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Spectrum Pharmaceuticals (SPPI) Reports Strongest Financial Standing Ever

|Includes: Spectrum Pharmaceuticals, Inc. (SPPI)
Spectrum Pharmaceuticals, a commercial-stage biotechnology company that primarily focuses on oncology and hematology, has released its strongest financial standing ever, as of June 30, 2011.
 
“We are extremely pleased with our third consecutive profitable quarter, strong cash flow, and record revenues,” said Rajesh C. Shrotriya, MD, Chairman, Chief Executive Officer, and President of Spectrum Pharmaceuticals. “The robust sales of FUSILEV and ZEVALIN in the second quarter demonstrate the significant and sustained recognition by physicians of the therapeutic value of these products. The FDA approval of FUSILEV on April 29th was a highly transformational event for Spectrum Pharmaceuticals. We are now able to promote FUSILEV and meet the pressing needs of tens of thousands of colorectal cancer patients. As you may know, during the second quarter, we were unable to fully meet the demand for FUSILEV, until we secured FDA approval of additional supply sources. As we announced on June 21st, Spectrum now has ample supplies of FUSILEV to meet patient needs. Regarding ZEVALIN, which we believe is the most effective single-agent for the treatment of follicular non-Hodgkin’s lymphoma, we continue to work with the FDA regarding the removal of the bioscan requirement. Looking forward, we are currently on track to file two New Drug Applications in 2012 for apaziquone and belinostat. We believe these two novel drugs have great potential in the treatment of bladder cancer and Peripheral T-Cell Lymphoma, respectively.”
 
For the three-month period ended June 30,2011, the Company reported a net income of $7.2 million, or $0.14 per basic and $0.12 per diluted share, in comparison to a net loss of $9.7 million, or $0.20 per diluted and basic share seen for the second quarter of 2010. Consolidated revenue of $45.4 million was comprised of product sales of $42.3 million ($8.4 million from ZAVALIN and $33.9 million from FUSILEV) and $3.1 million from licensing fees. This represents a 268% increase from the $12.3 million in consolidated revenue that was recorded for the second quarter of 2010, which consisted of product sales of $9.3 million ($6.9 million from ZEVALIN and $2.4 million from FUSILEV) and $3.1 million in licensing fees. Total development and research expenses amounted to $7.7 million, in comparison to $6.3 million seen during the same period for 2010. Selling, general and administrative expenses arrived at $18.7 million, which includes non-cash charges of $6.8 million, in comparison to $13.8 million during the corresponding period for 2010, which includes non-cash charges of $1.7 million.
 
For the sixth-month period ended June 30,2011, the Company reported a net income of $20.0 million, or $0.39 per basic and $0.35 per diluted share, in comparison to a net loss of $48.7 million, or $1.00 per basic and diluted share. Consolidated revenue of $89.0 million was comprised of product sales of $82.8 million ($14.3 million from ZEVALIN and $68.6 million from FUSILEV) and $6.2 million from licensing fees. This represents for a 268% increase from the $12.3 million in consolidated revenue seen in the second quarter of 2010, which was comprised of product sales of $9.3 million ($6.9 million from ZEVALIN and $2.4 million from FUSILEV) and $3.1 million in licensing fees. Total development and research expenses were $18.7 million, compared to $6.3 million seen for the same period in 2010. Selling, general, and administrative expenses arrived at $18.7 million, which includes non-cash charges of $6.8 million, compared to the $13.8 million in the corresponding period in 2010, which includes non-cash charges of $1.7 million.
 
For more information on Spectrum Pharmaceuticals, visit their website at sppirx.com
 
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