Full Press Release Details
| Contacts: | ||
| Anika Therapeutics, Inc. | PondelWilkinson Klein | |
| Charles Sherwood, Ph.D., CEO | Susan Klein (508) 358-4315 | |
| (781) 932-6616 | Rob Whetstone (310) 279-5963 |
ANIKA THERAPEUTICS REPORTS CONTINUED REVENUE AND NET
GROWTH FOR 2004 FOURTH QUARTER AND FULL YEAR
Mass. - February 23, 2005 - Anika Therapeutics, Inc. (NASDAQ:ANIK) today
announced financial results for the fourth quarter and year ended December 31,
for the fourth quarter rose to $7,656,000, up 53% from $5,014,000 in the fourth
quarter of 2003. Product revenues increased
10% to $5,473,000 from $4,991,000 in the same period last year. Revenue from OrthoVisc , Anika s osteoarthritis product, grew 71%
over last year s fourth quarter and amounted to $1,515,000. Ophthalmic product sales decreased 14%
compared with the prior year period and amounted to $3,334,000 in the most
recent quarter. Hyvisc sales
grew 149% over the 2003 fourth quarter to $624,000.
income for the fourth quarter ended December 31, 2004, totaled $1,755,000, or
$0.15 per diluted share, compared with net income of $801,000, or $0.07 per
diluted share, in the fourth quarter of 2003.
the year ended December 31, 2004, revenues increased 72% to $26,466,000 from
$15,404,000 in 2003. Product revenues for
2004 totaled $22,286,000, up 45% from $15,330,000 in 2003. OrthoVisc sales of $8,699,000 were 183%
higher than OrthoVisc sales in 2003, reflecting, in part, the U.S. launch of
the product in March of 2004. Ophthalmic
product sales grew 10% to $11,533,000 from $10,512,000 in 2003 and Hyvisc sales
were $2,054,000, representing an 18% increase over 2003 levels. License, milestone and contract revenue for
all of 2004 totaled $4,180,000.
income for the full year totaled $11,190,000, or $0.98 per diluted share,
compared with net income of $827,000, or $0.08 per diluted share, in 2003. Full-year results include a previously
disclosed, one-time deferred income tax benefit recorded in the first quarter
of $7,039,000, equal to $.62 per diluted share.
H. Sherwood, Ph.D., Anika s president and chief executive officer, stated, This
year we made progress in revenue growth along all product lines with a
commensurate contribution to our bottom line results. In addition, we achieved two important
milestones for the company with the approval and launch of OrthoVisc in the
United States and the initiation of a U.S. clinical trial for our cosmetic
tissue augmentation (CTA) product.
2005, we expect to continue generating additional market momentum for OrthoVisc
worldwide, advancing new products through the clinic, and building our
infrastructure for sustained growth, Sherwood added.
gross margins were 57.3% and 55.4% for the fourth quarter of 2004 and full year,
respectively. This compares with 54.7%
and 47.8% for the corresponding periods in 2003. The improved margins reflect efficiency gains
in the company s manufacturing operations and a higher margin product mix.
and development expenses for the fourth quarter increased 63% to $1,067,000
compared to fourth quarter 2003 expenses of $656,000. For the full year research and development
expenses were $4,087,000, up 57% from $2,595,000 in 2003. The increase was primarily due to costs
attributable to the ongoing clinical trial for CTA. These costs were offset by reimbursement from
the Ortho Neutrogena Division of Ortho-McNeil
Pharmaceutical, Inc.,
Anika s commercial development partner for CTA, and were recorded as contract
revenue in the amount of $1,392,000.
general and administrative expenses for the fourth quarter were $1,870,000, representing
an increase of 48% compared with the fourth quarter of 2003, and totaled $6,042,000
for the full year, an increase of 44% over 2003. This was primarily due to increases in
professional service fees including costs associated with Sarbanes-Oxley
compliance and other items.
cash equivalents and marketable securities at December 31, 2004 totaled $39.3
million compared with cash and cash equivalents of $14.6 million at December
31, 2003. The company continues to have
Conference Call Information
company will hold a conference call to review its financial results on Thursday,
February 24, 2005 at 11:00 a.m. EST. To
listen to the conference call, dial (706) 634-1550 approximately 10 minutes
before the starting time and reference Anika Therapeutics. In addition, the conference call will be
parties through a live audio Internet broadcast at
call will be archived and accessible on the same web site for approximately one
year shortly after the conclusion of the call.
About Anika Therapeutics, Inc.
in Woburn, Mass., Anika Therapeutics, Inc. (www.anikatherapeutics.com)
develops, manufactures and commercializes therapeutic products and devices
intended to promote the repair, protection and healing of bone, cartilage and
soft tissue. These products are based on
hyaluronic acid (HA), a naturally occurring, biocompatible polymer found
throughout the body. Anika products
include OrthoVisc , a treatment for osteoarthritis of the knee
available internationally and marketed in the U.S. by Ortho Biotech Products,
L.P., and Hyvisc , a treatment for equine osteoarthritis marketed in
the U.S. by Boehringer Ingelheim Vetmedica, Inc. Anika manufactures Amvisc and
Amvisc Plus , HA viscoelastic products for ophthalmic surgery, for
Bausch & Lomb. It also produces CoEase ,
which is marketed by Advanced Medical Optics, Inc., STAARVISC -II
distributed by STAAR Surgical Company and Shellgel for Cytosol
The statements made in this press
release which are not statements of historical fact are forward-looking
statements within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934, including, without
limitation, statements that may be identified by words such as expectations, remains,
focus, expected, prospective, expanding, building, continue, progress,
efforts, hope, believe, objectives, opportunities, will, seek,
and other expressions which are predictions of or indicate future events and
trends and which do not constitute historical matters identify forward-looking
statements. These statements also
include statements regarding: (i) the Company s efforts and expectations in
entering into long-term arrangements to market and distribute ophthalmic and
osteoarthritis products, (ii) the level of the Company s revenue or sales in
particular geographic areas and/or for particular products, (iii) the market
share of any of the Company s products, (iv) expectations regarding future
results of operations, including the Company s expectations regarding cash
utilization, (v) the Company s intention to strengthen, expand and grow its
ophthalmic franchise and the growth of the Company s ophthalmic business, (vi)
the Company s expectations of the size of the United States and European
markets, including Germany and France, for osteoarthritis of the knee, (vii)