TearLab Corp (NASDAQ: TEAR) has set for itself a number of goals to achieve in 2016. After posting positive results in 2Q2016, the management feels more confident that those goals will be met and hopefully exceeded.
Among the targets that TearLab Corp. (NASDAQ: TEAR) is pursuing in 2016 is annual revenue growth in the range of 13% to 18%.
TearLab expects its cash burn in 2016 to be in the band of $6 to $6.5 million. The company added that additional R&D cost will consume $1.5 million in the current year.
It is worth noting that TearLab’s cash burn in 2Q2016 was $2.6 million, down from $4 million in the prior quarter.
CE mark approval
TearLab Corp. (NASDAQ:TEAR) is still pursuing CE approval from the European Union and it believes that it will attain the mark approval before the end of 2016. Once the CE approval has been awarded, the company hopes to use it to build clinical data as well as registration file for a 510K submission to the U.S. FDA. The submission to the FDA is expected in 1H2017.
How TearLab Corp (NASDAQ:TEAR) fared in 2Q
TearLab generated revenue of $6.9 million in 2Q2016, which rose 9% over the same quarter last year. Adjusted EPS loss for the quarter was $0.08 after accounting for the new capital the company generated in May. That improved from adjusted EPS loss of $0.14 in the comparable quarter a year ago.
TearLab Corp (NASDAQ:TEAR) raised $17.3 million in gross proceeds from equity offering in May. That enabled the company to complete 2Q 2ith cash of $20.1 million. The company’s balance sheet reflected debt of $25.52 million.
Commenting on 2Q2016 results, TearLab Corp. (NASDAQ: TEAR)’s CEO, Seph Jensen, recalled that they achieved a number of important milestone during the quarter under review. One of those milestones was the completion of a financing round that provided TearLab with a long runway and helped to strengthen the balance sheet. Another milestone was the implementation of a new sales model that is both driving sales and saving money.
CEO Jensen said that in 2016 and beyond, the management will focus on investing in new generation profiles with the hope of boosting sales and profits.