EXHIBIT 99.2
GENENTECH, INC. | |||||||
Three Months | |||||||
2005 | 2004 | ||||||
Revenues: | |||||||
Product sales | $ | 1,576,964 | $ | 1,066,302 | |||
Royalties | 265,099 | 181,220 | |||||
Contract revenue and other | 51,032 | 67,778 | |||||
Total operating revenues | 1,893,095 | 1,315,300 | |||||
Costs and expenses: | |||||||
Cost of sales | 244,914 | 205,373 | |||||
Research and development | 411,610 | 310,196 | |||||
Marketing, general and administrative | 429,357 | 299,495 | |||||
Collaboration profit sharing | 228,417 | 170,070 | |||||
Recurring charges related to redemption | 26,591 | 34,534 | |||||
Special items: litigation-related | 13,483 | (3,189) | |||||
Total costs and expenses | 1,354,372 | 1,016,479 | |||||
Operating income | 538,723 | 298,821 | |||||
Other income (expense): | |||||||
Interest and other income, net(1) | 43,743 | 24,041 | |||||
Interest expense | (23,035) | (2,718) | |||||
Total other income, net | 20,708 | 21,323 | |||||
Income before taxes | 559,431 | 320,144 | |||||
Income tax provision | 220,192 | 113,560 | |||||
Net income | $ | 339,239 | $ | 206,584 | |||
Earnings per share: | |||||||
Basic | $ | 0.32 | $ | 0.20 | |||
Diluted | $ | 0.31 | $ | 0.19 | |||
Weighted average shares used to compute earnings per share: | |||||||
Basic | 1,054,724 | 1,049,700 | |||||
Diluted | 1,080,152 | 1,070,708 | |||||
___________________
(1) | "Interest and other income, net" includes interest income, net realized gains from the sale of certain biotechnology equity securities and write-downs for other-than-temporary impairments in the fair value of certain biotechnology debt and equity securities. For further detail, refer to our web site at www.gene.com. |
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GENENTECH, INC. | |||||||
Year Ended | |||||||
2005 | 2004 | ||||||
Revenues: | |||||||
Product sales | $ | 5,488,058 | $ | 3,748,879 | |||
Royalties | 935,112 | 641,119 | |||||
Contract revenue and other | 210,202 | 231,159 | |||||
Total operating revenues | 6,633,372 | 4,621,157 | |||||
Costs and expenses: | |||||||
Cost of sales(2) | 1,011,069 | 672,526 | |||||
Research and development | 1,261,824 | 947,513 | |||||
Marketing, general and administrative(2) | 1,435,025 | 1,088,111 | |||||
Collaboration profit sharing | 823,083 | 593,616 | |||||
Recurring charges related to redemption | 122,746 | 145,485 | |||||
Special items: litigation-related | 57,774 | 37,087 | |||||
Total costs and expenses | 4,711,521 | 3,484,338 | |||||
Operating income | 1,921,851 | 1,136,819 | |||||
Other income (expense): | |||||||
Interest and other income, net(1) | 140,927 | 89,997 | |||||
Interest expense | (49,929) | (7,400) | |||||
Total other income, net | 90,998 | 82,597 | |||||
Income before taxes | 2,012,849 | 1,219,416 | |||||
Income tax provision | 733,858 | 434,600 | |||||
Net income | $ | 1,278,991 | $ | 784,816 | |||
Earnings per share: | |||||||
Basic | $ | 1.21 | $ | 0.74 | |||
Diluted | $ | 1.18 | $ | 0.73 | |||
Weighted average shares used to compute earnings per share: | |||||||
Basic | 1,054,952 | 1,055,165 | |||||
Diluted | 1,080,949 | 1,079,209 | |||||
___________________
(1) | "Interest and other income, net" includes interest income, net realized gains from the sale of certain biotechnology equity securities and write-downs for other-than-temporary impairments in the fair value of certain biotechnology debt and equity securities. For further detail, refer to our web site at www.gene.com. | |
(2) | Certain minor amounts for the nine months ended September 30, 2005 have been reclassified to conform to the current year-end presentation. |
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GENENTECH, INC. | ||||||
December 31, | ||||||
2005 | 2004 | |||||
Selected balance sheet data: | ||||||
Cash, cash equivalents and short-term investments | $ | 2,365,161 | $ | 1,665,105 | ||
Accounts receivable - product sales, net | 554,455 | 599,052 | ||||
Accounts receivable - royalties, net | 296,664 | 217,482 | ||||
Accounts receivable - other, net | 232,297 | 143,421 | ||||
Inventories | 702,515 | 590,343 | ||||
Long-term marketable debt and equity securities | 1,448,731 | 1,115,327 | ||||
Property, plant and equipment, net | 3,349,352 | 2,091,404 | ||||
Goodwill | 1,315,019 | 1,315,019 | ||||
Other intangible assets | 573,779 | 668,391 | ||||
Other long-term assets | 1,041,219 | 787,914 | ||||
Total assets | 12,146,879 | 9,403,395 | ||||
Total current liabilities | 1,659,832 | 1,238,030 | ||||
Total liabilities | 4,677,295 | (1) | 2,621,205 | |||
Total stockholders' equity | 7,469,584 | 6,782,190 | ||||
Year-to-date: | ||||||
Capital expenditures | $ | 1,399,824 | (2) | $ | 649,858 | |
Total depreciation and amortization expense | 370,166 | 353,221 |
___________________
(1) | Includes approximately $2 billion related to our debt issuance in July 2005. | |
(2) | Excludes approximately $94 million in capitalized costs related to our accounting for a construction project which we are considered to be the owner of during the construction period. We have recognized a corresponding amount as a construction financing obligation in long-term debt. |
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GENENTECH, INC. | ||||||
Three Months | ||||||
2005 | 2004 | |||||
Net U.S. Product Sales | ||||||
Rituxan | $ | 484,404 | $ | 429,184 | ||
Herceptin | 250,069 | 125,952 | ||||
Avastin | 359,110 | 190,546 | ||||
Nutropin products | 94,891 | 91,894 | ||||
Thrombolytics | 58,389 | 47,300 | ||||
Pulmozyme | 49,008 | 42,757 | ||||
Xolair | 93,250 | 60,340 | ||||
Raptiva | 20,453 | 16,421 | ||||
Tarceva | 83,891 | 13,348 | ||||
Total U.S. product sales | 1,493,465 | 1,017,742 | ||||
Net product sales to collaborators | 83,499 | 48,560 | ||||
Total Product Sales | $ | 1,576,964 | $ | 1,066,302 | ||
Year Ended | ||||||
2005 | 2004 | |||||
Net U.S. Product Sales | ||||||
Rituxan | $ | 1,831,529 | $ | 1,573,997 | ||
Herceptin | 747,274 | 478,948 | ||||
Avastin | 1,132,805 | 544,680 | ||||
Nutropin products | 370,461 | 348,790 | ||||
Thrombolytics | 218,494 | 194,433 | ||||
Pulmozyme | 186,490 | 157,097 | ||||
Xolair | 320,433 | 187,672 | ||||
Raptiva | 79,256 | 52,392 | ||||
Tarceva | 274,884 | 13,348 | ||||
Total U.S. product sales | 5,161,626 | 3,551,357 | ||||
Net product sales to collaborators | 326,432 | 197,522 | ||||
Total Product Sales | $ | 5,488,058 | $ | 3,748,879 | ||
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