Full Press Release Details
Palatin Technologies, Inc. Reports Third Quarter
Fiscal Year 2018 Results;
Teleconference and Webcast to be held on May 15, 2018
CRANBURY, NJ May 15, 2018 Palatin Technologies,
Inc. (NYSE American: PTN), a biopharmaceutical company developing
targeted, receptor-specific peptide therapeutics for the treatment
of diseases with significant unmet medical need and commercial
potential, today announced results for its third quarter ended
- Under development for Hypoactive
Sexual Desire Disorder ( HSDD ):
2018 our exclusive North American licensee for
bremelanotide, AMAG Pharmaceuticals, Inc. ( AMAG ),
submitted a New Drug Application ( NDA ) to the U.S.
Food and Drug Administration ( FDA ) for bremelanotide
for the treatment of HSDD in premenopausal women.
approved, bremelanotide would become the first and only as desired
pharmacologic option in the U.S. indicated for the treatment of
HSDD in premenopausal women.
"The submission of this NDA represents a significant milestone for
the bremelanotide clinical program and our efforts to develop a
treatment for HSDD," said Carl Spana, Ph.D., CEO and President of
Palatin Technologies.
Melanocortin Receptor 1
Agonists ( MC1r ) under development for inflammatory bowel
diseases and ocular indications:
2018 Presented positive preclinical MC1r agonist data at
TIDES: Oligonucleotide and Peptide Therapeutics 2018
2018 Presented preclinical oral formulation data on
PL-8177, an investigational MC1r agonist for Inflammatory Bowel
Diseases at the 2018 Keystone Symposia on The Resolution of
Inflammation in Health and Disease.
1 First-in-Human clinical study of PL-8177 is in progress and on
schedule for top line data in the third quarter of calendar year
Third Quarter Fiscal 2018 Financial Results
Palatin reported a net loss of $(0.7) million, or $(0.00) per basic
and diluted share, for the quarter ended March 31, 2018, compared
to a net loss of $(3.6) million, or $(0.02) per basic and diluted
share, for the same period in 2017.
The difference in financial results between the three months ended
March 31, 2018 and 2017 was mainly attributable to the decrease in
total operating expenses of $4.3 million that is offset by a
decrease of $1.8 million of recognized revenue during the 2018
period pursuant to our license agreement with AMAG.
For the quarter ended March 31, 2018, Palatin recognized $9.0
million in license and contract revenue compared to $10.8 million
in the same period in 2017. For both periods, 100% of the revenue
Palatin recognized was related to our license agreement with AMAG.
As of March 31, 2018, and June 30, 2017, there was $0.6 million and
$35.1 million, respectively, of current deferred revenue on the
consolidated balance sheet related to this
Total operating expenses for the quarter ended March 31, 2018 were
$9.5 million compared to $13.8 million for the same period in 2017.
The decrease in operating expenses was mainly attributable to
professional services rendered in connection with our license
agreement with AMAG, which closed in February 2017, and secondarily
to the decrease in development expenses of bremelanotide for HSDD
as we continue our progress with our bremelanotide
Other Income/Expense
Total other income/expense, net was $0.2 million for the quarter
ended March 31, 2018 compared to $0.6 million for the same period
in 2017. Total other income/expense, net for both periods consisted
primarily of interest expense related to Palatin's venture
licensed bremelanotide to Shanghai Fosun Pharmaceutical Industrial
Development Co. Ltd. ( Fosun ) for the People's
Republic of China, Taiwan, Hong Kong and Macau, and to Kwangdong
Pharmaceutical Co. Ltd. ( Kwangdong ) for the Republic
of Korea. Pursuant to the license agreements with Fosun and
Kwangdong, $500,000 and $82,500, respectively, was withheld in
accordance with tax withholding requirements in China and the
Republic of Korea, respectively, and will be recorded as an expense
during the fiscal year ending June 30, 2018. For the quarter ended
March 31, 2018, Palatin recorded an income tax benefit of $18,746
related to those withholding amounts utilizing an estimated
effective annual income tax rate applied to the loss for the
quarter and the remaining balance of $275,111 was included in
prepaid expenses and other current assets at March 31, 2018. Any
potential credit to be received by Palatin on its United States tax
returns is currently offset by Palatin's valuation
Palatin's cash, and cash equivalents were $25.7 million as of
March 31, 2018, compared to cash, cash equivalents, accounts
receivable and investments of $55.6 million at June 30, 2017.
Current liabilities were $13.6 million, net of current deferred
revenue of $0.6 million, as of March 31, 2018, compared to $19.9
million, net of deferred revenue of $35.1 million, as of June 30,
In April 2018, Palatin entered into an equity distribution
agreement ( at-the-market program ) with Canaccord
Genuity LLC, pursuant to which Palatin may, from time to time, sell
shares of its common stock at market prices. Palatin has no
obligation to sell any shares under this agreement and may, at any
time, suspend solicitation and offers under this
Palatin believes that existing capital resources, together with
proceeds from sales of common stock in its at-the-market program
(if any), will be sufficient to fund our planned operations through
at least June 30, 2019.
CONFERENCE CALL / WEBCAST
Palatin will host a conference call and webcast on May 15, 2018 at
11:00 a.m. Eastern Time to discuss the results of operations in
greater detail and provide an update on corporate developments.
Individuals interested in listening to the conference call live can
dial 1-800-263-0877 (domestic) or 1-323-794-2094 (international),