AVITA Therapeutics Provides Company Update and Preliminary Unaudited Results for the Fourth Quarter and Fiscal Year 2020

AVITA Therapeutics, Inc. (NASDAQ: RCEL, ASX:AVH), a regenerative medicine company that is developing and commercializing a technology platform that enables point-of-care autologous skin restoration for multiple unmet needs, announced today preliminary unaudited results for the fourth quarter and full year ended June 30, 2020, together with a company update.

Preliminary Unaudited Results for Three Month Period Ended June 30, 2020

With effect from July 1, 2020, the Company is reporting financial results in United States dollars (US$), and prepared in accordance with U.S. Generally Accepted Accounting Principles (U.S. GAAP).

• U.S. RECELL System Sales:
  • US$3.79M in the fourth quarter versus $3.78M in the third quarter, or an increase of 0.2%.

  • To compare with the Company’s previously reported results (as reported under International Financial Reporting Standards (IFRS)):

    • U.S. RECELL System sales were US$3.88M (A$5.95M) in the fourth quarter versus US$3.86M (A$5.81M) in the third quarter, or an increase of 0.6% (2.4%).

• Total global net revenue for the fourth quarter (unaudited):
  • US$3.88M in the fourth quarter, a decrease of US$0.06M or 1.6% over the US$3.94M recognized during the previous quarter.

  • To compare with the Company’s previously reported results (as reported under IFRS) fourth quarter net revenue was approximately A$6.08M, versus A$5.96M in the third quarter, or an increase of 2.0%.

• Cash and Cash Equivalents:
  • At the end of the fourth quarter, the Company had cash of approximately US$73.84M, a decrease of US$5.92M or 7.4% over the US$79.76M held at the end of previous quarter (inclusive of more than US$1M expended during the quarter on redomiciliation and preparation for U.S. GAAP compliance).
  • To compare with the Company’s previously reported results (as reported under IFRS) cash at the end of the fourth quarter was A$107.02M, a decrease of A$22.92M from the A$129.94M reported in the previous quarter, driven by A$14.28M attributable to the effect of movement in the exchange rates on cash, and A$8.64M in operating expenses.

• Commercial metrics:
  • Estimated procedural volumes decreased by approximately 4% from the prior quarter.

  • New accounts added – 8.