CTI BioPharma Reports Fourth Quarter and Full Year 2018 Financial Results and Recent Highlights
SEATTLE, March 13, 2019 /PRNewswire/ -- CTI BioPharma Corp. (Nasdaq: CTIC) today reported financial results for the fourth quarter and full year ended December 31, 2018.
"The Company is focused on advancing its development program of pacritinib for the treatment for myelofibrosis patients with severe thrombocytopenia in the United States and Europe in 2019," commented Adam R. Craig, M.D., Ph.D., President and Chief Executive Officer of CTI BioPharma. "Following the previously-announced completion of full enrollment in the U.S. Phase 2 PAC203 study of pacritinib in myelofibrosis patients with severe thrombocytopenia, the Company expects to meet with the U.S. Food and Drug Administration and report the determination of an optimal dose of pacritinib in mid-2019, with a Phase 3 registration study targeted to commence enrollment shortly thereafter. The Company further expects to report topline efficacy and safety data from the Phase 2 study by the end of 2019."
Expected 2019 Milestones
-- Determination of the optimal dose of pacritinib - mid-2019
-- Commence enrollment in Phase 3 study of pacritinib in myelofibrosis
patients with severe thrombocytopenia (platelet count of less than
50,000 per microliter) - 3Q 2019
-- Reporting of top-line efficacy and safety data from PAC203 at a major
medical meeting by the end of 2019
Fourth Quarter Financial Results
Total revenues for the three months and year ended December 31, 2018 were $14.1 million and $26.3 million, respectively, compared to $0.5 million and $25.1 million for the respective periods in 2017. The increase in total revenues for the fourth quarter in 2018 compared to the same period in 2017 is primarily due to the recognition of license and contract revenue in 2018 related to the achievement of a regulatory milestone under the license and collaboration agreement for PIXUVRI® with Servier as well as the attainment of a worldwide net sales milestone of TRISENOX under the agreement with Teva Pharmaceutical Industries Ltd.
GAAP operating income was $0.2 million for the fourth quarter of 2018 and GAAP operating loss was $32.9 million for the year ended December 31, 2018, compared to GAAP operating loss of $13.7 million and $39.5 million for the respective periods in 2017. Operating income in the fourth quarter of 2018 as compared to operating loss in the same period in 2017 resulted primarily from the increase in license and contract revenue as mentioned above. Operating loss for the year ended December 31, 2018 as compared to 2017 resulted primarily from the decrease in selling, general and administrative expenses.
Net income attributable to common stockholders for the fourth quarter of 2018 was $0.8 million, or $0.01 for basic and diluted earnings per share, compared to net loss attributable to common stockholders of $14.3 million, or $(0.33) per share, for the same period in 2017. Net loss attributable to common stockholders for the twelve months ended December 31, 2018, was $29.4 million, or $(0.52) per share, compared to a net loss of $45.0 million, or $(1.24) per share, for the same period in 2017.
As of December 31, 2018, cash, cash equivalents and short-term investments totaled $67.0 million, compared to $43.2 million as of December 31, 2017.
About CTI BioPharma Corp.
CTI BioPharma Corp. is a biopharmaceutical company focused on the acquisition, development and commercialization of novel targeted therapies covering a spectrum of blood-related cancers that offer a unique benefit to patients and healthcare providers. The CTI BioPharma lead product candidate, pacritinib, is being developed for the treatment of patients with myelofibrosis. CTI BioPharma is headquartered in Seattle, Washington.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements regarding our expectations regarding, the timing of and results from clinical trials and pre-clinical development activities related to pacritinib, the potential efficacy, safety profile, future development plans, addressable market, regulatory success and commercial potential of pacritinib, the anticipated timing of regulatory submissions and interactions, the efficacy of, and potential changes to, our clinical trial designs and anticipated enrollment, our ability to successfully develop and achieve milestones in the development of pacritinib, and the anticipated benefits of pacritinib and the anticipated cost savings from the December 2018 workforce reduction. These forward-looking statements are based on current assumptions that involve risks, uncertainties and other factors that may cause the actual results, events or developments to be materially different from those expressed or implied by such forward-looking statements. These risks and uncertainties, many of which are beyond our control, include, but are not limited to: clinical trials may not demonstrate safety and efficacy of any of our or our collaborators' product candidates; our assumptions regarding our planned expenditures and sufficiency of our cash to fund operations may be incorrect; cost savings from the December 2018 workforce reduction may be less than anticipated; our efforts to advance our pipeline may not be successful; any of our or our collaborators' product candidates may fail in development, may not receive required regulatory approvals, or may be delayed to a point where they are not commercially viable; we may not achieve additional milestones in our proprietary or partnered programs; the impact of competition; the impact of expanded product development and clinical activities on operating expenses; adverse conditions in the general domestic and global economic markets; as well as the other risks identified in our filings with the Securities and Exchange Commission. These forward-looking statements speak only as of the date hereof and we assume no obligation to update these forward-looking statements, and readers are cautioned not to place undue reliance on such forward-looking statements.
"CTI BioPharma" and the CTI BioPharma logo are registered trademarks or trademarks of CTI BioPharma Corp. in various jurisdictions. All other trademarks belong to their respective owner.
CTI BioPharma Investor Contacts:
Maeve Conneighton/Maghan Meyers
+212-600-1902
cti@argotpartners.com
CTI BioPharma Corp.
Condensed Consolidated Statements of Operations
(In thousands, except per share amounts)
(unaudited)
Three Months Ended
Twelve Months Ended
December 31,
December 31,
2018 2017 2018 2017
---
Revenues:
Product sales, net
$
$
$ $
853
License and contract
revenue 14,108 462 26,290 24,293
Total revenues 14,108 462 26,290 25,146
Operating costs and expenses:
Cost of product sold 87 84 879 364
Research and development 7,928 7,098 36,467 32,866
Selling, general and
administrative 5,225 6,983 21,183 31,435
Restructuring expenses 660 660
Total operating costs and
expenses 13,900 14,165 59,189 64,665
Income (loss) from
operations 208 (13,703) (32,899) (39,519)
Non-operating income (expense):
Interest income 419 1,219
Interest expense (316) (393) (1,209) (1,872)
Amortization of debt
discount and issuance
costs (131) (50) (525) (163)
Foreign exchange gain
(loss) 665 42 (233) 817
Other non-operating
(expense) income - (166) 4,295 (94)
Total non-operating
income (expense), net 637 (567) 3,547 (1,312)
Net income (loss) before
noncontrolling interest 845 (14,270) (29,352) (40,831)
Noncontrolling interest 1 4 32 161
Net income (loss) 846 (14,266) (29,320) (40,670)
Deemed dividends on
preferred stock - (80) (4,350)
Net income (loss)
attributable to common
stockholders $
846 $
(14,266) $
(29,400) $
(45,020)
Net income (loss) per common share:
Basic $
0.01 $
(0.33) $
(0.52) $
(1.24)
Diluted $
0.01 $
(0.33) $
(0.52) $
(1.24)
Shares used in calculation of income
(loss) per common share:
Basic 57,969 42,899 56,073 36,445
Diluted 57,970 42,899 56,073 36,445
Balance
Sheet
Data
(unaudited):
(amounts in thousands)
December 31, December 31,
2018 2017
Cash,
cash
equivalents
and
restricted
cash $
36,439 $
43,218
Short-
term
investments 30,599
Working
capital 59,437 27,666
Total
assets 89,832 54,886
Current
portion
of
long-
term
debt 4,812 444
Long-
term
debt,
less
current
portion 9,267 13,575
Total
stockholders'
equity 52,939 16,090
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SOURCE CTI BioPharma Corp.
