CAMBRIDGE, Mass., Feb. 17 /PRNewswire-FirstCall/ -- Idenix Pharmaceuticals, Inc. (Nasdaq: IDIX), a biopharmaceutical company engaged in the discovery and development of drugs for the treatment of human viral and other infectious diseases, today reported unaudited financial results for the fourth quarter and year ended December 31, 2008. At December 31, 2008, Idenix's cash, cash equivalents and marketable securities totaled $46.1 million.
"Idenix began 2008 with a renewed focus on our discovery and development programs and ended the year with a successfully completed proof-of-concept study for IDX899 for the treatment of HIV and a robust pipeline of HCV programs spanning the three classes of direct-acting antivirals," said Jean-Pierre Sommadossi, Ph.D., chairman and chief executive officer of Idenix. "As we begin 2009, the recent execution of the license agreement for IDX899 enables us to focus all of our resources on the advancement of our HCV programs, with the goal of having a drug candidate from each of the three major classes of direct-acting antivirals in the clinic."
For the fourth quarter ended December 31, 2008, Idenix reported total revenues of $4.3 million, compared with total revenues of $12.6 million in the fourth quarter of 2007. The decrease was mainly due to $10.1 million in lower reimbursements of research and development costs from Novartis. Idenix reported a net loss of $13.9 million, or a loss of $0.25 per basic and diluted share, for the fourth quarter ended December 31, 2008, compared to a net loss of $17.5 million, or a loss of $0.31 per basic and diluted share for the fourth quarter ended December 31, 2007.
For the twelve months ended December 31, 2008, Idenix reported total revenues of $10.0 million, compared with total revenues of $68.0 million for the twelve months ended December 31, 2007. The majority of the decrease was due to $40.6 million in lower reimbursements of research and development costs from Novartis, a decrease of $10.0 million due to the lack of milestone payments in 2008 as compared to 2007 and $8.0 million due to lower license fee revenue. The company reported a net loss of $70.2 million, or a loss of $1.24 per basic and diluted share for the twelve months ended December 31, 2008, compared with $82.5 million, or a loss of $1.47 per basic and diluted share for the twelve months ended December 31, 2007. The net loss reported for the twelve months ended December 31, 2007 included $8.7 million in restructuring charges, which included the impairment of certain assets equal to approximately $2.1 million.
2009 Financial Guidance
Including the $34 million Idenix expects to receive from the licensing of IDX899, the company anticipates that its current cash, cash equivalents and marketable securities can fund operations through at least the next twelve months. This guidance assumes no milestone payments, additional license fees, reimbursement for development programs, and no financing activities during 2009.
Conference Call and Webcast Information
Idenix will hold a conference call today at 4:30 p.m. ET. To access the call please dial (800) 471-3635 U.S./Canada or (706) 758-9475 International and enter passcode 84153140. To listen to a live webcast of the call, go to "Calendar of Events" in the Idenix Investor Center at www.idenix.com. Please log in approximately 10 minutes before the call to ensure a timely connection. A replay of the conference call and webcast will be available until March 4, 2009. To access the replay, please dial (800) 642-1687 U.S./Canada or (706) 645-9291 International and enter the passcode 84153140.
Idenix Pharmaceuticals, Inc., headquartered in Cambridge, Massachusetts, is a biopharmaceutical company engaged in the discovery and development of drugs for the treatment of human viral and other infectious diseases. Idenix's current focus is on the treatment of hepatitis C virus. For further information about Idenix, please refer to www.idenix.com.
This press release contains "forward-looking statements" within the meaning of The Private Securities Litigation Reform Act of 1995. Such forward-looking statements can be identified by the use of forward-looking terminology such as "expect," "plans," "anticipates," "will," "expects," "goal" or similar expressions, or by express or implied statements with respect to the company's clinical development programs or commercialization activities in HIV or hepatitis C, or any potential pipeline candidates, including any expressed or implied statements regarding the efficacy and safety of IDX184 and any future clinical trials involving IDX184 and expectations with respect to additional milestone payments, future royalty payments, funding of operations and future cash balances. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results, performance or achievements expressed or implied by such statements. There can be no guarantees that historical sales of Tyzeka(R)/Sebivo(R) (telbivudine) will in any way suggest future royalty payments or royalty rates owed to the company, or that the company will advance any clinical product candidate or other component of its potential pipeline to the clinic, to the regulatory process or to commercialization. In particular, management's expectations could be affected by unexpected regulatory actions or delays; uncertainties relating to, or unsuccessful results of, clinical trials, including additional data relating to the ongoing clinical trials evaluating its product candidates; the company's ability to obtain additional funding required to conduct its research, development and commercialization activities; the company's dependence on its collaboration with Novartis Pharma AG and GlaxoSmithKline, respectively; changes in the company's business plan or objectives; the ability of the company to attract and retain qualified personnel; competition in general; and the company's ability to obtain, maintain and enforce patent and other intellectual property protection for its product candidates and its discoveries. These and other risks which may impact management's expectations are described in greater detail under the caption "Risk Factors" in the company's quarterly report on Form 10-Q for the quarter ended September 30, 2008 as filed with the Securities and Exchange Commission (SEC) and other filings that the company makes with the SEC.
All forward-looking statements reflect the company's expectations only as of the date of this release and should not be relied upon as reflecting the company's views, expectations or beliefs at any date subsequent to the date of this release. Idenix anticipates that subsequent events and developments may cause these views, expectations and beliefs to change. However, while Idenix may elect to update these forward-looking statements at some point in the future, it specifically disclaims any obligation to do so.
IDENIX PHARMACEUTICALS, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (IN THOUSANDS, EXCEPT PER SHARE DATA) (UNAUDITED) Three Months Ended Years Ended December 31, December 31, 2008 2007 2008 2007 Revenues: Collaboration revenue - related party $4,247 $12,573 $9,815 $64,751 Other revenue 21 29 234 3,277 Total revenues 4,268 12,602 10,049 68,028 Operating expenses (1): Cost of sales 479 1,487 1,745 2,001 Research and development 11,949 20,294 53,887 85,839 Selling, general and administrative 5,702 9,278 27,130 63,348 Restructuring and impairment charges -- 2,305 297 8,744 Total operating expenses 18,130 33,364 83,059 159,932 Loss from operations (13,862) (20,762) (73,010) (91,904) Investment and other income (expense), net (780) 4,389 781 9,887 Loss before income taxes (14,642) (16,373) (72,229) (82,017) Income tax benefit (expense) 693 (1,122) 2,023 (498) Net loss $(13,949) $(17,495) $(70,206) $(82,515) Basic and diluted net loss per share: ($0.25) ($0.31) ($1.24) ($1.47) Shares used in calculation of basic and diluted net loss per share: 56,524 56,189 56,403 56,169 (1) Stock-based compensation expenses included in operating expenses amounted to approximately: Research and development $440 $560 $2,005 $3,005 Selling, general and administrative 790 899 3,397 4,758 Restructuring and impairment charges -- -- -- 968
IDENIX PHARMACEUTICALS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (IN THOUSANDS) (UNAUDITED) December 31, December 31, 2008 2007 ASSETS Cash and cash equivalents $41,509 $48,260 Marketable securities 1,424 39,862 Receivables from related party 894 11,196 Other current assets 6,214 4,401 Total current assets 50,041 103,719 Intangible asset, net 12,387 13,548 Property and equipment, net 13,238 15,460 Marketable securities, non-current 3,145 23,882 Other assets 969 3,931 Total assets $79,780 $160,540 LIABILITIES AND STOCKHOLDERS' EQUITY Accounts payable and accrued expenses $13,136 $21,809 Deferred revenue, related party 5,965 8,372 Other current liabilities 475 553 Total current liabilities 19,576 30,734 Long-term obligations 17,061 19,107 Deferred revenue, related party, net of current portion 35,790 41,861 Total liabilities 72,427 91,702 Stockholders' equity 7,353 68,838 Total liabilities and stockholders' equity $79,780 $160,540
Idenix Pharmaceuticals' Contacts: Media: Teri Dahlman (617) 995-9905 Investors: Amy Sullivan (617) 995-9838
|SOURCE Idenix Pharmaceuticals, Inc.|
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