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Financial Results for Full Year 2007: NicOx Significantly Advances Clinical Programs
Date:3/3/2008

, compared to 64 people on December 31, 2006.

Administrative and selling expenses amounted to euro 11.3 million in 2007, compared to euro 7.7 million in 2006. General and administrative expenses were euro 3.2 million in 2007 and were primarily the result of personnel expenses in administrative and financial functions, as well as the remuneration of corporate officers, including stock option, gratuitous share and warrant attributions. These expenses also included structural costs such as leases, property service charges, and maintenance costs (excluding structural costs related to research and development activities), legal and accounting fees and other external administrative costs.

Selling expenses, which reached euro 8.1 million in 2007, were the result of market analysis activities for naproxcinod, as well as business development and communication activities. The increase in selling expenses is also due to the hiring of new personnel following the creation, in 2007, of a commercial department whose primary function is to develop commercial strategies for NicOx' product portfolio. On December 31, 2007, the Company employed 33 people in selling, general, and administrative departments, compared to 25 people on December 31, 2006.

Operating loss

The operating loss amounted to euro 37.2 million in 2007, compared to euro 26.7 million in 2006. This increase results primarily from the strong increase in operating expenses as indicated above.

Other results

Net financial income amounted to euro 5.2 million in 2007, compared to euro 2.2 million in 2006. Net financial income has benefited from the increase in the Company's cash, cash equivalents, and financial instruments following the capital increase completed in February 2007.

The income tax expense incurred by NicOx in 2007 relates principally to its Italian subsidiary and amounts to euro 0.1 million compared to euro 0.3 million in 2006.

Net loss

The net loss
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SOURCE NicOx S.A.
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