TYRATECH • ANNUAL REPORT 2014 • PAGE 32
N o t e s t o C o n s o l i d at e d F i n a n c i a l
S t at e m e n t s ( c o n t ' d )
collaborative arrangements, and proceeds from technology
licensing agreements.
The Company's future capital requirements will depend on
many factors. For example, i) the level of product sales of the
Company's currently marketed products and any additional
products that may be marketed in the future; ii) the scope,
progress, results, and costs of development activities for current
product candidates; iii) the costs of commercialisation activities
including product marketing, sales, and distribution; and iv) the
costs of preparing, filing, and prosecuting patent applications
and maintaining, enforcing, and defending claims to intellectual
property.
As of 31 December 2014, the Company had approximately
$2.2 million in cash and cash equivalents. The Company has no
indebtedness as of 31 December 2014.
The Company has produced monthly forecasts to the end of 2016,
which indicate the Company will have sufficient cash to meet
its working capital needs through the next twelve months based
upon the following forecast assumptions: existing cash and cash
equivalents, its current operating plans, anticipated revenues
from product sales and other collaborative arrangements, and
the ability to control costs as a result of the Company's cost
minimisation program. However, there can be no assurance,
based upon the Company's existing cash and cash equivalents,
its current operating plans, anticipated revenues from product
sales and other collaborative arrangements, and the ability to
control costs as a result of the Company's cost minimisation
program, that the Company will have sufficient cash to meet
its working capital needs through the next twelve months. As
such, to the extent the Company's capital resources are
insufficient to meet future capital requirements, the Company
will need to finance its cash needs through public or private
equity offerings, debt financings, corporate collaboration
and licensing arrangements, or other financing alternatives.
Currently, the Company has no committed external sources
of funds, and additional equity or debt financing, or corporate
collaboration and licensing arrangements, may not be available
on acceptable terms, if at all.
(3) ACCOUNTS RECEIVABLE
Accounts receivable as of 31 December 2014 and 2013 consist of:
2014 2013
in $000's in $000's
Trade $845 $84
Other 64 1
$909 $85
(4) INVENTORIES
Inventories as of 31 December 2014 and 2013 consist of:
2014 2013
in $000's in $000's
Raw Materials $429 $63
Finished Goods 496 0
$925 $63
The application of lower of cost or market to the 2014 and 2013
inventories resulted in zero write-offs for the years ended 31
December 2014 and 2013. Inventory classification is determined
by the stage of the manufacturing process the specific inventory
item represents.
(5) PROPERTY AND EQUIPMENT
Property and equipment as of 31 December 2014 and 2013
consist of:
2014 2013
in $000's in $000's
Leasehold improvements $785 $785
Furniture, fixtures and equipment 549 549
Computer equipment and software 260 248
1,594 1,582
Less: Accumulated depreciation (1,510) (1,415)
$84 $167
Depreciation expense of $0.1 million (2013: $0.1 million) is reflected
in general and administrative expense in the accompanying
consolidated statements of operations.
