SAN DIEGO, Nov. 10 /PRNewswire-FirstCall/ -- ADVENTRX
Pharmaceuticals, Inc. (NYSE Amex: ANX) today reported financial
results for the three and nine months ended September 30, 2009.
"Our third quarter results reflect our continued efforts to
carefully manage and deploy our cash in what remains an uncertain
financing environment," said Brian M. Culley, Principal Executive
Officer at ADVENTRX. "We estimate that the net proceeds from the
financing we completed on October 9, together with our cash at
September 30, will support our operations well into 2010 and,
importantly, through the significant milestone of an FDA decision
on ANX-530." Third Quarter Financial Results For the three months
ended September 30, 2009, ADVENTRX's net loss applicable to common
stock was $2.7 million, or $0.02 per share, compared with a net
loss applicable to common stock of $6.8 million, or $0.08 per
share, for the comparable period in 2008. Included in the net loss
applicable to common stock for the 2009 third quarter was a
non-cash deemed dividend expense of $0.4 million incurred in
connection with the Company's July and August 2009 equity
financings. Research and development (R&D) expenses in the
third quarter of 2009 were $1.4 million, a decrease of $3.3
million, or 70%, compared with R&D expenses of $4.7 million in
the third quarter of 2008. The decrease was primarily due to a $0.3
million decrease in external clinical trial expenses related to
ANX-510, a $0.4 million decrease in external clinical trial
expenses related to ANX-514, a $1.7 million decrease in
non-clinical expenses primarily related to ANX-514, a $0.7 million
decrease in personnel expenses and a $0.2 million decrease in
share-based compensation expense. Selling, general and
administrative (SG&A) expenses in the third quarter of 2009
were $0.9 million, a decrease of $1.2 million, or 57%, compared
with SG&A expenses of $2.1 million in the third quarter of
2008. The decrease was due to a $0.6 million decrease in personnel
costs, a $0.2 million decrease in outside services, a $0.1 million
decrease in legal and professional services, a $0.1 million
decrease in travel expenses and a $0.1 million decrease in
recruiting costs. Year-to-Date Financial Results For the nine
months ended September 30, 2009, ADVENTRX's net loss applicable to
common stock was $9.7 million, or $0.10 per share, compared with a
net loss applicable to common stock of $19.1 million, or $0.21 per
share, for the comparable period in 2008. Included in the net loss
applicable to common stock for the 2009 period was a non-cash
deemed dividend expense of $1.6 million incurred in connection with
the Company's June, July and August 2009 equity financings.
Included in net loss and net loss applicable to common stock for
the nine months ended September 30, 2009 were charges associated
with the Company's reductions in force made in October 2008, and
January and March 2009. R&D expenses for the nine months ended
September 30, 2009 were $4.5 million, a decrease of $8.6 million,
or 65%, compared with R&D expenses of $13.1 million for the
comparable period in 2008. The decrease was primarily due to a $1.7
million decrease in external clinical trial expenses related to
ANX-510, a $0.3 million decrease in external clinical trial
expenses related to ANX-514, a $3.3 million decrease in
non-clinical expenses related to ANX-514, a $0.2 million decrease
in non-clinical expenses related to ANX-201 and ANX-211, a $0.3
million decrease in non-clinical expenses related to ANX-530, a
$1.8 million decrease in personnel costs and a $0.6 million
decrease in share-based compensation expense. SG&A expenses in
the nine months ended September 30, 2009 were $3.7 million, a
decrease of $3.3 million, or 47%, compared with SG&A expenses
of $7.1 million for the comparable period in 2008. The decrease was
primarily due to a $1.6 million decrease in personnel costs, a $0.3
million decrease related to share-based compensation expense, a
$0.6 million decrease in legal and professional services, a $0.1
million decrease in market research expenses, a $0.3 million
decrease in travel expenses, a $0.2 million decrease in consulting,
Sarbanes-Oxley compliance and recruiting services, and a $0.1
million decrease in insurance related expenses. Balance Sheet
Highlights As of September 30, 2009, the Company had cash and cash
equivalents of $3.2 million and stockholders' equity of $1.6
million. About ADVENTRX Pharmaceuticals ADVENTRX Pharmaceuticals is
a specialty pharmaceutical company whose product candidates are
designed to improve the performance of existing cancer treatments
by addressing limitations associated principally with their safety
and use. More information can be found on the Company's website at
http://www.adventrx.com/. Forward Looking Statements ADVENTRX
cautions you that statements included in this press release that
are not a description of historical facts are forward-looking
statements that involve risks and assumptions that, if they
materialize or do not prove to be accurate, could cause ADVENTRX's
results to differ materially from historical results or those
expressed or implied by such forward-looking statements. These
risks and uncertainties include, but are not limited to: the risk
that ADVENTRX will have insufficient capital to support its
operations during the FDA review of an ANX-530 NDA, including as a
result of ADVENTRX's not submitting an ANX-530 NDA by December 31,
2009, or at all, the FDA requesting or ADVENTRX providing
additional information or clarification with respect to such
submission or the FDA not completing its review by the ANX-530
"PDUFA date;" the risk that ADVENTRX pursues development activities
at levels or on timelines, or incurs unexpected expenses, that
shortens the period through which its operating funds will sustain
it; the risk that ADVENTRX will be unable to raise sufficient
additional capital to commercialize ANX-530, if an ANX-530 NDA is
submitted and approved, or to continue the development of ANX-514;
the risk that ADVENTRX will be unable to raise sufficient
additional capital on a timely basis to continue as a going
concern; the risk that ADVENTRX will reassess the results of the
ANX-530 bioequivalence study and determine to conduct additional
bioequivalence studies of ANX-530, including in humans; the
potential for regulatory authorities to require additional
preclinical work and/or clinical activities to support regulatory
filings, including prior to the submission or the approval of an
NDA for ANX-530, which activities may increase the cost and
timeline to NDA submission or approval and negatively impact
ADVENTRX's ability to raise additional capital; the risk the FDA
will determine that ANX-530 and Navelbine® are not bioequivalent,
including as a result of performing pharmacokinetic equivalence
analysis based on a patient population other than the population on
which ADVENTRX based its analysis; the risk of investigator bias in
reporting adverse events as a result of the open-label nature of
the ANX-530 bioequivalence study, including bias that increased the
reporting of adverse events associated with Navelbine and/or that
decreased the reporting of adverse events associated with ANX-530;
difficulties or delays in manufacturing, obtaining regulatory
approval for and marketing ANX-530, including validating commercial
manufacturing processes and manufacturers, as well as suppliers;
the risk that the performance of third parties on whom ADVENTRX
relies to conduct its studies or evaluate the data, including
clinical investigators, expert data monitoring committees, contract
laboratories and contract research organizations, may be
substandard, or they may fail to perform as expected; the risk that
ADVENTRX's significantly reduced workforce and leadership by
officers who do not have substantial previous experience in
executive leadership roles will negatively impact its ability to
raise additional capital or to maintain effective disclosure
controls and procedures or internal control over financial
reporting; the risk that ADVENTRX's common stock will be delisted
by the NYSE Amex, including as a result of failing to maintain
sufficient stockholders' equity or a sufficient stock price; the
risk that ADVENTRX will trigger a "maintenance failure" under that
certain Rights Agreement, dated July 27, 2005, as amended, and be
required to pay liquidated damages, including as a result of losing
its eligibility to use Form S-3 if its common stock is delisted
from the NYSE Amex; and other risks and uncertainties more fully
described in ADVENTRX's press releases and periodic filings with
the Securities and Exchange Commission. ADVENTRX's public filings
with the Securities and Exchange Commission are available at
http://www.sec.gov/. You are cautioned not to place undue reliance
on these forward-looking statements, which speak only as of the
date when made. ADVENTRX does not intend to update any
forward-looking statement as set forth in this press release to
reflect events or circumstances arising after the date on which it
was made. [Tables to Follow] ADVENTRX Pharmaceuticals, Inc. (A
Development Stage Enterprise) Summary Consolidated Financial
Information (In 000s except for per share data) Consolidated
Statement of Operations Data: Three Months Ended Nine Months Ended
September 30, September 30, 2009 2008 2009 2008
(unaudited)(unaudited)(unaudited)(unaudited) Revenues $- $- $300
$500 Operating expenses: Research and development 1,444 4,741 4,546
13,073 Selling, general and administrative 894 2,075 3,744 7,076
Depreciation and amortization 12 40 71 130 Total operating expenses
2,350 6,856 8,361 20,279 Loss from operations (2,350) (6,856)
(8,061) (19,779) Interest / Other income (expense) (3) 79 (44) 644
Loss before income taxes (2,353) (6,777) (8,105) (19,135) Provision
for income taxes - - - - Net loss $(2,353) $(6,777) $(8,105)
$(19,135) Deemed Dividends on preferred stock (376) - (1,609) - Net
Loss applicable to common stock $(2,729) $(6,777) $(9,714)
$(19,135) Net loss per share - basic and diluted $(0.02) $(0.08)
$(0.10) $(0.21) Weighted average shares - basic and diluted 119,481
90,253 101,159 90,253 Balance Sheet Data: September 30, December
31, 2009 2008 (unaudited) Total cash and investments in securities
$3,160 $9,850 Total current assets 3,768 10,450 Total current
liabilities 2,205 4,714 Stockholders' equity 1,625 5,995
DATASOURCE: ADVENTRX Pharmaceuticals, Inc. CONTACT: Brian Culley,
Principal Executive Officer of ADVENTRX Pharmaceuticals,
+1-858-552-0866; or Investors, Don Markley of Lippert/Heilshorn
& Associates, Inc., +1-310-691-7100, , for ADVENTRX
Pharmaceuticals, Inc. Web Site: http://www.adventrx.com/
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