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BioMimetic Therapeutics Inc. Reports Operating Results (10-Q)

November 03, 2010 | About:

10qk

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BioMimetic Therapeutics Inc. (BMTI) filed Quarterly Report for the period ended 2010-09-30.

Biomimetic Therapeutics Inc. has a market cap of $317.7 million; its shares were traded at around $11.55 with and P/S ratio of 202.2.

Highlight of Business Operations:

For the nine months ended September 30, 2010, we had a net loss of $23.9 million. Our revenues remain limited, which at $1.1 million for the nine months ended September 30, 2010 consist only of royalty income, sublicense fee income and a training grant. Although we received regulatory approval for Augment in Canada in 2009, no product sales revenues have been recorded for the nine months ended September 30, 2010. In December 2009, we shipped an order of Augment to an exclusive distributor and recognized the appropriate revenues; however, additional sales of Augment in Canada are not anticipated until the inventory purchased in 2009 by the distributor is exhausted and/or our sales distribution channel transition is completed. Our largest expenditures related to our research and development activities, which were $12.5 million for the nine months ended September 30, 2010 and are discussed in further detail in “Financial Overview.” In view of our limited revenue at this time, we continue to closely monitor our cash balance and manage expenses. The continuing volatile business and economic environment, as well as the ensuing market instability and uncertainty, may continue to impact our general business strategy, which may be adversely affected if the current economic conditions do not continue to improve. For example, the economy may impact the demand for elective medical procedures that we are targeting with our product candidates, or may impact the pricing that we may set for our products, if approved. Accordingly, the impact of the economy on commercial opportunities, such as our anticipated product launch in the United States for Augment, remains uncertain.

The remaining proceeds of these activities are reflected in the balance of cash and investments totaling $99.4 million as of September 30, 2010, which includes $16.0 million in cash and cash equivalents and $83.4 million in short-term and long-term investments in U.S. government sponsored enterprise (“GSE”) securities that are classified as available-for-sale.

Net loss for the three months ended September 30, 2010 was $7.8 million, or $0.29 per diluted share, compared to net loss of $7.9 million, or $0.36 per diluted share, for the same period in 2009.

Research and development expenses relate to new and ongoing clinical trials of our product candidates in the United States, Canada, Australia and the European Union, as well as continuing expenses associated with pre-clinical studies and regulatory filings. These expenses for the three months ended September 30, 2010 were $4.4 million, compared to $5.2 million for the same period in 2009. The $0.8 million decrease resulted primarily from:

General and administrative expenses for the three months ended September 30, 2010 were $2.9 million, compared to $2.8 million for the same period in 2009. The $0.1 million increase resulted primarily from:

Net loss for the nine months ended September 30, 2010 was $23.9 million, or $1.02 per diluted share, compared to net loss of $22.3 million, or $1.11 per diluted share, for the same period in 2009. We anticipate that our operating losses, which are only partially offset by sales, revenues from royalty income, sublicense fee income and investment income, may continue over the next few years as we continue to fund our research and development activities and clinical trials and as we prepare for a future sales network to represent our products.

Read the The complete Report

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