Full Press Release Details
SANGAMO THERAPEUTICS REPORTS FOURTH QUARTER AND FULL YEAR 2018
Conference Call and Webcast Scheduled for 5:00 p.m. Eastern Time
Brisbane, California, February 28, 2019 Sangamo Therapeutics, Inc. (NASDAQ: SGMO), a genomic medicine company, today
reported fourth quarter and full year 2018 financial results and recent business highlights.
The enrollment of patients last year into our five active clinical trials has laid the foundation for a steady flow of data readouts in 2019, said
Sandy Macrae, CEO of Sangamo. In the remainder of the year, we anticipate providing important data that will help us understand the potential clinical benefit of our MPS I and MPS II programs, as well as clinical results and analyses from
three clinical hematology assets for hemophilia A, hemophilia B and beta thalassemia. We also expect four additional programs to progress into clinical development, including our wholly owned gene therapy for Fabry disease and CAR-Treg therapy for
the prevention of solid organ transplant rejection, as well as partnered programs in sickle cell disease and oncology being developed in collaboration with Sanofi and Kite, respectively. I m excited for what lies ahead as we continue to push
forward the development of our genomic medicines.
Anticipated Milestones in 2019
In Vivo Genome Editing
Fourth Quarter 2018 Financial Results
quarter ended December 31, 2018, Sangamo reported a consolidated net loss of $18.7 million, or $0.18 per share, compared to a net loss of $13.1 million, or $0.15 per share, for the same period in 2017. As of December 31, 2018,
the Company had cash, cash equivalents, marketable securities and interest receivable of $400.5 million.
Revenues for the fourth quarter ended
December 31, 2018 were $26.8 million, compared to $13.1 million for the same period in 2017. The increase came primarily from approximately $11.5 million in revenues related to the collaboration agreements with Pfizer for
hemophilia A, and $9.0 million in revenues related to the collaboration with Kite, a Gilead Company, which included reimbursement of $2.7 million in research services. Fourth quarter 2018 revenues were primarily generated from
Sangamo s collaboration agreements with Pfizer, Kite, Sanofi, and Dow Agrosciences.
Total operating expenses for the fourth quarter ended December 31, 2018 were $47.6 million,
compared to $26.8 million for the same period in 2017. Research and development expenses were $33.3 million for the fourth quarter of 2018, compared to $19.4 million for the same period in 2017. The increase was primarily due to
manufacturing and clinical trial expenses related to the progress of the Company s clinical development programs. General and administrative expenses were $14.4 million for the fourth quarter of 2018, compared to $7.5 million for the
same period in 2017. This increase was primarily due to increased headcount in general support of growth for the Company s pipeline and clinical programs.
Full Year 2018 Results
December 31, 2018, the consolidated net loss was $68.3 million, or $0.70 per share, compared to a consolidated net loss of $54.6 million, or $0.70 per share, for the year ended December 31, 2017. Revenues were $84.5 million
for the year ended December 31, 2018, compared to $36.6 million for the same period in 2017. The increase in revenues was primarily related to our collaboration and license agreements with Kite and Pfizer. Total operating expenses were
$161.6 million for the year ended December 31, 2018, compared to $92.9 million for the same period in 2017. The increase in operating expenses was primarily related to overall Company growth and manufacturing and R&D expenses
related to the advancement of Sangamo s therapeutic pipeline.
Financial Guidance for 2019
Sangamo will host a conference call today, February 28, 2019, at 5:00 p.m. Eastern Time, which will be open to the public. The call will also be webcast
live and can be accessed via a link on the Sangamo Therapeutics website in the Investors and Media section under Events and Presentations.
conference call dial-in numbers are (877) 377-7553 for domestic callers and (678) 894-3968 for international callers. The
conference ID number for the call is 6875578. For those unable to listen in at the designated time, a conference call replay will be available for one week following the conference call, from approximately 8:00 p.m. ET on February 28, 2019 to
11:59 p.m. ET on March 7, 2019. The conference call replay numbers for domestic and international callers are (855) 859-2056 and (404) 537-3406, respectively. The
conference ID number for the replay is 6875578.
About Sangamo Therapeutics
Sangamo Therapeutics, Inc. is focused on translating ground-breaking science into genomic medicines with the potential to transform patients lives using
the Company s platform technologies in genome editing, gene therapy, gene regulation and cell therapy. For more information about Sangamo, visit www.sangamo.com.
Forward-Looking Statements
contains forward-looking statements regarding Sangamo s current expectations. These forward-looking statements include, without limitation, statements regarding the initiation of clinical trials and activation of clinical trial sites in 2019,
the expected disease targets for our product candidates, the presentation of clinical trial data from clinical trials in 2019, enrollment expectations in 2019, the filing of a clinical trial application in the European Union, and Sangamo s 2019
financial guidance related to cash, cash equivalents, marketable securities and interest receivable and operating expense. These statements are not guarantees of future
performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Factors that could cause actual results to differ include, but are not limited to, the
dependence on the success of clinical trials, the lengthy and uncertain regulatory approval process, uncertainties related to the initiation, enrollment and completion of clinical trials, whether the final results from a study will validate and
support interim safety and efficacy data, Sangamo s reliance on partners and other third-parties to meet their clinical and manufacturing obligations, and the ability to maintain strategic partnerships. Further, there can be no assurance that
the necessary regulatory approvals will be obtained or that Sangamo and its partners will be able to develop commercially viable product candidates. Actual results may differ from those projected in forward-looking statements due to risks and
uncertainties that exist in Sangamo s operations and business environments. These risks and uncertainties are described more fully in Sangamo s Quarterly Report on Form 10-Q for the quarter ended
September 30, 2018 as filed with the Securities and Exchange Commission and Sangamo s Annual Report on Form 10-K that it intends to file this week. Forward-looking statements contained in this
announcement are made as of this date, and Sangamo undertakes no duty to update such information except as required under applicable law.
Sangamo Therapeutics, Inc.
SELECTED CONSOLIDATED FINANCIAL DATA
(unaudited; in thousands, except per share data)
| Three months ended December 31, | For the Year Ended December 31, | |||||||||||||||
| 2018 | 2017 | 2018 | 2017 | |||||||||||||
| Revenues: | ||||||||||||||||
| Collaboration agreements | $ | 26,687 | $ | 12,918 | $ | 84,065 | $ | 35,960 | ||||||||
| Research grants | 150 | 159 | 387 | 607 | ||||||||||||
| Total revenues | 26,837 | 13,077 | 84,452 | 36,567 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Research and development | 33,254 | 19,377 | 114,866 | 65,728 | ||||||||||||
| General and administrative | 14,355 | 7,466 | 46,736 | 27,200 | ||||||||||||
| Total operating expenses | 47,609 | 26,843 | 161,602 | 92,928 | ||||||||||||
| Loss from operations | (20,772 | ) | (13,766 | ) | (77,150 | ) | (56,361 | ) | ||||||||
| Interest and other income, net | 1,553 | 675 | 8,261 | 1,793 | ||||||||||||
| Net loss | (19,219 | ) | (13,091 | ) | (68,889 | ) | (54,568 | ) | ||||||||
| Net loss attributable to non-controlling interest | (555 | ) | (555 | ) | ||||||||||||
| Net loss attributable to Sangamo Therapeutics, Inc. stockholders | $ | (18,664 | ) | $ | (13,091 | ) | $ | (68,334 | ) | $ | (54,568 | ) | ||||
| Basic and diluted net loss per common share | $ | (0.18 | ) | $ | (0.15 | ) | $ | (0.70 | ) | $ | (0.70 | ) | ||||
| Shares used in computing basic and diluted net loss per common share | 102,057 | 84,820 | 96,941 | 78,084 | ||||||||||||
| SELECTED BALANCE SHEET DATA | ||||||||||||||||
| Year Ended December 31, | ||||||||||||||||
| 2018 | 2017 | |||||||||||||||
| (in thousands) | ||||||||||||||||
| Cash, cash equivalents, marketable securities and interest receivable | $ | 400,508 | $ | 244,560 | ||||||||||||
| Total assets | 590,395 | 286,741 | ||||||||||||||
| Total stockholders equity | 366,518 | 187,900 |