Exhibit 99.01
ABIOMED Announces Record Results; Q4 Revenue Up 28% to $13.8 Million;
Record VAD Shipments
DANVERS, Mass.--(BUSINESS WIRE)--May 8, 2006--ABIOMED, Inc.
(NASDAQ: ABMD) today announced financial results for its fiscal fourth
quarter ended March 31, 2006. Revenue for the fiscal fourth quarter of
2006 was $13.8 million, up 28% compared to revenue of $10.8 million in
the same period of fiscal 2005. Revenue for the fiscal year 2006
reached $43.7 million, up 14% over fiscal year 2005 and up 70% over
the last two years.
Recent financial and operating highlights include:
-- Strong U.S. growth with a 28% increase in total revenue for
the quarter and 134% growth in AB5000(TM) Consoles revenue.
-- Total worldwide revenue for consoles (IMPELLA and AB5000) for
the fourth quarter of fiscal 2006 increased 104%.
-- Record number of patients supported on AB5000(TM) Ventricles
during the quarter.
-- Record number of Ventricular Assist Devices (VADs) shipped
(IMPELLA, AB5000 and BVS 5000), representing a 17% increase in
revenue for disposables compared to the fourth quarter of
fiscal 2005.
-- Increase in global distribution with the addition of four
sales and clinical representatives. Sales and clinical
headcount at the end of fiscal 2006 was 45, up approximately
70% since the end of fiscal 2005.
-- The fourth quarter reported loss was $3.7 million, or $.14 per
share and the full year fiscal 2006 reported loss, including
an in-process R&D charge of $13.3 million related to the
IMPELLA acquisition, was $29.5 million.
"We are pleased with our progress broadening our global reach and
the continued momentum and market acceptance of our new products such
as the AB5000 and IMPELLA," said Michael R. Minogue, Chairman, CEO and
President of ABIOMED. "Our strategy and investments in fiscal 2007 are
focused around continuing to expand our global distribution and the
introduction of five new products into the United States to establish
heart recovery as the standard of care for all acute events."
ABIOMED forecasts fiscal 2007 revenue to be in the range of $49
million to $52 million, representing an increase of 12% to 19% over
fiscal 2006, depending on the timing of new product trials and
introductions. Based on our current strategy to broaden our portfolio
and distribution, ABIOMED expects a loss in fiscal 2007 of $13 million
to $16 million, excluding the effects of stock option expense, due to:
continued investments in R&D of $16 million to $20 million and
expansion of global distribution with a goal of two to four new hires
per quarter. The expected fiscal 2007 effect of expensing stock
options is approximately $4 million; therefore the expected GAAP loss
for fiscal 2007 is estimated at $17 million to $20 million.
Financial information for the fourth quarter and full year of
fiscal 2006 is attached to this press release.
CONFERENCE CALL AND WEBCAST INFORMATION
ABIOMED will host a conference call to discuss the fourth quarter
results on May 8, 2006, at 4:45 p.m. ET. Michael R. Minogue, Chairman,
Chief Executive Officer and President, and Daniel J. Sutherby, Chief
Financial Officer, will host the conference call. To participate in
this call within the U.S. and Canada, dial (800) 289-0726;
international callers should dial (913) 981-5545. A replay of the call
will be available three hours after the call and will be available for
five days. To access the replay within the U.S. and Canada, dial
888-203-1112; international callers should dial (719) 457-0820. The
passcode number for the replay is: 3040162. A webcast of the call,
which will be live and then archived for two weeks, will also be
available at www.abiomed.com.
ABOUT ABIOMED
Based in Danvers, Massachusetts, ABIOMED, Inc. is a leading
developer, manufacturer and marketer of medical products designed to
assist or replace the pumping function of the failing heart. ABIOMED
currently manufactures and sells the AB5000(TM) Circulatory Support
System and the BVS(R) 5000 Biventricular Support System for the
temporary support of all patients with failing but potentially
recoverable hearts. In Europe, ABIOMED offers the IMPELLA(R)
RECOVER(R) minimally invasive cardiovascular support systems under CE
Mark approval. The IMPELLA products are not currently available for
sale in the United States. The Company's AbioCor(R) Implantable
Replacement Heart was the subject of an initial clinical trial under
an Investigational Device Exemption from the United States Food and
Drug Administration. The AbioCor has not been approved for commercial
distribution, and is not available for use or sale outside of the
initial clinical trial. For additional information please visit:
www.abiomed.com.
FORWARD-LOOKING STATEMENTS
This Release contains forward-looking statements, including
statements regarding development of ABIOMED's existing and new
products, the Company's progress toward commercial growth, and future
opportunities. The Company's actual results may differ materially from
those anticipated in these forward-looking statements based upon a
number of factors, including uncertainties associated with
development, testing and related regulatory approvals, anticipated
future losses, complex manufacturing, high quality requirements,
dependence on limited sources of supply, competition, technological
change, government regulation, the actual financial effect of
expensing stock options in the first quarter of fiscal 2007,
future capital needs and uncertainty of additional financing and other
risks and challenges detailed in the Company's filings with the
Securities and Exchange Commission, including the Annual Report filed
on Form 10-K. Readers are cautioned not to place undue reliance on any
forward-looking statements, which speak only as of the date of this
Release. The Company undertakes no obligation to publicly release the
results of any revisions to these forward-looking statements that may
be made to reflect events or circumstances that occur after the date
of this Release or to reflect the occurrence of unanticipated events.
ABIOMED, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(in thousands, except per share and share data)
Three Months Ended Fiscal Year Ended
----------------------- ----------------------
March 31, March 31, March 31, March 31,
2006 2005 2006 2005
----------- ----------- ---------- -----------
Revenues:
Products $13,717 $10,652 $43,322 $37,945
Funded research and
development 79 120 348 271
----------- ----------- ---------- -----------
13,796 10,772 43,670 38,216
----------- ----------- ---------- -----------
Costs and expenses:
Cost of product
revenues 3,834 2,723 11,685 9,366
Research and
development 4,221 3,368 16,739 13,350
Selling, general and
administrative 9,367 5,104 30,923 18,566
Expensed in-process
research and
development - - 13,306 -
Amortization of
intangibles 352 33 1,308 187
----------- ----------- ---------- -----------
17,774 11,228 73,961 41,469
----------- ----------- ---------- -----------
Loss from operations (3,978) (456) (30,291) (3,253)
Other income, net:
Investment income 318 257 1,194 801
Foreign exchange gain
(loss) 52 (29) (116) 91
Other 29 7 120 19
----------- ----------- ---------- -----------
399 235 1,198 911
----------- ----------- ---------- -----------
Tax provision 103 - 356 -
----------- ----------- ---------- -----------
Net loss $(3,682) $(221) $(29,449) $(2,342)
=========== =========== ========== ===========
Net loss per share:
Basic $(0.14) $(0.01) $(1.15) $(0.11)
Diluted $(0.14) $(0.01) $(1.15) $(0.11)
Weighted average shares
outstanding:
Basic 26,382,046 22,055,147 25,649,038 21,844,759
Diluted 26,382,046 22,055,147 25,649,038 21,844,759
CONTACT: ABIOMED, INC.
Liza Heapes, 978-646-1668
Media Relations
mediarelations@abiomed.com
or
ABIOMED, INC.
Daniel Sutherby, 978-646-1812
Chief Financial Officer
ir@abiomed.com