VANCOUVER, March 26 /CNW/ - Cardiome Pharma Corp. (NASDAQ: CRME/TSX: COM)
today reported financial results for the year ended December 31, 2007.
Amounts, unless specified otherwise, are expressed in Canadian dollars and in
accordance with Canadian Generally Accepted Accounting Principles (Canadian
GAAP). At close of business on December 31, 2007, the exchange rate was
Summary Fiscal 2007 Results
We recorded a net loss of $85.5 million ($1.36 per common share) for the
year ended December 31, 2007 compared to a net loss of $36.1 million
($0.68 per common share) for fiscal 2006. The increase in net loss for fiscal
2007 compared to fiscal 2006 was primarily due to a decrease in licensing and
research collaborative fees combined with an increase in research and
development expenditures related to the vernakalant (oral) clinical
activities, general and administrative expenses to support research and
development activities, and increased foreign exchange losses. The results of
operations were in line with management's expectations.
Total revenue decreased to $4.9 million in fiscal 2007 from $20.7 million
in fiscal 2006. Revenue in fiscal 2007 consisted of $1.6 million in licensing
fees (fiscal 2006 - $14.0 million) and $3.3 million in research collaborative
fees (fiscal 2006 - $6.7 million).
Research and development expenditures were $56.8 million for fiscal 2007,
compared to $43.4 million for fiscal 2006. General and administration expenses
increased to $18.5 million in fiscal 2007 from $13.9 million in fiscal 2006
due to the addition of personnel and expanded business development activities.
Amortization was $3.4 million for fiscal 2007 compared to $1.6 million for
fiscal 2006. Interest and other income was $4.5 million for fiscal 2007
compared to $2.7 million for fiscal 2006. Foreign exchange loss was
$16.2 million for fiscal 2007 compared to $0.8 million in 2006. Foreign
exchange gains and losses are primarily attributable to the translation of US
and Euro denominated net monetary assets into Canadian dollars for reporting
purposes at period end. The increase in the foreign exchange loss in 2007
reflects the decrease in the value of the US dollar compared to the Canadian
dollar over the past 12 months.
Stock-based compensation, a non-cash item included in operating expenses,
decreased to $6.5 million for the year, as compared to $8.2 million for 2006.
Liquidity and Outstanding Share Capital
As of December 31, 2007, the Company had cash, cash equivalents and
short-term investments of $68.1 million. As of March 18, 2008, the Company had
63,727,290 common shares issued and outstanding and 5,016,063 common shares
issuable upon the exercise of outstanding stock options at a weighted-average
exercise price of $8.37 per share.
Conference Call Notification
Cardiome will hold a teleconference and webcast on Wednesday, March 26,
2008 at 9:00am Eastern (6:00am Pacific). To access the conference call, please
dial 416-641-6117 or 866-299-6655. There will be a separate dial-in line for
analysts on which we will respond to questions at the end of the call. The
webcast can be accessed through Cardiome's website at www.cardiome.com.
Webcast and telephone replays of the conference call will be available
approximately two hours after the completion of the call through April 26,
2008. Please dial 416-695-5800 or 800-408-3053 and enter code 3256620 followed
by the number sign to access the replay.
About Cardiome Pharma Corp.
Cardiome Pharma Corp. is a product-focused cardiovascular drug
development company with two late-stage clinical drug programs focused on
atrial arrhythmia (intravenous and oral dosing), a Phase 1 program for
GED-aPC, an engineered analog of recombinant human activated Protein C, and a
pre-clinical program directed at improving cardiovascular function.
Vernakalant (iv) is the intravenous formulation of an investigational
drug being evaluated for the acute conversion of atrial fibrillation. Positive
top-line results from two pivotal Phase 3 trials for vernakalant (iv), called
ACT 1 and ACT 3, were released in December 2004 and September 2005. Cardiome's
co-development partner Astellas Pharma US, Inc. submitted a New Drug
Application for vernakalant (iv) in December 2006. Positive top-line results
from an additional Phase 3 study evaluating patients with post-operative
atrial arrhythmia, called ACT 2, were released in June 2007. An open-label
safety study evaluating recent-onset AF patients, called ACT 4, has completed.
Vernakalant (oral) is being investigated as a chronic-use oral drug for
the maintenance of normal heart rhythm following termination of AF. Cardiome
announced positive results from a Phase 2a pilot study for vernakalant (oral)
in September 2006. A Phase 2b study for vernakalant (oral) is ongoing.
In April 2007 Cardiome acquired exclusive worldwide rights for GED-aPC
for all indications. Cardiome intends to initially develop GED-aPC in
cardiogenic shock, a life-threatening form of acute circulatory failure due to
cardiac dysfunction, which is a leading cause of death for patients
hospitalized following a heart attack.
Cardiome is traded on the Toronto Stock Exchange (COM) and the NASDAQ
National Market (CRME).
Forward-Looking Statement Disclaimer
Certain statements in this press release contain forward-looking
statements within the meaning of the Private Securities Litigation Reform Act
of 1995 or forward-looking information under applicable Canadian securities
legislation that may not be based on historical fact, including without
limitation statements containing the words "believe", "may", "plan", "will",
"estimate", "continue", "anticipate", "intend", "expect" and similar
expressions. Such forward-looking statements or information involve known and
unknown risks, uncertainties and other factors that may cause our actual
results, events or developments, or industry results, to be materially
different from any future results, events or developments expressed or implied
by such forward-looking statements or information. Such factors include, among
others, our stage of development, lack of product revenues, additional capital
requirements, risk associated with the completion of clinical trials and
obtaining regulatory approval to market our products, the ability to protect
our intellectual property, dependence on collaborative partners and the
prospects for negotiating additional corporate collaborations or licensing
arrangements and their timing. Specifically, certain risks and uncertainties
that could cause such actual events or results expressed or implied by such
forward-looking statements and information to differ materially from any
future events or results expressed or implied by such statements and
information include, but are not limited to, the risks and uncertainties that:
we may not be able to successfully develop and obtain regulatory approval for
vernakalant (iv) or vernakalant (oral) in the treatment of atrial fibrillation
or any other current or future products in our targeted indications; our
future operating results are uncertain and likely to fluctuate; we may not be
able to raise additional capital; we may not be successful in establishing
additional corporate collaborations or licensing arrangements; we may not be
able to establish marketing and sales capabilities and the costs of launching
our products may be greater than anticipated; we rely on third parties for the
continued supply and manufacture of vernakalant (iv) and vernakalant (oral)
and we have no experience in commercial manufacturing; we may face unknown
risks related to intellectual property matters; we face increased competition
from pharmaceutical and biotechnology companies; and other factors as
described in detail in our filings with the Securities and Exchange Commission
available at www.sec.gov and the Canadian securities regulatory authorities at
www.sedar.com. Given these risks and uncertainties, you are cautioned not to
place undue reliance on such forward-looking statements and information, which
are qualified in their entirety by this cautionary statement. All
forward-looking statements and information made herein are based on our
current expectations and we undertake no obligation to revise or update such
forward-looking statements and information to reflect subsequent events or
circumstances, except as required by law.
For further information:
For further information: Peter K. Hofman, Senior Director, Investor
Relations, (604) 676-6993, or Toll Free: 1-800-330-9928, Email: