ARIAD Pharmaceuticals, Inc. (NASDAQ: ARIA) today reported financial results for the first quarter ended March 31, 2012 and provided an update on corporate developments.
“We had a very productive start to the year with uniform progress taking place throughout our organization,” stated Harvey J. Berger, M.D., chairman and chief executive officer of ARIAD. “Our clinical development programs and preparations for the global commercialization of ponatinib are advancing on schedule, and AP26113 is moving through the dose-escalation portion of the Phase 1/2 clinical trial. Initial data from this clinical study of AP26113 are being submitted this month for presentation at a major medical meeting early in the fall.”
Advancing Ponatinib to Potential U.S. Commercialization by 1Q of 2013
Advancing AP26113 Through Clinical Development
Preparing for Global Commercial Launch of Ponatinib
As of March 31, 2012, cash, cash equivalents and marketable securities totaled $287.8 million, compared to $306.3 million at December 31, 2011.
Net loss for the first quarter ended March 31, 2012, was $55.9 million, or $0.35 per share, compared to a net loss of $37.9 million, or $0.29 per share, for the same period in 2011.
Research and development expenses increased by $14.2 million from the first quarter of 2011 to the first quarter of 2012 reflecting expansion of development activities for ponatinib, including an increase in personnel expenses to support those activities.
General and administrative expenses increased by $6.4 million from the first quarter of 2011 to the first quarter of 2012 due to growth in commercial operations and supporting activities in anticipation of potential regulatory approval and commercial launch of ponatinib.
Our net loss for the first quarter of 2012 also reflects a charge of $15.9 million related to the revaluation of our warrant liability, compared to a charge of $18.6 million for the same period in 2011, due to increases in the market price of our common stock during those periods. All warrants that remained outstanding at December 31, 2011 were exercised in the first quarter of 2012 for proceeds to the Company of $12.5 million.
Upcoming Medical Meeting and Investor and Analyst Briefing at ASCO
Upcoming Investor Meetings
ARIAD management will be making corporate presentations at the following investor conferences:
Today’s Conference Call Reminder
ARIAD will hold a live webcast of its quarterly conference call today, May 9, 2012 at 8:30 a.m. (ET). The live webcast can be accessed by visiting the investor relations section of the Company's website at http://investor.ariad.com. The call can be accessed by dialing 800-260-8140 (domestic) or 617-614-3672 (international) five minutes prior to the start time and providing the pass code 33704570. A replay of the call will be available on the ARIAD website approximately two hours after completion of the call and will be archived for three weeks.
ARIAD Pharmaceuticals, Inc. is an emerging global oncology company focused on the discovery, development and commercialization of medicines to transform the lives of cancer patients. ARIAD’s approach to structure-based drug design has led to three internally discovered, molecularly targeted product candidates for drug-resistant and difficult-to-treat cancers, including certain forms of chronic myeloid leukemia, soft tissue and bone sarcomas and non-small cell lung cancer. For additional information, visit http://www.ariad.com.
This press release contains “forward-looking statements” including, but not limited to, updates on clinical, preclinical and regulatory developments for our product candidates. Forward-looking statements are based on management's expectations and are subject to certain factors, risks and uncertainties that may cause actual results, outcome of events, timing and performance to differ materially from those expressed or implied by such statements. These risks and uncertainties include, but are not limited to, preclinical data and early-stage clinical data that may not be replicated in later-stage clinical studies, the costs associated with our research, development, manufacturing and other activities, the conduct, timing and results of pre-clinical and clinical studies of our product candidates, the adequacy of our capital resources and the availability of additional funding, and other factors detailed in the Company's public filings with the U.S. Securities and Exchange Commission. The information contained in this press release is believed to be current as of the date of original issue. The Company does not intend to update any of the forward-looking statements after the date of this document to conform these statements to actual results or to changes in the Company's expectations, except as required by law.
ARIAD PHARMACEUTICALS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
|In thousands, except per share data||
Three Months Ended
|Research and development||28,774||14,574|
|General and administrative||11,288||4,854|
|Total operating expenses||40,062||19,428|
|Revaluation of warrant liability||(15,924||)||(18,572||)|
|Other income (expense), net||(15,913||)||(18,577||)|
|Net loss per common share||$||(0.35||)||$||(0.29||)|
Weighted average number of shares of
common stock outstanding
CONDENSED CONSOLIDATED BALANCE SHEET INFORMATION
|Cash, cash equivalents and marketable securities||$||287,754||$||306,256|
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS INFORMATION
Three Months Ended
|Net cash used in operating activities||$||(30,561||)||$||(17,269||)|
|Net cash used in investing activities||(90,665||)||(664||)|
|Net cash provided by financing activities||13,192||12,659|
|Net decrease in cash and cash equivalents||$||(108,034||)||$||(5,274||)|