Xenon Pharmaceuticals Reports Third Quarter 2014 Financial Results
December 15 2014 - 8:00AM
Xenon Pharmaceuticals Inc. (Nasdaq:XENE), a clinical-stage
biopharmaceutical company, today reported its financial results for
the third quarter ended September 30, 2014 and provided a corporate
update.
Dr. Simon Pimstone, Xenon's President and Chief Executive
Officer, said, "Xenon has made significant progress in 2014 in all
aspects of our business, including advancing our partnered
clinical-stage programs as well as our proprietary programs. Our
successfully completed initial public offering has significantly
strengthened our financial position, providing the resources to
continue to move our proprietary programs forward into development
and to further leverage our Extreme Genetics platform to discover
additional novel genes for drug discovery. In 2015, we look forward
to making additional progress in advancing our wholly-owned product
portfolio as well as to generating clinical data in our partnered
programs."
Progress in 2014 and Upcoming Milestones
- In the first quarter of 2014, Xenon's partner Teva
Pharmaceutical Industries Ltd. initiated a Phase 2b clinical trial
for TV-45070 in osteoarthritis with data expected in the third
quarter of 2015. Teva plans to initiate a Phase 2b clinical trial
for TV-45070 in postherpetic neuralgia in the first half of 2015.
- In the third quarter of 2014, Xenon's partner Genentech, a
member of the Roche Group (SIX:RO) (SIX:ROG) (OTCQX:RHHBY),
initiated a Phase 1 clinical trial for GDC-0276, a product being
developed for the treatment of pain. Xenon earned an $8.0 million
milestone payment in the third quarter of 2014 for the approval by
Health Canada of the Clinical Trial Application for GDC-0276.
- Based on guidance from its licensee uniQure Biopharma B.V.,
Xenon expects that Glybera will be launched in the fourth quarter
of 2014 or the first quarter of 2015. Glybera is the first gene
therapy product approved in the European Union for the treatment of
the orphan disorder lipoprotein lipase deficiency. Glybera is being
commercialized by uniQure's partner, Chiesi Farmaceutici S.p.A.
- During 2014, Xenon has advanced its two proprietary preclinical
programs. The first product candidate, XEN801, is a stearoyl Co-A
desaturase, or SCD1 inhibitor, for the treatment of acne. Xenon
expects to file an investigational new drug, or IND, application to
initiate a Phase 1 clinical trial in the first half of 2015 and
initiate a proof-of-concept Phase 2 clinical trial in the second
half of 2015. The second program, a Nav1.6 sodium channel inhibitor
for the treatment of the orphan disorder Dravet Syndrome, is on
track for an IND application filing in 2016.
- In November 2014, Xenon completed an initial public offering of
4,600,000 common shares at a price to the public of $9.00 per
share. Concurrently with the completion of the initial public
offering, Xenon also completed a private placement of 495,000
common shares to an affiliate of Genentech at a price of $9.00 per
share. These transactions resulted in net proceeds of $38.2
million, after deducting underwriting discounts and commissions and
estimated offering expenses.
Third Quarter 2014 Financial Results
Cash and cash equivalents and marketable securities as of
September 30, 2014 were $47.9 million, compared to $49.3 million as
of December 31, 2013. On November 10, 2014, Xenon completed its IPO
and a concurrent private placement raising net proceeds of $38.2
million. Shares outstanding as of November 30, 2014 were
14,181,333.
For the three months ended September 30, 2014, Xenon reported
total revenue of $13.2 million, compared to $10.8 million for the
same period in 2013. Revenue in both periods was primarily derived
from Xenon's collaboration agreements with Teva and
Genentech. The increase of $2.4 million was primarily
attributable to an $8.0 million milestone payment received in
August 2014 from Genentech partially offset by a $5.1 million
milestone received in September 2013 from Genentech.
Research and development expenses for the three months ended
September 30, 2014 were $3.2 million, compared to $2.6 million for
the same period in 2013. The increase of $0.6 million was primarily
attributable to increased expenses associated with the Teva
collaboration as well as increased preclinical and discovery
program expenses. General and administration expenses
for the three months ended September 30, 2014 were $1.3 million,
compared to $1.7 million for the same period in 2013, a decrease of
$0.4 million, primarily as a result of a reduction in intellectual
property expenses.
Net income for the three months ended September 30, 2014 was
$9.2 million, compared to net income of $6.4 million for the same
period in 2013. The increase for the 2014 period was primarily due
to higher revenue and a foreign exchange gain, partially offset by
higher research and development expenses.
Starting in 2015 with the announcement of its 2014 financial
results, Xenon intends to host quarterly conference calls and
webcasts in conjunction with reporting of financial results.
About Xenon Pharmaceuticals Inc.
Xenon is a clinical-stage biopharmaceutical company discovering
and developing a pipeline of differentiated therapeutics for orphan
indications that it intends to commercialize on its own and for
larger market indications that the company intends to partner with
global pharmaceutical companies. Xenon has built a core enabling
discovery platform, referred to as Extreme Genetics, for the
discovery of validated drug targets by studying rare human diseases
with extreme traits, including diseases caused by mutations in ion
channels, known as channelopathies. Xenon's Extreme Genetics
platform has yielded the first approved gene therapy product in the
European Union and a broad development pipeline and multiple
pharmaceutical partnerships, including with Teva and Genentech. For
more information, please visit www.xenon-pharma.com.
Safe Harbor Statement
This press release contains forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934 and the Private
Securities Litigation Reform Act of 1995 and Canadian securities
laws. These forward-looking statements are not based on historical
fact, including statements regarding the sufficiency of our capital
position for future periods, the timing of IND submissions with
regulatory agencies, the initiation of future clinical trials, the
timing of and results from ongoing clinical trials, the commercial
launch of Glybera in the European Union, and the plans of our
collaboration partners and their interactions with regulatory
agencies. These forward-looking statements are based on current
assumptions that involve risks, uncertainties and other factors
that may cause the actual results, events or developments to be
materially different from those expressed or implied by such
forward-looking statements. These risks and uncertainties, many of
which are beyond our control, include, but are not limited to:
clinical trials may not demonstrate safety and efficacy of any of
our or our collaborators' product candidates; our Extreme Genetics
discovery platform may not yield additional product candidates; any
of our or our collaborators' product candidates may fail in
development, may not receive required regulatory approvals, or may
be delayed to a point where they are not commercially viable; we
may not achieve additional milestones pursuant to our collaboration
agreements; the impact of competition; the impact of expanded
product development and clinical activities on operating expenses;
adverse conditions in the general domestic and global economic
markets; as well as the other risks identified in the prospectus
that forms a part of our Registration Statement on Form S-1 (File
No. 333-198666), which prospectus was filed with the SEC pursuant
to Rule 424 promulgated under the Securities Act of 1933 on
November 5, 2014 and the prospectus, dated November 4, 2014, filed
with the securities commissions in British Columbia, Alberta and
Ontario. These forward-looking statements speak only as of the date
hereof and we assume no obligation to update these forward-looking
statements, and readers are cautioned not to place undue reliance
on such forward-looking statements.
The Xenon logo and "Extreme Genetics" are registered trademarks
or trademarks of Xenon Pharmaceuticals Inc. in various
jurisdictions.
|
|
Xenon Pharmaceuticals
Inc. |
|
Condensed consolidated
balance sheets |
|
(Unaudited) |
|
(Expressed in thousands
of U.S. dollars except share data) |
|
|
|
|
December 31, |
September 30, |
|
|
2013 |
2014 |
|
|
|
|
|
Assets |
|
|
|
Current assets: |
|
|
|
Cash and cash equivalents and marketable
securities |
$49,276 |
$47,936 |
|
Other current assets |
593 |
333 |
|
Other assets |
4,618 |
5,875 |
|
|
|
|
|
Total assets |
$54,487 |
$54,144 |
|
|
|
|
|
Liabilities |
|
|
|
Current liabilities: |
|
|
|
Accounts payable and accrued
expenses |
$2,283 |
$2,821 |
|
Deferred revenue, current portion |
15,920 |
13,522 |
|
Non-current liabilities |
12,168 |
2,822 |
|
|
|
|
|
Total liabilities |
$30,371 |
$19,165 |
|
|
|
|
|
Redeemable convertible preferred shares |
102,488 |
102,488 |
|
|
|
|
|
Shareholders' deficit |
(78,372) |
(67,509) |
|
|
|
|
|
Total liabilities and shareholders'
equity |
$54,487 |
$54,144 |
|
|
|
|
|
Xenon Pharmaceuticals
Inc. |
|
Condensed consolidated
statements of operations |
|
(Unaudited) |
|
(Expressed in thousands
of U.S. dollars except share and per share data) |
|
|
|
|
Three Months
Ended September 30, |
Nine Months
Ended September 30, |
|
|
2013 |
2014 |
2013 |
2014 |
|
|
|
|
|
|
|
Revenue: |
|
|
|
|
|
Collaboration revenue |
$10,786 |
$13,192 |
$21,771 |
$23,489 |
|
Royalties |
2 |
1 |
2 |
3 |
|
|
10,788 |
13,193 |
21,773 |
23,492 |
|
Operating expenses: |
|
|
|
|
|
Research and development |
2,577 |
3,216 |
9,560 |
8,315 |
|
General and administrative |
1,692 |
1,316 |
4,520 |
4,106 |
|
Total operating expenses |
4,269 |
4,532 |
14,080 |
12,421 |
|
|
|
|
|
|
|
Income from operations |
6,519 |
8,661 |
7,693 |
11,071 |
|
Other income (expense) |
(141) |
530 |
1825 |
723 |
|
|
|
|
|
|
|
Net income |
6,378 |
9,191 |
9,518 |
11,794 |
|
Net income attributable to participating
securities |
5,059 |
5,596 |
8,199 |
8,199 |
|
Net income attributable to common
shareholders |
$1,319 |
$3,595 |
$1,319 |
$3,595 |
|
|
Net income per share attributable to common
shareholders: |
|
|
|
|
|
Basic |
$0.99 |
$2.67 |
$0.99 |
$2.67 |
|
Diluted |
$0.63 |
$1.69 |
$0.74 |
$1.71 |
|
Weighted-average shares
outstanding: |
|
|
|
|
|
Basic |
1,337,028 |
1,348,417 |
1,334,905 |
1,346,989 |
|
Diluted |
2,080,068 |
2,122,766 |
1,793,032 |
2,108,403 |
|
CONTACT: Ian Mortimer
Chief Financial Officer
Xenon Pharmaceuticals Inc.
Phone: 604.484.3300
Email: investors@xenon-pharma.com
Rocky Old Man Energy (TSXV:RO)
Historical Stock Chart
From May 2024 to Jun 2024
Rocky Old Man Energy (TSXV:RO)
Historical Stock Chart
From Jun 2023 to Jun 2024