CALGENE ANNOUNCES FIRST QUARTER RESULTS
CALGENE ANNOUNCES FIRST QUARTER RESULTS DAVIS, Calif., Nov. 15 /PRNewswire/ -- Calgene Inc. (NASDAQ: CGNE)
today announced a net loss of $4,788,000 (37 cents per share) on revenues of $4,258,000 for the first quarter ended Sept. 30, 1991. This compares with a net loss of $3,642,000 (34 cents per share) on revenues of $3,923,000 during the same period last year. The loss for the current period includes a one-time charge of $2,000,000 (13 cents per share) for the purchase of the exclusive North American fresh market tomato rights to the FLAVR SAVR(TM) gene from the Campbell Soup Co. which was completed in the first quarter.
Research and development expenditures for the quarter were $2,868,000, an increase of 21 percent from the prior year's $2,376,000. The increase in R&D expense reflects the added product development cost associated with our expanded field trial and regulatory activities supporting our new product pipeline. Gross profit from net product sales for the current period was $721,000, an increase of $486,000 over the prior year. The improvement in gross profit largely reflects increased international sales of cottonseed. Roger Salquist, chairman and chief executive officer said, "These results reflect a solid improvement in our conventional operating businesses subsequent to the restructuring implemented in August and the increased commitment to Calgene's goal of being the first company to commercialize genetically engineered plants and plant products. Major milestones achieved during the quarter included formal submission of our FLAVR SAVR tomato filing with the FDA; purchase of the exclusive North American fresh market tomato FLAVR SAVR gene rights from Campbell Soup; completion of our 12-state, 34 site Bromotol(TM) cotton field trial; announcement of the successful development of a hybrid canola system; filing a request with the USDA to conduct the world's first field trials with canola genetically engineered to produce a modified vegetable oil and publication of the first European patents for our oils genetic engineering technology, plant desaturase genes. The Campbell technology purchase gives us a solid foundation for building our own branded fresh tomato product line in the $2 billion U.S. fresh tomato market." Calgene is an agribusiness biotechnology company that is developing improved plant varieties and plant products for the seed, food and specialty chemical industries. The company has three operating subsidiaries -- Ameri-Can Pedigreed Seed Co., Calgene Chemical and Stoneville Pedigreed Seed Co. CALGENE INC. Condensed Consolidated Statements of Operations (In thousands except per share amounts) (Unaudited) Three months Ended Sept. 30, 1991 1990 Revenues: Product sales, net $2,384 $2,253 Product development revenues 1,232 1,120 Interest income 596 519 Other income, net 46 31 Total 4,258 3,923 Costs and expenses: Cost of goods sold 1,663 2,018 Research and development 2,868 2,376 License purchase 2,000 -- Selling, general and administrative 2,402 2,170 Equity in net loss of affiliate -- 229 Interest expense 196 163 Total 9,129 6,956 Minority interest share of net loss 55 44 Gain on sale of assets 41 -- Loss on continuing operations before income taxes (4,775) (2,989) Provision for income taxes 13 1 Loss from continuing operations (4,788) (2,990) Loss from discontinued operations -- (652) Net loss $(4,788) $(3,642) Preferred stock dividends $700 -- Net loss applicable to common shareholders $(5,488) $(3,642) Net loss per share: Loss from continuing operations $(0.37) $(0.28) Loss from discontinued operations $ 0.00 $(0.06) Net loss $(0.37) $( 0.34) Shares used in per share calculations 14,983,514 10,734,230 -0- 11/15/91 /CONTACT: Dan Wagster of CALGENE Inc., 916-753-6313/ (CGNE) CO: Calgene Inc. ST: California IN: MTC SU: ERN RM -- SF004 -- 1712 11/15/91 16:31 EST
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|Date:||Nov 15, 1991|
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