PALO ALTO, Calif., Aug. 8 /PRNewswire-FirstCall/ -- Telik, Inc. reported a net loss of $14.3 million, or $0.27 per share, for the second quarter ended June 30, 2007, compared with a net loss of $21.5 million, or $0.41 per share, for the comparable period in 2006.
For the quarter ended June 30, 2007, total operating costs and expenses were $15.8 million, compared with $23.6 million in the 2006 second quarter. Operating expenses in the 2007 second quarter included stock-based compensation expense of approximately $3.0 million. Operating expenses were approximately 33% lower in the second quarter of 2007 compared with the same period in 2006, primarily as a result of reduced headcount following the company’s restructuring implemented in February 2007, and reduced clinical trial and related expenses.
For the six months ended June 30, 2007, Telik reported a net loss of $30.6 million, or $0.58 per share, compared with a net loss of $41.6 million, or $0.80 per share, for the six months ended June 30, 2006. Total operating expenses for the first six months of 2007 were $33.8 million, compared with $45.8 million for the first six months of 2006. Operating expenses in the first six months of 2007 included approximately $5.0 million in stock-based compensation expense. The reduction in operating expenses of approximately 26% in the first six months of 2007 compared with the same period in 2006 was primarily due to reduced headcount following the restructuring, reduced clinical trial and related expenses, and lower stock-based compensation expense.
At June 30, 2007, Telik had $114.5 million in cash, cash equivalents and investments including restricted investments, compared to $141.7 million at December 31, 2006.
Conference Call and Webcast
Telik will conduct its quarterly conference call today at 4:30 p.m. Eastern time (1:30 pm. Pacific time). The conference call will be accessible via Telik’s website at http://www.telik.com or by telephone at 888-428-4473 or 612-332-0107. An archive of the conference call will be available on the Telik website or by telephone at 800-475-6701 or 320-365-3844, access code 882545. The archive will be available from approximately 8:30 p.m. Eastern time on August 8 through August 15, 2007.
About Telik
Telik, Inc. of Palo Alto, CA is a biopharmaceutical company focused on discovering, developing and commercializing novel small molecule drugs to treat serious diseases. The company’s most advanced drug development candidates are TELCYTA(R), a tumor-activated small molecule product candidate in clinical development for the treatment of advanced ovarian cancer and non-small cell lung cancer; and TELINTRA(TM), which is in clinical development for the treatment of myelodysplastic syndrome. Telik’s product candidates were discovered using its proprietary drug discovery technology, TRAP(TM), which enables the rapid and efficient discovery of small molecule drug candidates.
This press release contains “forward-looking” statements, including statements regarding Telik’s future development of TELCYTA and TELINTRA. These forward-looking statements are based upon Telik’s current expectations. There are important factors that could cause Telik’s results to differ materially from those indicated by these forward-looking statements, including, among others, if clinical trials of TELCYTA or TELINTRA are delayed or unsuccessful, Telik’s business would suffer, if Telik’s competitors develop and market products that are more effective than its product candidates or any product that Telik may develop, or obtain marketing approval before Telik does, Telik’s commercial opportunity will be reduced or eliminated, and if Telik does not obtain regulatory approval to market products in the United States and foreign countries, Telik will not be permitted to commercialize its product candidates. Detailed information regarding factors that may cause actual results to differ materially from the results expressed or implied by statements in this press release may be found in Telik’s periodic filings with the Securities and Exchange Commission, including the factors described in the section entitled “Risk Factors” in its quarterly report on Form 10-Q for the quarter ended March 31, 2007. Telik does not undertake any obligation to update forward-looking statements contained in this press release.
TELIK, the Telik logo, TELCYTA, TELINTRA and TRAP are trademarks or registered trademarks of Telik, Inc.
Telik, Inc. Statements of Operations (In thousands, except per share amounts) (Unaudited) Three Months Ended Six Months Ended June 30, June 30, 2007 2006 2007 2006 Operating costs and expenses: Research and development $11,869 $19,036 $24,813 $36,694 General and administrative 3,979 4,560 7,631 9,069 Restructuring costs (33) - 1,356 - Total operating costs and expenses 15,815 23,596 33,800 45,763 Loss from operations (15,815) (23,596) (33,800) (45,763) Interest income, net 1,492 2,096 3,155 4,187 Net loss $(14,323) $(21,500) $(30,645) $(41,576) Basic and diluted net loss per share $(0.27) $(0.41) $(0.58) $(0.80) Weighted average shares used to calculate basic and diluted net loss per share 52,490 52,255 52,449 52,209 Selected Balance Sheet Data (In thousands) (Unaudited) June 30, December 31, 2007 2006 Cash, cash equivalents, investments and restricted investments $114,522 $141,665 Total assets $120,265 149,214 Stockholders’ equity $107,513 132,622
Telik, Inc.
CONTACT: Carol D. DeGuzman, Senior Director, Corporate Communications ofTelik, Inc., +1-650-845-7728, cdeguzman@telik.com
Web site: http://www.telik.com/
