Full Press Release Details
ADHEREX REPORTS 2006 FISCAL RESULTS
Research Triangle Park, NC, March 26, 2007 Adherex Technologies Inc. (AMEX:ADH, TSX:
AHX), a biopharmaceutical company with a broad portfolio of oncology products under development, today reported its financial results for the twelve-month fiscal period ended December 31, 2006. All amounts are in U.S. dollars unless otherwise
The net loss for the twelve-month fiscal period ended December 31, 2006 was $19.1 million, or $0.40 loss per share, compared to a net loss
of $19.2 million, or $0.49 loss per share, for the twelve-month fiscal period ended December 31, 2005. Operating expenses totaled $19.1 million for the twelve-month fiscal period ended December 31, 2006 as compared to $18.3 million for the
twelve-month fiscal period ended December 31, 2005. The increased operational expenses primarily reflect the advancement of our product portfolio including increased clinical activity for eniluracil and ADH-1.
Cash and cash equivalents totaled $5.7 million as of December 31, 2006 compared to $13.1 million as of December 31, 2005, with a corresponding decrease in
working capital of $9.5 million. The decreased cash balance reflects spending to fund operations. Subsequent to the year end, the Company received approximately $23.3 million in net proceeds from a public offering.
The selected consolidated financial data presented below are derived from our consolidated financial statements prepared under Canadian generally accepted accounting
principles and are not complete. Specifically, they exclude the accompanying footnotes, which are an integral part of the consolidated financial statements, including the reconciliation between U.S. and Canadian GAAP. The complete audited
consolidated financial statements for the year ended December 31, 2006 and management's discussion and analysis of financial condition and results of operations are available on our website at www.adherex.com.
Adherex Technologies Inc.
Selected Financial Data
(U.S. dollars and shares in thousands
except per share amounts)
| December 31, 2006 | December 31, 2005 | |||||
| Condensed Consolidated Balance Sheets: | ||||||
| Assets: | ||||||
| Cash, cash equivalents and short-term investments | $ | 5,718 | $ | 13,144 | ||
| Other current and long-term assets | 910 | 1,147 | ||||
| Acquired intellectual property rights | 9,956 | 14,154 | ||||
| Total Assets | $ | 16,584 | $ | 28,445 | ||
| Liabilities and shareholders equity: | ||||||
| Accounts payable and accrued liabilities | $ | 4,695 | $ | 2,664 | ||
| Other current and long-term liabilities | 665 | 550 | ||||
| Future income taxes | 3,639 | 5,174 | ||||
| Total shareholders equity | 7,585 | 20,057 | ||||
| Total liabilities and shareholders equity | $ | 16,584 | $ | 28,445 |
| Year Ended December 31, 2006 | Year Ended December 31, 2005 | Six Months Ended December 31, 2004 | Year Ended June 30, 2004 | |||||||||||||
| Condensed Consolidated Statements of Operations: | ||||||||||||||||
| Revenue | $ | $ | $ | $ | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Research and development | 14,003 | 12,441 | 3,443 | 3,561 | ||||||||||||
| General and administration | 2,883 | 3,182 | 2,727 | 3,481 | ||||||||||||
| Amortization of acquired intellectual property rights | 2,177 | 2,723 | 1,234 | 2,323 | ||||||||||||
| (Loss from operations) | (19,063 | ) | (18,346 | ) | (7,404 | ) | (9,365 | ) | ||||||||
| Other income (expense): | ||||||||||||||||
| Loss on impairment of intellectual property | (2,021 | ) | (3,539 | ) | ||||||||||||
| Settlement of Cadherin Biomedical Inc. litigation | (1,283 | ) | ||||||||||||||
| Interest expense | (3 | ) | (11 | ) | (331 | ) | ||||||||||
| Interest income | 449 | 361 | 171 | 162 | ||||||||||||
| Total other income and (expense) | (1,575 | ) | (3,189 | ) | (1,112 | ) | (169 | ) | ||||||||
| Loss before income taxes | (20,638 | ) | (21,535 | ) | (8,516 | ) | (9,534 | ) | ||||||||
| Recovery of future income taxes | 1,535 | 2,290 | 451 | 849 | ||||||||||||
| Net loss | $ | (19,103 | ) | $ | (19,245 | ) | $ | (8,065 | ) | $ | (8,685 | ) | ||||
| Net loss per share of common stock, basic and diluted | $ | (0.40 | ) | $ | (0.49 | ) | $ | (0.22 | ) | $ | (0.36 | ) | ||||
| Weighted-average number of shares of common stock outstanding, basic and diluted | 47,663 | 39,276 | 35,989 | 24,233 |
About Adherex Technologies
Adherex Technologies Inc. is a biopharmaceutical company dedicated to the discovery and development of novel cancer therapeutics. We aim to be a leader in developing innovative treatments that address important unmet medical needs in
cancer. We currently have multiple products in the clinical stage of development, including eniluracil, ADH-1 and sodium thiosulfate (STS). Eniluracil, an oral dihydropyrimidine dehydrogenase (DPD) inhibitor, was previously under development by
GlaxoSmithKline for oncology indications. ADH-1, our lead biotechnology compound, selectively targets N-cadherin, a protein present on certain tumor cells and established blood vessels that feed solid tumors. STS, a drug from our specialty
pharmaceuticals pipeline, protects against the disabling hearing loss that can often result from treatment with platinum-based chemotherapy drugs. With a diversified portfolio of unique preclinical and clinical-stage cancer compounds and a
management team with expertise in identifying, developing and commercializing novel cancer therapeutics, Adherex is emerging as a pioneering oncology company. For more information, please visit our website at www.adherex.com.
For further information, please contact:
Director, Corporate Communications
Adherex Technologies Inc.