BERKELEY, CA--(Marketwire - March 08, 2011) - Dynavax Technologies Corporation (NASDAQ: DVAX) today reported financial results for the fourth quarter and year ended December 31, 2010.
Dynavax reported $72.2 million in cash, cash equivalents and marketable securities at December 31, 2010. This compared to $36.7 million at December 31, 2009. Total cash at the 2010 year end included approximately $83 million in net proceeds from public offerings completed during the year.
Total revenues were $1.8 million for the fourth quarter 2010, compared to $2.2 million for the fourth quarter 2009. Total revenues were $24.0 million for the year ended December 31, 2010, compared to $40.3 million for 2009. The decline in total revenues for the year was primarily due to the recognition of collaboration revenue in June 2009 from our terminated collaboration with Merck.
Total operating expenses were $17.4 million for the fourth quarter 2010, compared to $13.8 million for the fourth quarter 2009. Total operating expenses were $71.5 million for the year ended December 31, 2010, compared to $55.4 million for 2009. The increase in total operating expenses for the year was due to continued clinical and manufacturing activities to support HEPLISAV™. The Company expects total operating expenses in 2011 to be consistent with 2010.
The tables included as part of this press release provide a reconciliation of GAAP revenues and operating expenses to pro forma revenues and operating expenses.
About Dynavax
Dynavax Technologies Corporation, a clinical-stage biopharmaceutical company, discovers and develops novel products to prevent and treat infectious and inflammatory diseases. The Company's lead product candidate is HEPLISAV, a Phase 3 investigational adult hepatitis B vaccine designed to provide rapid and superior protection with fewer doses than current licensed vaccines. For more information visit www.dynavax.com.
Forward Looking Statements
This press release contains "forward-looking statements" that are subject to a number of risks and uncertainties, including statements regarding our projected 2011 operating expenses. Actual results may differ materially from those set forth in this press release due to the risks and uncertainties inherent in our business, including whether successful clinical and regulatory development and approval of HEPLISAV can occur in a timely manner or without significant additional studies or difficulties or delays in development or clinical trial enrollment, whether the studies can support registration for commercialization of HEPLISAV; the results of clinical trials and the impact of those results on the initiation and completion of subsequent trials and issues arising in the regulatory process; the Company's ability to obtain additional financing to support the development and commercialization of HEPLISAV and its other operations, possible claims against the Company based on the patent rights of others; and other risks detailed in the "Risk Factors" section of our current periodic reports with the SEC. We undertake no obligation to revise or update information herein to reflect events or circumstances in the future, even if new information becomes available. Information on Dynavax's website at www.dynavax.com is not incorporated by reference in the Company's current periodic reports with the SEC.
- tables to follow -
DYNAVAX TECHNOLOGIES CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)
Three Months Ended Twelve Months Ended
December 31, December 31,
-------------------- --------------------
2010 2009 2010 2009
--------- --------- --------- ---------
Revenues:
Collaboration revenue $ 371 $ 1,455 $ 19,535 $ 35,534
Grant revenue 1,243 556 3,940 3,477
Service and license revenue 152 178 475 1,307
--------- --------- --------- ---------
Total revenues 1,766 2,189 23,950 40,318
Operating expenses:
Research and development 12,951 9,506 53,680 38,708
General and administrative 4,185 4,052 16,879 15,745
Amortization of intangible
assets 245 245 980 980
--------- --------- --------- ---------
Total operating expenses 17,381 13,803 71,539 55,433
--------- --------- --------- ---------
Loss from operations (15,615) (11,614) (47,589) (15,115)
Interest income 32 4 85 178
Interest expense (425) (4) (1,654) (124)
Other income (expense) 886 (26) (8,150) (66)
--------- --------- --------- ---------
Net loss (15,122) (11,640) (57,308) (15,127)
Consideration paid in excess of
carrying value of the
noncontrolling interest in
SDI(1) -- (19,671) -- (19,671)
Add: Losses attributed to
noncontrolling interest in
SDI -- 1,041 -- 4,233
--------- --------- --------- ---------
Net loss attributable to
Dynavax $ (15,122) $ (30,270) $ (57,308) $ (30,565)
========= ========= ========= =========
Basic and diluted net loss per
share attributable to Dynavax
common stockholders $ (0.14) $ (0.73) $ (0.69) $ (0.76)
========= ========= ========= =========
Shares used to compute basic
and diluted net loss per share
attributable to Dynavax common
stockholders 106,035 41,420 82,463 40,350
========= ========= ========= =========
(1) Symphony Dynamo, Inc.
DYNAVAX TECHNOLOGIES CORPORATION
RECONCILIATION OF GAAP REVENUES TO PRO FORMA REVENUES
(In thousands)
(Unaudited)
Three Months Twelve Months
Ended Ended
December 31, December 31,
----------------- -----------------
2010 2009 2010 2009
-------- -------- -------- --------
GAAP total revenues $ 1,766 $ 2,189 $ 23,950 $ 40,318
ADD:
Collaboration funding for SDI
programs -- 813 -- 3,364
LESS:
Recognition of deferred revenue
from collaborations -- -- 10,000 28,485
======== ======== ======== ========
Pro forma total revenues(1) $ 1,766 $ 3,002 $ 13,950 $ 15,197
======== ======== ======== ========
(1) These pro forma amounts are intended to illustrate the Company's
revenues including collaboration funding provided for the SDI programs
and excluding certain other items. The collaboration funding is the
amount attributed to the noncontrolling interest in SDI in the
Company's consolidated statement of operations that would have been
reported as revenue if SDI's results of operations were not
consolidated with those of the Company. Management of the Company
believes the pro forma results are a more useful measure of the
Company's revenues because it provides investors the ability to
evaluate the Company's operations in the manner that management uses
to assess the continued progress of operating programs. These pro
forma results are not in accordance with, or an alternative for,
generally accepted accounting principles and may be different from pro
forma measures used by other companies.
DYNAVAX TECHNOLOGIES CORPORATION
RECONCILIATION OF GAAP OPERATING EXPENSES TO PRO FORMA OPERATING EXPENSES
(In thousands)
(Unaudited)
Three Months Twelve Months
Ended Ended
December 31, December 31,
----------------- -----------------
2010 2009 2010 2009
-------- -------- -------- --------
GAAP total operating expenses $ 17,381 $ 13,803 $ 71,539 $ 55,433
LESS:
Stock-based compensation expense 858 933 2,410 3,035
Amortization of intangible assets 245 245 980 980
-------- -------- -------- --------
Pro forma total operating expenses(2) $ 16,278 $ 12,625 $ 68,149 $ 51,418
======== ======== ======== ========
(2) These pro forma amounts are intended to illustrate the Company's
operating expenses excluding certain non-cash charges in accordance
with the financial statements that management uses to evaluate the
Company's operations. These pro forma results are not in accordance
with, or an alternative for, generally accepted accounting principles
and may be different from pro forma measures used by other companies.
DYNAVAX TECHNOLOGIES CORPORATION
SELECTED BALANCE SHEET DATA
(In thousands)
(Unaudited)
December 31, December 31,
2010 2009
------------ ------------
Assets
Cash, cash equivalents and marketable
securities $ 72,154 $ 36,720
Property and equipment, net 6,404 7,997
Goodwill 2,312 2,312
Other intangible assets, net 299 1,279
Other assets 3,080 2,162
------------ ------------
Total assets $ 84,249 $ 50,470
============ ============
Liabilities and stockholders' equity
Accounts payable $ 2,329 $ 1,686
Accrued liabilities 10,943 7,507
Warrant liability to Holdings -- 2,567
Current portion of deferred revenue 1,429 2,718
Noncurrent portion of deferred revenue 5,655 17,083
Long-term note payable to Holdings 10,939 9,342
Long-term contingent liability to Holdings 843 3,040
Other long-term liabilities -- 151
Total stockholders' equity 52,111 6,376
------------ ------------
Total liabilities and stockholders' equity $ 84,249 $ 50,470
============ ============
Contacts:
Jennifer Lew
Vice President, Finance
510-665-7217
Email Contact
Michael Ostrach
Vice President and Chief Business Officer
510-665-7257
Email Contact
