SAN FRANCISCO–(BUSINESS WIRE)– TerraVia (TVIA), a next-generation food, nutrition and specialty ingredients company and pioneer in algae innovation, announced today results for the fourth quarter and full year ended December 31, 2016.
“2016 proved to be a defining year for TerraVia in streamlining around food, nutrition and specialty ingredients,” said Apu Mody, CEO of TerraVia. “The unique ability of our proprietary ingredients to address the growing demand for healthier and more sustainable products is gaining momentum in food, aquaculture, animal nutrition and specialty personal care. We have sharpened our focus around commercialization of several high-potential products that we expect will position TerraVia and the SB Oils JV to achieve accelerated growth and profitability. The AlgaPrime™ DHA expansion announced with BioMar (BMRN) and Bunge today is a key step in that direction.”
Results for the fourth quarter and full year highlight early progress in TerraVia’s refined strategic focus on food, nutrition and specialty ingredients. Recent developments include:
- Success of AlgaPrime™ DHA in Aquaculture Market Drives Increased Commercial Distribution
- TerraVia and Bunge Announce Seafoodia to Bring AlgaPrime™ DHA to EU Animal Nutrition Market
- TerraVia Appoints Food Industry Veteran Irene Chang Britt as Chairperson of the Board of Directors
- Thrive® Algae Oil Recognized by Consumers and Influencers for Exceptional Health and Culinary Benefits
- TerraVia’s Whole Algal Protein Gains Regulatory Approval from Health Canada Expanding Whole Algae Ingredients Approval Across North America
- TerraVia Announces Third Circuit Affirms Arbitration Award in Proceedings with Roquette Frères, S.A.
Financial results for the fourth quarter and full year of 2016 reflect progress in the Company’s transition to food, nutrition and specialty ingredients, and include the recently completed sale of a majority interest in the Algenist premium skin care line, which has been treated as a discontinued operation for prior periods.
Total revenue was $4.8 million compared with $5.4 million in the fourth quarter of 2015. GAAP net loss narrowed to $27.1 million for the fourth quarter of 2016, from a net loss of $34.7 million in the prior year period as the Company begins to benefit from reductions in cash operating expenditures. On a non-GAAP basis, the net loss also declined to $18.3 million for the fourth quarter of 2016, compared with net loss of $24.7 million in the prior year quarter.
Total revenue was $18.5 million compared with $22.9 million in the full year 2015. GAAP net loss narrowed to $101.6 million for 2016, from a net loss of $141.4 million in the prior year as the Company begins to benefit from reductions in cash operating expenditures. On a non-GAAP basis, the net loss also declined to $80.5 million for 2016, compared with net loss of $116.3 million in the prior year. A reconciliation of GAAP to non-GAAP net loss is included in the financial tables appended to this press release.
Excluding intercompany transactions, revenues from the 50.1% owned unconsolidated SB Oils JV totaled $4.3 million for the fourth quarter and $9.8 million for the full year versus $1.5 million in the fourth quarter of 2015 and $3.1 million for the prior year.
“We are pleased to have met our guidance provided on the Q3 earnings conference call. We ended the year with operational and commercial momentum, including the highest recorded revenue out of the SB Oils JV since its formation,” commented Tyler Painter, COO and CFO of TerraVia. “By aggressively managing our costs, focusing our commercial efforts, and engaging in strategic work with Rothschild, we are actively pursuing initiatives to maximize value for all of our stakeholders.”
TerraVia Holdings, Inc. will hold a conference call for investors on March 8, 2017 at 1:30 p.m. PT (4:30 p.m. ET). Investors may access the call by dialing 973-409-9250. A live webcast of the call will be available on the Investors section of www.terravia.com. A recording of the call will also be available by calling 404-537-3406; access code 73754339 beginning approximately two hours after the call, and will be available for one week. A webcast replay from today’s call will also be available on the Investors section of www.terravia.com approximately two hours after the call and will be available for up to thirty days.
TerraVia is a plant-based food, nutrition and specialty ingredients company that harnesses the power of algae, the mother of all plants and earth’s original superfood. With a portfolio of breakthrough ingredients and manufacturing, the Company is well positioned to help meet the growing need of consumer packaged goods and established and emerging food manufacturers to improve the nutritional profile of foods without sacrificing taste, and to develop select consumer brands. The Company also manufactures a range of specialty personal care ingredients for key strategic partners. Headquartered in South San Francisco, the Company’s mission is to create products that are truly better for people and better for the planet. For additional information, please visit TerraVia’s website at www.terravia.com.