Geron Corporation Reports Fourth Quarter And Annual 2002 Financial Results
Menlo Park, CA – Februrary 28, 2003 – Geron Corporation (Nasdaq: GERN) today reported financial results for the fourth quarter and year ended December 31, 2002.
For the year, the company had revenues of $1.2 million and operating expenses of $36.9 million, compared to revenues of $3.6 million and operating expenses of $38.6 million in fiscal 2001. For fiscal 2002, the company had a net loss of $33.9 million or $(1.37) per share, compared to a net loss of $42.1 million or $(1.90) per share in fiscal 2001.
For the 2002 fourth quarter, the company had revenues of $293,000 and operating expenses of $7.9 million, compared to $623,000 and $8.9 million, respectively, for the comparable period in 2001. Net loss for the 2002 fourth quarter was $7.2 million or $(0.29) per share, compared to $19.4 million or $(0.85) per share for the comparable period in 2001.
Revenues for the year reflected research support payments from collaborative partners, royalty revenues under various license agreements with companies for sales of telomerase–based diagnostic kits, shared profits from sales of reagent research products and fees from licensees for the company's nuclear transfer and telomerase technologies. The overall decrease in operating expenses for 2002 was primarily the result of reductions in staffing in June 2002 and the concentration of resources on Geron's most advanced product development programs.
Geron is a biopharmaceutical company focused on developing and commercializing therapeutic and diagnostic products for applications in oncology and regenerative medicine, and research tools for drug discovery. Geron's product development programs are based upon three patented core technologies: telomerase, human embryonic stem cells and nuclear transfer.
Contact:
Geron Corporation
David L. Greenwood
Chief Financial Officer
Tel: 650–473–7765
Financial table follows.
GERON CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
THREE MONTHS ENDED NINE MONTHS ENDED
(In thousands, except share DECEMBER 31, DECEMBER 31,
and per share amounts) 2002 2001 2002 2001
Unaudited
Revenues from
collaborative
agreements $ 18 $ 515 $ 566 $3,280
License fees and
royalties 275 108 682 340
–––––– –––––– –––––– ––––––
Total revenues 293 623 1,248 3,620
Operating expenses:
Research and
development 6,917 6,204 31,573 29,018
General and
administrative 1,012 2,703 5,375 9,621
–––––– –––––– ––––––– ––––––––
Total operating
expenses 7,929 8,907 36,948 38,639
–––––– –––––– ––––––– ––––––––
Loss from operations (7,636) (8,284) (35,700) (35,019)
Interest and other
income 579 994 2,549 5,860
Conversion expense –– (11,910) –– (11,910)
Interest and other
expense (172) (244) (757) (1,004)
–––––––– ––––––––– ––––––––– –––––––––
Net loss $(7,229) $(19,444) $(33,908) $(42,073)
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Basic and diluted
net loss per share: $(0.29) $(0.85) $(1.37) $(1.90)
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Shares used in
calculation of
basic and diluted
net loss per share: 24,744,449 22,990,532 24,661,733 22,121,833
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CONDENSED CONSOLIDATED BALANCE SHEETS
DECEMBER 31, DECEMBER 31,
(In thousands) 2002 2001
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Current assets:
Cash and cash equivalents and
restricted cash $5,134 $19,303
Marketable securities 42,383 60,338
Other current assets 3,252 2,223
–––––––– ––––––––
Total current assets 50,769 81,864
Property and equipment, net 2,444 3,587
Deposits and other assets 772 1,232
Intangible assets 6,684 9,548
–––––––– ––––––––
$ 60,669 $ 96,231
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Current liabilities 9,383 10,312
Noncurrent liabilities 21,545 24,377
Stockholders' equity 29,741 61,542
–––––––– ––––––––
$ 60,669 $ 96,231
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