
Enzon Reports Fourth Quarter and Full Year 2012 Results
Summary of Financial Results
Royalty Revenue
Revenues received from the Company's royalty products for the three months ended
Research and Development
The Company's pipeline research and development expenses were
General and Administrative
General and administrative expenses decreased to
Taxes
Income tax benefit in 2012 was primarily comprised of a state income tax benefit of
Cash and Investments
Cash, cash equivalents and marketable securities totaled
About Enzon
In
Further information about Enzon and this press release can be found on the Company's website at www.enzon.com.
Forward-Looking Statements
This press release contains, or may contain, forward-looking statements within the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release, other than statements that are purely historical, are forward-looking statements, which can be identified by the use of forward-looking terminology such as the words "believes," "expects," "may," "will," "should," "potential," "anticipates," "plans," or "intends" and similar expressions, including statements regarding the effect of the OMONTYS recall on Enzon's future royalty revenues and statements regarding Enzon's sale review process.
Such forward-looking statements are based upon management's present expectations, objectives, anticipation, plans, hopes, beliefs, intentions or strategies regarding the future and are subject to known and unknown risks and uncertainties that could cause actual results, events or developments to be materially different from those indicated in such forward-looking statements. Such risks and uncertainties include, but are not limited to, risks relating to the OMONTYS recall and other factors affecting the commercial potential of OMONTYS, uncertainty regarding the timetable for the sale review process, the risk that the sale review process will not lead to any transaction, the risk that any transaction that is consummated would neither deliver anticipated benefits nor enhance stockholder value, the risk that the sale review process will disrupt Enzon's management from its day-to-day
responsibilities, the expectation that Enzon will incur significant costs, expenses and fees in connection the sale review process or any transaction that might result from the sale review process, the risk that the sale review process may result in Enzon's inability to retain key employees or business partners, the risk that the market price of Enzon's common stock may significantly fluctuate in response to developments in the sale review process or market speculation regarding such developments, and other risks and uncertainties that are contained in Enzon's filings with the
Enzon Pharmaceuticals, Inc. and Subsidiaries Consolidated Statements of Comprehensive Loss (Unaudited; In thousands, except per share amounts) Three months ended Year ended December 31, December 31, -------------------- -------------------- 2012 2011 2012 2011 --------- --------- --------- --------- Revenues: Royalties $ 10,493 $ 9,782 $ 41,504 $ 40,923 Sale of in-process research and development - - - 5,000 Contract research and development (10) 52 126 1,431 Miscellaneous revenue 164 177 970 718 --------- --------- --------- --------- Total Revenues 10,647 10,011 42,600 48,072 Operating Expenses: Research and development - pipeline 4,350 9,135 20,892 40,180 Research and development - specialty and contracted services (10) 48 113 926 General and administrative 3,234 3,466 14,475 17,281 General and administrative - contracted services - 1 - 115 Impairment of property and equipment 11,263 - 11,263 - Restructuring charges 43 1,376 (177) 6,025 --------- --------- --------- --------- Total Operating Expenses 18,880 14,026 46,566 64,527 --------- --------- --------- --------- Operating loss (8,232) (4,015) (3,966) (16,455) Other Income (Expense) Investment income, net 191 484 2,578 1,735 Interest expense (1,275) (1,490) (5,330) (5,929) Other, net (10) - (200) 91 --------- --------- --------- --------- Total Other Expense (1,094) (1,006) (2,952) (4,103) --------- --------- --------- --------- (Loss) from continuing operations before taxes (9,326) (5,021) (6,918) (20,558) Income tax (benefit) expense (4,168) - (4,135) 205 --------- --------- --------- --------- (Loss) from continuing operations (5,158) (5,021) (2,783) (20,763) --------- --------- --------- --------- Net loss $ (5,158) $ (5,021) $ (2,783) $ (20,763) ========= ========= ========= ========= (Loss) per common share - continuing operations Basic $ (0.11) $ (0.10) $ (0.06) $ (0.40) ========= ========= ========= ========= Diluted $ (0.11) $ (0.10) $ (0.06) $ (0.40) ========= ========= ========= ========= (Loss) per common share - net (loss) Basic $ (0.11) $ (0.10) $ (0.06) $ (0.40) ========= ========= ========= ========= Diluted $ (0.11) $ (0.10) $ (0.06) $ (0.40) ========= ========= ========= ========= Weighted-average shares outstanding - basic 44,116 48,289 46,735 51,910 ========= ========= ========= ========= Weighted-average shares outstanding - diluted 44,116 48,289 46,735 51,910 ========= ========= ========= ========= Special cash dividend paid per common share $ 2.00 - $ 2.00 - ========= ========= ========= ========= Other Comprehensive Income (Loss): Available-for-sale marketable securities: Unrealized holding gains (losses) arising during period (33) (70) 1,037 (671) Reclass. adj. (gains) losses incl. in net income (loss) 3 (21) (957) (240) --------- --------- --------- --------- Total Other Comprehensive Income (Loss) $ (30) $ (91) $ 80 $ (911) --------- --------- --------- --------- Comprehensive Income (Loss) $ (5,188) $ (5,112) $ (2,703) $ (21,674) ========= ========= ========= ========= Enzon Pharmaceuticals, Inc. and Subsidiaries Consolidated Balance Sheets (Unaudited; In thousands, except share and per share amounts) December 31, December 31, 2012 2011 ------------- ------------- Assets Current assets: Cash and cash equivalents $ 77,348 $ 104,324 Marketable securities 119,391 58,188 Other current assets 1,904 2,749 ------------- ------------- Total current assets 198,643 165,261 Property and equipment, net 1,138 16,802 Marketable securities - 160,779 Other assets - 367 ------------- ------------- Total Assets $ 199,781 $ 343,209 ============= ============= Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 776 $ 1,572 Accrued expenses and other current liabilities 5,688 13,692 Notes payable 115,849 - ------------- ------------- Total current liabilities 122,313 15,264 Notes payable - 129,499 Other liabilities - 1,265 ------------- ------------- Total Liabilities $ 122,313 $ 146,028 Stockholders' Equity: Preferred stock -$0.01 par value, authorized 3,000,000 shares; no shares issued and outstanding atDecember 31, 2012 and December 31, 2011 $ - $ - Common stock -$0.01 par value, authorized 170,000,000 shares; issued and outstanding 43,674,170 shares atDecember 31, 2012 and 48,292,702 at December 31, 2011 437 483 Additional paid-in capital 224,796 341,760 Accumulated other comprehensive income 83 3 Accumulated deficit (147,848) (145,065) ------------- ------------- Total Stockholders' Equity $ 77,468 $ 197,181 ------------- ------------- Total Liabilities and Stockholders' Equity $ 199,781 $ 343,209 ============= =============
Investor Contact:Andrea Rabney Argot Partners 212.600.1902 Email Contact Media Contact:David Pitts Argot Partners 212.600.1902 Email Contact
Source:
News Provided by Acquire Media