NEEDHAM, Mass.--(BUSINESS WIRE)--May 5, 2005--AVANT Immunotherapeutics, Inc. (Nasdaq: AVAN) today reported financial results for the first quarter ended March 31, 2005. The Company reported a net loss of $4.9 million, or $0.07 per share, for the first quarter of 2005 compared to a net loss of $1.9 million, or $0.03 per share, for the first quarter of 2004. The increase in net loss between periods primarily reflects a decrease in product development and licensing revenues combined with an increase in operating expenses. At March 31, 2005, AVANT reported cash and cash equivalents of $27.3 million. Revenues for the first quarter of 2005 were $970,522 compared with revenues of $3 million for the first quarter of 2004. The decrease in revenues reflects one-time recognition in 2004 of $1 million in revenue from DynPort Vaccine Company LLC (DVC) for rPA clinical materials and an upfront license fee of $1 million from AdProTech, Ltd, together with a decrease in government contract revenues from DVC in 2005 compared to 2004. Increased operating expenses were primarily a result of an increase in research and development expenses due to an increase in TP10 contract manufacturing costs incurred for process development and scale-up work and operating expenses of the Fall River manufacturing facility. The increase in operating expenses further resulted from an increase in general and administrative expenses primarily due to increases in personnel-related expenses and professional services and consultancy costs. AVANT had higher investment income in 2005 primarily reflecting higher interest rates between periods.
