Full Press Release Details
LIPOCINE ANNOUNCES FINANCIAL
AND OPERATIONAL RESULTS FOR
THE FIRST QUARTER OF 2015
SALT LAKE CITY (May 7, 2015)
- Lipocine Inc. (NASDAQ Capital Markets: LPCN), a specialty pharmaceutical company, today announced
financial results for the quarter ended March 31, 2015, as well as recent operational highlights.
Quarterly and Recent Highlights
"The beginning of 2015 has been
an eventful period for Lipocine, with FDA interaction, multiple data presentations and continued progress with our lead product,
LPCN 1021, and our other clinical programs," said Dr. Mahesh Patel, President and CEO of Lipocine Inc. "In addition,
the recent completion of our public offering has strengthened our balance sheet and provides us with the necessary capital to accelerate
development of our earlier clinical assets."
First Quarter 2015 Financial Results
Lipocine reported a net loss of $3.0
million, or $0.23 per diluted share, for the first quarter of 2015, compared with a net loss of $5.3 million, or $0.41 per diluted
share, for the first quarter of 2014.
For the first quarter of 2015, research
and development expenses were $1.9 million, compared with $3.4 million for the first quarter of 2014. The decrease was largely
attributable to decreased external service provider costs related to clinical research and contract manufacturing and also reduced
internal personnel costs.
For the first quarter of 2015, general
and administrative expenses were $1.1 million, compared with $1.9 million for the same period in 2014. The decrease was primarily
due to accelerated vesting and extension of exercise dates from retiring directors in the 2014 period and also reduced legal and
accounting fees. This was partially offset by a slight increase in other personnel costs.
As of March 31, 2015, Lipocine had
cash and cash equivalents of $24.8 million, compared with cash and cash equivalents of $27.7 million as of December 31, 2014. This
does not include the net proceeds of $32.5 million from the public offering we completed on April 29, 2015, as this occurred subsequent
Lipocine Inc. is a specialty pharmaceutical company developing
innovative pharmaceutical products for use in men's and women's health using its proprietary drug delivery technologies. Lipocine's
lead product candidate, LPCN 1021, demonstrated positive top-line efficacy results in Phase 3 testing and is targeted for testosterone
replacement therapy, or TRT. Additional pipeline candidates include LPCN 1111, a next generation oral testosterone therapy product
with once daily dosing, that is currently in Phase 2 testing, and LPCN 1107, which has the potential to become the first oral hydroxyprogesterone
caproate (HPC) product indicated for the prevention of recurrent preterm birth, is currently in Phase 1 testing.
Forward-Looking Statements
This release contains "forward looking statements"
that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and include statements
that are not historical facts relating to an underwritten public offering of Lipocine's common stock, clinical trials, the potential
uses and benefits of Lipocine's product candidates, and product development and commercialization efforts. Investors are cautioned
that all such forward-looking statements involve risks and uncertainties, including, without limitation, the risks related to market
conditions for Lipocine's common stock, the failure to satisfy offering conditions, the risks related to the receipt of regulatory
approvals, the results of clinical trials, patient acceptance of Lipocine's products, the manufacturing and commercialization of
Lipocine's products, and other risks detailed in Lipocine's filings with the SEC, including, without limitation, its Form 10-K
and other reports on Forms 8-K and 10-Q and the final prospectus supplement which will be filed with the SEC, all of which can
be obtained on the SEC website at www.sec.gov. Lipocine assumes no obligation to update or revise publicly any forward-looking
statements contained in this release, except as required by law.
Executive Vice President & Chief Financial Officer
Phone: (801) 994-7383
Email: mb@lipocine.com
Phone: (443) 213-0500
LIPOCINE INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Operations and Comprehensive Loss
| Three Months Ending March 31, | ||||||||
| 2015 | 2014 | |||||||
| Operating expenses: | ||||||||
| Research and development | $ | 1,918,695 | $ | 3,368,999 | ||||
| General and administrative | 1,055,544 | 1,923,623 | ||||||
| Total operating expenses | 2,974,239 | 5,292,622 | ||||||
| Operating loss | (2,974,239 | ) | (5,292,622 | ) | ||||
| Other income, net | 18,633 | 25,466 | ||||||
| Loss before income tax expense | (2,955,606 | ) | (5,267,156 | ) | ||||
| Income tax expense | (200 | ) | - | |||||
| Net loss | $ | (2,955,806 | ) | $ | (5,267,156 | ) | ||
| Basic loss per share attributable to common stock | $ | (0.23 | ) | $ | (0.41 | ) | ||
| Weighted average common shares outstanding, basic | 12,819,332 | 12,728,086 | ||||||
| Diluted loss per share attributable to common stock | $ | (0.23 | ) | $ | (0.41 | ) | ||
| Weighted average common shares outstanding, diluted | 12,819,332 | 12,728,086 | ||||||
| Comprehensive loss | $ | (2,955,806 | ) | $ | (5,267,156 | ) |
LIPOCINE INC. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
| March 31, | December 31, | |||||||
| 2015 | 2014 | |||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 24,764,456 | $ | 27,666,055 | ||||
| Prepaid and other current assets | 186,462 | 229,912 | ||||||
| Total current assets | 24,950,918 | 27,895,967 | ||||||
| Property and equipment, net of accumulated depreciation of | ||||||||
| $1,038,332 and $1,034,029, respectively | 82,709 | 73,782 | ||||||
| Other assets | 23,753 | 23,753 | ||||||
| Total assets | $ | 25,057,380 | $ | 27,993,502 | ||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 379,528 | $ | 306,276 | ||||
| Accrued expenses | 957,777 | 1,327,256 | ||||||
| Total current liabilities | 1,337,305 | 1,633,532 | ||||||
| Total liabilities | 1,337,305 | 1,633,532 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders' equity: | ||||||||
| Preferred stock, par value $0.0001 per share, 10,000,000 | ||||||||
| shares authorized; zero issued and outstanding | - | - | ||||||
| Common stock, par value $0.0001 per share, 100,000,000 | ||||||||
| shares authorized; 12,850,090 and 12,800,382 issued | ||||||||
| and 12,844,380 and 12,794,672 outstanding | 1,285 | 1,280 | ||||||
| Additional paid-in capital | 94,952,385 | 94,636,479 | ||||||
| Treasury stock at cost, 5,710 shares | (40,712 | ) | (40,712 | ) | ||||
| Accumulated deficit | (71,192,883 | ) | (68,237,077 | ) | ||||
| Total stockholders' equity | 23,720,075 | 26,359,970 | ||||||
| Total liabilities and stockholders' equity | $ | 25,057,380 | $ | 27,993,502 |