Leiden, The Netherlands, 30 April 2015, Biotech company Pharming Group N.V. (“Pharming” or “the Company”) (Euronext Amsterdam: PHARM) today published its (unaudited) financial report for Q1 2015 ended 31 March 2015.
FINANCIAL HIGHLIGHTS
• Revenues from operations increased to €1.8 million (Q1 2014: €1.4 million) as a result of increased product sales of €1.2 million (Q1 2014: €0.9 million). Ruconest® sales in the US amounted to €0.6 million and sales by Sobi in the EU amounted to €0.4 million. Alongside Pharming realised initial direct sales in Austria, Germany and the Netherlands. Product sales in the first quarter of 2014 were a result of Sobi sales for the EU only.
• Gross profit increased to €0.8 million from €0.2 million in Q1 2014 as a result of sales in the US and the absence of additional impairments on inventory, reflecting the improving yields from sales in the US and direct commercialization in the EU.
• Operating result in the first quarter 2015 was in line with the previous year; a loss of €3.0 million .
• Financial income and expenses improved by €14.7 million in the first quarter to a gain of €1.7 million from a €13.0 million loss in Q1 2014. The loss in 2014 was a result of a (non-cash) revaluation of warrants caused by the strong increase of Pharming’s share price during Q1 2014. In Q1 2015 the revaluation of warrants led to a positive result caused by an decrease of the share price.
• Net loss of the first quarter 2015 amounted to €1.3 million (Q1 2014: €16.0 million).
• The equity position slightly decreased to €29.3 million compared to 31 December 2014 as a result of the net loss in Q1 2015.
• The inventories of Ruconest increased to €14.9 million from €13.4 million as per 31 December 2014 in preparation of expected sales.
• The cash position decreased during Q1 2015 by €4.1 million to €30.3 million due to still negative cash flows from operating activities.
OPERATIONAL HIGHLIGHTS
• Following the completed acquisition of our US partner, Salix, by Valeant Pharmaceuticals (VRX), the Ruconest US commercial infrastructure remains intact and commercialisation efforts remain unaffected
• A steady inflow of new patients into Ruconest Solutions (the US total care program under which Ruconest is made available to HAE patients in the US) continued during the quarter, creating the basis for continued revenue growth from sales in the US
• Patient enrollment for the randomised double blind placebo controlled Phase II clinical trial to investigate Ruconest for the prophylaxis of HAE was initiated in January and continued during the quarter
• In February, Dr. Perry Calias was appointed as Chief Scientific Officer. Dr. Calias will have overall responsibility for the Company’s new Enzyme Replacement Therapy (ERT) programs, achieving the scientific milestones set in the business plan, enhancing the IP portfolio, overseeing new product development and contributing to the overall strategic direction of the Company.
Sijmen de Vries, Pharming’s CEO, commented: “Pharming’s performance during the first quarter of 2015 has started to reflect some of the transformational changes made in 2014. In particular, we have seen the beginning of increasing and profitable Ruconest sales in the US following the product launch in November. Also as result of these US sales and the first sales from the direct commercialisation of Ruconest in the EU, no additional impairments of inventories were incurred this quarter. We therefore expect revenues and gross profits to improve due to markedly improved sales during the remainder of the year.”
About Pharming Group N.V.
Pharming Group N.V. is developing innovative products for the treatment of unmet medical needs. Ruconest® (conestat alfa) is a recombinant human C1 esterase inhibitor approved for the treatment of angioedema attacks in patients with HAE in the US, Israel, all 28 EU countries plus Norway, Iceland and Liechtenstein.
Ruconest is commercialised by Pharming in Austria, Germany and the Netherlands.
Ruconest is distributed by Swedish Orphan Biovitrum AB (publ) (SS: SOBI) in the other EU countries and in Azerbaijan, Belarus, Georgia, Iceland, Kazakhstan, Liechtenstein, Norway, Russia, Serbia and Ukraine.
Ruconest is partnered with Salix Pharmaceuticals, Ltd. (“Salix”) in North America. Valeant Pharmaceuticals International, Inc. (NYSE: VRX/TSX: VRX) completed its acquisition of Salix Pharmaceuticals, Ltd. on April 1, 2015.
Ruconest is also being investigated in a randomised Phase II clinical trial for prophylaxis of HAE and evaluated for various additional follow-on indications. Pharming has a unique GMP compliant, validated platform for the production of recombinant human proteins that has proven capable of producing industrial volumes of high quality recombinant human protein in a more economical way compared to current cell-based technologies. Leads for Enzyme Replacement Therapy (ERT) in Pompe, Fabry’s and Gaucher’s diseases are under early evaluation. The platform is partnered with Shanghai Institute of Pharmaceutical Industry (SIPI), a Sinopharm Company, for joint global development of new products. Pre-clinical development and manufacturing will take place at SIPI and are funded by SIPI. Pharming and SIPI initially plan to utilise this platform for the development of recombinant human Factor VIII for the treatment of Haemophilia A.
Additional information is available on the Pharming website: www.pharming.com.
Contact
Sijmen de Vries, CEO: T: +31 71 524 7400
FTI Consulting
Julia Phillips/ Victoria Foster Mitchell, T: +44 203 727 1136
Help employers find you! Check out all the jobs and post your resume.
