CollaGenex Pharmaceuticals, Inc. Reports Third Quarter 2000 Revenues of $5.5 Million vs. $4.3 Million in Third Quarter 1999.Business Editors NEWTOWN, Pa.--(BUSINESS WIRE)--Oct. 24, 2000 CollaGenex Pharmaceuticals, Inc. (Nasdaq:CGPI CGPI Corporate Goods Price Index (Japan) CGPI Capital Goods Price Index (New Zealand) ) announced net revenues of $5.5 million in the third quarter of 2000 compared to $4.3 million in the third quarter of 1999. The net loss allocable al·lo·ca·ble adj. Capable of being allocated. Adj. 1. allocable - capable of being distributed allocatable, apportionable distributive - serving to distribute or allot or disperse to common stockholders for the third quarter of 2000 was $2.3 million, or $0.26 per basic and diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, compared to $3.7 million, or $0.43 per basic and diluted share, in the third quarter of 1999. In the second quarter of 2000, net revenues were $6.7 million and the net loss allocable to common stockholders was $2.3 million, or $0.27 per basic and diluted share. Periostat(R) net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight in the third quarter of 2000 were $4.3 million compared to $4.2 million in the third quarter of 1999 and $5.7 million in the second quarter of 2000. As reported by CollaGenex in a press release on October 3, 2000, Periostat net sales in the third quarter of 2000 were negatively affected by reductions in wholesaler inventories. End user demand actually increased in the third quarter of 2000 compared to the second quarter of 2000. Wholesale buying during the preceding three quarters was modestly higher than estimated end user demand, and during the third quarter of 2000 wholesalers reduced inventories to meet demand rather than place new orders. As described in the October 3, 2000 press release, CollaGenex has implemented an Expanded Use Initiative aimed at dental professionals and a direct-to-consumer advertising direct-to-consumer advertising Drug industry The use of mass media–eg, TV, magazines, newspapers, to publicly promote drugs, medical devices or other products which, by law, require a prescription, which targets consumers, with the intent of having a Pt test program aimed at patients to broaden and increase Periostat usage. "We are encouraged by the recent weekly prescription trends that the Expanded Use Initiative is having an impact on dentists' prescribing habits," said Brian M. Gallagher, PhD, chairman, president and chief executive officer of CollaGenex. "With the exception of the Labor Day Labor Day, holiday celebrated in the United States and Canada on the first Monday in September to honor the laborer. It was inaugurated by the Knights of Labor in 1882 and made a national holiday by the U.S. Congress in 1894. and Columbus Day Columbus Day, holiday commemorating Christopher Columbus's discovery of America. It has been traditionally celebrated on Oct. 12 throughout most of the United States, parts of Canada, and in several of the Latin American republics. weeks, prescriptions measured by NDC/Source have tracked above 10,000 per week for the past seven weeks. Our Periostat business continues to grow, and we are optimistic op·ti·mist n. 1. One who usually expects a favorable outcome. 2. A believer in philosophical optimism. op that the DTC DTC See: Depository Transfer Check DTC See: Depository Trust Company DTC See Depository Trust Company (DTC). campaign can accelerate this growth in 2001. We are also very pleased with the continued strong growth in Vioxx(R) prescriptions." For the nine months ended September 30, 2000, total net revenues were $18.3 million compared to $10.2 million for the nine months ended September 30, 1999. For the first nine months of 2000, the net loss allocable to common stockholders was $7.5 million, or $0.86 per basic and diluted share, compared to $13.2 million, or $1.53 per basic and diluted share, for the first nine months of 1999. Total 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. , consisting of cost of product sales, research and development expenses and selling, general and administrative expenses, were $7.5 million in the third quarter of 2000 compared to $7.9 million in the third quarter of 1999. Cost of product sales was $816,000, or 19.2% of net product sales, during the third quarter of 2000 compared to $860,000 or 20.4% of net product sales, during the third quarter of 1999. Research and development expenses were $562,000 during the third quarter of 2000 compared to $1.1 million during the third quarter of 1999. The Company's research and development activities in 2000 have been focused primarily on developing a tablet See digitizer tablet and tablet computer. TABLET - A query language. ["Human Factor Comparison of a Procedural and a Non-procedural Query Language", C. Welty et al, ACM Trans Database Sys 6(4):626-649 (Dec 1981)]. formulation formulation /for·mu·la·tion/ (for?mu-la´shun) the act or product of formulating. American Law Institute Formulation of Periostat and on conducting Phase IV marketing studies of Periostat. Selling, general and administrative expenses were $6.1 million in the third quarter of 2000 compared to $5.9 million in the third quarter of 1999. The 2000 third quarter selling, general and administrative expenses reflect higher costs associated with a modest expansion of our dental pharmaceutical sales force and ongoing marketing and promotional expenses Noun 1. promotional expense - the cost of promoting a product business expense, trade expense - ordinary and necessary expenses incurred in a taxpayer's business or trade for Periostat, Vioxx and Denavir. The Company's cash, cash equivalents and short term investments at September 30, 2000 were $8.2 million compared to $14.4 million at December 31, 1999. The decrease was due primarily to the Company's cash loss from operations during the nine months ended September 30, 2000. CollaGenex Pharmaceuticals, Inc. is a specialty pharmaceutical company focused on providing innovative medical therapies to the dental market. The Company's lead product, Periostat, was approved by the FDA FDA abbr. Food and Drug Administration FDA, n.pr See Food and Drug Administration. FDA, n.pr the abbreviation for the Food and Drug Administration. in September 1998 and is the first and only pharmaceutical to treat periodontal disease Periodontal Disease Definition Periodontal diseases are a group of diseases that affect the tissues that support and anchor the teeth. Left untreated, periodontal disease results in the destruction of the gums, alveolar bone (the part of the jaws where by inhibiting in·hib·it tr.v. in·hib·it·ed, in·hib·it·ing, in·hib·its 1. To hold back; restrain. See Synonyms at restrain. 2. To prohibit; forbid. 3. the enzymes that destroy periodontal periodontal /peri·odon·tal/ (per?e-o-don´t'l) 1. pertaining to the periodontal ligament or periodontium. 2. near or around a tooth. per·i·o·don·tal adj. 1. support tissues. Periostat is marketed to the dental community by CollaGenex through a professional pharmaceutical sales force composed of approximately 120 sales representatives and managers. Currently, the Company's dental sales force is also marketing Vioxx, a Merck & Co. drug that the company promotes for the treatment and relief of acute dental pain, and Denavir(R), a SmithKline Beecham prescription product for the treatment of cold sores cold sore: see herpes simplex. . Research has shown that the enzyme-suppression technology underlying Periostat may also be applicable to other diseases involving destruction of the body's connective connective - An operator used in logic to combine two logical formulas. See first order logic. tissues, including cancer metastasis metastasis /me·tas·ta·sis/ (me-tas´tah-sis) pl. metas´tases 1. transfer of disease from one organ or part of the body to another not directly connected with it, due either to transfer of pathogenic microorganisms or to , osteoporosis osteoporosis (ŏs'tēō'pərō`sĭs), disorder in which the normal replenishment of old bone tissue is severely disrupted, resulting in weakened bones and increased risk of fracture; osteopenia , osteoarthritis osteoarthritis or osteoarthrosis or degenerative joint disease Most common joint disorder, afflicting over 80% of those who reach age 70. It does not involve excessive inflammation and may have no symptoms, especially at first. and wounds. CollaGenex intends to pursue the research and development of these other applications primarily through partnerships with third parties. To receive additional information on the Company, please visit our Web site at www.collagenex.com, which is not a part of this press release.
Financial Tables Follow
Summary Financial Data
(Unaudited)
(In thousands, except share and per share amounts)
Three Months Ended September 30,
2000 1999
---- ----
Statement of Operations Data
----------------------------
Revenues:
Product sales $ 4,252 $ 4,219
Contract revenues 992 126
License revenues 220 -
----- -----
5,464 4,345
Operating Expenses:
Cost of product sales 816 860
Research and development 562 1,102
Selling, general and
administrative 6,080 5,921
----- -----
Total operating expenses 7,458 7,883
----- -----
Operating loss (1,994) (3,538)
Other Income (Expense):
Interest income 152 255
Interest and other expense (5) (3)
----- -----
Net loss (1,847) (3,286)
Preferred stock dividend 429 429
----- -----
Net loss allocable to
common stockholders $ (2,276) $ (3,715)
======= =======
Net loss per share allocable
to common stockholders:
Basic and diluted $(0.26) $(0.43)
Shares used in computing net
loss allocable to common
stockholders:
Basic and diluted 8,740,955 8,591,992
Nine Months Ended September 30,
2000 1999
---- ----
Statement of Operations Data
----------------------------
Revenues:
Product sales $15,485 $ 9,839
Contract revenues 2,520 262
License revenues 320 100
------ ------
18,325 10,201
Operating Expenses:
Cost of product sales 3,113 2,113
Research and development 2,373 3,331
Selling, general and
administrative 19,516 17,694
------ ------
Total operating expenses 25,002 23,138
------ ------
Operating loss (6,677) (12,937)
Other Income (Expense):
Interest income 502 615
Interest and other
expense (15) (194)
----- ------
Net loss (6,190) (12,516)
Preferred stock
dividend 1,278 663
----- ------
Net loss allocable to
common stockholders $ (7,468) $(13,179)
======= ========
Net loss per share allocable
to common stockholders:
Basic and diluted $(0.86) $(1.53)
Shares used in computing
net loss allocable to common
stockholders:
Basic and diluted 8,690,208 8,590,224
Balance Sheet Data: September 30, December 31,
------------------ 2000 1999
------------- ------------
Cash, cash equivalents
and short-term investments $ 8,192 $ 14,367
Total assets 13,355 18,563
Total stockholders' equity 7,862 13,607
This news release contains certain 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. within the meaning of section 21E of the Securities and Exchange Act of 1934, as amended a·mend v. a·mend·ed, a·mend·ing, a·mends v.tr. 1. To change for the better; improve: amended the earlier proposal so as to make it more comprehensive. 2. . Investors are cautioned that forward-looking statements involve risks and uncertainties, which may affect the Company's business and prospects. The Company's business of selling, marketing and developing pharmaceutical products is subject to a number of significant risks, including risks relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the implementation of the Company's sales and marketing plans for Periostat, risks inherent in research and development activities, risks associated with conducting business in a highly regulated environment and uncertainty relating to clinical trials of products under development, all as discussed in the Company's periodic filings with the U.S. Securities and Exchange Commission. |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion