Q1/10 earnings fell 84 % but, posted a profit of $2.4 M, or $0.07 per diluted common shares, versus a profit of $14.8 M, or a $0.24 loss per share, in Q1/09. Q1/10 revenue fell 10 % to $11.3 M coming from the Genzyme Corp agreement licensing fee and a $1 M milestone payment from a venture with JCR Pharmaceuticals.
Net income fell more than 80 % compared to Q1/09, when it had nearly $23 M in earnings from discontinued operations. R&D expenses fell 65% to $6.6 M as OSIR completed late-stage clinical trial work. G&A expenses fell 38 % to $1.8 M. OSIR reported cash, short-term investments and receivables of $91.2 M at 3/31/10. Net cash used in continuing operations for Q1/10 was $10.6 M.
- Positive interim analysis of the first 207 patients in a clinical trial evaluating Prochymal for treatment-resistant Crohn’s disease,
- Granted Orphan Drug designation from the FDA for Prochymal as a treatment for type 1 diabetes,
- Achieved $1 M milestone from JCR Pharmaceuticals for development progress with Prochymal in Japan,
- Reported data showing Prochymal achieved a 63% response rate when used as a rescue agent in children with end-stage graft versus host disease (GvHD),
- Presented data showing Prochymal significantly improves response rates over standard of care for both liver and gastrointestinal steroid-refractory GvHD.
OSIR shares fell $0.90 cents or 11.98% to $6.61 in trading Friday.