HemaCare Reports Strong First Half 2017 Results

LOS ANGELES--()--HemaCare Corporation (OTCBB:HEMA) today reported financial results for the six months ended June 30, 2017, showing continued robust gains in revenue, gross profit, and net income compared to the same period of 2016. Revenue from operations grew 50% to $8.7 million, while gross profit of $4.5 million (52% of sales) increased by 53% compared to the same period in 2016 (51% of sales). Net income increased to $552,000, versus a prior-year loss. For complete unaudited June 30, 2017 Financial Statements, please click here.

Pete van der Wal, HemaCare’s President and Chief Executive, stated, “HemaCare continues to strengthen our leadership position as a critical supplier to customers performing cell therapy research, process development, and commercialization. Our portfolio of products and services includes leukapheresis patient collections for autologous cell therapy processing, which leads to the use of patients’ own cells to fight disease. Additionally, we provide superior leukapheresis starting material from a highly characterized, recallable donor pool, which is critical when manufacturing off-the-shelf allogeneic therapy products.”

He further stated, “We have secured long-term access to a state-of-the-art facility allowing HemaCare to optimize process flow, utilize flexible production environments to serve our customers’ increasingly complex requirements, and provide sufficient scalability to support the increasing demand of our global customer base.”

 
HEMACARE CORPORATION
BALANCE SHEETS
JUNE 30, 2017 AND DECEMBER 31, 2016
 

ASSETS

   
(unaudited)
June 30, 2017 December 31, 2016
CURRENT ASSETS
Cash and cash equivalents $ 4,803,000 $ 2,271,000
Accounts receivable, net 2,774,000 2,269,000
Product inventories and supplies, net 1,937,000 1,935,000
Prepaid expenses and other current assets 181,000 158,000
Current portion of restricted cash   119,000     119,000  
 
TOTAL CURRENT ASSETS   9,814,000     6,752,000  
 
OTHER ASSETS
Property and equipment, net 1,217,000 1,038,000
Restricted cash, net of current portion 309,000 309,000
Other assets   70,000     64,000  
 
TOTAL NONCURRENT ASSETS   1,596,000     1,411,000  
 
TOTAL ASSETS $ 11,410,000   $ 8,163,000  
 

LIABILITIES AND SHAREHOLDERS' EQUITY

 
CURRENT LIABILITIES
Accounts payable $ 579,000 $ 437,000
Accrued payroll and payroll taxes 1,081,000 1,252,000
Other accrued expenses 183,000 103,000
Current portion of deferred rent 16,000 77,000
Current portion of capital lease obligations   96,000     47,000  
 
TOTAL CURRENT LIABILITIES   1,955,000     1,916,000  
 
LONG-TERM LIABILITIES
Deferred rent, net of current portion 4,000 7,000
Long-term portion of capital lease obligation   143,000     66,000  
 
TOTAL LONG- TERM LIABILITIES   147,000     73,000  
 
TOTAL LIABILITIES   2,102,000     1,989,000  
 
SHAREHOLDERS' EQUITY

Common stock, no par, 40,000,000 shares authorized, 11,612,759 and 10,698,312 shares issued and outstanding

19,640,000 17,058,000
Accumulated deficit   (10,332,000 )   (10,884,000 )
 
TOTAL SHAREHOLDERS' EQUITY   9,308,000     6,174,000  
 
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 11,410,000   $ 8,163,000  
 
 
HEMACARE CORPORATION
STATEMENTS OF OPERATIONS (unaudited)
FOR THE SIX MONTHS ENDED JUNE 30, 2017 AND 2016
 
 
  Six months ended   Six months ended
June 30, 2017 June 30, 2016
 
REVENUE $ 8,657,000 $ 5,779,000
 
COST OF REVENUE  

4,160,000

    2,849,000  
 
GROSS PROFIT 4,497,000 2,930,000
 
GENERAL AND ADMINISTRATIVE EXPENSES 3,917,000 2,999,000
 
OTHER INCOME (EXPENSE)   (6,000 )   (4,000 )
 
INCOME (LOSS) FROM OPERATIONS BEFORE INCOME TAXES 574,000 (73,000 )
 
Provision for income taxes   (22,000 )   (6,000 )
 
NET INCOME (LOSS) $ 552,000 $ (79,000 )
 

About HemaCare

HemaCare Corporation is a provider of human blood products and services in support of the rapidly expanding field of immune therapy, including stem cell therapy. Our expertise has evolved through 39 years in the business of blood collection, processing and storage. In addition, we have established a robust donor recruitment and management system which supports an extensive registry of well-characterized repeat donors. HemaCare’s controlled procedures ensure a readily available inventory of high-quality, consistent and selectable primary human cells and biological products for advanced biomedical research. Our customers are engaged in basic research and development of clinical therapies that are designed to manipulate the immune system for treatment and cure of cancer, degenerative diseases and immune and genetic disorders. HemaCare’s products and services address several key markets, including immune therapy research, cell manufacturing for clinical therapy, and clinical laboratory instrument development. We specialize in custom cell collections for customers who may require donors with specific attributes (phenotypic or disease state, for example), or sub-sets of immune cells that can be selected in our laboratory using the latest technology. HemaCare’s products and services address all stages of cell therapy development, from basic biological research in academic institutions to pharmaceutical cell development in large drug companies.

Contacts

HemaCare Corporation
Rochelle Martel
818-728-8868
rmartel@hemacare.com

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Contacts

HemaCare Corporation
Rochelle Martel
818-728-8868
rmartel@hemacare.com