10-Q 1 a06-15440_110q.htm QUARTERLY REPORT PURSUANT TO SECTIONS 13 OR 15(D)

 

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

x

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

 

 

For the quarterly period ended June 30, 2006

 

 

o

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from                  to

 

 

Commission File Number 000-21326

Anika Therapeutics, Inc.

(Exact Name of Registrant as Specified in Its Charter)

Massachusetts

 

04-3145961

(State or Other Jurisdiction of

 

(I.R.S. Employer Identification No.)

Incorporation or Organization)

 

 

160 New Boston Street, Woburn, Massachusetts

 

01801

(Address of Principal Executive Offices)

 

(Zip Code)

 

Registrant’s Telephone Number, Including Area Code: (781) 932-6616

Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report.

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15 (d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the last 90 days. Yes x    No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See definitions of “accelerated filer and large accelerated filer” in Rule 12b-2 of the Securities Exchange Act. (Check One):

o Large accelerated filer     

 

x Accelerated filer

 

o Non-accelerated filer

 

Indicate by checkmark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes o  No x

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the last practicable date.               At July 24, 2006 there were 10,626,784 outstanding shares of Common Stock, par value $.01 per share.

 



 

PART I: FINANCIAL INFORMATION

ITEM 1: FINANCIAL STATEMENTS

Anika Therapeutics, Inc. and Subsidiary
Consolidated Balance Sheets
(unaudited)

 

 

June 30,

 

December 31,

 

 

 

2006

 

2005

 

ASSETS

 

 

 

 

 

Current assets:

 

 

 

 

 

Cash and cash equivalents

 

$

46,127,054

 

$

44,746,656

 

Accounts receivable, net of reserves of $49,724 at June 30, 2006 and $22,558 at December 31, 2005

 

2,767,691

 

2,066,240

 

Inventories

 

4,435,092

 

3,270,678

 

Current portion deferred income taxes

 

1,301,085

 

1,301,085

 

Prepaid expenses and other receivable

 

458,469

 

1,025,481

 

Total current assets

 

55,089,391

 

52,410,140

 

Property and equipment, at cost

 

12,981,495

 

11,949,439

 

Less: accumulated depreciation

 

(10,056,533

)

(9,853,177

)

 

 

2,924,962

 

2,096,262

 

Long-term deposits

 

143,060

 

143,060

 

Deferred income taxes

 

8,093,040

 

7,968,481

 

Total Assets

 

$

66,250,453

 

$

62,617,943

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

 

 

 

 

 

Current liabilities:

 

 

 

 

 

Accounts payable

 

$

1,042,225

 

$

1,277,782

 

Accrued expenses

 

1,583,374

 

1,718,916

 

Deferred revenue

 

2,890,702

 

2,830,046

 

Income taxes payable

 

574,513

 

—

 

Total current liabilities

 

6,090,814

 

5,826,744

 

Other long-term liabilities

 

62,313

 

—

 

Long-term deferred revenue

 

18,449,722

 

18,900,000

 

Commitments and contingencies (note 7)

 

 

 

 

 

Stockholders’ equity

 

 

 

 

 

Preferred stock, $.01 par value; 1,250,000 shares authorized, no shares issued and outstanding at June 30, 2006 and December 31, 2005

 

—

 

—

 

Common stock, $.01 par value; 30,000,000 shares authorized, 10,625,584 shares issued and outstanding at June 30, 2006, 10,500,393 shares issued and outstanding at December 31, 2005 

 

106,256

 

105,004

 

Additional paid-in-capital

 

35,795,219

 

34,272,881

 

Retained earnings

 

5,746,129

 

3,513,314

 

Total stockholders’ equity

 

41,647,604

 

37,891,199

 

Total Liabilities and Stockholders’ Equity

 

$

66,250,453

 

$

62,617,943

 

 

The accompanying notes are an integral part of these unaudited consolidated financial statements.

2



 

Anika Therapeutics, Inc. and Subsidiary
Consolidated Statements of Operations
(unaudited)

<

 

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

 

2006

 

2005

 

2006

 

2005

 

Product revenue

 

$

7,115,484

 

$

4,084,132

 

$

13,381,318

 

$

9,761,069

 

Licensing, milestone and contract revenue

 

682,557

 

2,935,293

 

1,369,684

 

4,549,643

 

Total revenue

 

7,798,041

 

7,019,425

 

14,751,002

 

14,310,712

 

 

 

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

 

 

 

Cost of product revenue

 

2,890,904

 

2,117,208

 

5,938,722

 

5,111,172

 

Research & development

 

1,129,877

 

1,460,170

 

2,206,669

 

2,659,379

 

Selling, general & administrative

 

1,976,600

 

1,475,164

 

3,765,599

 

2,767,239

 

Total operating expenses

 

5,997,381

 

5,052,542

 

11,910,990

 

10,537,790

 

Income from operations

 

1,800,660

 

1,966,883

 

2,840,012

 

3,772,922

 

Interest income

 

489,772

 

274,084

 

950,846

 

486,293

 

Income before income taxes

 

2,290,432

 

2,240,967

 

3,790,858

 

4,259,215

 

Provision for income taxes

 

938,367

 

904,478

 

1,558,043

 

1,720,486

 

Net income

 

$

1,352,065

 

$

1,336,489

 

$

2,232,815

 

$

2,538,729

 

Basic net income per share:

 

 

 

 

 

 

 

 

 

Net income

 

$

0.13

 

$

0.13

 

$

0.21

 

$

0.25

 

Basic weighted average common shares outstanding

 

10,601,336

 

10,391,538

 

10,564,902

 

10,330,883

 

Diluted net income per share:

 

 

 

 

 

 

 

 

 

Net income

 

$

0.12

 

$

0.12

 

$