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NUCRYST Announces Fourth Quarter and Year End 2008 Financial Results
Date:2/17/2009

PRINCETON, NJ, Feb. 17 /PRNewswire-FirstCall/ - NUCRYST Pharmaceuticals Corp., a developer and manufacturer of medical products that fight infection and inflammation, today announced its financial results for the fourth quarter and full year ended December 31, 2008.

For the quarter ended December 31, 2008, NUCRYST reported net income of $1.0 million, or $0.05 cents per share, on revenues of $5.8 million. This compares to net income of $3.2 million, or $0.17 cents per share, on revenues of $11.2 million in the same period of 2007. The fourth quarter of 2008 included $1.9 million of foreign exchange gains related to the strengthening of the U.S. dollar against the Canadian dollar. NUCRYST did not earn any milestone revenue in the fourth quarter of 2008, compared to $5.0 million of milestone revenue in the fourth quarter of 2007.

For the full year, total revenues for 2008 were $20.9 million, compared to $30.1 million in 2007. The net loss for 2008 was $3.0 million or $0.16 per share, which represents an improvement of approximately $1.0 million, or 26%, from the net loss of $4.0 million, or $0.22 per share, in 2007.

The 2008 operating loss increased by $4.8 million to $6.1 million compared to $1.3 million in 2007. The Company earned $10.0 million in milestone revenue in 2007, compared to zero in 2008.

"The consolidation of our research and development activities into our Canadian operations, along with our corporate headquarters relocation to Princeton, New Jersey in the fourth quarter of 2008 will significantly assist us in our cost containment efforts going forward," said David B. Holtz, Interim President and Chief Executive Officer, and Chief Financial Officer of NUCRYST. "We will continue to explore strategic growth opportunities that leverage our expertise in innovative wound care and coating technology while at the same time maintaining our focus on reducing our overall cost structure."

At December 31, 2008, NUCRYST
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SOURCE NUCRYST Pharmaceuticals Corp.
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