Full Press Release Details
Press Release Dated August
Geron Corporation Reports
Second Quarter 2015 Financial Results
Calif., August 5, 2015 -- Geron Corporation (Nasdaq: GERN)
today reported financial
results for the second quarter ended June 30, 2015.
For the second quarter of 2015, the company
reported a net loss of $9.4 million, or $0.06 per share, compared
to $8.7 million, or $0.06 per share, for the comparable
2014 period. Revenues for
the second quarter of 2015 were $251,000 compared to
$341,000 for the comparable 2014 period. Interest and
other income for the second quarter of 2015 amounted to
$145,000 compared to $99,000 for the comparable 2014 period. The company ended the second quarter of 2015 with
$157.0 million in cash and
Total operating expenses for the second quarter of
2015 were $9.7 million
compared to $9.0 million for the comparable 2014 period. Research and
development expenses for
the second quarter of 2015 were $4.8 million compared
to $5.2 million for the comparable 2014 period. General
and administrative expenses for the second quarter of 2015
were $4.0 million compared to $3.9 million for the comparable
2014 period. Operating expenses for the 2015 second quarter also included
restructuring charges of $941,000 in connection with the company s organizational
resizing announced in March 2015.
The decrease in research and development expenses for the 2015 second quarter,
compared to the same period in 2014, was primarily the
net result of reduced personnel-related and other research costs resulting from the organizational resizing, partially offset by increased costs for the development of imetelstat for hematologic myeloid malignancies in
collaboration with Janssen Biotech, Inc. (Janssen). The company
expects research and development expenses to increase
during the remainder of the year as the development of imetelstat continues in collaboration with Janssen. The increase in general
and administrative expenses for the 2015 second quarter,
compared to the same period in 2014, was primarily the
result of higher non-cash
stock-based compensation expense and higher consulting costs in connection with business development activities
to identify potential new
Six Months Ended 2015
Net loss for the first six months of 2015 was $18.7 million, or
$0.12 per share, compared to $17.2 million, or $0.11 per
share, for the comparable 2014 period. Revenues for the first six months of 2015 were $788,000 compared to $815,000 for the comparable 2014
period. Interest and other income for the first six months of
2015 was $294,000 compared
to $182,000 for the comparable 2014 period. The
company has not incurred any impairment charges on its
investment portfolio.
Total operating expenses for the first six months of
2015 were $19.7 million compared to $18.2 million for
the comparable 2014 period. Research
and development expenses for
the first six months of 2015 were $9.8 million compared
to $10.4 million for the comparable 2014 period. General and
administrative expenses for the first six months of 2015 were $8.6 million compared to $7.8 million for the comparable 2014
period. Year-to-date operating
expenses for 2015 also included restructuring
charges of $1.3 million.
The decrease in research and development expenses for the first six months of 2015, compared to the same period in 2014, was primarily the net result of reduced
personnel-related and other research costs resulting from the organizational resizing, partially offset by increased costs for the development of imetelstat in collaboration with Janssen. The increase in
general and administrative expenses for the first six
months of 2015, compared to the same
period in 2014, was primarily the result of higher non-cash stock-based compensation expense
and higher consulting costs in connection with business development activities to identify
potential new product candidates.
Recent Company Events
Status of Imetelstat
Collaboration with Janssen
| I n June 2015, the United States Food and Drug Administration (FDA) granted orphan-drug status to imetelstat for the treatment of myelofibrosis. | |
| I n July 2015, the IMbark study, a Phase 2 clinical trial to evaluate the activity of two dose levels of imetelstat in patients with DIPSS intermediate-2 or high-risk myelofibrosis who have relapsed after or are refractory to a JAK inhibitor, opened to patient enrollment at the first study site. Multiple medical centers across North America, Europe and Asia are planned to participate in this clinical trial. For more information about the IMbark study being conducted by Janssen, please visit http://clinicaltrials.gov/ct2/show/NCT02426086. |
We expect our transition
activities for the imetelstat program to Janssen to be completed in the third
quarter and have been pleased with the progress Janssen has made with
imetelstat, said John A. Scarlett, M.D., Geron s President and Chief Executive
Officer. Our business development efforts continue, as we seek to identify and
acquire and/or in-license other oncology products, programs or
Geron is a clinical stage
biopharmaceutical company focused on the collaborative development of a
first-in-class telomerase inhibitor, imetelstat, in hematologic myeloid
malignancies. For more information about Geron, visit www.geron.com.
Use of Forward-Looking
Except for the historical
information contained herein, this press release contains forward-looking
statements made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Investors are cautioned that
statements in this press release regarding: (i) Geron s potential receipt of
development, regulatory and sales milestones, as well as royalties on potential
future sales of imetelstat commercialized under the collaboration agreement with
Janssen; (ii) timing of planned and potential clinical trials of imetelstat to
be conducted under the collaboration agreement with Janssen, including the Phase
2 study in myelofibrosis and the Phase 2 study in myelodysplastic syndromes, and
other potential activities under the collaboration agreement with Janssen; (iii)
the safety and efficacy of imetelstat; (iv) Geron s desire to diversify its
product portfolio; (v) financial projections and expectations; (vi) intellectual
property protection; and (vii) other statements that are not historical facts,
constitute forward-looking statements. These statements involve risks and
uncertainties that can cause actual results to differ materially from those in
such forward-looking statements. These risks and uncertainties, include, without
limitation, risks and uncertainties related to: (i) the uncertain,
time-consuming and expensive product development and regulatory process,
including whether Geron and Janssen will succeed in overcoming all of the
clinical safety and efficacy, technical, scientific, manufacturing and
regulatory challenges in the development and commercialization of imetelstat;