Hopkinton, MA, May 14, 1998-Creative BioMolecules Inc. (Nasdaq: CBMI) today announced financial results for the first quarter of fiscal 1998, ended March 31, 1998. Revenues were $3,418,000 and expenses were $8,337,000, resulting in a net loss of $4,919,000 or $0.15 per share. Comparable numbers for the quarter ending March 31, 1997 were revenues of $3,647,000, expenses of $7,396,000 and a net loss of $3,749,000, or $0.11 per share.
Revenues generated during the first quarter result from research contracts and product supply to Stryker Corporation and Biogen, Inc. for the orthopaedic and renal programs, respectively. The increase in expenses during the first quarter of 1998 is attributed to the preparation of the Company’s manufacturing facilities and completion of the manufacturing documentation required for the planned filing by Stryker of the Pre-Market Approval (PMA) application for the OP-1 bone graft device. Additionally, the Company expanded its research of OP-1 and other proprietary morphogenic proteins for the development of therapies for the treatment of stroke and other neurological disorders.
In March, Stryker presented data from a 122 patient pivotal trial of the OP-1 bone graft device at the American Academy of Orthopaedic Surgeons. The data demonstrated that the device was clinically comparable to autograft in healing non-union fractures of the tibia while eliminating the autograft harvest procedure. Eliminating this second invasive procedure results in less blood loss, shorter surgical time, less pain, and reduced infections.
Creative BioMolecules, Inc. has established a substantial proprietary position in the field of morphogenic proteins, including OP-1. The Company’s morphogenic protein programs include a late stage development effort in orthopaedic reconstruction with Stryker Corporation, ongoing research to develop treatments for renal disease with Biogen, Inc., and the development of proprietary new therapies for stroke and other neurological disorders.
Consolidated Statements of Operations |
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Three Months Ended |
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March 31, |
March 31, |
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1998 |
1997 |
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| REVENUE: | |||
| Research and development contracts | $3,002,859 |
$2,751,473 |
|
| Manufacturing contracts | 232,239 |
||
| Interest and other | 415,259 |
663,225 |
|
| Total revenues | 3,418,118 |
3,646,937 |
|
| COSTS AND EXPENSES: | |||
| Research and development | 6,297,867 |
5,579,053 |
|
| Cost of manufacturing contracts | 161,038 |
||
| General and administrative | 1,966,609 |
1,602,916 |
|
| Interest | 72,510 |
52,472 |
|
| Total costs and expenses | 8,336,986 |
7,395,479 |
|
| NET LOSS | ($4,918,868) |
($3,748,542) |
|
| BASIC AND DILUTED LOSS PER SHARE | ($0.15) |
($0.11) |
|
| SHARES FOR BASIC AND DILUTED | 33,442,341 |
32,853,617 |
|
Balance Sheet Data |
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March 31, |
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1998 |
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| Cash, Cash Equivalents and Marketable Securities | $26,222,115 |
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| Total Assets | $55,509,708 |
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| Total Stockholders' Equity | $48,117,841 |
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The statements in this news release that are not historical facts include forward-looking statements that involve risks and uncertainties. Factors which could cause actual results to differ from the Company’s expectations include, without limitation, the achievement of product development milestones by the Company, the impact of competitive products, the timely receipt of regulatory clearances required for clinical testing, manufacturing and marketing of products and the other risks and uncertainties detailed from time to time in the Company’s periodic reports.
Creative BioMolecules is a discovery and development company focused on proprietary protein-based therapeutics for human tissue regeneration and restoration. The Company’s therapeutics are based on proteins that act as signals in initiating and regulating the cellular events involved in cell and tissue formation.
NOTE: Creative BioMolecules’ latest press releases are available on the Internet at http://www.prnewswire.com or they may be requested by fax by calling 800-758-5804, extension 212213.
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For additional information on this news release, please contact the Company.