Delcath Systems, Inc. (DCTH) announced its fourth-quarter 2020 results after which the DCTH stock price happened to be down by 24.54% to drop at $12.28 a share as of this writing. At the previous trading session, DCTH stock was performing well and gained 1.37% at closing. Let’s understand more about the current scenarios.
Fourth Quarter 2020 Results:
- DCTH stock product revenue reduced to $379 thousand in the fourth quarter of 2020 as compared to $398 thousand in the same quarter of the previous year.
- Selling, general and administrative expenses increased by $2.4 million to reach $4.5 million in the last three months of 2020 as compared to $2.1 in the same period of 2019.R&D expenses showed no change and were totaled $2.7 million.
- Operating expenses surged to $7.3 million while these were $4.8 million in the same period of 2019.
- DCTH suffered a net loss of $7.0 million in the fourth quarter of 2020 while it recorded a net income of $12.5 million in the same period of 2019.
- DCTH stock had cash, cash equivalents, and restricted cash of $28.8 million as of 31 December 2020 and it used $4.6 million cash in its operating activities during the last three months of 2020 while this cash was recorded as $5.4 million for operational activities of 2019.
Business Highlights in last three months:
- Delcath Systems was performing phase three FOCUS Clinical Trial of HEPZATO in patients suffering from Metastatic Ocular The results were positive and above expectations. This preliminary analysis includes 87% of patients and final results are expected to come soon in the future.
- DCTH started consulting engagement for the selection of a portfolio of follow-on-indications in order to increase HEPZATO Kit and CHEMOSAT platform value.
- DCTH stock completed a public offering of shares of its common stock which resulted in gross proceeds of $22.2 million.
- Gerard Michel was appointed as the Chief Executive officer by the Delcath stock while Kevin Muir was assigned the role of Vice President for commercial
Things are going against the DCTH stock after the earnings release by Delcath Systems. Product revenue was reduced in 2020 while expenses were increased over the year. It would be interesting to see how new management would drive Delcath in the future.