Navigation Links
SCOLR Pharma, Inc. Reports Third Quarter 2009 Financial Results

BOTHELL, Wash., Nov. 6 /PRNewswire-FirstCall/ -- SCOLR Pharma, Inc. (Amex: DDD) today reported financial results for the three and nine months ended September 30, 2009.

Stephen J. Turner, SCOLR Pharma's President and CEO, said, "We continue to advance discussions related to licensing our 12-hour ibuprofen formulation. Several potential partners have committed significant resources in time, personnel and external resources as they evaluate the potential commercial and/or licensing opportunity. In the nutraceutical area, we have increased our sales and marketing efforts and are optimistic we will be able to expand our existing revenue streams from extended release supplements. Royalties received from Perrigo continue to improve on a quarterly basis, and we expect to see further increases as we expand the reach of our products to new customers. In addition, we have made significant strides in support of our recent marketing efforts on new product offerings outside of the Perrigo relationship both within the US and abroad. We expect to be able to introduce newly formulated products in 2010 based on our meetings with numerous international, national and regional retailers and potential partners.

We continue to make progress in reducing our operating expenses including reductions in salary and rent expenses. We renegotiated the lease for our corporate facility to reduce the amount of leased space to 15,615 square feet from 20,468 square feet and reduce our rental payments. In addition, effective November 1, 2009, the Company will be allowed to pay up to $18,000 of its monthly rent for twelve months through draw downs on the letter of credit which secures the lease. In addition, we eliminated one executive position and reduced base salaries for two executive officers. These additional savings will provide us the opportunity to preserve our capital and improve our position for the future."

Total revenues, which consist of royalty revenue from our collaboration agreements, increased 11%, or $25,343 to $261,651 for the three months ended September 30, 2009, compared to $236,308 for the same period in 2008. Total revenues decreased 15%, or $117,223 to $664,212 for the nine months ended September 30, 2009, compared to $781,435 for the same period in 2008. Royalty revenues result from our relationship with Perrigo and reflect changes in the level of sales by Perrigo.

Marketing and selling expenses decreased 53%, or $62,489 to $54,351 for the three months ended September 30, 2009, compared to $116,840 for the same period in 2008 and decreased 63%, or $345,177 to $200,402 for the nine months ended September 30, 2009, compared to $545,579 for the same period in 2008. These decreases are due to a reduction in personnel related expenses due to reduction in personnel and lower advertising and tradeshow expenses.

Research and development expenses decreased 75%, or $1.7 million to $572,189 for the three months ended September 30, 2009, compared to $2.3 million for the same period in 2008 and decreased 50%, or $2.2 million to $2.2 million for the nine months ended September 30, 2009, compared to $4.4 million for the same period in 2008. These decreases were primarily due to our decision to defer development activities on certain projects pending additional funding and a reduction in personnel related expenses due to personnel reductions.

General and administrative expenses increased 29%, or $273,061 to $1.2 million for the three months ended September 30, 2009, compared to $947,684 for the same period in 2008, and increased 3%, or $104,665, to $3.3 million for the nine months ended September 30, 2009, compared to $3.2 million for the same period in 2008. These increases were primarily due to severance costs associated with the resignation of our former CEO, and increased investment banker activities. These increases were offset by decreases in non-cash share based compensation expense director's and shareholder relations expenses and insurance premiums.

In May 2008, we entered an agreement to terminate the lease for our former corporate facility for consideration of $4.1 million which was recognized as a reduction to operating expense in September 2008. Under the terms of the agreement, we received $1.0 million upon execution of the agreement and the remaining $3.1 million in September 2008, at the time we vacated the premises. We incurred costs of $116,867 related to relocation to our new facility and the lease buyout which were recognized in operating expense in September 2008.

Other income decreased 98%, or $41,608 to $948 for the three months ended September 30, 2009, compared to $42,556 for the comparable period in 2008, and decreased 96%, or $186,746 to $8,548 for the nine months ended September 30, 2009, compared to $195,294 of net income for the same period in 2008. These decreases were due to a decrease in interest income due to lower cash balances.

Net loss increased $2.5 million to $1.6 million for the three months ended September 30, 2009, compared to $890,371 of net income for the same period in 2008, and the net loss for the nine months ended September 30, 2009, increased 57%, or $1.8 million to $5.1 million, compared with a net loss of $3.2 million for the same period in 2008. The increased net loss reflects the net impact of the non-recurring $4.0 million income recognized in the prior year for the facility lease buyout.

We had approximately $1.9 million in cash and cash equivalents, and $473,711 in restricted cash as of September 30, 2009. Based on our current operating plan, we anticipate that our existing cash and cash equivalents, together with expected royalties from third parties, will be sufficient to fund our operations through February 2010, unless unforeseen events arise that negatively impact our liquidity. In the event we are unsuccessful generating additional revenues or raising additional funds, we will have to substantially reduce our operations to preserve capital or seek bankruptcy protection or otherwise wind up our business.

In addition to our efforts to enter into alliances and licensing agreements, we plan to continue to seek access to the capital markets to fund our operations. We filed a shelf registration statement in the amount of $40 million which was declared effective by the Securities and Exchange Commission on November 25, 2008 under which we may offer from time-to-time, one or more offerings of securities up to an aggregate public offering price of $40 million. However, the financial markets have been very difficult for companies at our development stage and financial condition and financing may not be available on favorable terms or at all. Additionally, we received notice from the NYSE Amex that we are not in compliance with continued listing requirements. Our inability to maintain listing of our common stock on the NYSE Amex may further limit our ability to access the capital markets. Any issuance of additional securities could be dilutive to our existing stockholders.

About SCOLR Pharma:

Based in Bothell, Washington, SCOLR Pharma, Inc. is a specialty pharmaceutical company. SCOLR Pharma's corporate objective is to combine its formulation expertise and its patented CDT platform to develop novel pharmaceutical, over-the-counter (OTC), and nutritional products. Our CDT drug delivery platforms are based on multiple issued and pending patents and other intellectual property for the programmed release or enhanced performance of active pharmaceutical ingredients and nutritional products. For more information on SCOLR Pharma, please call 425.368.1050 or visit

This press release contains forward-looking statements (statements which are not historical facts) within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve risks and uncertainties, including activities, events or developments that we expect, believe or anticipate will or may occur in the future. A number of factors could cause actual results to differ from those indicated in the forward-looking statements, including our ability to raise additional funds or enter strategic alliances, advance development of our potential products and complete research and development, including pre-clinical and clinical studies, the continuation of arrangements with our product development partners and customers, competition, government regulation and approvals, and general economic conditions. For example, we may not obtain regulatory approval for our products, which would materially impair our ability to generate revenue. Additional assumptions, risks and uncertainties are described in detail in our registration statements, reports and other filings with the Securities and Exchange Commission. Such filings are available on our website or at You are cautioned that such statements are not guarantees of future performance and that actual results or developments may differ materially from those set forth in the forward-looking statements. We undertake no obligation to publicly update or revise forward-looking statements to reflect subsequent events or circumstances.

    Investor Relations
    SCOLR Pharma, Inc.
    425-368-1050 ext 1080

                                SCOLR Pharma, Inc.

                             CONDENSED BALANCE SHEETS

                                              September 30,     December 31,
                                                 2008              2009
                                                 ----              ----
       Current Assets
          Cash and cash equivalents           $1,946,908        $6,363,243
          Accounts receivable                    240,363           177,253
          Interest and other receivables           6,282             1,157
         Prepaid expenses and other
          assets                                 285,807           286,539
                                             -----------       -----------
               Total current assets            2,479,360         6,828,192
       Property and Equipment - net
        of accumulated depreciation
        of $1,245,400 and $1,289,844,
        respectively                             555,364           790,947

       Intangible assets - net of
        accumulated amortization of
        $493,671 and $465,724, respectively      564,359           557,639
       Restricted cash                           473,711           473,711
                                             -----------       -----------
                                              $4,072,794        $8,650,489
                                             ===========       ===========

       Current Liabilities
          Accounts payable                       $26,102          $238,701
          Accrued liabilities                    633,277           668,694
          Current portion of term loan                 -            87,850
                                             -----------       -----------
               Total current liabilities         659,379           995,245

    Deferred rent                                271,790           310,010
       Long-term portion of term loan                  -            23,269
                                             -----------       -----------
               Total liabilities                 931,169         1,328,524

       Commitments and Contingencies

       Stockholders' Equity
          Preferred stock, authorized
           5,000,000 shares, $.01 par
           value, none issued or outstanding           -                 -
          Common stock, authorized
           100,000,000 shares, $.001 par
           value 41,098,270 and
           41,130,270 issued and
           outstanding as of
           September 30, 2009, and
           December 31, 2008,
           Respectively                           41,098            41,130
          Additional paid-in capital          72,138,140        71,255,901
          Accumulated deficit                (69,037,613)      (63,975,066)
                                             -----------       -----------
               Total stockholders' equity      3,141,625         7,321,965
                                             -----------       -----------
                                              $4,072,794        $8,650,489
                                             ===========       ===========

                                 SCOLR Pharma, Inc.


                                Three months ended     Nine months ended
                                   September 30,           September 30,
                                 2009        2008        2009        2008
                                 ----        ----        ----        ----
     Royalty income            $261,651    $236,308    $664,212    $781,435
                              ---------     -------   ---------   ---------
        Total revenues          261,651     236,308     664,212     781,435

    Operating expenses
     Marketing and selling       54,351     116,840     200,402     545,579
     Research and development   572,189   2,307,103   2,187,626   4,387,636
     General and
      administrative          1,220,745     947,684   3,347,279   3,242,614
                              ---------     -------   ---------   ---------
                              1,847,285   3,371,627   5,735,307   8,175,829
     Facility lease
       Gain from lease buyout         -  (4,100,000)          -  (4,100,000)
       Expenses related to
        relocation and lease
        buyout                        -     116,867           -     116,867
                              ---------     -------   ---------   ---------
         Total facility lease
          buyout                      -  (3,983,133)          -  (3,983,133)
                              ---------     -------   ---------   ---------
           Total operating
            expenses          1,847,285    (611,506)  5,735,307   4,192,696
                              ---------     -------   ---------   ---------
              Income (loss)
               operations    (1,585,634)    847,814  (5,071,095) (3,411,261)

    Other income (expense)
     Interest income                948      45,858      12,060     205,530
     Interest expense                 -      (3,393)     (3,512)    (11,565)
     Other                            -          91           -       1,329
                              ---------     -------   ---------   ---------
      Total other income            948      42,556       8,548     195,294
                              ---------     -------   ---------   ---------
        Net income (loss)   $(1,584,686)   $890,370 $(5,062,547)$(3,215,967)
                              =========    ========   =========   =========
      Net income (loss)
       per share, basic
       and diluted               $(0.04)       $.02      $(0.12)     $(0.08)
                              =========    ========   =========   =========
     Shares used in
      computing basic net
      income (loss) per
      share                  41,098,270  41,130,270  41,098,270  41,110,684
     Shares used in
      computing diluted
      net income (loss)
      per share              41,098,270  41,561,623  41,098,270  41,110,684


Copyright©2009 PR Newswire.
All rights reserved

Related medicine technology :

1. SCOLR Pharma Announces Completion of Patient Enrollment and Dosing for Pivotal Clinical Trial Evaluating Extended Release Ibuprofen
2. SCOLR Pharma, Inc. Reports Third Quarter 2008 Financial Results
3. Victory Pharma, Inc. Reports MGX006 Enters Into Pivotal Development Program
4. CB1400, Patented by Canopus BioPharma, Enters Phase II Clinical Trials for the Prevention of Mucositis in Patients With Cancer of the Head and Neck
5. FluoroPharma, Inc. to Report Preclinical Data on Alzheimers Disease and Prostate Cancer PET Imaging Agents
6. DOR BioPharma, Inc. Executes $400,000 Equity Investment Agreement With Numoda Corporation
7. Neurobiological Technologies Partner, Celtic Pharma, Announces Results of XERECEPT(R) Phase 3 Clinical Program
8. Pangu BioPharma, aTyr Pharmas Subsidiary in Hong Kong, Files Three Patent Applications
9. Strativa Pharmaceuticals Development Partner, BioAlliance Pharma, Presents Phase III Study Results of Miconazole Lauriad(R) for the Treatment of Oropharyngeal Candidiasis
10. Northern Light Adds 4,000 Bio-Pharma, Health Sciences and General Business News and Journal Sources from EBSCO Publishing
11. EpiCept Reports Expansion of Clinical Development For Licensed Cancer Compound
Post Your Comments:
(Date:10/8/2015)... , Oct. 8, 2015  "They really did ... of her Kaiser Permanente care team, after a routine ... treatment plan for cancer. The 79-year-old Kaiser Permanente Senior ... , went in for what she thought was tendinitis ... physician and care team, however, she was diagnosed with ...
(Date:10/8/2015)...  Trovagene, Inc., (NASDAQ:   TROV) a developer ... of results from a field experience analysis featuring ... (PCM) platform to accurately identify mutational status, ... appropriate therapy for patients. Mark Erlander , ... the results today in an oral presentation titled ...
(Date:10/8/2015)... York , October 8, 2015 ... Analysis, Size, Share, Growth, Trends and Forecast 2014 - 2022 ... valued at USD 2.63 billion in 2013 and is anticipated ... 2022 to reach USD 4.00 billion in 2022. --> ... Industry Analysis, Size, Share, Growth, Trends and Forecast 2014 - ...
Breaking Medicine Technology:
... Calif., May 17, 2012   Accuray Incorporated (Nasdaq: ... announced today the appointment of Richard Pettingill, LFACHE as ... May 11, 2012.   Richard Pettingill,s career ... leadership positions in a variety of prominent organizations. Most ...
... 2012 Simbionix USA Corporation, the ... education products, is proud to announce the release ... GI Mentor™ Express simulator and the ...      (Logo: ...
Cached Medicine Technology:
(Date:10/9/2015)... , ... October 09, 2015 , ... ... their “Agents of Change” program, a community improvement initiative that involves working with ... to benefit from the assistance of Confidence Plus Insurance is the Gleason Park ...
(Date:10/9/2015)... (PRWEB) , ... October 09, 2015 , ... ... States, is welcoming individuals from all walks of life to save money on ... set price of $25 per month per medication, individuals and families can receive ...
(Date:10/9/2015)... Nashville, TN (PRWEB) , ... October 09, 2015 , ... ... to announce their partnership as MD Anderson prepares to go-live on the Epic platform ... effort planned for early 2016. Santa Rosa will execute the contract by supporting Scheduling ...
(Date:10/9/2015)... Maryland (PRWEB) , ... October 09, 2015 , ... ... and assisted living placement counseling, recently opened its newest office in Maryland – ... senior care industry with a background as a project management technology consultant to ...
(Date:10/9/2015)... ... October 09, 2015 , ... BrightStar ... recognized by Cabarrus County Active Living and Parks for its outstanding commitment to ... company’s dedication to consistently going above and beyond the call of duty, seniors ...
Breaking Medicine News(10 mins):
... for those with scent-robbing viral infection, study found , ... people who lose their sense of smell after a ... 15 patients with post-viral olfactory dysfunction (PVOD) had 10 ... were compared with PVOD patients treated with vitamin B ...
... activity in depressed and anxious people indicates that some of ... or for worse by anxiety. The study, in ... at depression and two types of anxiety: anxious arousal, the ... better known as worry. The researchers used functional Magnetic ...
... Damaka ... platforms , ... TX (PRWEB) April 1, 2010 -- Damaka, a technology pioneer in Mobile Unified ... 2-way Video, Application Sharing) Sweeping™ between laptops and mobile devices earlier in May 2009. ...
... ... Town Plaque of Honor for Excellence in Customer Satisfaction for the second year in a row. ... local business based on customer reviews found on the Internet’s most respected user review websites. ... Minneapolis, MN (PRWEB) April 1, ...
... first study of its kind, 161 postnatal women with ... groups to test the effect of a physiotherapist-led exercise ... group received an eight-week "Mother and Baby" program, including ... with parenting education. In the second group, ...
... at the University of Delaware have developed a new ... Alzheimer,s, and other diseases., Developed by Zhihao Zhuang, UD ... group, the chemical method yields hundredsfold more ubiquitylated proteins ... to revealing such mysteries as how cancer cells gain ...
Cached Medicine News:
... ideal where space is restricted. Due to ... and flexible in every situation. For many ... be positioned optimally on the JUPITER during ... the operating theatre, the high level of ...
... schaerer axis 800 operating ... designed for those disciplines ... access. The stability, the ... the offset positioned telescoping ...
... words "mobile operating table" literally! The Alphastar 1132 ... of a general purpose operating table - is ... operations, a cable connected hand control, an IR-hand ... there is a control panel at the top ...
... introduce the Cmax operating table that combines ... surgical table with the radiolucence and precise ... the most advanced, versatile surgical table on ... to support advancements in surgical procedures and ...
Medicine Products: