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Dynavax Announces Third Quarter 2007 Financial Results and Updates 2007 Financial Outlook
Date:11/1/2007

months ended September 30, 2007, compared to $4.9 million and $7.7 million for the same periods in 2006.

Total operating expenses were $20.2 million and $61.9 million for the three and nine months ended September 30, 2007, respectively, compared to $17.7 million and $45.4 million for the same periods in 2006. The increase in operating expenses resulted primarily from increased clinical development and licensing activities related to the Company's product candidate HEPLISAV(TM), overall organizational growth including the operations of Dynavax Europe, and reimbursable expenses related to SDI programs. Operating expenses included a one-time $5 million license payment for the commercialization of HEPLISAV and non-cash charges for stock-based compensation, acquired in-process research and development and amortization of intangible assets. Excluding one-time and non-cash charges, pro forma operating expenses were $19.0 million and $53.6 million, for the three and nine months ended September 30, 2007, respectively, compared to $16.5 million and $38.4 million for the same periods in 2006.

The tables included as part of this press release provide a reconciliation of GAAP revenues and operating expenses to pro forma revenues and operating expenses.

Net loss for the third quarter 2007 was $17.1 million, or $0.43 per share, compared to a net loss of $12.2 million, or $0.40 per share, for the same period in 2006. Net loss for the nine months of 2007 was $47.9 million, or $1.21 per share, compared to a net loss of $35.6 million, or $1.17 per share, for the same period in 2006. The increase in net loss was due primarily to increased clinical development expenditures on the Company's product candidates and overall organizational growth. The increase in shares used to compute net loss per share resulted from the Company's equity financing activities completed in the fourth quarter 2006.

2007 Financial Outlook Update

The following statements are forward
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SOURCE Dynavax Technologies Corporation
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