Company Announcement no. 11/2011
To: NASDAQ OMX Copenhagen A/S Hørsholm, Denmark, 17 August, 2011
Veloxis Pharmaceuticals announces financial results for the first half 2011 in line with expectations
Highlights:
- The company’s lead product candidate, LCP-Tacro™, has successfully demonstrated non-inferiority compared to tacrolimus (Prograf®; Astellas Pharma) in its Phase III trial, Study 3001 and patients met all primary efficacy and safety endpoints.
- The pivotal phase 3 study in de novo kidney patients, Study 3002, continues active patient enrollment. Enrollment is ongoing in all four planned geographic regions: EU, US, Latin America, Asia Pacific. Currently enrollment is lagging behind projection. While it is possible that the original target of full enrollment (540 patients) will be met by year-end 2011, it is possible that a delay of approximately 3 months may occur.
- At an extraordinary general meeting on 7 July, 2011 it was approved to change the name of the company from LifeCycle Pharma A/S to Veloxis Pharmaceuticals A/S.
- Ed Penhoet (co-founder of Chiron) has been elected as new member of the Board of Directors for a period ending at the next annual general meeting of the company.
- Veloxis has received a grant of DKK 3.9 million from The Danish National Advanced Technology Foundation to support collaborative work with Herlev Hospital, Denmark on the development of an oral chemotherapeutic agent to potentially replace an existing agent that requires intravenous administration.
- Veloxis reported a net loss of DKK 141.2 million for the first half of 2011 compared to a net loss of DKK 132.2 million for the same period in 2010. The result is in line with expectations and the company maintains its full year outlook.
- For the first half of 2011, Veloxis’ research and development costs amounted to DKK 117.2 million compared to DKK 96.0 million during the same period in 2010.
- On 30 June, 2011, Veloxis had cash and cash equivalents of DKK 402.2 million.
William J Polvino, president and CEO said: “We are very pleased with the result for the first half 2011, which is in line with expectations and the positive phase III data in LCP-Tacro™ is a very significant achievement for the company. The company is working very hard on meeting the timelines for the second Phase 3 study, Study 3002. The emerging profile for LCP-Tacro™ continues to suggest that it will be a very competitive product in the multi-billion dollar transplant immunosuppressant market“.
A conference call will be held tomorrow, 18 August, 2011 at 3:00 PM CET (Denmark); 2:00 PM GMT (London), 9:00 AM ET (New York), 6:00 AM PT (San Francisco).
To access the live conference call, please dial one of the following numbers:
+45 32 72 76 25 Denmark
+44 (0) 1452 555 566 UK
+1 631 510 7498 USA
Access code 90738320
Following the conference call, a recording will be available on the company’s website www.veloxis.com.
Outlook for 2011
Veloxis maintains its 2011 outlook which was announced in the annual report for 2010, published on 1 March 2011, with an operating loss of DKK 250–280 million and likewise a net loss of DKK 250–280 million. The Company’s position of cash and cash equivalents as at 31 December, 2011 is expected to be in the range of DKK 250–300 million.
Research & development update
LCP-Tacro™ in kidney transplant patients (stable patients, Study 3001)
The study was completed in June 2011, when positive data was published.
The study successfully demonstrated non-inferiority compared to tacrolimus (Prograf®; Astellas Pharma) in the Phase III trial. The Phase III Open-label conversion (switch) study in 326 stable kidney transplant recipients, with Prograf® as the comparator, met all its primary efficacy and safety endpoints. The study also showed a trend towards superior rejection rates based on central laboratory pathology assessment.
LCP-Tacro™ in kidney transplant patients (de novo patients, Study 3002)
The clinical Phase III program in de novo kidney transplant patients was initiated in October 2010. Patient enrollment is ongoing, and will include approximately 540 patients in total across all four planned geographic regions: EU, US, Latin America, Asia Pacific. Currently enrollment is lagging behind projection. While it is possible that the original target of full enrollment (540 patients) will be met by year-end 2011, it is possible that a delay of approximately 3 months may occur.
The Veloxis Study 3002 is a randomized, double-blind, multicenter study that compares once-daily LCP-Tacro™ against twice-daily Prograf® in de novo adult kidney transplant patients. The primary endpoint of the study, a composite endpoint (BPAR, graft failure, loss to follow up or death), will be evaluated after a 12-month treatment period to demonstrate the non-inferiority of LCP-Tacro™ compared to Prograf®. Secondary endpoints will include safety, tolerability and renal function assessments. The study will be conducted at approximately 100 transplant centers, primarily in the U.S and Europe. Patients will participate in a 12-month extension period on treatment for follow-up safety assessments.
| Financial Highlights | ||||||
| YTD | YTD | Q2 | Q2 | Year | ||
| 2011 | 2010 | 2011 | 2010 | 2010 | ||
| DKK'000 | DKK'000 | DKK'000 | DKK'000 | DKK'000 | ||
| Income Statement | ||||||
| Revenue | - | 1,494 | - | 871 | 1,496 | |
| Research and development costs | (117,212) | (95,973) | (64,951) | (39,625) | (210,426) | |
| Administrative expenses | (23,861) | (25,930) | (12,137) | (12,773) | (52,198) | |
| One-off restructuring cost | - | (10,894) | - | - | (10,894) | |
| Operating loss | (141,073) | (131,303) | (77,088) | (51,527) | (272,022) | |
| Net financial income / (expenses) | 158 | (526) | 2,008 | (313) | (759) | |
| Loss before tax | (140,915) | (131,829) | (75,080) | (51,840) | (272,781) | |
| Tax for the period | (300) | (395) | (300) | (395) | (1,425) | |
| Net loss for the period | (141,215) | (132,224) | (75,380) | (52,235) | (274,206) | |
| Balance Sheet | ||||||
| Cash and cash equivalents | 402,213 | 205,136 | 402,213 | 205,136 | 531,519 | |
| Total assets | 426,860 | 245,345 | 426,860 | 245,345 | 562,906 | |
| Share capital | 452,543 | 56,568 | 452,543 | 56,568 | 452,543 | |
| Total equity | 363,606 | 189,958 | 363,606 | 189,958 | 498,238 | |
| Investment in property, plant and equipment | 1,256 | 594 | 635 | 101 | 2,583 | |
| Cash Flow Statement | ||||||
| Cash flow from operating activities | (122,017) | (125,471) | (56,621) | (55,659) | (238,148) | |
| Cash flow from investing activities | (221,757) | (829) | 77,845 | (246) | (2,658) | |
| Cash flow from financing activities | (2,832) | (2,446) | (1,426) | (1,351) | 440,014 | |
| Cash and cash equivalents at period end | 402,213 | 205,136 | 402,213 | 205,136 | 531,519 | |
| Financial Ratios | ||||||
| Basic and diluted EPS | (0.31) | (2.34) | (0.17) | (0.92) | (2.84) | |
| Weighted average number of shares | 452,542,480 | 56,567,810 | 452,542,480 | 56,567,810 | 96,707,708 | |
| Average number of employees (FTEs) | 53 | 65 | 52 | 60 | 59 | |
| Assets/equity | 1.17 | 1.29 | 1.17 | 1.29 | 1.13 | |
The interim report is unaudited.
Revenue
For the first half of 2011 Veloxis had no revenue compared to DKK 1.5 million in revenues in the same period of 2010. Revenue in 2010 consisted of payments under Veloxis’ collaboration agreements.
Research and development costs
For the first half of 2011, Veloxis’ research and development costs amounted to DKK 117.2 million compared to DKK 96.0 million during the same period in 2010. Research and development costs are mainly attributable to the two phase III trials in LCP-Tacro™. In the period cost is included to the finalization of the phase III study in kidney transplant patients (stable patients, Study 3001), along with costs associated with the ongoing phase III study in kidney transplant patients (de novo patients, Study 3002).
Administrative expenses
For the first half of 2011, Veloxis’ administrative cost amounted to DKK 23.9 million compared to DKK 25.9 million during the same period in 2010. The reduction in cost reflects the cost reduction initiatives which took place during 2010.
One-off restructuring cost
One-off restructuring cost mainly includes salary payments to former employees in connection with the reduction in headcount in January 2010.
Compensation costs
For the first half of 2011, a total of DKK 6.3 million was recognized as share-based compensation. The cost is included in R&D and G&A. The comparable cost for 2010 was DKK 5.0 million.
In the second quarter of 2011, a total of 250,000 warrants were granted to members of the Board of Directors at a strike price of DKK 1.16. In the second quarter of 2011, a total of 181,283 warrants have been cancelled.
As of 30 June, 2011, there were a total of 28,580,415 warrants outstanding at an average strike price of DKK 3.2. Members of the Board of Directors held 828,976 warrants at an average strike price of DKK 7.2. Members of the Executive Management held 8,788,122 warrants at an average strike price of DKK 2.2, while other current and former employees held 18,963,317 warrants at an average strike price of DKK 3.5.
Please refer to Veloxis’ latest annual report for additional details on the Company’s warrant programs.
Operating loss
Veloxis’ operating loss for the first half of 2011 was DKK 141.1 million compared to DKK 131.3 million in the corresponding period of 2010.
Financial income
During the first half of 2011, the Company recognized net financial income of DKK 0.2 million compared to net financial expenses of DKK 0.5 million in the corresponding period of 2010.
Net loss
Veloxis’ net loss for the first half of 2011 was DKK 141.2 million compared to DKK 132.2 million in the corresponding period of 2010.
Cash flow
As per 30 June, 2011, the balance sheet reflects cash and cash equivalents of DKK 402.2 million compared to DKK 531.5 million as per 31 December, 2010. This represents a decrease of DKK 129.3 million primarily related to the Company’s operating activities for the period.
Balance sheet
As per 30 June, 2011, total assets were DKK 426.9 million compared to DKK 562.9 million at the end of 2010.
Shareholders’ equity equalled DKK 363.6 million as of 30 June, 2011, compared to DKK 498.2 million at the end of 2010.
Accounting policies
The interim report is prepared in compliance with International Accounting Standard No. 34 (IAS 34), “Interim Financial Reporting” and in accordance with the NASDAQ OMX Copenhagen’s financial reporting requirements for listed companies.
There have been no changes in accounting policies used for the interim report compared to the accounting policies used in the preparation of Veloxis Pharmaceuticals group’s annual report for 2010.
Financial review
Veloxis reports its financial statements in Danish Kroner (DKK), which is the functional currency of the Company and the group. Solely for the convenience of the reader, this Interim Report contains a conversion of certain DKK amounts into Euro (EUR) at a specified rate. These converted amounts should not be construed as representations that the DKK amounts actually represent such EUR amounts or could be converted into EUR at the rate indicated or at any other rate. Unless otherwise indicated, conversion herein of financial information into EUR has been made using the Danish Central Bank’s spot rate on 30 June, 2011, which was EUR 1.00 = DKK 7.4587.
Grant of warrants
At a board meeting held on 17 August, 2011, the Board of Directors decided to issue 1,603,239 warrants to employees of Veloxis.
Of the total number of warrants granted 324,323 warrants were granted to Executive Management, with 183,814 warrants granted to William J. Polvino, President and CEO and 140,509 warrants granted to Peter G. Nielsen, Executive Vice President, Pharmaceutical Development & CMC.
By application of the Black-Scholes formula, the market value of the warrant program can be calculated as DKK 0.43 per warrant assuming an exercise price of DKK 1.03, equal to the closing price of the Company's share at the NASDAQ OMX Copenhagen on 17 August, 2011, based on an interest rate of 1.47% and a volatility of the Company's shares of 51%.
The volatility is based on the Company’s historical share prices since its IPO in November 2006.
For more information, please contact:
William J. Polvino Johnny Stilou
President and CEO CFO
Mobile: +1 917 647 9107 Mobile: +45 2055 3852
Email: wjp@veloxis.com Email: jst@veloxis.com
The forward looking statements and targets contained herein are based on Veloxis Pharmaceuticals A/S’ management’s current view and assumptions. Such statements involve known and unknown risks and uncertainties that may cause actual results, performance or events to differ materially from those anticipated herein. Veloxis Pharmaceuticals A/S expressly disclaim any obligation or undertaking to update or revise any forward looking statements, targets or estimates contained in this interim report to reflect any change in events, conditions, assumptions, or circulations on which any such statements are based unless required by applicable law.
About Veloxis Pharmaceuticals A/S (Veloxis)
Based in Hørsholm, Denmark, with an office in New Jersey, Veloxis is a specialty pharmaceutical company. Clinical development is the core of Veloxis' efforts to develop a product portfolio which includes the Company’s lead product candidate, LCP-Tacro™, for immunosuppression, specifically organ transplantation, and products to combat certain cardiovascular diseases. Veloxis adapts new technologies on a fast commercial timetable. Veloxis' unique, patented delivery technology, MeltDose®, can improve absorption and bioavailability - at low-scale up costs - not only for a broad spectrum of drugs already on the market but also for new chemical entities. Veloxis has a lipid-lowering product, Fenoglide®, currently on the U.S. market and a diversified near and medium-term pipeline with three clinical stage product candidates and a number of projects in preclinical development. Veloxis is listed on the NASDAQ OMX Copenhagen under the trading symbol OMX: VELO. For further information, please visit www.veloxis.com.
Executive Management’s and the Board of Directors’ Statement on the Interim Report
The Executive Management and the Board of Directors have considered and adopted the Interim Report of Veloxis Pharmaceuticals A/S.
The Interim Report is prepared in accordance with International Accounting Standard No. 34 (IAS 34), “Interim Financial Reporting” and additional Danish disclosure requirements for financial reporting of listed companies.
We consider the applied accounting policies to be appropriate and, in our opinion, the Interim Report gives a true and fair view of the assets and liabilities, financial position, results of the operation and cash flow of the group for the period under review. Furthermore, in our opinion the management review includes a fair review of the development and performance of the business and the financial position of the group, together with a description of the material risks and uncertainties the group faces. The group does not face any material risks or uncertainties relating to the financial statements.
Hørsholm, 17 August, 2011
Executive Management
Dr. William J. Polvino Peter G. Nielsen
President and CEO Executive Vice President
Board of Directors
Kim Björnstrup Thomas Dyrberg Kurt Anker Nielsen
(Chairman) (Deputy Chairman)
Anders Götzsche Mette Kirstine Agger Ed Penhoet
| Financial Highlights | ||||||||
| Quarterly Numbers in DKK | ||||||||
| Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |||
| 2011 | 2011 | 2010 | 2010 | 2010 | 2010 | |||
| DKK'000 | DKK'000 | DKK'000 | DKK'000 | DKK'000 | DKK'000 | |||
| Income Statement | ||||||||
| Revenue | - | - | - | 3 | 871 | 623 | ||
| Research and development costs | (64,951) | (52,261) | (48,302) | (66,150) | (39,625) | (56,349) | ||
| Administrative expenses | (12,137) | (11,724) | (13,439) | (12,829) | (12,773) | (13,157) | ||
| One-off restructuring cost | - | - | - | - | - | (10,894) | ||
| Operating loss | (77,088) | (63,985) | (61,741) | (78,976) | (51,527) | (79,777) | ||
| Net financial income / (expenses) | 2,008 | (1,850) | 461 | (695) | (313) | (212) | ||
| Loss before tax | (75,080) | (65,835) | (61,281) | (79,671) | (51,840) | (79,989) | ||
| Tax for the period | (300) | - | (168) | (862) | (395) | - | ||
| Net loss for the period | (75,380) | (65,835) | (61,448) | (80,533) | (52,235) | (79,989) | ||
| Balance Sheet | ||||||||
| Cash and cash equivalents | 402,213 | 462,319 | 531,519 | 134,022 | 205,136 | 261,918 | ||
| Total assets | 426,860 | 490,578 | 562,906 | 163,651 | 245,345 | 302,353 | ||
| Share capital | 452,543 | 452,543 | 452,543 | 56,568 | 56,568 | 56,568 | ||
| Total equity | 363,606 | 436,200 | 498,238 | 111,902 | 189,958 | 240,383 | ||
| Investment in property, plant and equipment | 635 | 621 | 1,548 | 441 | 101 | 493 | ||
| Cash Flow Statement | ||||||||
| Cash flow from operating activities | (56,621) | (65,396) | (45,568) | (67,109) | (55,659) | (69,812) | ||
| Cash flow from investing activities | 77,845 | (299,602) | (1,548) | (281) | (246) | (583) | ||
| Cash flow from financing activities | (1,426) | (1,407) | 444,519 | (2,059) | (1,351) | (1,095) | ||
| Cash and cash equivalents at period end | 402,213 | 462,319 | 531,519 | 134,022 | 205,136 | 261,918 | ||
| Financial Ratios | ||||||||
| Basic and diluted EPS | (0.17) | (0.15) | (0.64) | (1.42) | (0.92) | (1.41) | ||
| Weighted average number of shares | 452,542,480 | 452,542,480 | 96,707,708 | 56,567,810 | 56,567,810 | 56,567,810 | ||
| Average number of employees (FTEs) | 52 | 54 | 54 | 51 | 60 | 69 | ||
| Assets/equity | 1.17 | 1.12 | 1.13 | 1.46 | 1.29 | 1.26 | ||
| Financial Highlights | ||||||||
| Quarterly Numbers in EUR | ||||||||
| Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |||
| 2011 | 2011 | 2010 | 2010 | 2010 | 2010 | |||
| EUR'000 | EUR'000 | EUR'000 | EUR'000 | EUR'000 | EUR'000 | |||
| Income Statement | ||||||||
| Revenue | - | - | - | 117 | 84 | |||
| Research and development costs | (8,708) | (7,007) | (6,476) | (8,869) | (5,313) | (7,555) | ||
| Administrative expenses | (1,627) | (1,572) | (1,802) | (1,720) | (1,713) | (1,764) | ||
| One-off restructuring cost | - | - | - | - | - | (1,461) | ||
| Operating loss | (10,335) | (8,579) | (8,278) | (10,589) | (6,908) | (10,696) | ||
| Net financial income / (expenses) | 269 | (248) | 62 | (93) | (42) | (28) | ||
| Loss before tax | (10,066) | (8,827) | (8,216) | (10,682) | (6,950) | (10,724) | ||
| Tax for the period | (40) | - | (22) | (116) | (53) | - | ||
| Net loss for the period | (10,106) | (8,827) | (8,238) | (10,797) | (7,003) | (10,724) | ||
| Balance Sheet | ||||||||
| Cash and cash equivalents | 53,925 | 61,984 | 71,262 | 17,969 | 27,503 | 35,116 | ||
| Total assets | 57,230 | 65,773 | 75,470 | 21,941 | 32,894 | 40,537 | ||
| Share capital | 60,673 | 60,673 | 60,673 | 7,584 | 7,584 | 7,584 | ||
| Total equity | 48,749 | 58,482 | 66,800 | 15,003 | 25,468 | 32,229 | ||
| Investment in property, plant and equipment | 85 | 83 | 208 | 59 | 14 | 66 | ||
| Cash Flow Statement | ||||||||
| Cash flow from operating activities | (7,591) | (8,768) | (6,109) | (8,997) | (7,462) | (9,360) | ||
| Cash flow from investing activities | 10,437 | (40,168) | (207) | (38) | (33) | (78) | ||
| Cash flow from financing activities | (191) | (189) | 59,597 | (276) | (181) | (147) | ||
| Cash and cash equivalents at period end | 53,925 | 61,984 | 71,262 | 17,969 | 27,503 | 35,116 | ||
| Financial Ratios | ||||||||
| Basic and diluted EPS | (0.02) | (0.02) | (0.09) | (0.19) | (0.12) | (0.19) | ||
| Weighted average number of shares | 452,542,480 | 452,542,480 | 96,707,708 | 56,567,810 | 56,567,810 | 56,567,810 | ||
| Average number of employees (FTEs) | 52 | 54 | 54 | 51 | 60 | 69 | ||
| Assets/equity | 1.17 | 1.12 | 1.13 | 1.46 | 1.29 | 1.26 | ||
Statements of comprehensive income
| Income Statement | Consolidated | |||||
| (DKK'000) | YTD | YTD | Q2 | Q2 | Year | |
| 2011 | 2010 | 2011 | 2010 | 2010 | ||
| Revenue | - | 1,494 | - | 871 | 1,496 | |
| Research and development costs | (117,212) | (95,973) | (64,951) | (39,625) | (210,426) | |
| Administrative expenses | (23,861) | (25,930) | (12,137) | (12,773) | (52,198) | |
| One-off restructuring cost | - | (10,894) | - | - | (10,894) | |
| Operating loss | (141,073) | (131,303) | (77,088) | (51,527) | (272,022) | |
| Financial income | 10,253 | 1,183 | 8,608 | 485 | 3,635 | |
| Financial expenses | (10,095) | (1,709) | (6,600) | (798) | (4,394) | |
| Loss before tax | (140,915) | (131,829) | (75,080) | (51,840) | (272,781) | |
| Tax for the period | (300) | (395) | (300) | (395) | (1,425) | |
| Net loss for the period | (141,215) | (132,224) | (75,380) | (52,235) | (274,206) | |
| Basic and diluted EPS | (0.31) | (2.34) | (0.17) | (0.92) | (2.84) | |
| Weighted average number of shares | 452,542,480 | 56,567,810 | 452,542,480 | 56,567,810 | 96,707,708 | |
| Statements of comprehensive income | Consolidated | |||||
| (DKK'000) | YTD | YTD | Q2 | Q2 | Year | |
| 2011 | 2010 | 2011 | 2010 | 2010 | ||
| Net loss for the period | (141,215) | (132,224) | (75,380) | (52,235) | (274,206) | |
| Other comprehensive income: | ||||||
| Currency translation differences | 307 | (56) | 37 | (68) | 136 | |
| Other comprehensive income for the period | 307 | (56) | 37 | (68) | 136 | |
| Total comprehensive income for the period | (140,908) | (132,280) | (75,343) | (52,303) | (274,070) | |
Balance sheet
| Assets | Consolidated | ||||||
| (DKK'000) | 30 June | 30 June | 31 Dec. | ||||
| 2011 | 2010 | 2010 | |||||
| Patent rights and software | 2,120 | 812 | 1,938 | ||||
| Intangible assets | 2,120 | 812 | 1,938 | ||||
| Property, plant and equipment | 10,131 | 15,225 | 11,950 | ||||
| Leasehold improvements | 4,937 | 6,688 | 5,858 | ||||
| Property, plant and equipment | 15,068 | 21,913 | 17,808 | ||||
| Non-current assets | 17,188 | 22,725 | 19,746 | ||||
| Other receivables | 6,204 | 6,590 | 8,590 | ||||
| Prepayments | 1,255 | 10,894 | 3,051 | ||||
| Receivables | 7,459 | 17,484 | 11,641 | ||||
| Securities | 221,939 | - | - | ||||
| Cash | 180,274 | 205,136 | 531,519 | ||||
| Cash and cash equivalents | 402,213 | 205,136 | 531,519 | ||||
| Current assets | 409,672 | 222,620 | 543,160 | ||||
| Assets | 426,860 | 245,345 | 562,906 | ||||
Balance sheet
| Equity & Liabilities | Consolidated | ||||||
| (DKK'000) | 30 June | 30 June | 31 Dec. | ||||
| 2011 | 2010 | 2010 | |||||
| Share capital | 452,543 | 56,568 | 452,543 | ||||
| Share premium | - | 131,488 | 43,601 | ||||
| Translation reserves | 2,401 | 1,902 | 2,094 | ||||
| Retained earnings/loss | (91,338) | - | |||||
| Equity | 363,606 | 189,958 | 498,238 | ||||
| Finance lease | 5,932 | 11,441 | 8,532 | ||||
| Non-current liabilities | 5,932 | 11,441 | 8,532 | ||||
| Finance lease | 5,510 | 5,590 | 5,742 | ||||
| Trade payables | 21,244 | 12,462 | 23,528 | ||||
| Other payables | 30,568 | 25,894 | 26,866 | ||||
| Current liabilities | 57,322 | 43,946 | 56,136 | ||||
| Liabilities | 63,254 | 55,387 | 64,668 | ||||
| Equity and liabilities | 426,860 | 245,345 | 562,906 | ||||
Cash flow statements
| Cash Flow Statement | Consolidated | |||||
| (DKK'000) | YTD | YTD | Q2 | Q2 | Year | |
| 2011 | 2010 | 2011 | 2010 | 2010 | ||
| Operating loss | (141,073) | (131,303) | (77,088) | (51,527) | (272,022) | |
| Share-based payment | 6,276 | 4,957 | 2,750 | 1,878 | 9,810 | |
| Depreciation and amortization | 3,793 | 5,006 | 1,894 | 2,513 | 9,957 | |
| Changes in working capital | 7,422 | (3,798) | 14,071 | (7,855) | 14,835 | |
| Cash flow from operating activities before interest | (123,582) | (125,138) | (58,373) | (54,991) | (237,420) | |
| Interest received | 3,344 | 962 | 2,298 | 351 | 1,689 | |
| Interest paid | (1,479) | (532) | (246) | (256) | (992) | |
| Corporate tax paid | (300) | (763) | (300) | (763) | (1,425) | |
| Cash flow from operating activities | (122,017) | (125,471) | (56,621) | (55,659) | (238,148) | |
| Purchase of property, plant and equipment | (1,256) | (594) | (635) | (101) | (2,583) | |
| Investments in bonds | (377,668) | - | (1,637) | - | - | |
| Sale of bonds | 155,729 | - | 78,737 | - | - | |
| Cash transfer to restricted security deposit | 1,438 | (235) | 1,380 | (145) | (75) | |
| Cash flow from investing activities | (221,757) | (829) | 77,845 | (246) | (2,658) | |
| Installments on bank borrowings and finance lease | (2,832) | (2,446) | (1,426) | (1,351) | (5,203) | |
| Proceeds from issuance of shares, net | - | - | - | - | 445,217 | |
| Cash flow from financing activities | (2,832) | (2,446) | (1,426) | (1,351) | 440,014 | |
| Increase/(decrease) in cash | (346,606) | (128,746) | 19,798 | (57,256) | 199,208 | |
| Cash at beginning of period | 530,081 | 332,066 | 161,902 | 260,466 | 332,066 | |
| Exchange gains/(losses) on cash | (3,201) | 219 | (1,426) | 329 | (1,193) | |
| Cash at end of period | 180,274 | 203,539 | 180,274 | 203,539 | 530,081 | |
| Cash and cash equivalents at end of period comprise: | ||||||
| Restricted bank deposit | - | 1,597 | - | 1,597 | 1,438 | |
| Securities | 221,939 | - | 221,939 | - | - | |
| Deposit on demand and cash | 180,274 | 203,539 | 180,274 | 203,539 | 530,081 | |
| 402,213 | 205,136 | 402,213 | 205,136 | 531,519 | ||
Statement of changes in equity
| Consolidated Equity | ||||||||
| Number of Shares | Share Capital | Share Premium | Translation Reserves | Retained Earnings | Total | |||
| DKK'000 | DKK'000 | DKK'000 | DKK'000 | DKK'000 | ||||
| Equity as of 1 January 2010 | 56,567,810 | 56,568 | 1,080,263 | 1,958 | (821,508) | 317,281 | ||
| Total comprehensive income | (56) | (132,224) | (132,280) | |||||
| Share-based payment | 4,957 | 4,957 | ||||||
| Transfer of retained earnings | (948,775) | 948,775 | - | |||||
| Equity as of 30 June 2010 | 56,567,810 | 56,568 | 131,488 | 1,902 | - | 189,958 | ||
| Total comprehensive income | 192 | (141,982) | (141,790) | |||||
| Issuance of shares | 395,974,670 | 395,975 | 79,195 | 475,170 | ||||
| Share-based payment | 4,853 | 4,853 | ||||||
| Costs related to capital increases | (29,953) | (29,953) | ||||||
| Transfer of retained earnings | (137,129) | 137,129 | - | |||||
| Equity as of 31 December 2010 | 452,542,480 | 452,543 | 43,601 | 2,094 | - | 498,238 | ||
| Total comprehensive income | 307 | (141,215) | (140,908) | |||||
| Share-based payment | 6,276 | 6,276 | ||||||
| Transfer of retained earnings | (43,601) | 43,601 | - | |||||
| Equity as of 30 June 2011 | 452,542,480 | 452,543 | - | 2,401 | (91,338) | 363,606 | ||
The share capital is not available for distribution, while other reserves are distributable for dividend purposes subject to the provision of the Danish Public Company Act.
