EXHIBIT 99.1
FOR IMMEDIATE RELEASE
Contact:
Julie Wood, Senior Director
Corporate Communications
(650) 623 0654
CALIPER TECHNOLOGIES ANNOUNCES FIRST QUARTER 2003
FINANCIAL RESULTS
COMPANY REDUCES WORKFORCE BY 10%
MOUNTAIN VIEW, CA, MAY 6, 2003 -- Caliper Technologies Corp. (NASDAQ:CALP) today
announced its first quarter 2003 financial results. For the quarter ended March
31, 2003, the company reported a net loss of $10.0 million, or $0.40 per share,
as compared to a net loss of $9.7 million, or $0.40 per share, in the comparable
period last year.
Total revenue for the first quarter of 2003 was $5.6 million as compared $4.9
million in the fourth quarter of 2002. On a year-over-year basis, total first
quarter 2003 revenue was down from $7.0 million in the first quarter of 2002. Of
the $1.4 million year-over-year decline, total revenue from Amphora Discovery
Corp., a related party, decreased $1.1 million, and the remaining difference was
from lower drug discovery product revenue from unrelated customers.
Total product revenue increased 26% to $3.5 million in the first quarter of
2003 from $2.8 million in the fourth quarter of 2002. Product sales from
Caliper's collaboration with Agilent increased 22% in the first quarter of 2003
over the fourth quarter of 2002. However, total product revenue in the first
quarter of 2003 declined from $4.6 million in the first quarter of 2002. The
year-over-year change was primarily due to a decrease in product sales to
Amphora, and to a lesser extent, to decreased sales of Caliper's drug discovery
products to unrelated customers. This decrease was offset in part by the
continuing growth of product sales from the company's commercial collaboration
with Agilent Technologies, Inc., which increased by 65% in the first quarter of
2003 as compared to the same period last year.
Licensing and contract revenue in the first quarter of 2003 was $2.1 million,
essentially unchanged from the fourth quarter of 2002. In the first quarter of
2002, licensing and contract revenue was $2.5 million. The year-over-year
decrease was driven by $356,000 in reduced assay and application development
services from Amphora, as most contracted services were completed last year.
Operating expenses of $14.2 million for the first quarter of 2003 were
essentially unchanged as compared to the fourth quarter of 2002, but decreased
12% from $16.2 million in the first quarter of 2002. The year-over-year decrease
was primarily due to lower wage and benefits costs resulting from a reduction in
research personnel, as well as reduced technical services and supplies costs
offset in part by higher product marketing and depreciation expense. Research
and development costs decreased to $9.4 million in the first quarter of 2003
from $11.1 million in the first quarter of last year. This was primarily due to
lower wage and benefits costs resulting from a reduction in research personnel
carried out last September, as well as reduced technical services and supplies
costs due to a more streamlined product development effort. This decrease was
offset in part by higher depreciation expense. Selling, general and
administrative expenses decreased slightly to $4.6 million in the first quarter
of 2003, from $4.7 million in the same period last year. This resulted from
reduced facilities and administrative costs offset in part by higher
depreciation and product marketing expenses.
As a part of the company's ongoing assessment of its cost structure and research
programs, Caliper conducted a reduction in force today that eliminated
approximately 26 positions, or 10% of its workforce. The estimated annual
savings from this action will be $2.6 million, predominantly in research and
development expense. As a result of this action, the company expects to take a
restructuring charge of approximately $286,000 in the second quarter of 2003.
Interest income in the first quarter of 2003 was $921,000 as compared to $2.4
million in the comparable period last year. The change in interest income was
due to decreasing interest rates, as well as to a decrease in cash balances.
Cash and investments totaled $144 million at March 31, 2003.
Caliper will webcast its first quarter 2003 conference call discussing financial
results and reviewing the company's strategic plans. The live webcast of this
conference will begin at 5:00 PM ET (2:00 PM PT) today. Participants should
visit the following address (www.companyboardroom.com) several minutes prior to
the call and follow the instructions provided. Those unable to listen to the
call at the scheduled time will be able to access a recording of the proceedings
by using the same address or by visiting Caliper's web site
(www.calipertech.com/investor/call_archive.html).
ABOUT CALIPER
Caliper Technologies Corp. is a leader in microfluidic lab-on-a-chip technology.
Caliper designs, manufactures, and commercializes LabChip devices and systems
that enable experiments that ordinarily require laboratories full of equipment
and people to be conducted on a chip. The chip contains a network of microscopic
channels through which fluids and chemicals are moved in order to perform the
experiment. The LabChip system is designed to streamline and accelerate
laboratory experimentation and has potential applicability in a broad range of
areas including the pharmaceutical, diagnostic, and chemical industries. Caliper
has established multiple strategic and commercial alliances and has built a
leading intellectual property estate in microfluidic technology. For more
information, please visit Caliper's web site at www.calipertech.com.
The statements in this news release regarding the estimated annual savings from
Caliper's reduction in force, as well as the size of the restructuring charge
that Caliper expects to take in the second quarter of 2003 as a result of this
action, are "forward-looking statements" that are subject to risks and
uncertainties. Actual results could differ materially from those contemplated by
the forward-looking statements. Further information on potential factors that
could affect Caliper's financial results are included in risks detailed in
Caliper's Annual Report on Form 10-K filed with the Securities and Exchange
Commission on March 28, 2003. This filing is available on a web site maintained
by the Securities and Exchange Commission at http://www.sec.gov. Caliper does
not undertake an obligation to update forward-looking or other statements in
this release or the conference call.
LabChip is a registered trademark of Caliper Technologies Corp.
-- Financials Attached --
CALIPER TECHNOLOGIES CORP.
SELECTED FINANCIAL INFORMATION
(In thousands, except per share amounts)
CONSOLIDATED STATEMENTS OF OPERATIONS March 31,
2003 2002
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REVENUES:
Product revenue $ 2,910 $ 3,196
Product revenue - related party 578 1,356
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Subtotal product revenue 3,488 4,552
License fees and contract revenue 2,116 2,125
Contract revenue - related party 8 364
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Subtotal license fees and contract revenue 2,124 2,489
TOTAL REVENUES 5,612 7,041
COST OF GOODS SOLD:
Cost of product revenue 2,220 2,093
Cost of product revenue - related party 78 444
--------------- --------------
TOTAL COST OF GOODS SOLD 2,298 2,537
GROSS MARGIN 3,314 4,504
OPERATING EXPENSES:
Research and development 9,411 11,052
Selling, general and administrative 4,569 4,657
Amortization of deferred stock compensation 188 446
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TOTAL OPERATING EXPENSES 14,168 16,155
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LOSS FROM OPERATIONS (10,854) (11,651)
INTEREST INCOME, NET 921 2,431
OTHER EXPENSE/LOSS, NET (35) (466)
--------------- --------------
NET LOSS ATTRIBUTABLE TO COMMON STOCKHOLDERS $ (9,968) $ (9,686)
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NET LOSS PER SHARE - BASIC AND DILUTED $ (0.40) $ (0.40)
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Shares used in computing net loss per share - basic and diluted 24,713 24,237
CONSOLIDATED BALANCE SHEETS March 31, December 31,
-------------------------------------
2003 2002
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ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 6,872 $ 16,184
Short-term marketable securities 137,126 138,139
Accounts receivable, net 2,328 1,754
Due from related party, net 263 115
Inventories 4,734 5,964
Other current assets 2,384 1,508
---------------- -------------
TOTAL CURRENT ASSETS 153,707 163,664
PROPERTY AND EQUIPMENT, NET 11,035 12,545
OTHER ASSETS 3,445 3,669
---------------- -------------
TOTAL ASSETS $ 168,187 179,878
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LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES $ 6,856 $ 8,081
LONG-TERM OBLIGATIONS 3,556 4,239
STOCKHOLDERS' EQUITY 157,775 167,558
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TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 168,187 $ 179,878
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