|Over a month ago|
ProPhase Labs reports Q2 EPS 48c vs. (9c) last year » 08:0908/1108/11/22
Reports Q2 revenue…
Reports Q2 revenue $29.1M, consensus $20.01M.Ted Karkus, ProPhase Lab's Chief Executive Officer, commented, "Our entire team continues to generate phenomenal results. We reported $7.4 million in net income, and our adjusted EBITDA was even greater. While COVID-19 incidence declined sequentially in Q2 2022, our testing levels still significantly increased year-over-year for the six months ended June 30, 2022, due to our extensive expansion and diversification of our customer base over the past year, which has included independent pharmacies, schools, concierge services in multiple states, municipal contract wins, etc. Our strong Q2 2022 financial results continue to reflect this growth in customers combined with more efficient operations. We expect Q3 2022 to continue to produce strong year-over-year results as schools reopen and as the incidence of COVID-19 is now trending higher once again. We also expect to see additional waves of COVID-19, and note that the BA4 and BA5 variants are now spreading at an accelerated rate in the U.S. For these reasons, we believe that demand for testing will continue for the foreseeable future. A significant portion of our business in Q4 2021 and Q1 2022 was reimbursed by Health Resources & Services Administration, which as of March 22, 2022 stopped accepting claims for COVID-19 testing and treatment due to lack of sufficient funding. However, even without HRSA funding, we have seen continued profitability and strong year-over-year results, thanks in large part to our team's ability to pivot quickly and develop a highly effective strategy for testing without HRSA, which includes proprietary IT for building our business. We are planning to expand our high complexity molecular diagnostics lab to include clinical testing and expand our menu to offer traditional testing. Our offerings can also be tailored to the specific needs of research organizations and physicians. In parallel, we plan to build a genetics laboratory outfitted with industry leading Next Generation Sequencing to perform Whole Genome Sequencing and an array of genetic diagnostic test offerings, both clinical and for research. We believe this expansion will open doors to academic institutions who have a growing demand to conduct genetic research which is at the heart of personal precision medicine. This is in addition to our current goals to leverage our Food, Drug and Mass distribution and infrastructure to significantly grow direct to consumer sales of genetic tests and ultimately, a large variety of diagnostic tests. We recently formed ProPhase BioPharma to license and develop novel drugs with significant potential. We obtained exclusive rights worldwide to develop and commercialize Equivir and Equivir G, broad based anti-virals. We also licensed at minimal cost the patented Linebacker portfolio. The initial goal is to develop LB-1 as an anti-cancer agent to be used as a co-therapy that targets PIM kinase receptors, a growth factor expressed in cancer. Pre-clinical studies have shown promising results. Our estimated budget for these cancer drugs is under $5 million over the next 12-18 months for animal studies and an initial human clinical study. This budget is less than 10% of our current working capital, while all of our other subsidiaries combined continue to grow year-over-year and generate significant profits. With positive initial clinical results, the valuation of this wholly-owned subsidiary could be quite significant." As of June 30, 2022, we had working capital of over $50 million. We believe that we have ample cash and working capital for all of our planned expansion initiatives for the foreseeable future as well as for our recently announced stock buyback program."
ProPhase Labs provides additional information on ProPhase BioPharma » 08:1307/2607/26/22
Ted Karkus, ProPhase's CEO, commented, "Our new stock repurchase program is a testament to our significant execution over the past two years and the Board's confidence in our multi-faceted strategy to continue to build value for our shareholders long-term. Our four operating divisions, ProPhase Diagnostics, ProPhase Precision Medicine, Pharmaloz Manufacturing and TK Supplements are all growing year-over-year and generating positive earnings. Our goal for ProPhase BioPharma is to commence animal studies immediately for Linebacker-1 as a potential cancer co-therapy followed by an initial human clinical study. We estimate 12 to 18 months to complete both at a cost of approximately $5 million. If these next stages of development are successful, we will then determine whether to partner with a major pharmaceutical company or continue on our own. To put the estimated R&D budget in perspective, the Company generated $12.5 million and $14.6 million of Net Income and Adjusted EBITDA, respectively, in the first quarter of 2022 and $10.6 million and $16.5 million of Net Income and Adjusted EBITDA, respectively, in the fourth quarter of 2021. Based on our current estimates, we expect that Net Income for the second quarter of 2022, which we anticipate reporting on August 12, 2022, will be greater than the entire R&D budget for ProPhase BioPharma for the next 12 to 18 month period. Therefore, our goal is to continue to grow our $52.6 million of net working capital while developing ProPhase BioPharma and other opportunities. As previously noted, we believe the Linebacker platform has multi-billion dollar potential in oncology as well as significant potential in other fields. We are embarking on this journey after conducting more than six months of thorough due diligence into these compounds and believe that Linebacker 1 and 2 have significant potential to be groundbreaking compounds in cancer research and treatment, as well as in other fields. As the largest shareholder in the Company, and based on my demonstrated loyalty to our long-term shareholders, my primary concern has always been on building value and return on investment, on both an absolute and per share basis. I am focused on the near term performance as well as long term returns. Unlike many development stage companies that burn through capital and then ask for more, at ProPhase we have a demonstrated history of building value on both an absolute and on a per share basis. We raised $5.5 million and then $37.5 million in January 2021. Since that time, we have paid approximately $13.5 million in dividends, acquired Nebula Genomics for $14.5 million, enhanced shareholder liquidity by buying back stock, retired debt and built a state of the art CLIA laboratory in Garden City, New York. Despite spending and investing more than the amount of capital raised in our January 2021 offerings, our net working capital grew to over $52.6 million as of March 31, 2022. Of course, our investors should seek all information related to their holdings in ProPhase equity. Accordingly, we bring to your attention that our Q4 2021 and Q1 2022 revenues total over $93 million and our earnings totaled over $23 million for these two quarters, which greatly exceeds the under $32 million in revenues and under $8 million in earnings estimates from one analyst, who still carries his erroneous estimates for these two quarters that have already been reported. Our track record speaks for itself. Our core operating businesses are growing year-over-year and continue to generate earnings and positive cash flow. Our planned investment in ProPhase BioPharma does not change this reality. We believe that our acquisition of Nebula Genomics and our other technology investments will generate significant returns over time and we strongly believe that the Linebacker platform has multi-billion dollar potential, while requiring only a minimal amount of capital for its initial development,
ProPhase Labs announces $6M stock repurchase plan » 08:1207/2607/26/22
ProPhase Labs announced…
ProPhase Labs announced that its Board of Directors has authorized a stock repurchase program of up to $6 million in ProPhase Labs' common stock, which will become effective three business days after the date the Company issues its quarterly earnings release for the six months ended June 30, 2022, which the Company currently anticipates issuing on August 12, 2022.
DSS licenses Impact BioMedical's Linebacker Portfolio to ProPhase Labs » 17:2607/2107/21/22
DSS (DSS) announced…
DSS (DSS) announced Global BioLife, a subsidiary of the Company's wholly owned subsidiary Impact BioMedical, executed a license agreement with ProPhase BioPharma, a subsidiary of ProPhase Labs (PRPH), a diagnostics, genomics and biotech company, for Global BioLife's Linebacker portfolio, two patented small molecule PIM kinase inhibitors "with significant potential across multiple therapeutic indications," noted the company in a statement. Ted Karkus, ProPhase Lab's Chief Executive Officer, commented in a press release issued on July 21 "We believe the Linebacker platform has multi-billion-dollar potential in oncology as well as significant potential in other fields. In the near term, we intend to initiate further development and studies of LB-1 as a potential cancer co-therapy." "The compounds that ProPhase licensed have enormous potential and represent years of scientific research. I truly believe that the Linebacker portfolio represents a potential breakthrough in cancer research. I am thrilled to continue to work on these compounds with ProPhase toward commercialization to ultimately improve the health and save the lives of so many," commented Daryl Thompson, President of GRDG. "The execution of this licensing agreement represents is a significant milestone for Impact BioMedical and its robust portfolio of development opportunities," said Frank D. Heuszel, CEO of DSS. "This is the second license agreement with ProPhase this year, and we are excited to deepen our work together as they apply their nearly three decades of experience enhancing the health of the public."
ProPhase Labs downgraded to Sell from Neutral at Dawson James » 11:0807/2107/21/22
Dawson James analyst…
Dawson James analyst Jason Kolbert downgraded ProPhase Labs to Sell from Neutral after the company announced a license agreement with Global BioLife for the Linebacker portfolio of two patented small molecule PIM kinase inhibitors. "The language of the press release is unusual and, in our opinion, reflects the company's lack of understanding as a drug developer," said Kolbert, who believes management "sees the writing on the wall" and is scrambling to figure out how to refocus as COVID-19 testing dwindles. The news that ProPhase now wants to become a biotech company developing oncology drugs "adds to our skepticism" and his downgrade also reflects the rise in the stock, the analyst added.
ProPhase Labs announces licensing of new investigational cancer compounds » 08:4207/2107/21/22
ProPhase Labs announced…
ProPhase Labs announced that its wholly owned subsidiary, ProPhase BioPharma, has executed a license agreement with Global BioLife, for the Linebacker portfolio, LB-1 and LB-2, two patented small molecule PIM kinase inhibitors with significant potential across multiple therapeutic indications. The Company also announced continued year-over-year quarterly growth in revenues and earnings for Q2 2022 and projected year-over-year growth in Q3 2022. The Company is also making significant progress with a potential strategic partner for ProPhase Precision Medicine, its wholly owned genomics subsidiary, with plans to update shareholders further in the near future. Under the terms of the license agreement, PBIO has obtained exclusive rights worldwide to develop and commercialize LB-1 and LB-2 for the treatment of cancer, inflammatory diseases or symptoms and memory related syndromes, diseases or symptoms including dementia and Alzheimer's disease. "We are excited to announce the second licensing agreement for ProPhase BioPharma, our newly created subsidiary, whose goal is to license, develop and commercialize novel drugs and compounds," commented Ted Karkus, ProPhase Lab's Chief Executive Officer. "We believe the Linebacker platform has multi-billion dollar potential in oncology as well as significant potential in other fields. In the near term, we intend to initiate further development and studies of LB-1 as a potential cancer co-therapy." ProPhase's initial focus for LB-1 is as a potential co-therapy for the following four drugs: TAXOL; Doxorubicin; Topotecan; Cisplatin. LB-1 Co-Therapy with TAXOL: LB-1 alone inhibited cell proliferation at 69.94% at 100uM; TAXOL alone inhibited cell proliferation at 41.96% at 200nM; LB-1 and TAXOL combined inhibited cell proliferation at 75.5%. LB-1 Co-Therapy with Doxorubicin: LB-1 alone inhibited cell proliferation at 69.66% at 100uM; Doxorubicin alone inhibited cell proliferation at 51.6% at 2000nM; LB-1 and Doxorubicin combined inhibited cell proliferation at 86.95%. LB-1 Co-Therapy with Topotecan: LB-1 alone inhibited cell proliferation at 69.54% at 100uM; Topotecan alone inhibited cell proliferation at 58.27% at 2000nM; LB-1 and Topotecan combined inhibited cell proliferation at 97.18%. LB-1 Co-Therapy with Cisplatin: LB-1 alone inhibited cell proliferation at 72.33% at 100uM; Cisplatin alone inhibited cell proliferation at 22.74% at 30uM; LB-1 and Cisplatin combined inhibited cell proliferation at 82.48%.
|Over a quarter ago|
ProPhase announces formation of PBIO for licensing, development of new drugs » 08:4106/2806/28/22
ProPhase Labs (PRPH)…
ProPhase Labs (PRPH) announced the formation of wholly-owned subsidiary ProPhase BioPharma, PBIO, for the licensing and development of novel drugs, compounds and biotechnology. PBIO will focus on advanced technology in the biochemical industry and creating and formulating new compounds that can change the outcomes of healthcare. ProPhase Labs also announced that it has executed a license agreement with Global BioLife, a wholly-owned subsidiary of DSS (DSS), for Equivir and Equivir G, proprietary compounds developed by Global Research and Discovery Group, Global BioLife's scientific research partner. Under the terms of the agreement, ProPhase Labs has obtained exclusive rights worldwide to develop and commercialize Equivir and Equivir G. "We are thrilled to announce the formation of ProPhase BioPharma, our new wholly-owned subsidiary tasked with licensing and developing novel drugs, compounds and biotechnology. We are equally pleased with our first licensing agreement for Equivir and Equivir G, which we believe have significant potential to improve human health outcomes worldwide," commented Ted Karkus, ProPhase Lab's Chief Executive Officer. "We plan to pursue commercialization of Equivir as an OTC supplement, leveraging our distribution in over 40,000 Food Drug and Mass retail stores and online direct to consumer. We also look forward to applying to the FDA for an IND for Equivir G as a prescription antiviral."
Impact Biomedical announces license agreement with ProPhase Labs » 08:1506/2806/28/22
Impact Biomedical, a…
Impact Biomedical, a wholly owned subsidiary of DSS (DSS), along with its scientific research partner Global Research and Discovery Group Sciences, GRDG, announced that it signed a license agreement with ProPhase Labs (PRPH) for Equivir, which has shown potential as a treatment to limit the occurrence of or reduce the risk or severity of viral outbreaks. "We are excited to team up with ProPhase Labs, who will apply its nearly three decades of experience enhancing the health of the public to Equivir, which we believe to be a ground-breaking treatment that will positively impact health in the US and globally," said Frank. Heuszel, CEO of DSS. The agreement between GRDG and ProPhase comes just prior to the beginning of human clinical trials for Equivir, GRDG announced. GRDG has contracted with ICON plc, the world's leading clinical research organization.
ProPhase Labs announces significant laboratory expansion » 08:4006/1306/13/22
ProPhase Labs announced…
ProPhase Labs announced that it has partnered with world-renowned healthcare diagnostics innovators for new clinical chemistry, immunoassay, hematology, hemostasis and urinalysis analyzers as part of its plan to significantly expand its in-house clinical testing capabilities. State-of-the-art clinical testing equipment has been procured and a new lease executed for additional space at the company's corporate headquarters in Garden City, New York. Plans are also under way to expand the company's in-house genomics testing offerings. The additional space announced today will be used to expand the company's high complexity molecular diagnostics laboratory services to include traditional clinical testing across multiple specialty areas. Ted Karkus, ProPhase Lab's Chief Executive Officer, commented, "We are very excited to broaden ProPhase's testing capabilities at our Garden City headquarters. In addition to leveraging our established customer base for COVID-19 and upper respiratory testing, with this new space we will be able to offer crucial clinical diagnostics testing that is scalable and can be tailored to the specific needs of physicians and research organizations. In parallel, as we build out our genomics laboratory, we will be able to provide physician tailored genetic tests as well as whole genome sequencing for universities conducting genetic research. Genetic research is a major growth industry, continually working to develop more precise diagnoses and treatments. This research may ultimately prevent major illnesses, making it one of the most important life science fields."
ProPhase Labs price target lowered to $14 from $16 at H.C. Wainwright » 10:1605/1605/16/22
H.C. Wainwright analyst…
H.C. Wainwright analyst Yi Chen lowered the firm's price target on ProPhase Labs to $14 from $16 and keeps a Buy rating on the shares following the Q1 beat. The company plans to build a genetics laboratory with the ability to perform whole genome sequencing with next generation sequencing, which offerings could help maintain sales growth while COVID-19 testing demand gradually declines, Chen tells investors in a research note.