Earnings Labs

Biofrontera Inc. (BFRI)

Q1 2022 Earnings Call· Fri, May 13, 2022

$1.12

-0.88%

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Transcript

Operator

Operator

Dear ladies and gentlemen, welcome to the conference call of Biofrontera AG. At our customer's request, this conference will be recorded. As a reminder, all participants will be in a listen-only mode. After the presentation, there will be an opportunity to ask questions. [Operator Instructions] May I now hand you over to Anke zur Mühlen, who will lead you for this conference. Please go ahead. Anke zur Mühlen: Hello and welcome to Biofrontera's Earnings Conference Call for the First Quarter 2022. On Tuesday, we issued a press release announcing the financial results for the 3 months ended March 31, 2022. We encourage everyone to read the press release as well as the quarterly report, both of which are available on our website. We would like to remind you that in today's conference call, we will only provide a summary of the results. We caution the audience that Biofrontera's management will make forward-looking statements during this conference call. Actual results may differ materially from those expressed or implied by such forward-looking statements due to the risks and uncertainties associated with the Company's business. This conference call contains time-sensitive information that is accurate only as of the date of this live broadcast, today May 19, 2022. Biofrontera undertakes no obligation to revise or update any forward-looking statements to reflect events or circumstances after the date of this conference call. With that, I would now like to turn it over to our CFO, Ludwig Lutter.

Ludwig Lutter

Analyst

Thank you, Anke, and many thanks to you, our shareholders, for taking the time to participate in our first quarter 2022 earnings conference call. I would like to give you a brief update on the first 3 months of fiscal 2022 and then present the financial results in a bit more detail. The first quarter is unique -- was unique for Biofrontera because following the deconsolidation of Biofrontera Inc. in December, we're now accounting for the revenue contribution of the U.S business as license revenue for the first time. And in parallel, the operating expenses of the U.S business have been completely eliminated. In sum, we were able to bring Biofrontera AG into the profit zone for this first -- for this quarter, with an overall increase in sales of 20% compared to the same quarter of the previous year, and that despite the consolidation. In the first quarter, Biofrontera generated sales of €6.6 million, which corresponds to the abovementioned increase of about 20% compared to previous year's figure of €5.5 million. In this quarter, we received revenues of €4.8 million from our former subsidiary Biofrontera Inc., which generated revenues of €3.8 million in the same period of the previous year. This represents an increase of U.S sales and just of -- just south of 25%. In contrast, sales in Germany were 17% below the previous year's result of €1.4 million at €1.2 million. However, we were able to more than compensate this decline with a positive sales performance in the rest of Europe with an increase of 140% to €636,000 versus €265,000 last year. More details on this in a minute. Operationally, there were also some very favorable news. The listing of the recently granted patent around the new RhodoLED XL lamp in the FDA Orange Book and the…

Operator

Operator

Q - A -

Ludwig Lutter

Analyst

Well, thank you. Yes, after a really favorable quarter looking back and a nice outlook, I can understand that there are not that many questions out there. So we're reasonably happy and satisfied with our business right now. And therefore, I'd like to thank you for your time for listening in and look forward to hopefully presenting some equivalently nice numbers and developments during our next call for the half year review. Thank you very much, and bye.

Operator

Operator

Ladies and gentlemen, thank you for your attendance. This call has been concluded. You may disconnect.