Adolor Corp. (ADLR, Financial) filed Quarterly Report for the period ended 2010-06-30.
Adolor Corp. has a market cap of $50.1 million; its shares were traded at around $1.08 with and P/S ratio of 1.4. ADLR is in the portfolios of Jim Simons of Renaissance Technologies LLC, Chuck Royce of Royce& Associates.
Cash, cash equivalents and short-term investments were $62.3 million at June 30, 2010 and $83.2 million at December 31, 2009, representing 90% and 91% of our total assets, respectively. We invest excess cash in U.S. Treasury obligations. Our working capital, which is calculated as current assets less current liabilities, was $48.6 million at June 30, 2010 compared to $67.0 million at December 31, 2009. The decrease in cash, cash equivalents, short-term investments and working capital was primarily from the use of cash to fund our operations during the six months ended June 30, 2010.
Net operating cash outflows of $20.9 million and $21.6 million for the six months ended June 30, 2010 and 2009, respectively, resulted primarily from research and development expenditures associated with our product candidates and selling, general and administrative expenses, offset by net sales of ENTEREG and payments received under the Glaxo and Pfizer collaboration agreements. For the six months ended June 30, 2010, we received net payments of $0.8 million under such collaboration agreements. In addition, we received $11.0 million of cash related to net shipments of ENTEREG during the six months ended June 30, 2010. For the six months ended June 30, 2009, we received $12.1 million under our collaboration agreements, of which $9.3 million was related to the acceleration of payments owed by Glaxo to us under the terms of Amendment No. 4 of the Glaxo collaboration agreement. In addition, we received $4.5 million of cash related to net shipments of ENTEREG during the six months ended June 30, 2009.
Net sales of ENTEREG were $6.3 million and $2.4 million for the three months ended June 30, 2010 and 2009, respectively, and $11.5 million and $3.8 million for the six months ended June 30, 2010 and 2009, respectively. The increase in net product sales during the three and six months ended June 30, 2010 as compared to the prior year periods was driven primarily by an increase in the number of hospitals ordering ENTEREG and increased penetration within existing hospital customers. In addition, net product sales for the three and six months ended June 30, 2010 were recognized at the time of shipment as compared to net product sales for the three and six months ended June 30, 2009, which were recognized on a reorder basis under our previous revenue recognition policy. Net shipments of ENTEREG for the three and six months ended June 30, 2009 were $2.9 million and $4.9 million, respectively.
Contract revenues are derived from our collaboration agreements with Glaxo and Pfizer and include milestone payments, cost reimbursement, amortization of up-front license fees and other revenue. Contract revenues were $4.7 million and $6.7 million in the three months ended June 30, 2010 and 2009, respectively, and $10.1 million and $11.9 million in the six months ended June 30, 2010 and 2009, respectively. Contract revenues decreased for the three and six months ended June 30, 2010 compared to the same periods in 2009 due primarily to lower Glaxo contract revenues as a result of reduced reimbursements under the collaboration agreement. In addition, we received a $0.9 million payment from Glaxo in the second quarter of 2009 under the terms of Amendment No. 4 which was recognized as revenue during the three months ended June 30, 2009. These decreases were partially offset by increased cost reimbursement under the Pfizer collaboration resulting from the delta clinical trial costs for OA and PHN during the three and six months ended June 30, 2010.
Cost of product sales was $0.7 million and $0.2 million for the three months ended June 30, 2010 and 2009, respectively, and $1.3 million and $0.4 million for the six months ended June 30, 2010 and 2009, respectively, and consisted primarily of royalty payments under certain alvimopan license agreements, FDA fees and manufacturing costs. The increases seen in 2010 compared to the same periods in 2009 were due to increased sales of ENTEREG. Cost of product sales as a percentage of net product sales were consistent during the three and six months ended June 30, 2010 compared to the same periods in 2009.
Read the The complete Report
Adolor Corp. has a market cap of $50.1 million; its shares were traded at around $1.08 with and P/S ratio of 1.4. ADLR is in the portfolios of Jim Simons of Renaissance Technologies LLC, Chuck Royce of Royce& Associates.
Highlight of Business Operations:
For the six months ended June 30, 2010, our total revenues and net loss were $21.6 million and $17.9 million, respectively. Net sales of ENTEREG for the three and six months ended June 30, 2010 were $6.3 million and $11.5 million, respectively. We will need net sales of ENTEREG to increase significantly beyond current levels before we will be able to achieve profitability and positive cash flow from operations. Ultimately, we may never generate sufficient revenues from ENTEREG for us to reach profitability, generate positive cash flow or sustain, on an ongoing basis, our current or projected levels of operations.Cash, cash equivalents and short-term investments were $62.3 million at June 30, 2010 and $83.2 million at December 31, 2009, representing 90% and 91% of our total assets, respectively. We invest excess cash in U.S. Treasury obligations. Our working capital, which is calculated as current assets less current liabilities, was $48.6 million at June 30, 2010 compared to $67.0 million at December 31, 2009. The decrease in cash, cash equivalents, short-term investments and working capital was primarily from the use of cash to fund our operations during the six months ended June 30, 2010.
Net operating cash outflows of $20.9 million and $21.6 million for the six months ended June 30, 2010 and 2009, respectively, resulted primarily from research and development expenditures associated with our product candidates and selling, general and administrative expenses, offset by net sales of ENTEREG and payments received under the Glaxo and Pfizer collaboration agreements. For the six months ended June 30, 2010, we received net payments of $0.8 million under such collaboration agreements. In addition, we received $11.0 million of cash related to net shipments of ENTEREG during the six months ended June 30, 2010. For the six months ended June 30, 2009, we received $12.1 million under our collaboration agreements, of which $9.3 million was related to the acceleration of payments owed by Glaxo to us under the terms of Amendment No. 4 of the Glaxo collaboration agreement. In addition, we received $4.5 million of cash related to net shipments of ENTEREG during the six months ended June 30, 2009.
Net sales of ENTEREG were $6.3 million and $2.4 million for the three months ended June 30, 2010 and 2009, respectively, and $11.5 million and $3.8 million for the six months ended June 30, 2010 and 2009, respectively. The increase in net product sales during the three and six months ended June 30, 2010 as compared to the prior year periods was driven primarily by an increase in the number of hospitals ordering ENTEREG and increased penetration within existing hospital customers. In addition, net product sales for the three and six months ended June 30, 2010 were recognized at the time of shipment as compared to net product sales for the three and six months ended June 30, 2009, which were recognized on a reorder basis under our previous revenue recognition policy. Net shipments of ENTEREG for the three and six months ended June 30, 2009 were $2.9 million and $4.9 million, respectively.
Contract revenues are derived from our collaboration agreements with Glaxo and Pfizer and include milestone payments, cost reimbursement, amortization of up-front license fees and other revenue. Contract revenues were $4.7 million and $6.7 million in the three months ended June 30, 2010 and 2009, respectively, and $10.1 million and $11.9 million in the six months ended June 30, 2010 and 2009, respectively. Contract revenues decreased for the three and six months ended June 30, 2010 compared to the same periods in 2009 due primarily to lower Glaxo contract revenues as a result of reduced reimbursements under the collaboration agreement. In addition, we received a $0.9 million payment from Glaxo in the second quarter of 2009 under the terms of Amendment No. 4 which was recognized as revenue during the three months ended June 30, 2009. These decreases were partially offset by increased cost reimbursement under the Pfizer collaboration resulting from the delta clinical trial costs for OA and PHN during the three and six months ended June 30, 2010.
Cost of product sales was $0.7 million and $0.2 million for the three months ended June 30, 2010 and 2009, respectively, and $1.3 million and $0.4 million for the six months ended June 30, 2010 and 2009, respectively, and consisted primarily of royalty payments under certain alvimopan license agreements, FDA fees and manufacturing costs. The increases seen in 2010 compared to the same periods in 2009 were due to increased sales of ENTEREG. Cost of product sales as a percentage of net product sales were consistent during the three and six months ended June 30, 2010 compared to the same periods in 2009.
Read the The complete Report
