BioChem Pharma Announces Second Quarter Results; Significant Growth in Net Income.LAVAL Laval, city, Canada Laval, city (1991 pop. 314,398), coextensive with Île-Jésus (94 sq mi/243 sq km), S Que., Canada, between the Rivière des Mille Îles and the Rivière des Prairies, just NW of Montreal. , Quebec--(BUSINESS WIRE)--July 23, 1997--BIOCHEM PHARMA Pharma may be an abbreviation for:
TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :BCH BCH Beach BCH Banco Central de Honduras BCH Boot Console Handler BCH Boulder Community Hospital (Boulder, CO, USA) BCH Broadcast Channel BCH Belfast City Hospital BCH Banco Central-Hispano ., Nasdaq:BCHXF.) BioChem Pharma Inc. today reported significant revenue and earnings growth for both the second quarter and six months of 1997 over the same periods last year. All figures, unless specified spec·i·fy tr.v. spec·i·fied, spec·i·fy·ing, spec·i·fies 1. To state explicitly or in detail: specified the amount needed. 2. To include in a specification. 3. otherwise, are in Canadian dollars Noun 1. Canadian dollar - the basic unit of money in Canada; "the Canadian dollar has the image of loon on one side of the coin" loonie dollar - the basic monetary unit in many countries; equal to 100 cents . All per share amounts reflect the Company's two-for-one common share split which took effect on April 7, 1997. Net income increased fivefold fivefold Adjective 1. having five times as many or as much 2. composed of five parts Adverb by five times as many or as much Adj. 1. to $21.5 million, or $0.20 per share, for the quarter ended June June: see month. 30, 1997, compared to earnings of $4.1 million, or $0.04 per share, for the year-earlier period. Total revenue was $73.4 million for the second quarter 1997, up 29 percent from $56.9 million in the year-earlier period. This improvement in revenue and net income is due mainly to sharply higher royalty Compensation for the use of property, usually copyrighted works, patented inventions, or natural resources, expressed as a percentage of receipts from using the property or as a payment for each unit produced. revenue received on increasing worldwide sales of 3TC(R)/Epivir(TM), the Company's discovery for the treatment of HIV HIV (Human Immunodeficiency Virus), either of two closely related retroviruses that invade T-helper lymphocytes and are responsible for AIDS. There are two types of HIV: HIV-1 and HIV-2. HIV-1 is responsible for the vast majority of AIDS in the United States. infection and AIDS. Royalty revenue on worldwide sales of 3TC in the second quarter of 1997 grew to $32.9 million, compared to $10.3 million for the year-earlier period and up from $24.6 million in the first quarter of 1997. Worldwide sales of 3TC in the second quarter of 1997 increased to $266.9 million ($193.1 million US), compared to $75.3 million ($55.2 million US) in the year-earlier period and up 40 percent from $187.4 million ($138.0 million US) in the first quarter of 1997. "We are very pleased with our second quarter results," said Dr. Francesco Bellini Francesco Bellini (born 12 October 1978) is an Luxembourgian footballer of Italian descent. He plays as a defender for Luxembourgian club FC Mamer 32. After some years playing for the youth teams at CA Spora Luxembourg (where he won the national cup) and the senior team of , President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , BioChem Pharma Inc. "Worldwide sales of 3TC continue to grow and regulatory reg·u·late tr.v. reg·u·lat·ed, reg·u·lat·ing, reg·u·lates 1. To control or direct according to rule, principle, or law. 2. filings seeking approval of BioChem's discovery lamivudine lamivudine /la·miv·u·dine/ (lah-miv´u-den) a nucleoside analogue that inhibits reverse transcriptase, used as an antiviral agent in the treatment of chronic hepatitis B and, in combination with zidovudine, the treatment of HIV infection , for the treatment of chronic hepatitis Chronic hepatitis Long lasting inflammation of the liver due to viruses or other causes. Mentioned in: Tube Compression of the Esophagus and Stomach chronic hepatitis B infection, are due to begin shortly in Asia by the licensee licensee n. a person given a license by government or under private agreement. (See: license, licensor) LICENSEE. One to whom a license has been given. 1 M. Q. & S. 699 n. , Glaxo Wellcome This article is about the supermarket chain. For the pharmaceutical entrepreneur, see Henry Wellcome. For the charity and related companies, see Wellcome Trust. Wellcome (Chinese: 惠康 . We look forward to pursuing these and other developments in our pipeline, such as our novel cell-culture influenza vaccine influenza vaccine Flu vaccine A vaccine recommended for those at high risk for serious complications from influenza: > age 65; Pts with chronic diseases of heart, lung or kidneys, DM, immunosuppression, severe anemia, nursing home and other chronic-care which recently successfully completed Phase I, so that we can continue to deliver significant earnings growth in the quarters and years ahead," Bellini Bellini (bĕl-lē`nē), illustrious family of Venetian painters of the Renaissance. Jacopo Bellini (yä`kōpō), c.1400–1470, was a pupil of Gentile da Fabriano. added. Operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. this past quarter increased to $46.9 million, compared to $44.3 million for the same period last year, resulting principally from increased legal fees related to the Company's ongoing intellectual property protection activities. The Company's R&D expenditure for the second quarter was $8.6 million, a 5 percent increase over $8.2 million for the same period last year. For the six months ended June 30, 1997, BioChem Pharma posted a sixfold sixfold Adjective 1. having six times as many or as much 2. composed of six parts Adverb by six times as many or as much Adj. 1. increase in net income of $34.1 million, or $0.32 per share, compared to net income of $5.5 million, or $0.05 per share, for the year-earlier period. This increase is again mainly due to increased royalty revenue on worldwide sales of the company's discovery 3TC for the treatment of HIV infection and AIDS. Revenue for the first six months of 1997 grew to $136.7 million, compared to $107.8 million for the year-earlier period. This increase is mainly due to an increase in royalty revenue which grew to $57.5 million for the six months ended June 30, 1997, compared to $17.9 million for same period last year. Thus, sales of 3TC worldwide, by Glaxo Wellcome, including in Canada Canada (kăn`ədə), independent nation (2001 pop. 30,007,094), 3,851,787 sq mi (9,976,128 sq km), N North America. Canada occupies all of North America N of the United States (and E of Alaska) except for Greenland and the French islands of by Glaxo Wellcome in partnership with BioChem Pharma, have grown to $454.3 million ($331.1 US) for the six months ended June 30, 1997, compared to $131.0 million ($95.9 US) for the year-earlier period. Operating expenses for the first six months of 1997 were $89.4 million, compared to $88.5 million for the same period last year. As of June 30, 1997, the Company posted total assets of $617.3 million, a 13 percent increase compared with $544.8 million the year earlier. The cash balance and short-term Short-term Any investments with a maturity of one year or less. short-term 1. Of or relating to a gain or loss on the value of an asset that has been held less than a specified period of time. investments as of June 30, 1997, amounted to $325.6 million, up from $291.7 million a year earlier. Working capital amounted to $388.1 million as of June 30, 1997, compared to $337.6 million last year. The Company ended the second quarter of 1997 with shareholders' equity Shareholders' Equity A firms' total assets minus its total liabilities. Equivalently, it is share capital plus retained earnings minus treasury shares. Shareholders' equity is the amount by which a company is financed through common and preferred shares. of $451.0 million, on posted assets of $617.3 million, representing a capitalization rate Capitalization Rate According to the Appraisal Institute, it is a method used to convert an estimate of a single year's income expectancy into an indication of value in one direct step, by dividing the income estimate by an appropriate rate. of 73 percent. BioChem Pharma is an international biopharmaceutical company dedicated to the research, development and commercialization of innovative products for the prevention, detection, and treatment of human diseases. The Company's shares are traded on the Montreal Montreal (mŏn'trēôl`), Fr. Montréal (môNrāäl`), city (1991 pop. 1,017,666), S Que., Canada, on Montreal island, surrounded by St. Lawrence River and Rivière des Prairies. and Toronto Stock Exchanges Toronto Stock Exchange (TSE) Canada's largest stock exchange, trading approximately 1,200 company stocks and 33 options. (BCH) and on NASDAQ National Market (BCHE BChE abbr. Bachelor of Chemical Engineering ). This press release contains forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. which reflect the company's current expectation regarding future events. The forward-looking statements involve risks and uncertainties. Actual events could differ materially from those projected herein and depend on a number of factors including the ongoing successful commercialization of 3TC, the success of the company's research strategy, the applicability of the discoveries made therein, the successful and timely completion of clinical studies, the successful defense of challenges to the Company's patents and the uncertainties related to the regulatory process. Investors should consult the Company's ongoing quarterly filings, annual reports and 20-F filings for additional information on risks and uncertainties relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc these forward-looking statements. The Company disclaims any obligation to update these forward-looking statements. -0-
BIOCHEM PHARMA INC.
CONSOLIDATED STATEMENT OF EARNINGS
QUARTERS AND SIX MONTHS ENDED JUNE 30, 1997 AND 1996
(Unaudited)
In thousands of Canadian dollars except per share information
Quarter ended
June 30, June 30,
1997 1996
_______________________
$ $
Operating revenue
Sales 34,978 41,052
Royalties 32,878 10,275
Interest 3,001 4,042
Other revenue 2,512 1,567
_______________________
73,369 56,936
_______________________
Expenses
Cost of sales 16,845 19,689
Selling and administrative 19,956 14,406
Milestone repayments - 62
Research and development 8,586 8,171
Financial 1,483 1,939
_______________________
46,870 44,267
_______________________
Operating income 26,499 12,669
Amortization (3,023) (2,881)
_______________________
Earnings before income
taxes and other 23,476 9,788
Income taxes (1,171) (1,352)
Non-controlling interest 468 (4)
Share of loss of an affiliated
company (1,257) (4,335)
_________________________
Net income 21,516 4,097
_________________________
_________________________
Earnings per common
share (Note 1) 0.20 0.04
_________________________
_________________________
Note 1: The weighted average number of common shares outstanding
and the earnings per common share reflect the two-for-one common
stock split that took effect April 7, 1997.
Six months ended
June 30, June 30,
1997 1996
_______________________
$ $
Operating revenue
Sales 69,592 81,400
Royalties 57,504 17,899
Interest 5,850 5,868
Other revenue 3,765 2,677
________________________
136,711 107,844
________________________
Expenses
Cost of sales 33,605 38,307
Selling and administrative 35,713 29,757
Milestone repayments - 1,408
Research and development 16,178 15,051
Financial 3,938 3,938
_______________________
89,434 88,461
_______________________
Operating income 47,277 19,383
Amortization (5,610) (5,632)
_______________________
Earnings before income
taxes and other 41,667 13,751
Income taxes (1,870) (2,528)
Non-controlling interest 941 (86)
Share of loss of an
affiliated company (6,595) (5,612)
_______________________
Net income 34,143 5,525
_______________________
_______________________
Earnings per common
share (Note 1) 0.32 0.05
_______________________
_______________________
Weighted average number
of common shares
outstanding (Note 1) 108,064,578 105,091,648
Note 1: The weighted average number of common shares outstanding
and the earnings per common share reflect the two-for-one common
stock split that took effect April 7, 1997.
BIOCHEM PHARMA INC.
CONSOLIDATED BALANCE SHEET
AS AT JUNE 30, 1997 AND 1996
(Unaudited)
In thousands of Canadian dollars
June 30, June 30
1997 1996
___________ ___________
$ $
ASSETS
Current assets
Cash and temporary investments 325,625 291,718
Accounts receivable 100,700 95,571
Inventories 32,511 33,830
Prepaid expenses 3,598 3,325
_______ _______
462,434 424,444
Investment in an affiliated company 5,567 10,669
Other investments 24,180 13,202
Capital assets 94,504 69,110
Goodwill 23,327 24,591
Other assets 7,306 2,793
_______ _______
617,318 544,809
_______ _______
_______ _______
LIABILITIES
Current liabilities
Bank indebtedness 19,904 23,648
Accounts payable and accrued
liabilities 44,204 42,022
Unearned revenue 2,247 2,970
Income taxes payable 3,164 4,413
Current portion of long-term debt 4,772 13,767
________ ________
74,291 86,820
Long-term debt 75,146 57,053
Deferred income taxes 99 1,083
Other liabilities 4,079 5,891
Non-controlling interest 12,716 7,369
SHAREHOLDERS' EQUITY 450,987 386,593
_______ _______
617,318 544,809
_______ _______
_______ _______
BIOCHEM PHARMA INC.
CONSOLIDATED STATEMENT OF CHANGES IN FINANCIAL POSITION
QUARTERS AND SIX MONTHS ENDED JUNE 30, 1997 AND 1996
(Unaudited)
In thousands of Canadian dollars
________________________________
Quarter ended Six months ended
June 30, June 30, June 30, June 30,
1997 1996 1997 1996
_______ _______ _______ _______
$ $ $ $
Cash provided by (used
for) the following
activities:
OPERATING ACTIVITIES
Net income 21,516 4,097 34,143 5,525
Non-cash items
Amortization 3,023 2,881 5,610 5,632
Share of loss of an
affiliated company 1,257 4,335 6,595 5,612
Non-controlling interest (468) 4 (941) 86
Deferred income taxes 56 (67) (454) (161)
Other 174 (223) 884 (316)
_______ _______ _______ _______
25,558 11,027 45,837 16,378
Changes in non-cash
working capital items (6,054) (9,181) (16,277) (16,440)
_______ _______ _______ _______
19,504 1,846 29,560 (62)
_______ _______ _______ _______
FINANCING ACTIVITIES
Issuance of common
shares 1,704 1,262 1,975 246,713
Non-controlling interest 1,250 - 1,250 2,500
Increase in long-term
debt 3,400 - 6,649 30
Repayment of long-term
debt (451) (4,317) (887) (4,927)
Other 12 (31) 105 (48)
_______ _______ _______ _______
5,915 (3,086) 9,092 244,268
_______ _______ _______ _______
INVESTING ACTIVITIES
Acquisition of
investments (5,784) (783) (10,754) (7,624)
Acquisition of capital
assets (14,171) (6,095) (23,444) (9,949)
Disposal of capital
assets 32 313 146 629
Other (866) (947) (1,016) (886)
_______ _______ _______ _______
(20,789) (7,512) (35,068) (17,830)
_______ _______ _______ _______
Foreign currency
translation adjustment (3) 704 367 477
_______ _______ _______ _______
Increase (decrease) in
cash position 4,627 (8,048) 3,951 226,853
Cash position,
beginning of period 301,094 276,118 301,770 41,217
_______ _______ _______ _______
Cash position, end of
period 305,721 268,070 305,721 268,070
_______ _______ _______ _______
_______ _______ _______ _______
Cash position comprises cash and temporary investments, less bank
indebtedness.
CONTACT: BioChem Pharma Inc. Christine Lennon Len·non , John 1940-1980. British musician and composer who was a member of the Beatles. With Paul McCartney he wrote many of the group's songs, including "I Want to Hold Your Hand" and "Ticket to Ride." Noun 1. , 514/978-7771 corpcom@biochem-pharma.com |
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