MISSISSAUGA, ON, Feb. 9, 2012 /PRNewswire/ - YM BioSciences Inc. (NYSE Amex: YMI, TSX: YM), a drug development company advancing a diverse portfolio of hematology
and cancer related products, today reported operational and financial
results for its second quarter of fiscal 2012, ended December 31, 2011.
"JAK inhibitors may ultimately prove valuable in the treatment of a wide
range of blood disorders, cancers and inflammatory diseases,
representing an immense opportunity for this emerging drug class. We
recently reported multicenter data for our lead JAK inhibitor, CYT387,
establishing its competitive safety and efficacy profile in patients
with myelofibrosis," said Dr. Nick Glover, President and CEO of YM
BioSciences. "The strength of our data positions us well to select the
optimal course to further advance this opportunity."
Updated results from the Phase I/II study of CYT387 in 166 patients with
myelofibrosis were presented in a poster session at the 53rd Annual
Meeting of the American Society of Hematology held in San Diego in
December 2011. CYT387 demonstrated an ability to render and maintain
anemic myelofibrosis patients transfusion independent for
clinically-relevant periods while also producing significant and
durable improvements in their splenomegaly and constitutional symptoms.
CYT387 was generally safe and well tolerated in myelofibrosis patients
for dosing periods up to and exceeding two years, with minimal
treatment-related myelosuppression observed.
Financial Results (CDN dollars)
The interim consolidated financial statements and comparative
information for the second quarter of fiscal 2012 have been prepared in
accordance with International Financial Reporting Standards ("IFRS").
Previously, up to June 30, 2011, the Company prepared its Interim and
Annual Consolidated Financial Statements in accordance with Canadian
Generally Accepted Accounting Principles ("Canadian GAAP").
Revenue from out-licensing for the second quarter of fiscal 2012, ended
December 31, 2011, was $0.4 million compared with $0.3 million for the
second quarter of fiscal 2011. Revenue from out-licensing for the first
six months of fiscal 2012 was $0.6 million and comparable to $0.6
million for the first six months of fiscal 2011.
Net finance income was $1.5 million for the second quarter of fiscal
2012 compared to net finance costs of $4.6 million for the second
quarter of fiscal 2011. Net finance income was $9.0 million for the
first six months of fiscal 2012 compared to net finance costs of $8.3
million for the first six months of fiscal 2011. Under IFRS, warrants
denominated in a different currency than the Company's functional
currency must be classified as a financial liability and measured at
fair value, with changes reflected in profit or loss. The change in net
finance income during the second fiscal quarter is primarily attributed
to a change of $6.0 million in the fair value adjustment for USD
warrants. For the first six months of fiscal 2012, the Company incurred
a gain of $7.3 million compared to a loss of $7.5 million for the six
months ended December 31, 2010 on the revaluation of warrants.
Licensing and product development expenses were $7.3 million for the
second quarter of fiscal 2012 compared with $5.2 million for the second
quarter of fiscal 2011. Licensing and product development expenses were
$13.7 million for the first six months of fiscal 2012 compared with
$10.9 million for the first six months of fiscal 2011. Development
expenses for CYT387 increased due to the expansion of the Phase I/II
clinical trial in myelofibrosis, start-up costs associated with the BID
(twice-daily dosing) study, pre-clinical development activities, and
manufacturing of drug for these programs. Expenses for nimotuzumab
continued to decrease.
General and administrative expenses were $1.2 million for the second
quarter of fiscal 2012 compared to $2.7 million for the second quarter
of fiscal 2011. General and administrative expenses were $3.3 million
for the first six months of fiscal 2012 compared to $5.0 million for
the first six months of fiscal 2011, primarily due to severance and
restructuring costs in 2010.
Net loss for the second quarter of fiscal 2012 was $6.6 million ($0.06
per share) compared to $12.3 million ($0.14 per share) for the same
period last year.
As at December 31, 2011 the Company had cash and short-term deposits
totaling $67.9 million and accounts payables and accrued liabilities
totaling $3.7 million compared to $79.7 million and $4.4 million
respectively at June 30, 2011. Management believes that the cash and
short-term deposits at December 31, 2011 are sufficient to support the
Company's activities for at least the next 18 months.
As at December 31, 2011 the Company had 116,711,448 common shares and
7,366,418 warrants outstanding.
About YM BioSciences
YM BioSciences Inc. is a drug development company advancing three
products: CYT387, a small molecule, dual inhibitor of the JAK1/JAK2
kinases; nimotuzumab, an EGFR-targeting monoclonal antibody; and
CYT997, a vascular disrupting agent (VDA).
CYT387 is an orally administered inhibitor of both the JAK1 and JAK2
kinases, which have been implicated in a number of immune cell
disorders including myeloproliferative neoplasms and inflammatory
diseases as well as certain cancers. Positive interim results have been
reported from a Phase I/II trial of CYT387 in 166 patients with
myelofibrosis. This trial has completed enrollment while a 60 patient
Phase II twice-daily dose escalation trial is currently recruiting
patients. Nimotuzumab is a humanized monoclonal antibody targeting EGFR
with an enhanced side-effect profile over currently marketed
EGFR-targeting antibodies. Nimotuzumab is being evaluated in numerous
Phase II and III trials worldwide. CYT997 is an orally-available small
molecule therapeutic with dual mechanisms of vascular disruption and
cytotoxicity, and has completed a Phase II trial in glioblastoma
multiforme. In addition to YM's three products, the Company has several
preclinical research programs underway with candidates from its library
of novel compounds identified through internal research conducted at YM