Nephros Inc. Q2 Revenue Declines

TL;DR

NEPH Q2 revenue down YoY, product sales and royalties hit.

AI Summary

Nephros Inc. filed its 10-Q for the period ending June 30, 2024. The company reported product revenues of $1.8 million for the second quarter of 2024, a decrease from $2.1 million in the same period of 2023. Royalty and other revenues also saw a decline, from $0.2 million in Q2 2023 to $0.1 million in Q2 2024.

Why It Matters

The decline in revenue for Nephros Inc. in Q2 2024 suggests potential challenges in product sales and royalty generation, which could impact future financial performance.

Risk Assessment

Risk Level: medium — The reported decline in revenue for two consecutive periods indicates a potential negative trend that warrants attention.

Key Numbers

• $1.8M — Q2 2024 Product Revenue (Compared to $2.1M in Q2 2023)
• $0.1M — Q2 2024 Royalty and Other Revenues (Compared to $0.2M in Q2 2023)

Key Players & Entities

• NEPHROS INC (company) — Filer
• 20240630 (date) — Reporting Period End Date
• $1.8 million (dollar_amount) — Q2 2024 Product Revenue
• $2.1 million (dollar_amount) — Q2 2023 Product Revenue
• $0.1 million (dollar_amount) — Q2 2024 Royalty and Other Revenues
• $0.2 million (dollar_amount) — Q2 2023 Royalty and Other Revenues

FAQ

Key Financial Figures

• $0.001 — ch registered Common stock, par value $0.001 per share NEPH The Nasdaq Stock Mar

Filing Documents

• form10-q.htm (10-Q) — 736KB
• ex31-1.htm (EX-31.1) — 13KB
• ex31-2.htm (EX-31.2) — 13KB
• ex32-1.htm (EX-32.1) — 7KB
• ex32-2.htm (EX-32.2) — 8KB
• 0001493152-24-030745.txt ( ) — 4343KB
• neph-20240630.xsd (EX-101.SCH) — 31KB
• neph-20240630_cal.xml (EX-101.CAL) — 49KB
• neph-20240630_def.xml (EX-101.DEF) — 131KB
• neph-20240630_lab.xml (EX-101.LAB) — 323KB
• neph-20240630_pre.xml (EX-101.PRE) — 255KB
• form10-q_htm.xml (XML) — 561KB

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION 3

Financial Statements (unaudited)

Item 1. Financial Statements (unaudited). 3 CONDENSED CONSOLIDATED BALANCE SHEETS – June 30, 2024 and December 31, 2023 3 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS – Three and six months ended June 30, 2024 and 2023 4 CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY – Three and six months ended June 30, 2024 and 2023 5 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS – Six months ended June 30, 2024 and 2023 6 NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS 7

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. 17

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk. 25

Controls and Procedures

Item 4. Controls and Procedures. 25

- OTHER INFORMATION

PART II - OTHER INFORMATION 25

Risk Factors

Item 1A. Risk Factors 25

Other Information

Item 5. Other Information 25

Exhibits

Item 6. Exhibits 26

SIGNATURES

SIGNATURES 27 2 PART I - FINANCIAL INFORMATION Item 1. Financial Statements. NEPHROS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except share and per share amounts) (Unaudited) June 30, 2024 December 31, 2023 ASSETS Current assets: Cash and cash equivalents $ 3,080 $ 4,307 Accounts receivable, net 1,878 1,496 Inventory 2,803 2,470 Prepaid expenses and other current assets 165 132 Total current assets 7,926 8,405 Property and equipment, net 186 152 Lease right-of-use assets 1,551 1,807 Intangible assets, net 365 381 Goodwill 759 759 License and supply agreement, net 243 271 Other assets 70 86 TOTAL ASSETS $ 11,100 $ 11,861 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 1,159 $ 873 Accrued expenses 435 794 Current portion of lease liabilities 358 446 Total current liabilities 1,952 2,113 Lease liabilities, net of current portion 1,222 1,390 TOTAL LIABILITIES 3,174 3,503 COMMITMENTS AND CONTINGENCIES (Note 13) - - STOCKHOLDERS' EQUITY Preferred stock, $ .001 par value; 5,000,000 shares authorized at June 30, 2024 and December 31, 2023; no shares issued and outstanding at June 30, 2024 and December 31, 2023. - - Common stock, $ .001 par value; 40,000,000 shares authorized at June 30, 2024 and December 31, 2023; 10,544,139 and 10,543,675 shares issued and outstanding at June 30, 2024 and December 31, 2023, respectively. 11 10 Additional paid-in capital 152,779 152,754 Accumulated deficit ( 144,864 ) ( 144,406 ) TOTAL STOCKHOLDERS' EQUITY 7,926 8,358 TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 11,100 $ 11,861 The accompanying notes are an integral part of these unaudited condensed consolidated interim financial statements. 3 NEPHROS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except share and per share amounts) (Unaudited) 2024

View Full Filing

View this 10-Q filing on SEC EDGAR