GENSIA REPORTS 1992 FIRST QUARTER RESULTS
GENSIA REPORTS 1992 FIRST QUARTER RESULTS SAN DIEGO, May 1 /PRNewswire/ -- Gensia Pharmaceuticals, Inc.
(NASDAQ: GNSA), today reported a net loss of $8.5 million, or 30 cents per share, in the first quarter ended March 31, 1992, compared to a net loss of $6.3 million, or 32 cents per share, in the 1991 first quarter. Total revenues, including revenue from contract research, product sales and interest income, were $6.6 million in the 1992 first quarter compared to $1.1 million in the first quarter of 1991. First quarter product sales at Gensia Laboratories, Ltd., a wholly owned subsidiary, increased to $1.4 million in 1992 from $636,000 in 1991. Per share amounts have been adjusted to reflect a three-for-two stock split in the form of a 50 percent stock dividend paid on March 2, 1992.
At March 31, 1992, Gensia had working capital of $97.2 million primarily consisting of cash, cash equivalents and short-term investments, Gensia also has commitments from Aramed, Inc. (NASDAQ: ARAMZ), and Gensia Clinical Partners, L.P., to fund the research and development of certain pharmaceutical products. As of March 31, 1992, Aramed had working capital of $49.4 million. Gensia Clinical Partners expects to receive approximately $18 million from its limited partners over the next two years to fund the continuing development of the GenESA(TM) System. "The 1992 first quarter financial results reflect, in part, the cost of Phase 3 clinical trials with Arasine(TM) at approximately 50 centers in the United States, Canada and Western Europe and increases in staffing in research and development," according to David F. Hale, chairman, president and chief executive officer. "Patient enrollment in the United States Phase 3 clinical trial with Arasine was completed in mid-April and we expect to complete patient enrollment in an international Phase 3 clinical trial with Arasine by mid-year." Gensia has two cardiovascular drugs in Phase 3 clinical trials, Arasine and arbutamine (part of the GenESA System). Arasine is an intravenous drug under development by Gensia for use in reducing adverse cardiovascular events in patients undergoing coronary artery bypass surgery. Gensia began investigating Arasine in Phase 3 clinical trials in June 1991. In March 1992, Gensia also began a Phase 2 clinical trial with Arasine to investigate dosing regimens in patients undergoing non-cardiac surgery. The company expects to initiate a major Phase 3 multi-center clinical trial with Arasine in patients undergoing non-cardiac surgery who are at high risk of developing cardiovascular complications in the last half of 1992. The GenESA System combines arbutamine and a computer-controlled, closed-loop drug delivery device which is being developed to administer a pharmacological stress test to enhance the diagnosis and evaluation of coronary artery disease when used in conjunction with electrocardiography (ECG), echocardiography and radionuclide imaging. The GenESA System entered multi-center Phase 3 clinical trials in April 1992. Research and development expenses were $8.8 million in the 1992 first quarter and $4.4 million in the comparable 1991 period. Selling, general and administrative expenses were $2.8 million in the 1992 first quarter and were $1.3 million in the first quarter of 1991. Cost of goods sold for the first quarter of 1992 was $3.2 million. In the 1991 first quarter, cost of goods sold were $454,000 with additional manufacturing start-up costs of $1.3 million. "We are currently selling 34 injectable multi-source drug products at Gensia Laboratories, including 12 injectable drugs approved under Abbreviated New Drug Applications," Hale added. "We have increased our sales and marketing activities at Gensia Laboratories as a result of our growing product line." Gensia Laboratories is located in Irvine, Calif., and manufactures multi-source injectable drug products for the acute-care hospital market. Gensia Pharmaceuticals is a San Diego-based biopharmaceutical company formed to discover, develop, manufacture and market novel pharmaceutical products for the treatment and diagnosis of human diseases. GENSIA PHARMACEUTICALS, INC. Balance Sheet Data (in thousands) 3/31/92 12/31/91 (Unaudited) ASSETS Current assets $106,739 $114,881 Facilities and equipment, net 21,232 20,208 Other assets 5,214 5,190 Total assets 133,185 140,279 Liabilities & stockholders' equity: Current liabilities 9,548 7,640 Other liabilities 7,650 8,696 Stockholders' equity 115,987 123,943 Total liabilities & stockholders' equity $133,185 $140,279 Statement of Operations Data (Unaudited, in thousands except per share data) Three months ended March 31 1992 1991 Revenue: Contract revenue $ 3,999 $ -- Net sales 1,438 636 Interest income 1,202 442 Total revenue 6,639 1,078 Expenses: Cost of sales 3,153 454 Manufacturing start-up costs -- 1,254 Research and development 8,848 4,390 Selling, general and administrative 2,850 1,328 Total 14,851 7,426 Interest expense 256 -- Net loss $(8,468) $(6,348) Net loss per share (A) $(0.30) $(0.32) Weighted average common and common equivalent shares outstanding (A) 27,907 19,680 (A) -- Reflects a three-for-two stock split in the form of a 50 percent stock dividend paid on March 2, 1992. -0- 5/1/92 /CONTACT: David F. Hale, chairman, president and CEO, or Martha L. Hough of Gensia, 619-546-8300/ (GNSA ARAMZ) CO: Gensia Pharmaceuticals, Inc.; Aramed, Inc. ST: California IN: MTC SU: ERN
GK-TS -- NY007 -- 5323 05/01/92 09:05 EDT
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|Date:||May 1, 1992|
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