ADVENTRX Pharmaceuticals Reports First Quarter 2009 Financial Results
13 Mai 2009 - 12:20AM
PR Newswire (US)
SAN DIEGO, May 12 /PRNewswire-FirstCall/ -- ADVENTRX
Pharmaceuticals, Inc. (NYSE Amex: ANX) today reported financial
results for the three-month period ended March 31, 2009.
Three-Month Period Ended March 31, 2009 Operating Results
ADVENTRX's net loss was $3.2 million, or $0.03 per share, for the
three-month period ended March 31, 2009, compared to a net loss of
$5.9 million, or $0.07 per share, for the same period in 2008.
Included in the net loss for the three-month period ended March 31,
2009 were charges associated with the Company's October 2008 and
January and March 2009 reductions in force. Also included in the
net loss for the three-month period ended March 31, 2009 were
non-cash, share-based compensation expenses amounting to $0.2
million, compared to $0.6 million for the same period in 2008.
Research and development, or R&D, expenses decreased by $2.2
million, or 57%, to $1.6 million for the three-month period ended
March 31, 2009, from $3.8 million for the same period a year ago.
The decrease was primarily due to a $0.6 million decrease in
external clinical trial expenses related to CoFactor(R), a $1.0
million decrease in non-clinical expenses related to ANX-514 and
ANX-530, a $0.5 million decrease in personnel costs related to
reductions in staff and a $0.3 million decrease in share-based
compensation expense, offset by a $0.2 million increase in clinical
trial expenses related to ANX-514. R&D expenses for the
three-month period ended March 31, 2009 included non-cash,
share-based compensation expense amounting to less than $0.1
million, compared to $0.3 million for the same period a year ago.
Selling, general and administrative, or SG&A, expenses
decreased by $0.6 million, or 25%, to $1.8 million for the
three-month period ended March 31, 2009, from $2.4 million for the
same period a year ago. The decrease was primarily due to a $0.3
million decrease in personnel costs related to reductions in staff,
a $0.2 million decrease in legal and professional services and a
$0.1 million decrease in business insurance. SG&A expenses for
the three-month period ended March 31, 2009 included non-cash,
share-based compensation expenses amounting to $0.2 million,
compared to $0.3 million for the same period a year ago. Interest
and other income was negligible for the three-month period ended
March 31, 2009, compared to $0.3 million for the same period a year
ago. Balance Sheet Highlights As of March 31, 2009, the Company had
cash and cash equivalents totaling $5.3 million and stockholders'
equity of $3.0 million. About ADVENTRX Pharmaceuticals ADVENTRX
Pharmaceuticals is a biopharmaceutical company whose product
candidates are designed to improve the safety and commercial
potential of existing cancer treatments. In December 2008, the
Company announced that it is exploring a range of strategic
options, including the sale or disposition of one or more of its
product candidate programs, a strategic business merger and other
transactions that maximize the value of the Company's assets. In
January and March 2009, the Company announced headcount reductions
and cost containment measures to provide additional time to
consummate a strategic transaction or otherwise obtain financing.
In May 2009, the Company announced that the primary endpoint in its
bioequivalence study of ANX-514 was not met, that the resulting
uncertainty around the cost and timeline to FDA approval of ANX-514
may adversely impact the Company's on-going strategic transaction
discussions, and that, in light of its working capital, the Company
is evaluating both its strategic and non-strategic options. Forward
Looking Statements ADVENTRX cautions you that statements included
in this press release that are not a description of historical
facts are forward-looking statements that involve risks and
assumptions that, if they materialize or do not prove to be
accurate, could cause ADVENTRX's results to differ materially from
historical results or those expressed or implied by such
forward-looking statements. These risks and uncertainties include,
but are not limited to: the risk that ADVENTRX will liquidate its
assets, entirely wind-down its operations and dissolve; the risk
that, based on its current working capital, and the estimated costs
associated with seeking approval for and implementing a plan of
liquidation, ADVENTRX's remaining capital available for
distribution to its stockholders, if any, will be insignificant;
the risk that ADVENTRX will be unable to consummate a strategic or
partnering transaction or otherwise raise sufficient capital on a
timely basis, or at all, to continue as a going concern, including
as a result of negative perceptions of the data from its
bioequivalence study of ANX-514; the risk that ADVENTRX's recent
cost-containment measures, including the discontinuation of
substantially all of its development activities and fundamental
business operations and reduction in force to a small, select
number of full-time employees, will negatively impact its ability
to consummate a strategic transaction; the potential for regulatory
authorities to require additional preclinical work and/or clinical
activities to support regulatory filings, including prior to the
submission or the approval of a New Drug Application for ANX-530
and ANX-514, and the impact of increased uncertainty regarding the
need for such activities on strategic, partnering and
capital-raising transactions; the risk that the departure of
ADVENTRX's former Chief Executive Officer and President, its former
Executive Vice President and Chief Financial Officer and/or its
reduced workforce and leadership by officers who do not have
substantial previous experience in executive leadership roles will
negatively impact its ability to attract a strategic or other
partner, raise capital or maintain effective disclosure controls
and procedures or internal control over financial reporting; the
risk the FDA will determine that ANX-530 and Navelbine(R) and/or
ANX-514 and Taxotere(R) are not bioequivalent, including as a
result of performing pharmacokinetic equivalence analysis based on
a patient population other than the population on which ADVENTRX
based its analysis or determining that increased docetaxel
blood-levels during and immediately following infusion are
clinically relevant; the risk of investigator bias in reporting
adverse events as a result of the open-label nature of the ANX-530
bioequivalence study, including bias that increased the reporting
of adverse events associated with Navelbine and/or that decreased
the reporting of adverse events associated with ANX-530;
difficulties or delays in manufacturing, obtaining regulatory
approval for and marketing ANX-530 and ANX-514, including
validating commercial manufacturers and suppliers and the potential
for automatic injunctions regarding FDA approval of ANX-514; the
risk that the performance of third parties on whom ADVENTRX relies
to conduct its studies or evaluate the data, including clinical
investigators, expert data monitoring committees, contract
laboratories and contract research organizations, may be
substandard, or they may fail to perform as expected; the risk that
ADVENTRX's common stock will be delisted by the NYSE Amex
(formerly, the American Stock Exchange), including as a result of
failing to maintain sufficient stockholders' equity or a sufficient
stock price; the risk that ADVENTRX is unable to file timely
required reports with the Securities and Exchange Commission; the
risk that ADVENTRX will trigger a "maintenance failure" under that
certain Rights Agreement, dated July 27, 2005, as amended, and be
required to pay liquidated damages, including as a result of losing
its eligibility to use Form S-3 if its common stock is delisted
from the NYSE Amex or it is not timely in its filings with the
Securities and Exchange Commission; and other risks and
uncertainties more fully described in ADVENTRX's press releases and
periodic filings with the Securities and Exchange Commission.
ADVENTRX's public filings with the Securities and Exchange
Commission are available at http://www.sec.gov/. You are cautioned
not to place undue reliance on these forward-looking statements,
which speak only as of the date when made. ADVENTRX does not intend
to update any forward-looking statement as set forth in this press
release to reflect events or circumstances arising after the date
on which it was made. (Tables to Follow) ADVENTRX Pharmaceuticals,
Inc. (A Development Stage Enterprise) Summary Consolidated
Financial Information (In 000s except for per share data)
Consolidated Statement of Operations Data: Three months ended March
31, 2009 2008 (unaudited) (unaudited) Revenues $300 $- Operating
expenses: Research and development 1,647 3,820 In-process research
and development Selling, general and administrative 1,779 2,365
Depreciation and amortization 33 47 Total operating expenses 3,459
6,232 Loss from operations (3,159) (6,232) Interest / Other income
2 299 Loss before income taxes (3,157) (5,933) Provision for income
taxes - - Net loss $(3,157) $(5,933) Net loss per share - basic and
diluted $(0.03) $(0.07) Weighted average shares - basic and diluted
90,253 90,253 Balance Sheet Data: March 31, March 31, 2009 2008
(unaudited) (unaudited) Total cash and investments in securities
$5,307 $28,807 Net working capital 2,785 25,384 Total assets 6,191
29,854 Total liabilities 3,179 4,102 Stockholders' equity 3,012
25,752 DATASOURCE: ADVENTRX Pharmaceuticals, Inc. CONTACT: Brian M.
Culley, Principal Executive Officer of ADVENTRX Pharmaceuticals,
Inc., +1-858-552-0866, Fax, +1-858-552-0876 Web Site:
http://www.adventrx.com/
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