Prometheus Laboratories Inc. Highlights Performance in 2006
SAN DIEGO, April 12 /PRNewswire/ -- Prometheus Laboratories Inc., a specialty pharmaceutical company, today highlighted its results for calendar 2006, showing continued growth in both its pharmaceutical sales as well as in sales of its diagnostic services.
"Prometheus had an outstanding year in 2006, our tenth consecutive year of sales growth where we again set both sales and earnings records," said Joseph M. Limber, President and Chief Executive Officer of Prometheus. "The Company is extremely well positioned for additional growth and our long-term outlook is strong, as we continue to focus on the successful execution of our unique business model."
2006 highlights include: * Net sales grew from $90 million in 2004, to $139 million in 2005 and to $187 million in 2006, more than doubling from 2004 to 2006. * Net sales from pharmaceutical products grew from $39 million in 2004, to $84 million in 2005 and to $119 million in 2006. * Net sales from clinical diagnostic services grew from $51 million in 2004, to $55 million in 2005 and to $68 million(1) in 2006. * The Company completed its second year under an Agreement with AstraZeneca LP, whereby Prometheus is responsible for the sales, marketing and distribution of ENTOCORT(R) EC (budesonide) Capsules, a prescription drug used to treat Crohn's disease involving the ileum and/or ascending colon.(2) - Prometheus increased ENTOCORT EC net sales almost three-fold since the inception of the agreement, from approximately $30 million under AstraZeneca in 2004 to $46 million under Prometheus in 2005 and to $85 million in 2006. - ENTOCORT EC total prescriptions increased approximately 42% in 2006 over 2004, in a relatively flat market. * Net income grew to $33 million in 2006 from $29 million in 2005 (2005 includes $15 million from the recognition of tax benefits related to a valuation allowance offset by a $7 million cumulative charge relating to a change in accounting principle). * The Company increased its cash position from $32 million at the beginning of 2004 to $78 million at the end of 2006 and has paid down $35 million of its $60 million in debt over the last three years. Prometheus has generated positive operating cash flow in each of the last five years.
Prometheus continues to be actively engaged in pursuing acquisitions or licenses of currently marketed, proprietary pharmaceutical products as well as products in development. In addition, the Company is continuing to develop and improve gastrointestinal-related diagnostic tests.
About Prometheus
Prometheus Laboratories Inc. is a specialty pharmaceutical company committed to developing new ways to help physicians individualize patient care. Prometheus focuses on the treatment, diagnosis and detection of gastrointestinal, autoimmune and inflammatory diseases and disorders. Prometheus' strategy includes the marketing and delivery of pharmaceutical products complemented by its proprietary, high-value diagnostic testing services. By integrating therapeutics and diagnostic services, Prometheus addresses the continuum of patient care, thereby providing physicians with a comprehensive solution to treat chronic diseases. Prometheus' corporate offices are located in San Diego, California. Additional information about Prometheus can be found at www.prometheuslabs.com.
This press release contains certain "forward looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. To the extent that any statements made in the news release contain information that is not historical, these statements are essentially forward-looking and are subject to risks and uncertainties. Actual events or results may differ materially from those projected in any of such statements due to various factors. Prometheus cautions that any forward-looking information is not a guarantee of future performance. The Company may experience fluctuations in operating results, or may not acquire, license or develop any other products for a variety of reasons. It is difficult to predict the impact of competitive products and pricing and new product development and launch. There can be no assurance that the Company can successfully commercialize, penetrate or grow the market for its products.
(1) Includes $3.6 million from a change in estimate associated with years prior to 2006. (2) For Crohn's disease involving the ileum and/or ascending colon, ENTOCORT EC is indicated for the treatment of mild to moderate active disease (up to 8 weeks with repeated 8-week courses as necessary) and the maintenance of clinical remission of mild to moderate disease for up to an additional 3 months. Clinical remission is defined as a Crohn's Disease Activity Index (CDAI) score of less than or equal to 150. Prometheus is a trademark of Prometheus Laboratories Inc. ENTOCORT is a registered trademark of the AstraZeneca group of companies.
Prometheus Laboratories Inc.CONTACT: Beth Kriegel, Senior Director, Finance and Investor Relations ofPrometheus Laboratories Inc., +1-858-410-2516
Web site: http://www.prometheuslabs.com/