Exhibit 99.1
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FOR IMMEDIATE RELEASE
AMYLIN PHARMACEUTICALS REPORTS FIRST QUARTER FINANCIAL RESULTS
Company launching two first-in-class diabetes medicines in second quarter
San Diego, CA — May 4, 2005 — Amylin Pharmaceuticals, Inc. (Nasdaq: AMLN) today reported a net loss of $43.6 million, or $0.43 per share, for the first quarter ended March 31, 2005, compared to a net loss of $37.3 million, or $0.40 per share, for the same period in 2004. At March 31, 2005, the Company held cash, cash equivalents and short-term investments of approximately $440 million. The Company’s operating activities used approximately $45.0 million of cash in the first quarter of 2005, compared to $49.4 million in the same period in 2004.
“With the recent approvals of two first-in-class diabetes medicines, SYMLIN and BYETTA, the remainder of 2005 is set up to be a year of transformation for Amylin Pharmaceuticals,” said Ginger L. Graham, President and Chief Executive Officer, Amylin Pharmaceuticals, Inc. “Commercial activities are well underway for both products. SYMLIN is commercially available, and BYETTA will be available to pharmacies by June 1.”
The Company reported revenues under collaborative agreements of $4.3 million for the quarter ended March 31, 2005 compared to $6.7 million for the same period in 2004. Revenue in the current quarter consists primarily of amounts earned under the collaboration with Eli Lilly and Company on BYETTATM (exenatide) injection including cost sharing payments and the continued amortization of up-front payments. The decrease in the current period principally reflects lower expense sharing payments resulting from a reduction in BYETTA development expenses in the current quarter as compared to 2004.
Research and development expenses were $27.5 million for the quarter ended March 31, 2005, level with the comparable period in 2004. Research and development activities in the current period reflect increased expenditures for the Company’s Phase 2 programs in obesity, diabetes and cardiovascular disease offset by reductions in development expenses for BYETTA and SYMLIN, as compared to the same period in 2004.
Selling, general and administrative expenses for the quarter ended March 31, 2005 were $20.1 million, compared to $16.1 million in the same period in 2004. The increase reflects increased pre-launch costs for both medicines and continued investments in business infrastructure to support two product launches.
Conference Call
Amylin will webcast its Quarterly Update Conference Call today at 12:00 p.m. Eastern/9:00 a.m. Pacific. The Company will provide supporting details underlying its first quarter 2005 operating results and information regarding key trends and assumptions for operations for the remainder of fiscal 2005.
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The call will be webcast live through Amylin’s corporate website and a recording will be made available following the close of the call. For those without access to the Internet, the live call may be accessed by phone by calling (888) 396-2298 (domestic) or (617) 847-8708 (international), passcode 24262146. A replay of the Quarterly Update Conference Call will also be available by phone for 24 hours beginning approximately one hour after the close of the call and can be accessed at (888) 286-8010 (domestic) or (617) 801-6888 (international), passcode 40550012.
About Amylin
Amylin Pharmaceuticals is a biopharmaceutical company committed to improving lives through the discovery, development and commercialization of innovative medicines.
This press release contains forward-looking statements about Amylin, which involve risks and uncertainties. The Company’s actual results could differ materially from those discussed herein due to a number of risks and uncertainties, including that BYETTA and/or SYMLIN may not prove to be important new therapeutic options or may be affected by unexpected new data or technical issues, BYETTA may not be available to pharmacies by June 1, or that the Company may not be able to effectively launch BYETTA and/or SYMLIN. Commercial and government reimbursement and pricing decisions, the pace of market acceptance and any issues related to manufacturing and supply may also affect the potential for BYETTA and/or SYMLIN. These and additional risks and uncertainties are described more fully in the Company’s most recently filed SEC documents, including its Annual Report on Form 10-K for the year ending December 31, 2004. Amylin undertakes no duty to update these forward-looking statements.
(financial information to follow)
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AMYLIN PHARMACEUTICALS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
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| March 31, |
| December 31, |
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| 2005 |
| 2004 |
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Assets |
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Current assets: |
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Cash and cash equivalents |
| $ | 147,145 |
| $ | 60,583 |
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Short-term investments |
| 292,726 |
| 233,173 |
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Receivables from collaborative partners |
| 3,582 |
| 5,770 |
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Inventories |
| 16,052 |
| 15,676 |
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Other current assets |
| 12,544 |
| 9,156 |
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Property and equipment, net |
| 22,510 |
| 20,739 |
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Other assets |
| 12,285 |
| 12,703 |
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Total assets |
| $ | 506,844 |
| $ | 357,800 |
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Liabilities and stockholders’ equity (deficit) |
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Accounts payable, accrued expenses and other current liabilities |
| $ | 34,664 |
| $ | 37,651 |
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Current portion of deferred revenue |
| 9,286 |
| 4,286 |
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Other liabilities, net of current portion |
| 8,672 |
| 7,290 |
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Deferred revenue, net of current portion |
| 14,872 |
| 20,943 |
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Convertible senior notes |
| 375,000 |
| 375,000 |
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Stockholders’ equity (deficit) |
| 64,350 |
| (87,370 | ) | ||
Total liabilities and stockholders’ equity (deficit) |
| $ | 506,844 |
| $ | 357,800 |
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CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
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| Quarter Ended |
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| 2005 |
| 2004 |
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Revenue under collaborative agreements |
| $ | 4,262 |
| $ | 6,689 |
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Operating expenses: |
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Research and development |
| 27,468 |
| 27,457 |
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Selling, general and administrative |
| 20,071 |
| 16,088 |
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Total operating expenses |
| 47,539 |
| 43,545 |
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Operating loss |
| (43,277 | ) | (36,856 | ) | ||
Interest expense, net |
| (327 | ) | (417 | ) | ||
Net loss |
| $ | (43,604 | ) | $ | (37,273 | ) |
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Net loss per share — basic and diluted |
| $ | (0.43 | ) | $ | (0.40 | ) |
Shares used in computing net loss per share — basic and diluted |
| 101,332 |
| 93,776 |
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CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
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| Quarter Ended |
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| 2005 |
| 2004 |
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Operating activities: |
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Net loss |
| $ | (43,604 | ) | $ | (37,273 | ) |
Adjustments to reconcile net loss to cash used for operating activities: |
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Non-cash expenses |
| 3,004 |
| 1,428 |
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Working capital changes |
| (4,432 | ) | (13,566 | ) | ||
Net cash used for operating activities |
| (45,032 | ) | (49,411 | ) | ||
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Investing activities: |
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Purchases, sales and maturities of short-term investments, net |
| (59,829 | ) | 12,303 |
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Purchases of equipment and increase in patents, net |
| (3,640 | ) | (1,682 | ) | ||
Net cash provided by (used for) investing activities |
| (63,469 | ) | 10,621 |
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Financing activities: |
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Proceeds from issuance of common stock, net |
| 195,067 |
| 2,514 |
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Principal payments on notes payable and capital leases |
| (4 | ) | (3 | ) | ||
Net cash provided by financing activities |
| 195,063 |
| 2,511 |
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Increase (decrease) in cash and cash equivalents |
| 86,562 |
| (36,279 | ) | ||
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Cash and cash equivalents at beginning of period |
| 60,583 |
| 76,615 |
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Cash and cash equivalents at end of period |
| $ | 147,145 |
| $ | 40,336 |
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CONTACT:
Mark G. Foletta
Vice President Finance and
Chief Financial Officer
(858) 552-2200
www.amylin.com
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