MAP Pharmaceuticals reports net loss $14.1 million for first-quarter 2010

May 4 2010

MAP Pharmaceuticals, Inc. (Nasdaq: MAPP) today announced financial results for the first quarter ended March 31, 2010.

The net loss for the first quarter ended March 31, 2010 was $14.1 million compared to $9.9 million during the same period in 2009. MAP Pharmaceuticals had $69.2 million in cash and cash equivalents as of March 31, 2010, compared to $65.8 million as of December 31, 2009.

Revenues for the first quarter ended March 31, 2010 were $0 compared to $7.5 million for the same period in 2009. The revenue for the first quarter of 2009 was due to amortization of a $40.0 million upfront payment received in February 2009 and reimbursements for development expenses related to Unit Dose Budesonide (UDB), pursuant to MAP Pharmaceuticals' previous license agreement with AstraZeneca.

Research and development (R&D) expenses for the first quarter ended March 31, 2010 were $9.8 million compared to $14.1 million for the same period in 2009. The decrease in R&D expenses for the three months ended March 31, 2010 was driven primarily by a decrease in clinical and other related expenses to support the UDB Phase 3 clinical program which was suspended in July 2009, partially offset by an increase in other general R&D expenses.  

Sales, general and administrative (SG&A) expenses for the first quarter ended March 31, 2010 were $3.9 million compared to $2.8 million for the same period in 2009. The increase in SG&A expenses was related primarily to an increase in personnel related expenses, including stock-based compensation, and an increase in professional services and LEVADEX related marketing activities.    

For the first quarter ended March 31, 2010, non-cash stock-based compensation and depreciation was approximately $1.8 million.

"We have been highly productive in 2010 with the continued evaluation of patients and subjects in our ongoing trials necessary for NDA submission as well as with scientific presentations at the American Academy of Neurology meeting of additional efficacy data for LEVADEX in hard-to-treat patient subpopulations," said Timothy S. Nelson, President and Chief Executive Officer of MAP Pharmaceuticals. "These accomplishments, coupled with the FDA notification that a second pivotal efficacy trial of LEVADEX will not be required, are bringing us closer to our goal of serving migraine patients, including those who are currently underserved by available therapeutic options."