Momenta reports fourth quarter 2010 net income of $36.3M vs. $14.7M net loss for fourth quarter 2009

Momenta Pharmaceuticals, Inc. (Nasdaq:MNTA), a biotechnology company specializing in the characterization and engineering of complex drugs, today reported its financial results for the fourth quarter and year ended December 31, 2010.

For the fourth quarter of 2010 the Company reported a net income of $36.3 million, or $0.77 per diluted share, compared to a net loss of $14.7 million, or $0.34 per share, for the same period in 2009. For the year ended December 31, 2010, the Company reported a net income of $37.3 million, or $0.81 per diluted share, compared to a net loss of $64.0 million, or $1.60 per share, for the same period in 2009. At December 31, 2010, the Company had cash, cash equivalents, and marketable securities of $152.8 million, compared to $95.7 million at December 31, 2009. 

"The successful launch of generic Lovenox® made 2010 a pivotal year for Momenta as we achieved profitability for the first time," reflected Craig A. Wheeler, President and Chief Executive Officer. "Looking forward, the FDA review of the ANDA for generic Copaxone® continues to advance and we expect to build on our 2010 momentum into 2011 as we move this product and our follow-on biologics and novel drug pipeline forward."

Financial Results

Revenue for the fourth quarter of 2010 was $58.3 million, compared to $5.6 million for the same period in 2009. For the year ended December 31, 2010, revenue was $116.8 million, compared to $20.2 million for 2009. The increase in revenue in both periods was due to profit share earned from commercial sales of enoxaparin sodium injection which received FDA marketing approval in July of 2010.

At December 31, 2010 the receivables for the fourth quarter enoxaparin profit share was $52.4 million and our cash, cash equivalents and marketable securities balance totaled $152.8 million.

Research and development expenses for the fourth quarter of 2010 were $15.2 million, compared to $14.2 million for the same period in 2009. The increase in research and development expenses from fourth quarter 2009 to fourth quarter 2010 principally resulted from an increase in development costs in support of our M356 and M402 programs. For the year ended December 31, 2010, research and development expenses were $51.7 million, compared to $60.6 million for 2009.  The year-over-year decrease in research and development expenses principally resulted from a decrease in manufacturing, process development and third-party research costs in support of our M356 program.

General and administrative expenses for the fourth quarter of 2010 totaled $7.8 million, compared with $6.1 million for the same period in 2009. For the year ended December 31, 2010, general and administrative expenses were $28.6 million, compared to $23.8 million for 2009. The increase in general and administrative expenses for both periods was primarily due to an increase in royalties payable to Massachusetts Institute of Technology associated with the launch and sales of enoxaparin sodium injection as well as an increase in compensation expense.