
|
|
|
|
|
(State or Other Jurisdiction of Incorporation)
|
(Commission File Number)
|
(I.R.S. Employer Identification No.)
|
|
|
|
|
|
(Address of Principal Executive Offices)
|
(Zip Code)
|
|
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))
|
|
Title of each class
|
Trading
Symbol(s)
|
Name of each exchange on which registered
|
|
|
|
|
| Item 2.02. |
Results of Operations and Financial Condition.
|
| Item 7.01. |
Regulation FD Disclosure.
|
| Item 9.01. |
Financial Statements and Exhibits.
|
| (d) |
Exhibits.
|
|
Press Release dated August 13, 2025 issued by STRATA Skin Sciences, Inc.
|
||
|
104
|
Cover Page Interactive Data File (embedded within the Inline XBRL document).
|
|
STRATA SKIN SCIENCES, INC.
|
|||
|
Date: August 13, 2025
|
By:
|
/s/ John Gillings
|
|
|
Chief Accounting Officer
|
|||
| • |
Historic expansion of CPT codes for reimbursement for inflammatory and auto-immune skin diseases, effectively tripling the covered patient population in the US
|
| • |
Potential acceleration of expanded reimbursement coverage through application for G-codes to gain access by 2026 cycle
|
| • |
Submission of economic data to support a potential increase in reimbursement rates
|
| • |
New peer-reviewed publications validating vitiligo indication and reimbursement
|
| • |
Multiple peer-reviewed publications on conjunctive use of excimer laser with JAK inhibitors illustrating safety, efficacy, and synergistic effects; an emerging treatment paradigm where
STRATA holds Intellectual Property around the methods of combined systemic, biologic, and JAK inhibitor medication with excimer laser dosimetry-controlled treatment
|
| • |
Positive developments in the ongoing lawsuit against LaserOptek with the addition of LaserOptek Korea and C. Dalton, LLC as defendants
|
| • |
Average gross billings per device of $5,512 increased 2.7% over the comparable prior-year period
|
| • |
We removed 21 XTRAC devices from underperforming accounts during the quarter and placed 19, the highest number of placements in six quarters
|
| • |
Adjusting use of cash in operations by the $1.3 million of restricted cash paid to NY state, related to the sales tax accrual we took in Q3 2024 and ~$340 thousand in legal expenses from
cases the Company has chosen to pursue (primarily LaserOptek), the company was nearly operating cashflow breakeven in the quarter
|
| • |
Ended the second quarter of 2025 with $6.0 million of cash despite the payment of $1.3 million of restricted cash to NY state, related to the sales tax accrual we made in the third quarter
of 2024
|
|
Three Months Ended June 30,
|
Six Months Ended June 30,
|
|||||||||||||||
|
(in thousands)
|
2025
|
2024
|
2025
|
2024
|
||||||||||||
|
Net loss
|
$
|
(2,489
|
)
|
$
|
(99
|
)
|
$
|
(4,921
|
)
|
$
|
(3,467
|
)
|
||||
|
Adjustments:
|
||||||||||||||||
|
Depreciation and amortization
|
1,218
|
1,250
|
2,438
|
2,499
|
||||||||||||
|
Amortization of operating lease right-of-use asset
|
87
|
79
|
172
|
174
|
||||||||||||
|
Loss on disposal of property and equipment
|
29
|
6
|
63
|
19
|
||||||||||||
|
Interest expense, net
|
265
|
477
|
682
|
956
|
||||||||||||
|
Non-GAAP EBITDA
|
(890
|
)
|
1,713
|
(1,566
|
)
|
181
|
||||||||||
|
Employee retention credit
|
-
|
(864
|
)
|
-
|
(864
|
)
|
||||||||||
|
Stock-based compensation
|
128
|
163
|
257
|
275
|
||||||||||||
|
Inventory write-off
|
-
|
-
|
-
|
141
|
||||||||||||
|
Non-GAAP adjusted EBITDA
|
$
|
(762
|
)
|
$
|
1,012
|
$
|
(1,309
|
)
|
$
|
(267
|
)
|
|||||
|
Three Months Ended June 30,
|
Six Months Ended June 30,
|
|||||||||||||||
|
(in thousands)
|
2025
|
2024
|
2025
|
2024
|
||||||||||||
|
Gross domestic recurring billings
|
$
|
4,652
|
$
|
4,735
|
$
|
8,738
|
$
|
9,313
|
||||||||
|
Co-Pay adjustments
|
(81
|
)
|
(83
|
)
|
(155
|
)
|
(163
|
)
|
||||||||
|
Other Discounts
|
(11
|
)
|
(26
|
)
|
(15
|
)
|
(56
|
)
|
||||||||
|
Deferred revenue from prior quarters
|
1,513
|
1,901
|
3,058
|
3,525
|
||||||||||||
|
Deferral of revenue to future quarters
|
(1,656
|
)
|
(1,812
|
)
|
(3,168
|
)
|
(3,714
|
)
|
||||||||
|
GAAP domestic revenue
|
$
|
4,417
|
$
|
4,715
|
$
|
8,458
|
$
|
8,905
|
||||||||
|
June 30, 2025
|
December 31, 2024
|
|||||||
|
(unaudited)
|
||||||||
|
Assets
|
||||||||
|
Current assets:
|
||||||||
|
Cash and cash equivalents
|
5,966
|
7,261
|
||||||
|
Restricted cash
|
-
|
1,334
|
||||||
|
Accounts receivable, net of allowance for credit losses of $548 and $466 at March31, 2025
and December 31, 2024, respectively
|
4,022
|
5,253
|
||||||
|
Inventories
|
3,236
|
2,246
|
||||||
|
Prepaid expenses and other current assets
|
550
|
501
|
||||||
|
Total current assets
|
13,774
|
16,595
|
||||||
|
Property and equipment, net
|
8,604
|
10,061
|
||||||
|
Operating lease right-of-use assets
|
1,092
|
1,264
|
||||||
|
Intangible assets, net
|
4,363
|
5,348
|
||||||
|
Goodwill
|
2,658
|
2,658
|
||||||
|
Other assets
|
231
|
231
|
||||||
|
Total assets
|
30,722
|
36,157
|
||||||
|
Liabilities and Stockholders' Equity
|
||||||||
|
Current liabilities:
|
||||||||
|
Accounts payable
|
2,945
|
2,433
|
||||||
|
Accrued expenses and other current liabilities
|
7,401
|
8,593
|
||||||
|
Deferred revneues
|
2,372
|
2,241
|
||||||
|
Current portion of oeprating lease liabilities
|
303
|
328
|
||||||
|
Current portion of contingent consideration
|
983
|
1,030
|
||||||
|
Total current liabilities
|
14,004
|
14,625
|
||||||
|
Long-term debt, net
|
15,270
|
15,192
|
||||||
|
Deferred revenues and other liabilities
|
264
|
353
|
||||||
|
Operating lease liabilities, net of current portion
|
780
|
919
|
||||||
|
Contingent consideration, net of current portion
|
96
|
96
|
||||||
|
Total liabilities
|
30,414
|
31,185
|
||||||
|
Commitments and contingencies
|
||||||||
|
Stockholders equity:
|
||||||||
|
Series C covertible preferred stock, $0.10 par value; 10,000,000 shars authorised, no
shares issued and outstanding
|
-
|
-
|
||||||
|
Common stock, $0.001 par value; 150,000,000 shares authorised; 4,171,161 shares issued
and outstanding at both March 31, 2025 and December 31, 2024
|
4
|
4
|
||||||
|
Additional paid-in capital
|
253,369
|
253,112
|
||||||
|
Accumulated deficit
|
(253,065
|
)
|
(248,144
|
)
|
||||
|
Total stockholders' equity
|
308
|
4,972
|
||||||
|
Total liabilities and stockholders' equity
|
30,722
|
36,157
|
||||||
|
Three Months Ended June 30,
|
Six Months Ended June 30,
|
|||||||||||||||
|
2025
|
2024
|
2025
|
2024
|
|||||||||||||
|
Revenues, net
|
$
|
7,663
|
$
|
8,435
|
$
|
14,475
|
$
|
15,189
|
||||||||
|
Cost of revenue
|
3,357
|
3,458
|
6,392
|
7,016
|
||||||||||||
|
Gross profit
|
4,306
|
4,977
|
8,083
|
8,173
|
||||||||||||
|
Operating expenses
|
||||||||||||||||
|
Engineering and product development
|
86
|
199
|
182
|
440
|
||||||||||||
|
Selling and marketing
|
3,533
|
3,054
|
6,656
|
6,188
|
||||||||||||
|
General and administrative
|
2,911
|
2,210
|
5,484
|
4,920
|
||||||||||||
|
Total operating expenses
|
6,530
|
5,463
|
12,322
|
11,548
|
||||||||||||
|
Loss from operations
|
(2,224
|
)
|
(486
|
)
|
(4,239
|
)
|
(3,375
|
)
|
||||||||
|
Other income (expense):
|
||||||||||||||||
|
Interest expense
|
(491
|
)
|
(531
|
)
|
(977
|
)
|
(1,055
|
)
|
||||||||
|
Interest income
|
226
|
54
|
295
|
99
|
||||||||||||
|
Other Income
|
-
|
864
|
-
|
864
|
||||||||||||
|
Total other expense
|
(265
|
)
|
387
|
(682
|
)
|
(92
|
)
|
|||||||||
|
Net loss
|
$
|
(2,489
|
)
|
$
|
(99
|
)
|
$
|
(4,921
|
)
|
$
|
(3,467
|
)
|
||||
|
Net loss per share of common stock, basic and diluted
|
$
|
(0.60
|
)
|
$
|
(0.03
|
)
|
$
|
(1.18
|
)
|
$
|
(0.99
|
)
|
||||
|
Weighted aveage shares of common stock outstanding, basic and diluted
|
4,171,161
|
3,506,025
|
4,171,161
|
3,506,025
|
||||||||||||
|
Six Months Ended June 30,
|
||||||||
|
2025
|
2024
|
|||||||
|
Cash flows from operating activities:
|
||||||||
|
Net loss
|
$
|
(4,921
|
)
|
$
|
(3,467
|
)
|
||
|
Adjustments to reconcile net loss ot net cash provided by (used in) operating activities:
|
||||||||
|
Depreciation and amortization
|
2,438
|
2,499
|
||||||
|
Amortization of operating lease right-of-use assets
|
172
|
174
|
||||||
|
Amortization of deferred financing costs and debt discount
|
78
|
70
|
||||||
|
Change in provision for credit losses
|
166
|
30
|
||||||
|
Stock-based compensation expense
|
257
|
275
|
||||||
|
Loss on disposal of property and equipment
|
63
|
19
|
||||||
|
Inventory write-off
|
-
|
141
|
||||||
|
Changes in operating assets and liabilities:
|
||||||||
|
Account receivable
|
1,065
|
431
|
||||||
|
Inventories
|
(912
|
)
|
6
|
|||||
|
Prepaid expenses and other assets
|
(49
|
)
|
(119
|
)
|
||||
|
Accounts payable
|
465
|
(466
|
)
|
|||||
|
Accrued expenses and other liabilities
|
(1,201
|
)
|
290
|
|||||
|
Deferred revenues
|
52
|
74
|
||||||
|
Operating lease liabilities
|
(164
|
)
|
(170
|
)
|
||||
|
Net cash provided by (used in) operating activities
|
(2,491
|
)
|
(213
|
)
|
||||
|
Cash flows from investing activities:
|
||||||||
|
Purchase of property and equipment
|
(138
|
)
|
(1,070
|
)
|
||||
|
Net cash used in investing activities
|
(138
|
)
|
(1,070
|
)
|
||||
|
Cash flows from Financing activities:
|
||||||||
|
Payment of contingent consideration
|
-
|
(18
|
)
|
|||||
|
Net cash provided by financing activities
|
-
|
(18
|
)
|
|||||
|
Net decrease in cash, cash equivalents and restricted cash
|
(2,629
|
)
|
(1,301
|
)
|
||||
|
Cash, cash equivalents and restricted cash at beginning of period
|
8,595
|
8,118
|
||||||
|
Cash, cash equivalents and restricted cash at end of period
|
$
|
5,966
|
$
|
6,817
|
||||
|
Supplemental disclosure of cash flow information:
|
||||||||
|
Cash paid during the year for interest
|
$
|
907
|
$
|
990
|
||||
|
Supplemental schedule of non-cash operating, investing, and financing activities:
|
||||||||
|
Operating lease right-of-use assets obtained in exchange for operating lease
|
$
|
-
|
$
|
977
|
||||
|
Transfer of property and equipment to inventories
|
$
|
78
|
$
|
166
|
||||
|
Accrued payment of contingent consideration
|
$
|
47
|
$
|
9
|
||||