements. Such forward-looking statements are
subject to various known and unknown risks and uncertainties, and
SIGA cautions you that any forward-looking information provided by
or on behalf of SIGA is not a guarantee of future performance.
SIGA’s actual results could differ materially from those
anticipated by such forward-looking statements due to a number of
factors, some of which are beyond SIGA’s control, including, but
not limited to, (i) the risk that BARDA elects, in its sole
discretion as permitted under the 19C BARDA Contract (the “BARDA
Contract”), not to exercise all, or any, of the remaining
unexercised options under those contracts, (ii) the risk that SIGA
may not complete performance under the BARDA Contract on
schedule or in accordance with contractual terms, (iii) the risk
that the BARDA Contract, U.S. Department of Defense contracts are
modified or canceled at the request or requirement of the U.S.
Government, (iv) the risk that the nascent international biodefense
market does not develop to a degree that allows SIGA to continue to
successfully market TPOXX internationally, (v) the risk that
potential products, including potential alternative uses or
formulations of TPOXX that appear promising to SIGA or its
collaborators, cannot be shown to be efficacious or safe in
subsequent pre-clinical or clinical trials, (vi) the risk that
target timing for deliveries of product to customers, and the
recognition of related revenues, are delayed or adversely impacted
by the actions, or inaction, of contract manufacturing
organizations, or other vendors, within the supply chain, or due to
coordination activities between the customer and supply chain
vendors, (vii) the risk that SIGA or its collaborators will not
obtain appropriate or necessary governmental approvals to market
these or other potential products or uses, (viii) the risk that
SIGA may not be able to secure or enforce sufficient legal rights
in its products, including intellectual property protection, (ix)
the risk that any challenge to SIGA’s patent and other property
rights, if adversely determined, could affect SIGA’s business and,
even if determined favorably, could be costly, (x) the risk that
regulatory requirements applicable to SIGA’s products may result in
the need for further or additional testing or documentation that
will delay or prevent SIGA from seeking or obtaining needed
approvals to market these products, (xi) the risk that the volatile
and competitive nature of the biotechnology industry may hamper
SIGA’s efforts to develop or market its products, (xii) the risk
that changes in domestic or foreign economic and market conditions
may affect SIGA’s ability to advance its research or may affect its
products adversely, (xiii) the effect of federal, state, and
foreign regulation, including drug regulation and international
trade regulation, on SIGA’s businesses, (xiv) the risk of
disruptions to SIGA’s supply chain for the manufacture of
TPOXX®, causing delays in SIGA’s research and development
activities, causing delays or the re-allocation of funding in
connection with SIGA’s government contracts, or diverting the
attention of government staff overseeing SIGA’s government
contracts, (xv) risks associated with actions or
uncertainties surrounding the debt ceiling, (xvi) the risk
that the U.S. or foreign governments' responses (including
inaction) to national or global economic conditions or infectious
diseases, such as COVID-19, are ineffective and may adversely
affect SIGA’s business, and (xvii) risks associated with responding
to the current mpox outbreak, as well as the risks and
uncertainties included in Item 1A “Risk Factors” of our Annual
Report on Form 10-K for the year ended December 31,
2023 and SIGA's subsequent filings with the Securities and
Exchange Commission. SIGA urges investors and security holders to
read those documents free of charge at the SEC's website at
http://www.sec.gov. All such forward-looking statements are current
only as of the date on which such statements were made. SIGA does
not undertake any obligation to update publicly any forward-looking
statement to reflect events or circumstances after the date on
which any such statement is made or to reflect the occurrence of
unanticipated events.
The information contained in this press release
does not necessarily reflect the position or the policy of the
Government and no official endorsement should be inferred.
Contacts:
Investors |
Media |
Laine Yonker, Edison Grouplyonker@edisongroup.com |
Holly Stevens, Berry & Companyhstevens@berrypr.com |
|
|
SIGA TECHNOLOGIES, INC.CONSOLIDATED
BALANCE SHEETSAs of |
|
|
|
|
|
December 31, 2023 |
|
|
December 31, 2022 |
|
ASSETS |
|
|
|
|
|
|
|
|
Current assets |
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
150,145,844 |
|
|
$ |
98,790,622 |
|
Accounts receivable |
|
|
21,130,951 |
|
|
|
45,406,960 |
|
Inventory |
|
|
64,218,337 |
|
|
|
39,273,090 |
|
Prepaid expenses and other current assets |
|
|
3,496,028 |
|
|
|
2,315,672 |
|
Total current assets |
|
|
238,991,160 |
|
|
|
185,786,344 |
|
|
|
|
|
|
|
|
|
|
Property, plant and equipment, net |
|
|
1,331,708 |
|
|
|
1,848,314 |
|
Deferred tax asset, net |
|
|
11,048,118 |
|
|
|
6,250,385 |
|
Goodwill |
|
|
898,334 |
|
|
|
898,334 |
|
Other assets |
|
|
2,083,535 |
|
|
|
252,546 |
|
Total assets |
|
$ |
254,352,855 |
|
|
$ |
195,035,923 |
|
LIABILITIES AND STOCKHOLDERS' EQUITY |
|
|
|
|
|
|
|
|
Current liabilities |
|
|
|
|
|
|
|
|
Accounts payable |
|
$ |
1,456,316 |
|
|
$ |
3,355,268 |
|
Accrued expenses and other current liabilities |
|
|
10,181,810 |
|
|
|
6,304,061 |
|
Deferred IV TPOXX® revenue |
|
|
20,788,720 |
|
|
|
10,548,720 |
|
Income tax payable |
|
|
21,690,899 |
|
|
|
1,309,672 |
|
Total current liabilities |
|
|
54,117,745 |
|
|
|
21,517,721 |
|
Other liabilities |
|
|
3,376,203 |
|
|
|
3,358,160 |
|
Total liabilities |
|
|
57,493,948 |
|
|
|
24,875,881 |
|
Commitments and contingencies |
|
|
|
|
|
|
|
|
Stockholders' equity |
|
|
|
|
|
|
|
|
Common stock ($.0001 par value, 600,000,000 shares authorized,
71,091,616 and 72,675,190 issued and outstanding at December 31,
2023 and December 31, 2022, respectively) |
|
|
7,109 |
|
|
|
7,268 |
|
Additional paid-in capital |
|
|
235,795,420 |
|
|
|
233,957,767 |
|
Accumulated deficit |
|
|
(38,943,622 |
) |
|
|
(63,804,993 |
) |
Total stockholders' equity |
|
|
196,858,907 |
|
|
|
170,160,042 |
|
Total liabilities and stockholders' equity |
|
$ |
254,352,855 |
|
|
$ |
195,035,923 |
|
|
|
SIGA TECHNOLOGIES, INC.CONSOLIDATED
STATEMENTS OF OPERATIONS AND COMPREHENSIVE
INCOMEFor the Years Ended December
31 |
|
|
|
|
|
2023 |
|
|
2022 |
|
|
2021 |
|
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
Product sales and supportive services |
|
$ |
130,668,209 |
|
|
$ |
86,661,583 |
|
|
$ |
126,802,536 |
|
Research and development |
|
|
9,249,011 |
|
|
|
24,114,027 |
|
|
|
6,867,918 |
|
Total revenues |
|
|
139,917,220 |
|
|
|
110,775,610 |
|
|
|
133,670,454 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses |
|
|
|
|
|
|
|
|
|
|
|
|
Cost of sales and supportive services |
|
|
17,825,090 |
|
|
|
10,432,561 |
|
|
|
16,601,880 |
|
Selling, general and administrative |
|
|
22,043,023 |
|
|
|
35,117,241 |
|
|
|
18,033,581 |
|
Research and development |
|
|
16,427,942 |
|
|
|
22,525,642 |
|
|
|
9,942,194 |
|
Total operating expenses |
|
|
56,296,055 |
|
|
|
68,075,444 |
|
|
|
44,577,655 |
|
Operating income |
|
|
83,621,165 |
|
|
|
42,700,166 |
|
|
|
89,092,799 |
|
Gain from change in fair value of warrant liability |
|
|
— |
|
|
|
400,663 |
|
|
|
117,770 |
|
Other income, net |
|
|
4,155,508 |
|
|
|
1,031,903 |
|
|
|
101,172 |
|
Income before income taxes |
|
|
87,776,673 |
|
|
|
44,132,732 |
|
|
|
89,311,741 |
|
Provision for income taxes |
|
|
(19,707,847 |
) |
|
|
(10,227,926 |
) |
|
|
(19,860,975 |
) |
Net and comprehensive income |
|
$ |
68,068,826 |
|
|
$ |
33,904,806 |
|
|
$ |
69,450,766 |
|
Basic earnings per share |
|
$ |
0.95 |
|
|
$ |
0.46 |
|
|
$ |
0.92 |
|
Diluted earnings per share |
|
$ |
0.95 |
|
|
$ |
0.46 |
|
|
$ |
0.91 |
|
Weighted average shares outstanding: basic |
|
|
71,362,209 |
|
|
|
72,929,550 |
|
|
|
75,322,194 |
|
Weighted average shares outstanding: diluted |
|
|
71,679,270 |
|
|
|
73,546,501 |
|
|
|
76,402,716 |
|
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