EntreMed announces financial results for the third quarter of 2009

Nov 16 2009

EntreMed, Inc. (Nasdaq: ENMD), a clinical-stage pharmaceutical company developing therapeutics for the treatment of cancer, today reported results for the three- and nine-month periods ending September 30, 2009.

Revenues for the third quarter 2009 were approximately $3,668,000 versus $3,501,000 for the comparable period a year ago. The Company reported a net income for the third quarter of approximately $85,000. This compares with a net loss of approximately ($3.4 million), or ($0.04) per share for the same period last year.

Revenues for the nine months ended September 30, 2009 were approximately $3,668,000 versus $3,501,000 for 2008. Reported net loss for the first nine months of 2009 was ($6.5 million), or ($0.08) per share as compared to ($21.3 million) or ($0.26) per share for 2008. As of September 30, 2009, EntreMed had cash and short-term investments of approximately $10,028,000.

Kathy Wehmeir-Davis, EntreMed Principle Accounting Officer, commented, "Our financial results for the third quarter are in line with our projections. We have estimated that the royalty revenue from sales of Thalomid® for the third quarter will be $3.3 million and that total royalty revenues for 2009 will be approximately $7.0 million. Our research and development expenses increased in the third quarter as a result of manufacturing costs, expansion of the ENMD-2076 Phase 1 study in solid tumors, and continued enrollment in the leukemia and multiple myeloma studies. At the end of the quarter, we reported approximately $10 million in cash and short-term investments. We believe that these resources, coupled with anticipated royalty inflows and current initiatives to improve our liquidity, will provide us with sufficient resources to cover planned operations through 2010."

Michael M. Tarnow, Executive Chairman, commented, "Our third quarter results reflect successful execution of our focused cost-reduction efforts initiated this year while at the same time executing our strategy for the acceleration of the ENMD-2076 clinical program. Every member of the EntreMed team, including the Board, remains enthusiastic and committed to attaining our clinical development objectives."