Replagal Sales Increase 64% Over Second Quarter of 2002
CAMBRIDGE, Mass., July 29 /PRNewswire-FirstCall/ -- Transkaryotic
Therapies, Inc. (Nasdaq: TKTX) today reported consolidated financial results
for the three and six months ended June 30, 2003.
Sales of Replagal(TM) (agalsidase alfa) for the quarter ended June 30,
2003 were $14.4 million, representing an increase of 64 percent from the same
period last year, and an increase of 18 percent over the first quarter of
2003. For the six months ended June 30, 2003, Replagal sales totaled $26.6
million, compared to sales of $14.8 million for the six months ended June 30,
2002.
As a result of the company's restructuring efforts announced in February
2003, TKT recorded charges of $5.0 million and $8.6 million during the three
and six months ended June 30, 2003, respectively. The charges related to
employee severance and outplacement services, as well as charges relating to
facility consolidation. These charges contributed to $0.14 and $0.25 of net
loss per share for the three and six months ended June 30, 2003.
For the six months ended June 30, 2003 and 2002, TKT also recorded
expenses of $1.4 million and $26.0 million, respectively, relating to an
intellectual property license agreement with Cell Genesys, Inc. These charges
contributed to $0.04 and $0.76 of net loss per share for the six months ended
June 30, 2003 and 2002, respectively. This charge also contributed to $0.75
of net loss per share for the second quarter of 2002.
For the quarter ended June 30, 2003, the net loss was $21.0 million, or
$0.61 per share, compared to a net loss of $42.9 million, or $1.24 per share,
for the same period in 2002. For the six months ended June 30, 2003, the net
loss was $47.0 million, or $1.36 per share, compared to $61.3 million, or
$1.78 per share in 2002.
As of June 30, 2003, TKT had approximately $198 million in cash and
marketable securities.
Michael J. Astrue, President and Chief Executive Officer of TKT said, "We
are very pleased with the quarter's results. Replagal is a successful product
in Europe, and we anticipate steady growth there over many years because there
are many identified but still untreated patients, as well as many patients who
have yet to be diagnosed."
Conference Call and Webcast
In connection with this announcement, TKT will host a conference call and
live webcast today, Tuesday, July 29, 2003, at 10:00 a.m. Eastern Time.
Participants may access the call by dialing (973) 317-5319. The live webcast
may be accessed in the Investor Information section of TKT's website at
http://www.tktx.com.
A replay of this conference call will be available for two weeks beginning
today, July 29, 2003, at 1:00 p.m. Eastern Time, by dialing (973) 709-2089 and
using the access code 300864. A replay of the webcast will be archived on the
TKT website in the Investor Information section.
About TKT
TKT is a biopharmaceutical company developing therapeutics for the
treatment of rare genetic diseases caused by protein deficiencies. The company
currently markets one product, Replagal(TM) (agalsidase alfa) for the
treatment of Fabry disease in the European Union and certain other countries.
TKT is headquartered in Cambridge, Massachusetts and has a majority-owned
subsidiary in Sweden, TKT Europe-5S AB, which is responsible for European
sales and marketing activities of Replagal. Additional information on TKT is
available on the company's website at http://www.tktx.com.
This press release contains forward-looking statements that involve a
number of risks and uncertainties, including statements regarding Replagal as
well as statements containing the words "believes," "anticipates," "plans,"
"expects," "estimates," "intends," "should," "could," "will," "may," and
similar expressions. There are a number of important factors that could cause
the company's actual results to differ materially from those indicated by such
forward-looking statements, including whether Replagal will achieve the
commercial success anticipated by the company; the results of litigation
involving Replagal; whether competing products will reduce the market
opportunity for Replagal; and other factors set forth under the caption
"Certain Factors That May Affect Future Results" in the company's Quarterly
Report on Form 10-Q for the quarter ended March 31, 2003, which is on file
with the Securities and Exchange Commission and which factors are incorporated
herein by reference. While the company may elect to update forward-looking
statements at some point in the future, the company specifically disclaims any
obligation to do so, even if its expectations change.
Replagal(TM) is a trademark of Transkaryotic Therapies, Inc.
- Financial Charts Follow -
Condensed Consolidated Statements of Operations
(unaudited)
Three Months Ended Six Months Ended
June 30, June 30,
(in thousands, except per share amounts)
2003 2002 2003 2002
Revenues:
Product sales $14,400 $8,782 $26,583 $14,840
License and
research revenues 14 83 14 635
$14,414 $8,865 $26,597 $15,475
Operating expenses:
Cost of goods sold 4,775 1,650 8,276 2,198
Research and
development 16,853 18,868 37,835 39,277
Intellectual
property license
expense - 26,000 1,350 26,000
Selling, general
and administrative 9,412 7,476 18,578 13,899
Restructuring charges 4,957 - 8,559 -
35,997 53,994 74,598 81,374
Operating loss (21,583) (45,129) (48,001) (65,899)
Interest income 596 2,248 1,372 4,551
Minority interest in
net income of
consolidated subsidiary (33) - (336) -
Net loss $(21,020) $(42,881) $(46,965) $(61,348)
Basic and diluted
net loss per share $(0.61) $(1.24) $(1.36) $(1.78)
Shares used to compute
basic and diluted
net loss per share 34,535 34,462 34,543 34,397
Condensed Consolidated Balance Sheets
(unaudited)
(in thousands) June 30, 2003December 31, 2002
Cash and marketable securities $197,865 $256,708
Other current assets 45,245 41,784
Property and equipment, net 59,110 59,372
Other assets 1,863 1,942
Total assets $304,083 $359,806
Total current liabilities $25,325 $35,939
Minority interest 336 -
Total stockholders' equity 278,422 323,867
Total liabilities and stockholders' equity $304,083 $359,806
Contact:
Justine E. Koenigsberg
Director, Corporate Communications
(617) 349-0271
SOURCE Transkaryotic Therapies, Inc.
 back to top
Related links:
http://www.tktx.com
Photo Notes:
NewsCom:
http://www.newscom.com/cgi-bin/prnh/19990913/TKTLOGO
AP Archive: http://photoarchive.ap.org
PRN Photo Desk, 888-776-6555 or 212-782-2840
Company News On-Call:
http://www.prnewswire.com/comp/120657.html
CONTACT:
Justine E. Koenigsberg, Director, Corporate
Communications of Transkaryotic Therapies, Inc., +1-617-349-0271
|
