Exhibit 99.1
| | |
| For Further Information Contact: | | |
| |
Tony Deasey Celsion Corporation 410.290.5390 tony@celsion.com | | General Info: Marilynn Meek Financial Relations Board 212-827-3773 mmeek@financialrelationsboard.com Investor Info: Susan Garland 212-827-3775 sgarland@financialrelationsboard.com |
CELSION CORPORATION REPORTS SECOND QUARTER
2005 FINANCIAL RESULTS
Company Reports Revenue of $2.9 Million for Quarter. Up 53% over First Quarter
Columbia, MD – August 8, 2005: CELSION CORPORATION (AMEX: CLN)today announced financial results for its second quarter ended June 30, 2005. The Company reported revenue of $2.9 million for the quarter, compared to $0.4 million for the second quarter of 2004. Revenue increased 53% over first quarter 2005 revenue of $1.9.
The Company recorded a net loss for the second quarter of $2.6 million, or $0.01 per basic and diluted share, compared to a net loss of $1.7 million or $0.01 per basic and diluted share for the comparable quarter in 2004. The increase in the net loss for the quarter was primarily due to non cash adjustments to stock related compensation resulting from the change in the stock price versus the comparable period.
Revenue for the six months ended June 30, 2005 was $4.8 million compared to $0.5 million in the comparable period in 2004. Net loss for the six months was $5.0 million, or $0.03 per basic and diluted share, compared to $7.8 million, or $0.05 per basic and diluted share in the first half of 2004
Dr. Lawrence Olanoff, Celsion’s Chief Executive Officer, commented, “Having come on board as CEO at the end of July, I am pleased with the progress this business has made, reflected in the results for this quarter and for the year to date. Prolieve continues to perform very well and is exceeding expectations. We are also making good progress on our liver cancer Phase I study for ThermoDox in combination with radio frequency ablation.”
-More-
Celsion has research, license or commercialization agreements with leading institutions such as the National Institutes of Health, Duke University Medical Center, Massachusetts Institute of Technology, Harbor UCLA Medical Center, Montefiore Medical Center and Memorial Sloan-Kettering Cancer Center in New York City, Roswell Park Cancer Institute in Buffalo, New York, and Duke University. For more information on Celsion, visit our website:http://www.celsion.com.
Celsion wishes to inform readers that forward-looking statements in this release are made pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Readers are cautioned that such forward-looking statements involve risks and uncertainties including, without limitation, unforeseen changes in the course of research and development activities and in clinical trials by others; possible acquisitions of other technologies, assets or businesses; possible actions by customers, suppliers, competitors, regulatory authorities; and other risks detailed from time to time in the Company’s periodic reports filed with the Securities and Exchange Commission.
Celsion Corporation
Condensed Statements of Operations
(in thousands, except per share amounts)
(Unaudited)
| | | | | | | | | | | | | | | | |
| | | Three Months Ended June 30
| | | Six Months Ended June 30
| |
| | | 2004
| | | 2005
| | | 2004
| | | 2005
| |
Revenues | | $ | 443 | | | $ | 2,896 | | | $ | 543 | | | $ | 4,767 | |
Cost of Sales | | | 349 | | | | 1,926 | | | | 424 | | | | 3,199 | |
| | |
|
|
| |
|
|
| |
|
|
| |
|
|
|
Gross Margin | | | 94 | | | | 970 | | | | 119 | | | | 1,568 | |
| | |
|
|
| |
|
|
| |
|
|
| |
|
|
|
Operating Expenses | | | | | | | | | | | | | | | | |
Research & development | | | 1,386 | | | | 2,485 | | | | 5,973 | | | | 4,704 | |
General & Administrative | | | 367 | | | | 1,072 | | | | 1,936 | | | | 1,838 | |
| | |
|
|
| |
|
|
| |
|
|
| |
|
|
|
Total Operating Expenses | | | 1,753 | | | | 3,557 | | | | 7,909 | | | | 6,542 | |
| | |
|
|
| |
|
|
| |
|
|
| |
|
|
|
Loss from Operations | | | (1,659 | ) | | | (2,587 | ) | | | (7,790 | ) | | | (4,974 | ) |
| | | | |
Other Income/(Expense) | | | | | | | | | | | | | | | | |
License fee amortization | | | 143 | | | | 143 | | | | 191 | | | | 286 | |
Interest income | | | 59 | | | | 64 | | | | 100 | | | | 125 | |
Loss from investment in Celsion China Ltd | | | 14 | | | | 24 | | | | 38 | | | | 21 | |
| | |
|
|
| |
|
|
| |
|
|
| |
|
|
|
Net loss before income taxes | | | (1,471 | ) | | | (2,404 | ) | | | (7,537 | ) | | | (4,584 | ) |
| | | | |
Income taxes | | | — | | | | — | | | | — | | | | — | |
| | |
|
|
| |
|
|
| |
|
|
| |
|
|
|
Net loss | | $ | (1,471 | ) | | $ | (2,404 | ) | | $ | (7,537 | ) | | $ | (4,584 | ) |
| | |
|
|
| |
|
|
| |
|
|
| |
|
|
|
Net loss per common share (basic and diluted) | | $ | (0.01 | ) | | $ | (0.01 | ) | | $ | (0.05 | ) | | $ | (0.03 | ) |
| | |
|
|
| |
|
|
| |
|
|
| |
|
|
|
Weighted average shares outstanding | | | 160,302,355 | | | | 160,898,206 | | | | 156,764,532 | | | | 160,850,846 | |
| | |
|
|
| |
|
|
| |
|
|
| |
|
|
|
Celsion Corporation
Condensed Balance Sheets
(in thousands)
| | | | | | | | |
| | | December 31 2004
| | | June 30 2005
| |
| | | (Unaudited) | | | (Unaudited) | |
ASSETS | | | | | | | | |
Current assets | | | | | | | | |
Cash and cash equivalents | | $ | 10,484 | | | $ | 5,316 | |
Accounts receivable | | | 783 | | | | 962 | |
Inventory | | | 2,202 | | | | 3,950 | |
Prepaid expenses | | | 679 | | | | 620 | |
| | |
|
|
| |
|
|
|
Total current assets | | | 14,148 | | | | 10,848 | |
Property and equipment, net | | | 682 | | | | 615 | |
Investment in Celsion China, Ltd. | | | 108 | | | | 64 | |
Escrow account - license fee | | | 2,007 | | | | 2,023 | |
Other assets | | | 107 | | | | 72 | |
| | |
|
|
| |
|
|
|
Total assets | | $ | 17052 | | | $ | 13,622 | |
| | |
|
|
| |
|
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY | | | | | | | | |
Current liabilities | | | | | | | | |
Accounts payable | | $ | 819 | | | $ | 1,656 | |
Accrued expenses | | | 738 | | | | 1,296 | |
Deferred income | | | 571 | | | | 571 | |
| | |
|
|
| |
|
|
|
Total current liabilities | | | 2,128 | | | | 3,523 | |
Deferred revenue | | | 2,952 | | | | 2,667 | |
| | |
|
|
| |
|
|
|
Total liabilities | | | 5,080 | | | | 6,190 | |
| | |
|
|
| |
|
|
|
Stockholders’ equity | | | | | | | | |
Common stock | | | 1,608 | | | | 1,609 | |
Additional paid-in capital | | | 84,581 | | | | 84,648 | |
Accumulated deficit | | | (74,217 | ) | | | (78,825 | ) |
| | |
|
|
| |
|
|
|
Total stockholders’ equity | | | 11,972 | | | | 7,432 | |
| | |
|
|
| |
|
|
|
Total liabilities and stockholders’ equity | | $ | 17,052 | | | $ | 13,622 | |
| | |
|
|
| |
|
|
|
