EMERYVILLE, Calif., March 16, 2020 /PRNewswire/ --Amyris, Inc. (NASDAQ:AMRS), a global science and technology leader of pure, sustainable ingredients for the Health & Wellness, Clean Beauty and Flavors & Fragrances markets, today announced Amyris management will be holding virtual 1X1 investor meetings today with investors due to the cancellation of the 32nd Annual Roth Conference because of COVID-19.
Amyris management has updated its investor presentation available to investors as filed on a Form 8-K this morning. The updated investor presentation includes a current debt schedule, warrant information, share count, and quarterly renewable product gross margin breakdown to provide more clarity following the company's fourth quarter 2019 earnings teleconference last Thursday and also includes a detailed breakdown of the company's business activity and outlook.
"We are on track for the fourth consecutive quarter of product gross margin expansion coupled with exceeding our overall recurring revenue objective for our products," said John Melo, Amyris President and CEO. "Our product gross margin for existing products was 36% in the fourth quarter of 2019, which was an improvement from 3% in the first quarter of 2019. We are on track for about 48% product gross margin in the first quarter of 2020. Our overall Amyris corporate gross margin for the first quarter is on track to exceed 60%. Our consumer brands are delivering very strong sales performance in the first quarter with expected gross margin around 67%. Our branded direct to consumer business is delivering our strongest growth to date at over 310% at over 80% gross margin. Based on current performance, our 2020 consumer business in on track for about $100 million in retail sales and around $60 million of GAAP revenue. The consumer business for our brands is about 1/3 of our product revenue and does not include any ingredient sales to other brands."
During the first quarter of this year, the company retired about $70 million of debt and added over $57 million of additional cash proceeds to its balance sheet. Most of this was accomplished through the exercise of warrants by Amyris's long-term shareholders. The company now has $196 million in debt (net of debt discount) with 67% of total debt in the hands of long-term shareholders or board members with a significant equity ownership in Amyris.