FREMONT, CA, May 16, 2022 (GLOBE NEWSWIRE) — via NewMediaWire–ABVC BioPharma, Inc. (Nasdaq: ABVC), a clinical stage biopharmaceutical company developing therapeutic solutions in oncology/hematology, CNS, and ophthalmology, today announced its financial and operating results for the first quarter of 2022. First Quarter 2022 Financial Results All comparisons are made on a year-over-year basis. Revenues. The Company generated $25,660 and $263,150 in revenues for the three months ended March 31, 2022 and 2021, respectively. The decrease in revenues was mainly due to the impact of COVID-19 on the Contract Development & Manufacturing Organization (“CDMO”) business sector. Operating Expenses increased by $4,727,835 to $6,242,485 for the three months ended March 31, 2022 from $1,514,650 for the three months ended March 31, 2021. The increase in operating expenses was mainly attributable to the increase in stock-based compensation and selling, general and administrative expenses by $4,489,746, which relates to costs in conjunction with the recent stock issuance, as well as the increase in research and development expenses of $238,089 to continue developing the Company’s pipeline.Other Income (Expense) was $44,239 and $6,398 for the three months ended March 31, 2022 and 2021, respectively. The change was principally caused by the increase in rental income and decrease in interest expense, as well as the loss on investment in equity securities and government grant income, which occurred in the three months ended March 31, 2021.Net interest income (expense) was $21,962 for the three months ended March 31, 2022, compared to $(77,700) for the three months ended March 31, 2021. The increase of $99,662, or approximately 128%, was primarily due to the repayment of convertible notes payable during the year ended 2021. Government grant income totaled $0 for the three months ended March 31, 2022, compared to $124,400 for the three months ended March 31, 2021, which was recorded as receipt of the first round of PPP loan forgiveness.Net Loss was $6,087,615 for the three months ended March 31, 2022 compared to $1,195,323 for the three months ended March 31, 2021. Recent 2022 Highlights Engaged the FreeMind Group to help explore and identify funding opportunities from non-dilutive sources, such as the NIH, DOD, NSF, FDA and BARDA, as well as private foundations.All five clinical study sites in Taiwan participating in the Phase II part 2 clinical study of the company’s ADHD medicine completed site initiation visits (SIV). The Company entered into a $3.0 million clinical services contract with NeuCen BioMed Co. Ltd. to guide two NeuCen drug products, CEN501 and NEU001, through completion of Phase II clinical studies under U.S. FDA IND regulatory requirements.The first subject treatment in the Phase II part 2 clinical study of the Company’s ADHD medicine (ABV-1505) began at the Cheng Hsin General Hospital. The study is a randomized, double-blind, placebo-controlled study, involving a total of approximately 100 patients in the United States and Taiwan. This is a continuation of the Phase II part 1 study of ABV-1505, which was completed successfully at the University of California, San Francisco, and accepted by the U.S. FDA in October 2020. About ABVC BioPharma, Inc. ABVC BioPharma is a clinical-stage biopharmaceutical company with an active pipeline of six drugs and one medical device (ABV-1701/Vitargus®) under development. For its drug products, it is focused on utilizing its licensed technology to conduct proof-of-concept trials through Phase II of the clinical development process at world-famous research institutions (such as Stanford University, University of California at San Francisco, and Cedars-Sinai Medical Center). For Vitargus®, the Company intends to conduct the clinical trials through Phase III at various locations throughout the globe. Forward-Looking Statements Clinical trials are in early stages, and there is no guarantee that any specific outcome will be achieved. This press release contains “forward-looking statements.” Such statements may be preceded by the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential,” or similar words. Forward-looking statements are not guarantees of future performance, are based on certain assumptions, and are subject to various known and unknown risks and uncertainties, many of which are beyond the Company’s control, and cannot be predicted or quantified, and, consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. Such risks and uncertainties include, without limitation, risks and uncertainties associated with (i) our inability to manufacture our product candidates on a commercial scale on our own, or in collaboration with third parties; (ii) difficulties in obtaining financing on commercially reasonable terms; (iii) changes in the size and nature of our competition; (iv) loss of one or more key executives or scientists; and (v) difficulties in securing regulatory approval to proceed to the next level of the clinical trials or to market our product candidates. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company’s filings with the Securities and Exchange Commission (SEC), including the Company’s Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q. Investors are urged to read these documents free of charge on the SEC’s website at http://www.sec.gov. The Company assumes no obligation to publicly update or revise its forward-looking statements as a result of new information, future events or otherwise. This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that state or jurisdiction. Contact ICR, LLCLucy PengPhone: +1 646-677-1872Email: Lucy.Peng@icrinc.com ABVC BIOPHARMA, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS March 31, December 31, 2022 2021ASSETS Current Assets Cash and cash equivalents$ 2,717,936 $ 5,828,548 Restricted cash and cash equivalents 714,652 736,667 Accounts receivable, net 281,197 280,692 Accounts receivable – related parties, net 145,399 145,399 Due from related parties 2,715,375 1,286,618 Inventory, net 22,700 25,975 Short-term investments 95,553 108,147 Prepayment for long-term investments 663,798 684,720 Prepaid expense and other current assets 631,321 528,354 Total Current Assets 7,987,931 9,625,120 Property and equipment, net 598,648 525,881 Operating lease right-of-use assets 1,382,695 1,471,899 Goodwill, net – – Long-term investments 904,254 932,755 Deferred tax assets 1,036,830 981,912 Prepaid expenses – noncurrent 115,664 119,309 Security deposits 40,733 41,157 Total Assets $ 12,066,755 $ 13,698,033 LIABILITIES AND EQUITY Current Liabilities Short-term bank loans$ 1,609,750 $ 1,640,000 Accrued expenses and other current liabilities 1,247,558 1,300,803 Advance from customers 10,985 10,985 Operating lease liability – current portion 349,008 347,100 Due to related parties 446,397 393,424 Total Current Liabilities 3,663,698 3,692,312 Tenant security deposit 7,980 10,580 Operating lease liability – noncurrent portion 1,033,686 1,124,799 Total Liabilities 4,705,364 4,827,691 Equity Preferred stock, $0.001 par value, 20,000,000 authorized, nil shares issued and outstanding – – Common stock, $0.001 par value, 100,000,000 authorized, 30,307,329 and 28,926,322 shares issued and outstanding 30,307 28,926 Additional paid-in capital 62,578,549 58,113,667 Stock subscription receivable (2,031,660) (2,257,400) Accumulated deficit (44,476,640) (38,481,200) Accumulated other comprehensive income 426,321 539,660 Treasury stock (9,100,000) (9,100,000) Total Stockholders’ equity 7,426,877 8,843,653 Noncontrolling Interest (65,486) 26,689 Total Equity 7,361,391 8,870,342 Total Liabilities and Equity $ 12,066,755 $ 13,698,033