Full Press Release Details
Novavax Reports Second Quarter 2017 Financial
MD, August 8, 2017 - Novavax, Inc., (Nasdaq: NVAX) today announced its financial results for the second quarter and six months
ended June 30, 2017.
Quarter and Subsequent Achievements:
has demonstrated considerable progress in our RSV F Vaccine program, highlighted by the continued strong execution of the Prepare
trial, and the data from our recent trial in older adults, which confirmed the ability of the vaccine to generate robust immune
responses and provided us with a development path forward," said Stanley C. Erck, President and CEO. "We are
also excited by the recent preclinical results of our nanoparticle influenza vaccine and look forward to Phase 1/2 clinical data
in the fourth quarter of this year."
Results for the Three and Six Months Ended June 30, 2017
reported a net loss of $44.5 million, or $0.16 per share, for the second quarter of 2017, compared to a net loss of $79.4 million,
or $0.29 per share, for the second quarter of 2016. For the six months ended June 30, 2017, the net loss was $88.3 million, or
$0.32 per share, compared to a net loss of $156.6 million, or $0.58 per share, for the same period in 2016.
revenue in the second quarter of 2017 increased 169% to $6.7 million, compared to $2.5 million for the same period in 2016, primarily
due to increased revenue recorded under the BMGF grant relating to our ongoing Prepare clinical trial.
and development expenses decreased 40% to $39.3 million in the second quarter of 2017, compared to $64.9 million for the same period
in 2016. The decrease was primarily due to reduced costs associated with the clinical trials and development activities
of our RSV F Vaccine and lower employee-related costs.
and administrative expenses decreased 37% to $8.9 million in the second quarter of 2017, compared to $14.1 million for the same
period in 2016. The decrease was primarily due to lower professional fees for pre-commercialization activities and lower employee-related
income (expense), net for the second quarter of 2017 was ($3.0) million, compared to ($2.8) million for the same period in 2016.
of June 30, 2017, the company had $187.3 million in cash and cash equivalents and marketable securities compared to $235.5 million
as of December 31, 2016. Net cash used in operating activities for the first six months of 2017 was $69.4 million, compared to
$131.9 million for same period in 2016. The decrease in cash usage was primarily due to decreased costs relating to our RSV F Vaccine
and lower overall employee-related costs.
management will host its quarterly conference call today at 4:30 p.m. ET. The dial-in number for the conference call is (877)
212-6076 (Domestic) or (707) 287-9331 (International),
passcode 15614203. A replay of the conference call will be available starting at 7:30 p.m. ET on August 8, 2017 until 7:30 pm ET
on August 15, 2017. To access the replay by telephone, dial (855) 859-2056 (Domestic) or (404) 537-3406 (International) and use
webcast of the conference call can also be accessed via a link on the home page of the Novavax website (novavax.com) or through
the "Investor Info"/"Events" tab on the Novavax website. A replay of the webcast will be available through
the "Investor Info"/"Events" tab on the Novavax website until November 8, 2017.
Novavax, Inc. (Nasdaq:NVAX) is a clinical-stage
biotechnology company committed to delivering novel products to prevent a broad range of infectious diseases. Our recombinant nanoparticles
and Matrix-M adjuvant technology are the foundation for groundbreaking innovation that improves global health through safe
and effective vaccines. Additional information about Novavax is available on the Company's website, novavax.com.
Forward-Looking Statements
Statements herein relating to the future
of Novavax and the ongoing development of its vaccine and adjuvant products are forward-looking statements. Novavax cautions that
these forward looking statements are subject to numerous risks and uncertainties, which could cause actual results to differ materially
from those expressed or implied by such statements. These risks and uncertainties include those identified under the heading "Risk
Factors" in the Novavax Annual Report on Form 10-K for the year ended December 31, 2016 and the Quarterly Report on Form
10-Q for the period ended June 30, 2017, both as filed with the Securities and Exchange Commission (SEC). We caution investors
not to place considerable reliance on the forward-looking statements contained in this press release. You are encouraged to read
our filings with the SEC, available at sec.gov, for a discussion of these and other risks and uncertainties. The forward-looking
statements in this press release speak only as of the date of this document, and we undertake no obligation to update or revise
any of the statements. Our business is subject to substantial risks and uncertainties, including those referenced above. Investors,
potential investors, and others should give careful consideration to these risks and uncertainties.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share information)
| Three Months Ended | Six Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2017 | 2016 | 2017 | 2016 | |||||||||||||
| Revenue | $ | 6,732 | $ | 2,505 | $ | 12,412 | $ | 6,723 | ||||||||
| Expenses: | ||||||||||||||||
| Research and development | 39,263 | 64,904 | 76,916 | 133,856 | ||||||||||||
| General and administrative | 8,940 | 14,099 | 17,793 | 24,627 | ||||||||||||
| Total expenses | 48,203 | 79,003 | 94,709 | 158,483 | ||||||||||||
| Loss from operations | (41,471 | ) | (76,498 | ) | (82,297 | ) | (151,760 | ) | ||||||||
| Interest income (expense), net | (2,993 | ) | (2,842 | ) | (6,032 | ) | (4,799 | ) | ||||||||
| Other income (expense) | (1 | ) | (11 | ) | 10 | (44 | ) | |||||||||
| Net loss | $ | (44,465 | ) | $ | (79,351 | ) | $ | (88,319 | ) | $ | (156,603 | ) | ||||
| Basic and diluted net loss per share | $ | (0.16 | ) | $ | (0.29 | ) | $ | (0.32 | ) | $ | (0.58 | ) | ||||
| Basic and diluted weighted average number of common shares outstanding | 283,444 | 270,760 | 278,836 | 270,469 |
SELECTED CONSOLIDATED BALANCE SHEET DATA
| June 30, 2017 | December 31, 2016 | |||||||
| (unaudited) | ||||||||
| Cash and cash equivalents | $ | 75,793 | $ | 144,353 | ||||
| Marketable securities | 111,515 | 91,126 | ||||||
| Total current assets | 236,683 | 287,830 | ||||||
| Working capital | 169,892 | 221,424 | ||||||
| Total assets | 355,706 | 394,301 | ||||||
| Total notes payable and capital lease obligation | 317,051 | 316,376 | ||||||
| Total stockholders' deficit | (59,062 | ) | (5,546 | ) |
Andrea N. Flynn, Ph.D.
Director, Investor Relations