Replies to post #223841 on Biotech Values

[DewDiligence]

RVNC’s fully-diluted* share count at 2/22/19=49.3M. From page 74 of the 2018 10-K:

https://www.sec.gov/ix?doc=/Archives/edgar/data/1479290/000147929019000030/rvnc1231201810k.htm

As of February 22, 2019, the number of shares outstanding of our common stock is 44,028,590, which includes restricted stock awards.
We had outstanding common stock options of 4,363,688, outstanding common stock warrants of 34,113, unvested restricted stock awards of 843,853, and shares expected to be purchased on June 30, 2019 under the 2014 ESPP of 10,405 as of February 22, 2019.

*Non-treasury method.

[dewophile]

If we assume that January-February 2019 had operating cash burn at the midpoint of this range, then $25.5M has been burned between 12/31/18 and 2/28/19, leaving 2/28/19 working capital of $297.0M.

The earnings PR mentioned 295.5M as of 1/31/19, so the cash balance as of 2/28/19 is certainly less than 297M. I'm assuming the cash burn is higher the first half of the year as they hire a small army of writers etc. to put together the NDA

[DewDiligence]

Re: RVNC liquidity

RVNC’s 3/31/19 pro forma cash was $256.1M. This figure consists of the net current assets on the 3/31/19 balance sheet—excluding the “deferred revenue” line, which is an accounting artifact rather than bona fide liability (https://www.sec.gov/Archives/edgar/data/1479290/000147929019000050/rvncq11910q.htm#s6F955313026683DA87682C37877F2707 ).

The 3/31/19 pro forma cash of $256.1M was an increase of $71.6M relative to 12/31/18 (#msg-147253784). The $71.6M quarterly increase was due to: $108.0M net proceeds from the public offering announced on 1/17/19 (#msg-146164001); and 1Q19 operating cash burn of $36.4M.

RVNC’s guidance for 2019 operating cash burn is $148-158M (https://investors.revance.com/news-releases/news-release-details/revance-reports-first-quarter-2019-financial-results-and ). If we assume that April-May 2019 had operating cash burn at the midpoint of this range, then approximately $25.5M has been burned since 3/31/19, leaving current pro forma cash of approximately $230.6M.