Vericel Corp. Files 2023 Annual Report on Form 10-K
Ticker: VCEL · Form: 10-K · Filed: Feb 29, 2024 · CIK: 887359
Sentiment: neutral
Topics: 10-K, Vericel Corp, Financial Report, Biological Products, Annual Filing
TL;DR
<b>Vericel Corp. filed its 2023 10-K report detailing financial performance and business operations.</b>
AI Summary
Vericel Corp (VCEL) filed a Annual Report (10-K) with the SEC on February 29, 2024. Vericel Corp. reported its fiscal year 2023 results, ending December 31, 2023. The company's primary business is in Biological Products (No Diagnostic Substances). Vericel Corp. is incorporated in Michigan and headquartered in Cambridge, MA. The filing includes financial data for the fiscal years 2021, 2022, and 2023. Key financial statement elements like Retained Earnings, Common Stock, and Accumulated Other Comprehensive Income are detailed for these years.
Why It Matters
For investors and stakeholders tracking Vericel Corp, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Vericel's financial health and strategic direction for investors and stakeholders. The detailed financial data allows for year-over-year comparisons, crucial for assessing growth trends and operational efficiency in the biological products sector.
Risk Assessment
Risk Level: medium — Vericel Corp shows moderate risk based on this filing. The filing is a standard 10-K, which is a routine annual report. However, the complexity of biological product development and market adoption introduces inherent risks.
Analyst Insight
Review the detailed financial statements and risk factors in the 10-K to assess Vericel's long-term growth potential and competitive positioning.
Key Numbers
- 2023-12-31 — Fiscal Year End (Conformed period of report)
- 2024-02-29 — Filing Date (Date the 10-K was filed)
- 2836 — SIC Code (Standard Industrial Classification for Biological Products)
- 001-35280 — SEC File Number (SEC file number for Vericel Corp.)
Key Players & Entities
- Vericel Corp. (company) — Filer of the 10-K report
- Aastrom Biosciences Inc (company) — Former name of Vericel Corp.
- Michigan (location) — State of incorporation
- Cambridge, MA (location) — Business and mailing address
- MediWound Ltd (company) — Mentioned in relation to a transaction date
FAQ
When did Vericel Corp file this 10-K?
Vericel Corp filed this Annual Report (10-K) with the SEC on February 29, 2024.
What is a 10-K filing?
A 10-K is a comprehensive annual financial report required by the SEC, covering audited financials, business operations, risk factors, and management discussion. This particular 10-K was filed by Vericel Corp (VCEL).
Where can I read the original 10-K filing from Vericel Corp?
You can access the original filing directly on the SEC's EDGAR system. The filing is publicly available and includes all exhibits and attachments submitted by Vericel Corp.
What are the key takeaways from Vericel Corp's 10-K?
Vericel Corp filed this 10-K on February 29, 2024. Key takeaways: Vericel Corp. reported its fiscal year 2023 results, ending December 31, 2023.. The company's primary business is in Biological Products (No Diagnostic Substances).. Vericel Corp. is incorporated in Michigan and headquartered in Cambridge, MA..
Is Vericel Corp a risky investment based on this filing?
Based on this 10-K, Vericel Corp presents a moderate-risk profile. The filing is a standard 10-K, which is a routine annual report. However, the complexity of biological product development and market adoption introduces inherent risks.
What should investors do after reading Vericel Corp's 10-K?
Review the detailed financial statements and risk factors in the 10-K to assess Vericel's long-term growth potential and competitive positioning. The overall sentiment from this filing is neutral.
Risk Factors
- Regulatory Compliance [medium — regulatory]: The company must comply with extensive regulations governing the development, manufacturing, and marketing of biological products.
- Market Adoption and Competition [medium — market]: Success depends on market acceptance of its products and competition from other companies in the regenerative medicine space.
- Manufacturing and Supply Chain [medium — operational]: Ensuring consistent quality and supply of complex biological products is critical and subject to operational risks.
- Funding and Profitability [medium — financial]: The company's ability to achieve and sustain profitability and secure necessary funding for ongoing operations and R&D is a key financial consideration.
Key Dates
- 2023-12-31: Fiscal Year End — Marks the end of the reporting period for the 10-K.
- 2024-02-29: Filing Date — Date Vericel Corp. submitted its 10-K to the SEC.
Glossary
- 10-K
- An annual report required by the U.S. Securities and Exchange Commission (SEC), which gives a comprehensive summary of a company's financial performance. (Provides investors with a detailed overview of the company's financial health and operations for the past fiscal year.)
- Biological Products
- Products derived from living organisms or their components, used for therapeutic or diagnostic purposes. (Defines Vericel's core industry and the regulatory and market dynamics it operates within.)
Filing Stats: 4,440 words · 18 min read · ~15 pages · Grade level 16 · Accepted 2024-02-29 09:04:36
Filing Documents
- vcel-20231231.htm (10-K) — 1927KB
- ex109amendedandrestatednon.htm (EX-10.9) — 8KB
- ex211subsidiariesofregistr.htm (EX-21.1) — 1KB
- ex231consentofregisteredin.htm (EX-23.1) — 2KB
- ex311certificationq42023.htm (EX-31.1) — 12KB
- ex312certificationq42023.htm (EX-31.2) — 12KB
- ex321certificationq42023.htm (EX-32.1) — 10KB
- ex97policyforrecoupmentofe.htm (EX-97) — 30KB
- image.jpg (GRAPHIC) — 35KB
- image1a.jpg (GRAPHIC) — 31KB
- vcel-20231231_g1.jpg (GRAPHIC) — 199KB
- 0001628280-24-007824.txt ( ) — 9325KB
- vcel-20231231.xsd (EX-101.SCH) — 52KB
- vcel-20231231_cal.xml (EX-101.CAL) — 111KB
- vcel-20231231_def.xml (EX-101.DEF) — 231KB
- vcel-20231231_lab.xml (EX-101.LAB) — 745KB
- vcel-20231231_pre.xml (EX-101.PRE) — 470KB
- vcel-20231231_htm.xml (XML) — 1242KB
Risk Factors
Item 1A. Risk Factors 24
Unresolved Staff Comments
Item 1B. Unresolved Staff Comments 54
Cybersecurity
Item 1C. Cybersecurity 55
Properties
Item 2. Properties 56
Legal Proceedings
Item 3. Legal Proceedings 56
Mine Safety Disclosures
Item 4. Mine Safety Disclosures 56 PART II
Market for Registrant's Common Equity, Related Shareholder Matters and Issuer Purchases of Equity Securities
Item 5. Market for Registrant's Common Equity, Related Shareholder Matters and Issuer Purchases of Equity Securities 56
Reserved
Item 6. Reserved 58
Management's Discussion and Analysis of Financial Condition and Results of Operations
Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 59
Quantitative and Qualitative Disclosures About Market Risk
Item 7A. Quantitative and Qualitative Disclosures About Market Risk 68
Consolidated Financial Statements and Supplementary Data
Item 8. Consolidated Financial Statements and Supplementary Data 69
Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 99
Controls and Procedures
Item 9A. Controls and Procedures 99
Other Information
Item 9B. Other Information 99
Disclosure Regarding Foreign Jurisdictions that Prevent Inspections
Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 99 PART III
Directors, Executive Officers and Corporate Governance
Item 10. Directors, Executive Officers and Corporate Governance 100
Executive Compensation
Item 11. Executive Compensation 100
Security Ownership of Certain Beneficial Owners and Management and Related Shareholder Matters
Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Shareholder Matters 100
Certain Relationships and Related Transactions, and Director Independence
Item 13. Certain Relationships and Related Transactions, and Director Independence 100
Principal Accountant Fees and Services
Item 14. Principal Accountant Fees and Services 100 PART IV
Exhibit and Financial Statement Schedules
Item 15. Exhibit and Financial Statement Schedules 101
Form 10-K Summary
Item 16. Form 10-K Summary 101 Exhibit Index 102
Signatures
Signatures 105 2 Table of Contents Cautionary Note Regarding Forward-Looking Statements This Annual Report on Form 10-K, including the documents incorporated by reference herein, contains certain statements that describe our management's beliefs concerning future business conditions, plans and prospects, growth opportunities and the outlook for our business based upon information currently available. Such statements are "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended ("Exchange Act") . Wherever possible, we have identified these forward-looking statements by words such as "will," "may," "anticipates," "believes," "intends," "estimates," "expects," "plans," "projects," "trends," "opportunity," "current," "intention," "position," "assume," "potential," "outlook," "remain," "continue," "maintain," "sustain," "seek," "target," "achieve," "continuing," "ongoing," and similar words or phrases, or future or conditional verbs such as "would," "should," "could," "may," or similar expressions. Among the factors that could cause actual results to differ materially from those set forth in the forward-looking statements include, but are not limited to, uncertainties associated with our expectations regarding future revenue, growth in revenue, market penetration for MACI , Epicel , and NexoBrid , growth in profit, gross margins and operating margins, the ability to continue to scale our manufacturing operations to meet the demand for our cell therapy products, including the timely completion of a new headquarters and manufacturing facility in Burlington, Massachusetts, the ability to achieve or sustain profitability, contributions to adjusted EBITDA, the expected target surgeon audience, potential fluctuations in sales and volumes and our results of operations over the course of the year, timing
Business
Item 1. Business General Information Vericel Corporation is a fully-integrated, commercial-stage biopharmaceutical company and a leading provider of advanced therapies for the sports medicine and severe burn care markets. Whether we are treating damaged cartilage or severe burns, we provide advanced therapies to repair serious injuries and restore lives. Our highly differentiated portfolio of cell therapy and specialty biologic products combines innovations in biology with medical technologies. We were among the first companies to achieve commercial success in the complex field of cell therapies with treatments that use tissue engineering to regenerate skin and healthy knee cartilage. We currently market two U.S. Food and Drug Administration ("FDA") approved autologous cell therapy products and one FDA-approved specialty biologic product in the U.S. MACI is an autologous cellularized scaffold product indicated for the repair of symptomatic, single or multiple full-thickness cartilage defects of the knee with or without bone involvement in adults. Epicel is a permanent skin replacement Humanitarian Use Device ("HUD") for the treatment of adult and pediatric patients with deep-dermal or full-thickness burns comprising greater than or equal to 30 percent of total body surface area ("TBSA"). We also hold an exclusive license from MediWound Ltd. ("MediWound") for North American rights to NexoBrid (anacaulase-bcdb), a topically-administered biological orphan product containing proteolytic enzymes, which is indicated for the removal of eschar in adults with deep partial thickness and/or full thickness thermal burns. Following FDA approval, we began commercial sales of NexoBrid in the U.S. during the third quarter of 2023. Our Strategy Our objective is to become the leading developer in advanced therapies for the sports medicine and severe burn care markets. To achieve this objective, we intend to: Increase MACI revenue by increasing the number of surgeons implant