BOTHELL, Wash., May 11 /PRNewswire-FirstCall/ -- Helix BioMedix, Inc. , a developer of bioactive peptides, today announced financial results for the first quarter ended March 31, 2007.
For the first quarter, Helix BioMedix reported a net loss of $812,489, or $0.03 net loss per share, compared to a net loss of $822,269, or $0.04 net loss per share, for the first quarter of 2006. Revenue for the quarter ended March 31, 2007, was $58,422, which was derived primarily from royalties and the sale of peptides. Revenue for the first quarter of 2006 was $18,026.
On March 31, 2007, Helix BioMedix had cash, cash equivalents and marketable securities of approximately $3.6 million. Shares outstanding at March 31, 2007, were 25,653,512. In March 2007, the company closed a private equity financing, receiving aggregate cash of approximately $2.1 million in exchange for 2,864,998 shares of common stock.
“We have made good progress toward meeting our first major 2007 objective of developing meaningful partnerships for product commercialization,” commented R. Stephen Beatty, President and Chief Executive Officer. “In April, we announced the signing of two related agreements to provide technology and services to DermaVentures, LLC, a newly established personal care company. Our partnership with DermaVentures is expected to produce the first commercial product seeking to apply the Helix peptide technology in a higher margin application than is typical of passive ingredient out-licensing transactions. DermaVentures’ flagship product, P.A.C. Perfect (peptide-powered acne control), is a new acne treatment system to be marketed initially via Spanish language media outlets. DermaVentures’ initial clinical testing of this product has been positive and they expect to complete consumer and media testing in time for a market rollout in late 2007.”
“We are also on track with our second objective, which is to further the development of a new peptide-based cosmeceutical product scheduled for introduction in 2008 through a joint venture with an exclusive marketing partner. As of this date, a potential marketing partner has been identified and we hope to move ahead with them in the coming months.”
“In addition, we are encouraged with the progress of our specialty materials marketing initiative. Our partner in this sector is aggressively expanding the customer base for products that contain Helix BioMedix licensed peptides.”
Mr. Beatty concluded, “Finally, we are accelerating our entry into the arena of topical pharmaceuticals with a focus on the large anti-infective dermatology market, including indications such as acne and dermatitis. We believe that the preclinical programs for our small molecule peptides (lipohexapeptides) represent attractive early stage opportunities for a range of regional pharmaceutical-dermatology companies. These peptides are characterized by low toxicity and low-cost profiles as well as a growing body of efficacy data from both bacterial and fungal infection models. We believe that our pharmaceutical program could potentially generate significant value for Helix BioMedix in the future. As we apply greater resources in advancing our U.S. clinical programs, we are optimistic that these efforts will lead to attractive licensing opportunities during the year.”
About Helix BioMedix
Helix BioMedix, Inc. is a biopharmaceutical company with an extensive library of diverse bioactive peptides and patents covering six distinct classes and hundreds of thousands of peptide sequences. Our mission is to enrich clinical practice and the patient/consumer experience by developing topically-applied products which offer the health, beauty and safety benefits of advanced bioactive small molecule technology. Our vision is to be recognized as the world leader in the identification, qualification and commercialization of natural and synthetic peptide technology.
Our core competencies include peptide design, synthesis and characterization together with assay development, screening, tissue culture and microbiology. These areas of expertise are leveraged through relationships with contract research organizations and peptide manufacturers. We have the capability to take our product development programs from theoretical concept to a validated and qualified skin care active ingredient fully validated as to efficacy and safety. Applications for Helix BioMedix peptides include anti- aging cosmeceutical skin care, and acne treatment as well as other topical anti-infective pharmaceuticals and wound healing applications. In addition to our primary focus on peptides for dermatological applications, the Helix BioMedix peptide library also holds promise for advancements in other therapeutic and industrial areas such as oral care, biocides and animal health.
More information about Helix BioMedix and its proprietary peptides may be found on the company’s website at http://www.helixbiomedix.com.
Important Notice
This press release contains forward-looking statements (statements which are not historical facts) within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements regarding activities, events or developments that the company expects, believes or anticipates may occur in the future, including statements related to its potential growth, product development and commercialization and revenue. A number of factors could cause actual results to differ from those indicated in the forward-looking statements, including the company’s ability to successfully raise additional capital, enter into revenue generating license agreements, continue its research and development efforts, including pre-clinical and clinical studies, and general economic conditions. Additional assumptions, risks and uncertainties are described in detail in the company’s reports and other filings with the Securities and Exchange Commission. Such filings are available on the company’s website or at http://www.sec.gov. Readers are cautioned that such forward-looking statements are not guarantees of future performance and that actual results or developments may differ materially from those set forth in the forward-looking statements. The company undertakes no obligation to publicly update or revise forward-looking statements to reflect subsequent events or circumstances.
Contact: Investor relations: Helix BioMedix, Inc. Alison Ziegler, Cameron Associates David Kirske, CFO (212) 554-5469 (425) 402-8400 Alison@cameronassoc.comdkirske@helixbiomedix.com Helix BioMedix, Inc. Statements of Operations (unaudited) Quarter Ended December 31, 2007 2006 Revenue $58,422 $18,026 Operating expenses: Cost of peptide sales -- 5,003 Research and development 205,497 226,206 Depreciation and amortization 44,422 44,923 Accounting, legal and professional 148,477 65,658 Consulting fees 405 3,048 General and administrative 494,513 509,918 Total operating expenses 893,314 854,756 Loss from operations (834,892) (836,730) Other (income (expense): Interest income 22,403 14,461 22,403 14,461 Net loss $(812,489) $(822,269) Basic and diluted net loss per share $(0.03) $(0.04) Weighted average shares outstanding 23,569,902 20,982,058 Balance Sheet Highlights (unaudited) March 31, 2007 December 31, 2006 Cash and cash equivalents $2,645,285 $1,276,901 Marketable securities 1,000,000 980,000 Accounts receivable 34,047 -- Prepaid expenses and other current assets 77,515 86,732 Property and equipment, net 171,778 194,728 Other assets 74,475 73,840 Patents pending and approved, net 425,689 441,733 Total assets 4,428,789 3,053,934 Total current liabilities 278,385 255,857 Total stockholders’ equity 4,150,404 2,798,077 Total liabilities and stockholders’ equity 4,428,789 3,053,934
Helix BioMedix, Inc.
CONTACT: David Kirske, CFO of Helix BioMedix, Inc., +1-425-402-8400,dkirske@helixbiomedix.com; or Investors, Alison Ziegler of CameronAssociates for Helix BioMedix, Inc., +1-212-554-5469,Alison@cameronassoc.com
Web site: http://www.helixbiomedix.com/
