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Exhibit 99.1

BioAmber Reports First Quarter 2015 Financial Results

 

Minneapolis, MN, May 7, 2015. BioAmber Inc. (NYSE: BIOA), an industrial biotechnology company producing sustainable chemicals, today announced its financial results for the quarter ending March 31, 2015.  Highlights included:

The Sarnia plant remains on track to begin commercial operations in Q3 2015, with project costs that continued to track within the US$125 million +/-10% estimate  

BioAmber entered into a technology license with Johnson Matthey Davy Technologies that provides demonstrated engineering for the production of BDO and THF from bio-succinic acid

After the quarter end, BioAmber was chosen by Bayer MaterialScience as its supplier of bio-succinic acid for a new product line

After the quarter end, BioAmber raised $35.1 million in gross proceeds through a public offering of common stock

We have been able to execute effectively in Sarnia while reducing the risk associated with the next plant, and now we have the capital needed to undertake critical engineering and site related work on our next plant so that we don’t lose time,” said Jean-Francois Huc, BioAmber’s Chief Executive Officer. “On the commercial front, the recent Bayer MaterialScience announcement is a strong endorsement of BioAmber’s leadership position in bio-succinic acid and a clear signal of the growing demand for more sustainable chemicals,” he added.

Sarnia Highlights

Construction is expected to be substantially complete by the end of May 2015

Commissioning is on track and the plant is expected to be in commercial operation in Q3 2015

Other Business Highlights

BioAmber licensed technology from Johnson Matthey Davy Technologies (JM Davy), enabling the construction and operation of a 100,000 ton per year capacity plant that uses bio-succinic acid as the feedstock to produce 70,000 tons of bio-based 1,4-BDO and 30,000 tons of bio-based THF

BioAmber secured the right to license the JM Davy technology for two additional BDO/THF plants

BioAmber was chosen by Bayer MaterialScience, which is among the world’s largest polymer companies, to be the supplier of bio-succinic acid used to produce a new range of bio-based polyurethanes for textile applications that Bayer MaterialScience has begun commercializing

Financial Highlights

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Net cash used in operating activities was below $2.0 million per month in Q1 2015

Cash on hand was $26.0 million as of March 31, 2015, with approximately $20.5 million of cash expected to be received in Q2 2015 from previously announced loans and grants for Sarnia

On May 1, 2015 the Company completed a public offering of 3,900,000 shares of common stock at a price of $9.00 per share, raising gross proceeds of $35.1 million.  

 

Q1 2015 Financial Results

Revenues for the quarter ended March 31, 2015 increased to $367,000 from $351,000 for the same period in 2014.  The increase was due to an increase in volume sold, partially offset by a decrease in average selling price.

 

Gross profit in the quarter ended March 31, 2015 was $57,000, compared to a gross profit of $71,000 for the same period in 2014. The decrease was primarily due to a decrease in the average selling price and an increase in the volume sold.

 

Research and development expenses for the quarter ended March 31, 2015 increased to $4.6 million from $3.3 million for the same period in 2014. The increase was primarily due to an increase in non-recurring expenses related to the commissioning and start-up of the Sarnia plant.

 

Sales and marketing expenses remained relatively stable at $1.2 million in the quarter ended March 31, 2015, compared to $1.1 million for the same period in 2014.  

 

General and administrative expenses for the quarter ended March 31, 2015 decreased to $2.6 million from $2.9 million for the same period in 2014. The decrease was primarily due to a reduction in professional fees, which was partially offset by an increase in stock-option compensation expense resulting from the vesting of additional options.

 

Foreign currency losses in the quarter ended March 31, 2015 were $55,000, compared to a loss of $168,000 for the same period in 2014.  The decrease stemmed from the reduction of our Canadian dollar exposure in BioAmber Inc. in the quarter ended March 31, 2015.  

 

During the quarter ended March 31, 2015, the Company incurred net financial charges of $431,000, compared to $12.4 million for the same period in 2014.   The net financial charges in the quarter ended March 31, 2015 included a $320,000 non-cash gain related to changes in the fair market value of the warrants issued in connection with the Company’s initial public offering, compared to a charge of $11.6 million recorded in the same period of 2014.  The warrants are revalued at each reporting period resulting in a non-cash amount being recorded in the statement of operations for as long as the warrants remain outstanding.  

 

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The Company recorded a net loss attributable to BioAmber Inc. shareholders of $8.3 million, or a loss of $0.38 per share, for the quarter ended March 31, 2015, compared to a net loss of $19.9 million, or a loss of $1.07 per share, for the same period in 2014.

 

The Adjusted Net Loss Attributable to BioAmber Inc. Shareholders for quarter ended March 31, 2015 was $8.6 million, or a loss of $0.39 per share, compared to an Adjusted Net Loss Attributable to BioAmber Inc. Shareholders of $8.3 million, or a loss of $0.45 per share, for the same period in 2014.  Adjusted Net Loss Attributable to BioAmber Inc. Shareholders is a non-GAAP financial metric that excludes, for the quarters ended March 31, 2015 and March 31, 2014, the impact of the change in fair value of the warrants issued in connection with the IPO. Please refer to Annex A: “Non-GAAP Financial Information—Adjusted Net Loss Attributable to BioAmber Inc. Shareholders” for more information regarding this non-GAAP financial metric.

 

Webcast and Conference Call Information

BioAmber will discuss these results on a live audio webcast, which will be available on the Internet to investors, members of the news media and the general public at 4:30 p.m. Eastern Time on May 7, 2015. To access the webcast of the conference call, go to the company’s website, www.bio-amber.com.   Audio of the teleconference is also available by dialing:

North American callers:  +1 (888) 390-0546

International callers: (416) 764-8688

 

Teleconference replays will be available through May 14, 2015:

Domestic: 1-888-390-0541

International: 416-764-8677

Passcode: 885454#

 

A replay of the webcast will also be available approximately two hours after the conclusion of the live webcast on BioAmber’s website, for a period of 30 days.

About BioAmber

BioAmber (NYSE: BIOA) is an industrial biotechnology company producing sustainable chemicals. Its proprietary technology platform combines industrial biotechnology and chemical catalysis to convert renewable feedstock into sustainable chemicals for use in a wide variety of everyday products including plastics, paints, food additives and personal care products.  For more information visit www.bio-amber.com.

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Forward-Looking Statements

This press release contains forward-looking statements, including statements related to the projected capital costs and scheduled completion of the Sarnia facility under construction, the commissioning and start up schedule, the beginning of our commercial operations and future sales for our Bio-SA facility including sales to Bayer MaterialScience, and the future construction and operation of a second plant producing bio-based BDO and THF.   All statements other than statements of historical fact contained in this press release are forward-looking statements.  These statements often include words such as “believe,” “expect,” “anticipate,” “intend,” “plan,” “estimate,” “seek,” “will,” “may” or similar expressions.  Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond BioAmber’s control.  BioAmber’s actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors.  Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee that the events and circumstances reflected in the forward-looking statements will be achieved or occur and the timing of events and circumstances and actual results could differ materially from those projected in the forward-looking statements. Accordingly, you should not place undue reliance on these forward-looking statements.  All such statements speak only as of the date made, and the Company undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.  For additional disclosure regarding these and other risks faced by BioAmber, see disclosures contained in BioAmber's public filings with the SEC including, the "Risk Factors" section of BioAmber's most recent Annual Report on Form 10-K.

 

BioAmber Investor Contact

Mike Hartmann

Executive Vice President

514-844-8000 Ext. 120


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BioAmber Inc.

 

 

 

 

 

 

Consolidated Statements of Operations

 

 

 

 

(unaudited, in thousands, except for shares)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months ended
March 31,

 

 

 

2015

 

2014

 

 

 

 

$

 

$

Product sales

 

 

 

              367

 

              351

Cost of goods sold

 

 

 

310

 

280

Gross profit

 

 

 

57

 

71

 

 

 

 

 

 

 

Operating expenses

 

 

 

 

 

 

   Research and development

 

 

 

4,609

 

3,314

   Sales and marketing

 

 

 

1,153

 

1,111

   General and administrative

 

 

 

2,628

 

2,919

   Depreciation and amortization

 

 

 

72

 

60

   Foreign exchange loss

 

 

 

55

 

168

Operating Expenses                                                                                    

 

 

 

8,517

 

7,572

Operating loss

 

 

 

8,460

 

7,501

 

 

 

 

 

 

 

Amortization of deferred financing costs

 

 

 

66

 

73

Financial charges (income), net

 

 

 

431

 

12,353

Other expense (income),net

 

 

 

              (22)

 

                 —

Loss before income taxes

 

 

 

8,935

 

19,927

Income taxes

 

 

 

33

 

25

Net Loss

 

 

 

8,968

 

19,952

 

 

 

 

 

 

 

Net Loss attributable to:

 

 

 

 

 

 

        BioAmber Inc. shareholders

 

 

 

8,258

 

19,911

        Non-controlling interest

 

 

 

710

 

41

 

 

 

 

8,968

 

19,952

Net Loss per share attributable to

 

 

 

 

 

 

         BioAmber Inc.  shareholders - basic

 

 

 

$         0.38

 

$         1.07

 

 

 

 

 

 

 

Weighted-average common shares

 

 

 

 

 

 

        outstanding- basic

 

 

 

21,838

 

18,560

 

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BioAmber Inc.

 

 

 

Consolidated Balance Sheet Information

 

 

 

(unaudited, in thousands)

 

 

 

 

As of        
March 31,
2015

 

As of        
December 31,
2014

Assets

$

 

$

Current assets:

 

 

 

Cash and cash equivalents

                      26,025

 

                      51,043

Accounts receivable

                           420

 

                           477

Inventories

                        1,980

 

                        1,802

Prepaid expenses and other current assets

                        2,550

 

                        3,770

  Total current assets

                      30,975

 

                      57,092

Property and equipment, net

                   105,093

 

                      88,665

Investment in equity method and cost investment

                           448

 

                              35

Intangible assets including goodwill

                        6,118

 

                        4,957

Restricted Cash

                           593

 

                           647

Deferred financing costs

                        1,108

 

                        1,044

   Total assets

                   144,335

 

                   152,440

 

 

 

 

Liabilities

 

 

 

Current Liabilities:

 

 

 

Accounts payable and accrued liabilities

                      17,153

 

                      17,443

Income taxes payable

                           223

 

                           204

Deferred grants

                        2,088

 

                        2,275

Short-term portion of long term debt

                        6,143

 

                        2,978

  Total current liabilities

                      25,607

 

                      22,900

Long-term debt

                      36,431

 

                      34,653

Warrants financial liability

                      12,720

 

                      13,040

Other long term liabilities

                           139

 

                           128

      Total liabilities

                      74,897

 

                      70,721

Redeemable non-controlling interest

                      21,854

 

                      24,190

Shareholders’ Equity

                      47,584

 

                      57,529

Total Liabilities and Shareholders’ Equity

                   144,335

 

                   152,440

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BioAmber Inc.

 

 

 

Consolidated Statements of Cash Flows

 

 

 

(unaudited, in thousands $)

 

 

 

 

 

 

 

 

Three Months ended
March 31,

 

2015

 

2014

 

$

 

$

Operating Activities

 

 

 

Net Loss

        (8,968)

 

      (19,952)

Adjustments to reconcile net loss to cash:

 

 

 

   Stock-based compensation

          1,508

 

          1,484

   Depreciation and amortization

               72

 

               60

   Warrant revaluation

        (320)

 

       11,600

   Accretion of end of term charge on long-term debt

          172

 

             236

   Amortization of deferred financing costs

               66

 

               73

   Change in working capital                                                    

1536

 

          1,621

    Other

               11

 

               11

Net cash used in operating activities

        (5,923)

 

        (4,867)

 

 

 

 

Investing Activities

 

 

 

Acquisition of property and equipment

      (29,055)

 

      (12,731)

Change in restricted cash

                —

 

           (678)

Investment in cost investment

           (413)

 

                —

Net cash used in investing activities

      (29,468)

 

      (13,409)

 

 

 

 

Financing Activities

 

 

 

Deferred financing costs

           (144)

 

                —

Issuance of long-term debt

          5,415

 

                —

Government grants

          4,076

 

                —

Net proceeds from issuance of shares including by a subsidiary

          2,065

 

          8,124

Net cash provided by financing activities

       11,412

 

          8,124

Foreign exchange impact on cash

        (1,039)

 

           (554)

Decrease in cash

      (25,018)

 

      (10,706)

Cash, beginning of period

       51,043

 

       83,728

Cash, end of period

       26,025

 

       73,022

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ANNEX A: Non-GAAP Financial Information

Adjusted Net Loss Attributable to BioAmber Inc. Shareholders

The Adjusted Net Loss Attributable to BioAmber Inc. Shareholders for quarter ended March 31, 2015 was $8.6 million, or a loss of $0.39 per share, compared to an Adjusted Net Loss Attributable to BioAmber Inc. Shareholders of $8.3 million, or a loss of $0.45 per share, for the same period in 2014.  Adjusted Net Loss Attributable to BioAmber Inc. Shareholders is a non-GAAP financial metric that excludes, for the quarter ended March 31, 2015 and March 31, 2014, the impact of the change in fair value of the warrants issued in connection with the IPO.

 

BioAmber presents Adjusted Net Loss Attributable to BioAmber Inc. Shareholders as a supplemental measure of BioAmber’s performance. The above items are excluded from BioAmber’s Adjusted Net Loss Attributable to BioAmber Inc. Shareholders because these items are non-cash in nature, or because the amount and timing of these items are either unpredictable or not driven by current operating results and renders comparisons with prior periods and competitors less meaningful.  BioAmber believes Adjusted Net Loss Attributable to BioAmber Inc. Shareholders is a useful measure for analysts and investors to evaluate BioAmber’s future ongoing performance as this measure allows for a more meaningful comparison of BioAmber’s projected cash earnings and performance with its historical results from prior periods and to the results of its competitors.  Adjusted Net Loss Attributable to BioAmber Inc. Shareholders corresponds more closely to the cash operating income generated from BioAmber’s business and allows investors to gain an understanding of the factors and trends affecting the ongoing cash earnings capabilities of BioAmber’s business.

 

Adjusted Net Loss Attributable to BioAmber Inc. Shareholders has certain limitations in that it does not take into account the impact of certain expenses to BioAmber’s consolidated statements of operations.  In evaluating Adjusted Net Loss Attributable to BioAmber Inc. Shareholders, you should be aware that in the future BioAmber may incur expenses similar to the adjustments in this presentation. BioAmber’s presentation of Adjusted Net Loss Attributable to BioAmber Inc. Shareholders should not be construed as an inference that BioAmber’s future results will be unaffected by unusual or non-recurring items. Adjusted Net Loss Attributable to BioAmber Inc. Shareholders is not a measurement of BioAmber’s financial performance under GAAP and should not be considered as an alternative to net income, operating income or any other performance measures derived in accordance with GAAP.


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BioAmber Inc.

 

 

 

 

Non-GAAP Financial Information

 

 

 

 

(unaudited, in thousands)

 

 

 

 

 

 

Three Months ended
March 31,

 

 

2015

 

2014

 

 

$

 

$

Net loss attributable to BioAmber Inc.  Shareholders

 

           8,258

 

         19,911

Deduct:

 

 

 

 

  Warrants Revaluation

 

             (320)

 

         11,600

Adjusted Net Loss attributable to

 

 

 

 

    BioAmber Inc. shareholders

 

           8,578

 

           8,311

 

 

 

 

 

Adjusted net loss per share attributable to

 

 

 

 

   BioAmber Inc. shareholders - basic

 

0.39

 

0.45

 

 

 

 

 

Weighted-average of common shares

 

 

 

 

   outstanding- basic

 

21,838

 

18,560

 

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