This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Verenium Corporation's CEO Discusses Q4 2011 Results - Earnings Call Transcript

I will now turn the call over to Jamie.

James Levine

Thanks Kelly, and good morning everyone. Thank you for joining us. 2011 was an important and productive year for Verenium as we continued to build and maximize our product portfolio, which addresses the large and growing industrial enzymes market. I’d like to start today by discussing the news related to our financing strategy we announced in this morning’s press releases and SEC filings.

This morning, we launched a tender offer for our outstanding convertible notes pursuant to the provisions allowing holders to put their notes to the Company on April 2. In anticipation of this event, over the past month we have been exploring a number of options to address the Company’s funding requirements. We are currently working on two primary strategies: a potential financing to raise capital, and the potential sale of the Company. With regard to a financing, we have continued to advance discussions regarding the issuance of new equity or equity-linked securities. Regarding the potential sale, we are actively evaluating proposals we have received to acquire 100% of the stock of the Company. We remain committed to developing the most favorable outcome for all of our stakeholders. Given these conversations are ongoing, we are unable to provide additional details at this time but look forward to providing continued updates as appropriate.

I’d now like to turn to some of the progress made by the business in 2011. I’ll start with our financial performance for the year in relation to the 2011 guidance we previously announced. Jeff will go into greater detail in the financial section of this call, but to summarize, in 2011 we increased total revenue to just over $61 million, slightly higher than our revenue guidance range. We grew product gross margin to $21.5 million, within our guidance range. We increased R&D spend to $11 million, within our target range. We significantly decreased our SG&A spend to approximately $19 million, coming in below our guidance range, and we spent a total of $6.5 million in capital expenditures, within our target range, primarily for the build-out of our new facility in San Diego. I’m pleased with our financial performance in 2011, including our ability to meet our financial guidance and grow the business, especially given the current state of the economy and it’s effects on the industries we serve.

2 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,279.74 +13.75 0.08%
S&P 500 2,010.40 -0.96 -0.05%
NASDAQ 4,579.7890 -13.6380 -0.30%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs