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ExonHit Therapeutics - 2007 Financial Results
Date:3/5/2008

nt to EUR 5.4 million, a decrease of 5% compared to the EUR 5.6 million achieved in 2006. At constant exchange rate, total revenues would have increased 4% between 2006 and 2007. 89% of ExonHit's 2007 revenues come from the Allergan collaboration; this compares with 76% in 2006. While revenues generated by the Therapeutics and SpliceArray(TM) activities posted double-digit growth in 2007, revenues form the bioMerieux collaboration decreased due to, on the one hand, the delays experienced in the recruitment of samples in prostate cancer and, on the other hand, the milestone achieved in 2006 in this collaboration.

R&D revenues from grants increased from EUR 0.01 million in 2006 to EUR 0.05 million in 2007.

R&D expenses have increased by 27% to EUR 8.6 million in 2007 when compared to EUR 6.8 million in 2006, mainly as a result of increased expenses in clinical trials. In 2007, R&D revenues covered 62% of the company's R&D expenses, as opposed to 83% in 2006.

Marketing and selling expenses have increased by 31% to EUR 1.0 million in 2007, compared to EUR 0.8 million in 2006. This increase mainly comes from the recruitment of new employees in this department and the increase in the selling and marketing effort for SpliceArray(TM).

General and administrative costs increased by 16% to EUR 3.5 million in 2007, compared to EUR 3.0 million in 2006. This increase mainly comes from the substantial increase of study and consultancy fees between the two years as a result of increased expenses to value our IP.

Operating expenses have been increased by 24% to EUR 13.2 million in 2007 compared to EUR 10.6 million in 2006. In 2007, 65% of these expenses are allocated to R&D compared to 64% in 2006.

Consequently, the company posted an operating loss of EUR 7.8 million in 2007, compared to EUR 5.0 million in 2006.

The presence of convertible bonds throughout fiscal year 2007, as well as the leasing of some pieces of equipment, explains
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SOURCE ExonHit Therapeutics SA
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