UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 8-K
 
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
 
Date of Report (Date of earliest event reported): May 8, 2018
 
CORINDUS VASCULAR ROBOTICS, INC.	
(Exact Name of Registrant as Specified in its Charter)
 
Delaware	 	001-37406	 	30-0687898	
(State or Other 
Jurisdiction of Incorporation)
	 	(Commission File Number)	 	(IRS Employer
Identification No.)	
 
309 Waverley Oaks Road, Suite 105
Waltham, MA 02452	
(Address of Principal Executive Office) (Zip Code)	
 
Registrant’s telephone number, including area code: (508) 653-3335
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2 below):
 
	☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)	
	☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)	
	☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))	
	☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))	
 
Indicate by check mark whether the registrant is an emerging growth Company as defined in Rule 405 of the Securities Act of 1933 (§ 230-405 of this chapter) or Rule 12v-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
 
Emerging growth company ☐
 
If an emerging growth company, individual by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

 

	Item 2.02.	Results of Operations and Financial Condition.	
 
On May 8, 2018, Corindus Vascular Robotics, Inc. (the “Company”) issued a press release announcing financial results for the first quarter ended March 31, 2018. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference.
 
The information in this Current Report on Form 8-K (including the exhibit) is furnished pursuant to Item 2.02 and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section. The information in Item 2.02 of this Current Report shall not be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, whether made before or after the date of this Current Report, regardless of any general incorporation language in the filing.
 
We do not have, and expressly disclaim, any obligation to release publicly any updates or any changes in our expectations or any change in events, conditions, or circumstances on which any forward-looking statement is based.

 
	Item 9.01.	Financial Statements and Exhibits.	
 
	(d)	Exhibits.	
  
Exhibit
Number	 	Description	 	
 	 	 	
99.1	 	Press Release of Corindus Vascular Robotics, Inc. dated May 8, 2018 announcing financial results for the first quarter ended March 31, 2018.	

 

SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.  
 
Date: May 8, 2018	CORINDUS VASCULAR ROBOTICS, INC.	
 	 	 	
 	By:	/s/ David W. Long	
 	 	David W. Long	
 	 	Chief Financial Officer	

 

 

 

 

Corindus Vascular Robotics, Inc. 8-K
 
Exhibit 99.1

 
Corindus Reports First Quarter 2018 Results
 
WALTHAM, MA – May 8, 2018 – Corindus Vascular Robotics, Inc. [NYSE American: CVRS], a leading developer of precision vascular robotics, today reported financial results for its first quarter ended March 31, 2018.
 
Recent Highlights and Accomplishments

	●	Realized revenue of $1.5 million in the first quarter 2018	

	●	Increased CorPath ® GRX installed base to 37 systems with the installation of two new systems and two upgrades in the first quarter	

	●	Shipped 353 cassettes in the first quarter	

	●	Strengthened balance sheet with $37 million in new capital	

	○	Completed private placement of Series A convertible preferred shares and warrants for gross proceeds of $25 million	

	○	Entered into a term loan and revolving line of credit agreement with  Silicon Valley Bank and Solar Capital providing access to a new four-year term loan for up to $23 million ($12 million funded at closing and remainder funded upon attainment of milestones), as well as a revolving line of credit for up to $3 million	

	●	Appointed Douglas Braunstein, a seasoned investor and advisor to public companies, to the board of directors. Mr. Braunstein is the founder and managing partner of Hudson Executive Capital. Previously, Mr. Braunstein served in various roles at JPMorgan Chase & Co., including as vice chairman and chief financial officer.	

“We were disappointed with our revenue this quarter as purchase timing uncertainties at the hospital administration level impacted our results,” stated Mark Toland, President and Chief Executive Officer. “However, despite these results, we remain confident that the value proposition of full robotics integration with CorPath GRX is resonating with the clinical community and gaining momentum. We are looking forward to continuing to pave the way for robotics in the cath lab.”
 
First Quarter 2018 Financial Results
 
Revenue for the first quarter of 2018 totaled $1.5 million compared to $0.8 million for the same period in the prior year. During the quarter, Corindus installed two new CorPath GRX Systems and two system upgrades, increasing the installed base of CorPath GRX to 37 systems. The company shipped 353 cassettes in the first quarter of 2018.
 
Gross loss totaled $0.4 million for the first quarter of 2018 compared to a gross loss of $1.1 million for the first quarter of 2017.
 
Selling, general and administrative expenses totaled $7.5 million for the first quarter of 2018, compared to $6.1 million for the first quarter of 2017. Research and development expenses totaled $2.1 million for the first quarter of 2018 compared to $2.6 million for the first quarter of 2017.
 
Net loss totaled $10.1 million for the first quarter of 2018, compared to a net loss of $9.9 million in the first quarter of 2017.
 
Cash and cash equivalents as of March 31, 2018 were $44.0 million.

 	

 	

Webcast and Conference Call Information
Management will host a conference call today beginning at 4:30 p.m. ET to discuss financial results and recent business developments. Investors interested in listening to the conference call may do so by dialing (833) 286-5802 for domestic callers, or (647) 689-4447 for international callers, using Conference ID: 9885549. To listen to a live webcast, please visit the "Investor Relations" section of the Company’s website at: www.corindus.com . Following the call, a replay will be available on the Investor Relations section of the Company’s website.
 
About Corindus Vascular Robotics, Inc. 
Corindus Vascular Robotics, Inc. is a global technology leader in robotic-assisted vascular interventions. The Company's CorPath ® System is the first FDA-cleared medical device to bring robotic precision to percutaneous coronary and percutaneous vascular procedures. During the procedure, the interventional cardiologist sits at a radiation-shielded workstation to advance guide catheters, stents, and guidewires with millimeter-by-millimeter precision. The workstation allows the physician greater control and the freedom from wearing heavy lead protective equipment that causes musculoskeletal injuries. With the CorPath System, Corindus Vascular Robotics brings robotic precision to interventional procedures to help optimize clinical outcomes and minimize the costs associated with complications of improper stent placement during manual procedures. Corindus stands behind its product with its unique $1,000 hospital credit "One Stent Program."  For additional information, visit www.corindus.com , and follow @CorindusInc.
 
Forward Looking Statements
Statements made in this release that are not statements of historical or current facts are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Corindus to be materially different from historical results or from any future results or projections expressed or implied by such forward-looking statements. Accordingly, readers should not place undue reliance on any forward looking statements. In addition to statements that explicitly describe such risks and uncertainties, readers are urged to consider statements in the conditional or future tenses or that includes terms such as "believes," "belief," "expects," "estimates," "intends," "anticipates" or "plans" to be uncertain and forward-looking. Forward-looking statements may include comments as to Corindus’ beliefs and expectations as to future events and trends affecting its business and are necessarily subject to uncertainties, many of which are outside Corindus’ control.
 
Examples of such statements include statements regarding or such as:
	●	The expansion of usage of Corindus’ technology and Corindus’ ability to bring robotics to the cath lab.	
 
Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are described in the sections titled "Risk Factors" in the Company's filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, as well as reports on Form 8-K, including, but not limited to the following: the rate of adoption of our CorPath System and the rate of use of our cassettes; risks associated with market acceptance, including pricing and reimbursement; our ability to enforce our intellectual property rights; our need for additional funds to support our operations; our ability to manage expenses and cash flow; factors relating to engineering, regulatory, manufacturing, sales and customer service challenges; potential safety and regulatory issues that could slow or suspend our sales; and the effect of credit, financial and economic conditions on capital spending by our potential customers. Forward looking statements speak only as of the date they are made. Corindus undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise that occur after that date. More information is available on Corindus' website at http://www.corindus.com .
 
# # #
Investor Relations Contact:
Lynn Pieper Lewis
415-937-5402
ir@corindus.com
 
Media Contact:
Kate Stanton
(508) 653-3335 ext. 200
kate.stanton@corindus.com  

 	

 	

CORINDUS VASCULAR ROBOTICS, INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share and per share amounts)

 	 	March 31,	 	December 31,	
 	 	2018	 	2017	
Assets	 	 	 	 	 	 	 	 	
Current Assets:	 	 	 	 	 	 	 	 	
Cash	 	$	43,951	 	 	$	17,458	 	
Accounts receivable	 	 	2,009	 	 	 	2,863	 	
Inventories, net	 	 	3,040	 	 	 	2,103	 	
Prepaid expenses and other current assets	 	 	722	 	 	 	539	 	
Total current assets	 	 	49,722	 	 	 	22,963	 	
 	 	 	 	 	 	 	 	 	
Property and equipment, net	 	 	1,526	 	 	 	1,452	 	
Deposits and other assets	 	 	402	 	 	 	151	 	
Total assets	 	$	51,650	 	 	$	24,566	 	
 	 	 	 	 	 	 	 	 	
Liabilities, preferred stock and stockholders' equity	 	 	 	 	 	 	 	 	
Current Liabilities:	 	 	 	 	 	 	 	 	
Accounts payable	 	$	2,482	 	 	$	2,416	 	
Accrued expenses	 	 	3,398	 	 	 	3,637	 	
Customer deposits	 	 	95	 	 	 	93	 	
Deferred revenue	 	 	334	 	 	 	339	 	
Current portion of capital lease obligation	 	 	51	 	 	 	49	 	
Total current liabilities	 	 	6,360	 	 	 	6,534	 	
 	 	 	 	 	 	 	 	 	
Long-term liabilities:	 	 	 	 	 	 	 	 	
Deferred revenue, net of current portion	 	 	244	 	 	 	342	 	
Long-term capital lease obligation, net of current portion	 	 	89	 	 	 	102	 	
Other liabilities	 	 	94	 	 	 	73	 	
Long-term debt, net of current portion	 	 	11,432	 	 	 	–	 	
Warrant liability	 	 	180	 	 	 	–	 	
Total long-term liabilities	 	 	12,039	 	 	 	517	 	
Total liabilities	 	 	18,399	 	 	 	7,051	 	
Total preferred stock	 	 	20,707	 	 	 	–	 	
Total stockholders' equity	 	 	12,544	 	 	 	17,515	 	
Total liabilities, preferred stock and stockholders' equity	 	$	51,650	 	 	$	24,566	 	

 	

 	

CORINDUS VASCULAR ROBOTICS, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND
COMPREHENSIVE LOSS
(In thousands, except share and per share amounts)

 	 	Three Months Ended	
 	 	March 31,	
 	 	2018	 	2017	
 	 	 	 	 	
Revenue	 	$	1,485	 	 	$	777	 	
Cost of revenue	 	 	1,929	 	 	 	1,892	 	
Gross loss	 	 	(444	)	 	 	(1,115	)	
 	 	 	 	 	 	 	 	 	
Operating expenses:	 	 	 	 	 	 	 	 	
Research and development	 	 	2,135	 	 	 	2,564	 	
Selling, general and administrative	 	 	7,455	 	 	 	6,072	 	
Total operating expense	 	 	9,590	 	 	 	8,636	 	
 	 	 	 	 	 	 	 	 	
Operating loss	 	 	(10,034	)	 	 	(9,751	)	
 	 	 	 	 	 	 	 	 	
Other income (expense)	 	 	 	 	 	 	 	 	
Warrant revaluation	 	 	30	 	 	 	— 	 	
Interest, net	 	 	(46	)	 	 	(134	)	
Total other expense, net	 	 	(16	)	 	 	(134	)	
 	 	 	 	 	 	 	 	 	
Net loss	 	$	(10,050	)	 	$	(9,885	)	
 	 	 	 	 	 	 	 	 	
Accretion of beneficial conversion feature of Series A preferred stock	 	 	(5,236	)	 	 	— 	 	
Accrued dividends on Series A preferred stock	 	 	(125	)	 	 	— 	 	
 	 	 	 	 	 	 	 	 	
Net loss attributable to common stockholders	 	$	(15,411	)	 	$	(9,885	)	

Net loss per share attributable to common stockholders--basic and diluted	 	$	(0.08	)	 	$	(0.07	)	
 	 	 	 	 	 	 	 	 	
Weighted-average common shares used in computing	 	 	 	 	 	 	 	 	
net loss per share attributable to common stockholders--basic and diluted	 	 	188,771,216	 	 	 	131,880,187	 	
 	 	 	 	 	 	 	 	 	
Other comprehensive loss:	 	 	 	 	 	 	 	 	
Net loss	 	$	(10,050	)	 	$	(9,885	)	
Comprehensive loss	 	$	(10,050	)	 	$	(9,885	)