NORTHBROOK, Ill., May 7, 2009 (GLOBE NEWSWIRE) -- Nanosphere, Inc. (Nasdaq:NSPH), a leader in the development and commercialization of advanced molecular diagnostics systems, today reported financial results for the first quarter ended March 31, 2009.
"We have a strong pipeline of new products in the FDA, additional new products coming through the development process, such as our troponin assay, but our marketing efforts have been hampered by delays in new product clearances. While disappointed with these unanticipated delays, we remain excited about our ability to deliver significant value from our technology platform," said William Moffitt, Nanosphere's president and chief executive officer. Just this week, the company received FDA clearance for its influenza and respiratory syncytial virus (RSV) test which leaves three applications still outstanding, including assays for cystic fibrosis and hemochromatrosis, along with a second generation version of its Verigene System that incorporates automated sample processing.
Total revenue for the first quarter of 2009 was approximately $255,000, all of which was product sales. This compares with total revenue of approximately $600,000 for the 2008 first quarter, which included approximately $300,000 in products sales and approximately $300,000 from government grants and contracts.
For the first quarter of 2009, research and development expenses declined to $4.8 million from $5.9 million in the first three months of 2008. The $1.1 million drop in research and development expenses reflected successful completion of specific programs related to cartridge development and manufacturing scale up.
Sales, general and administrative expenses were $3.1 million in the first quarter of 2009 comparable with the $3.4 million in the first quarter of 2008.
Conference Call Details
The company will hold a live conference call and webcast for investors on Thursday, May 7, 2009 at 5:00 P.M., Eastern Daylight Time. The teleconference can be accessed by dialing 888-713-4215 (U.S./Canada) or 617-213-4867 (international), participant code 46746929. The call will also be broadcast live over the Internet and can be accessed by interested parties at the Investor Relations tab on the Nanosphere website: www.nanosphere.us. For interested individuals unable to join the call or webcast, a replay will be available through May 14, 2009 by dialing 888-286-8010 or for international calls 617-801-6888, pass code 92333403, or on the company's website.
About Nanosphere, Inc.
Nanosphere develops, manufactures and markets an advanced molecular diagnostics platform, the Verigene(r) System, for direct genomic and ultra-sensitive protein detection. This easy to use and cost effective platform enables simple, low cost and highly sensitive genomic and protein testing on a single platform. Nanosphere is based in Northbrook, IL. Additional information is available at http://www.nanosphere.us.
The Nanosphere, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=4344
Except for historical information, the matters discussed in this press release are "forward-looking statements" and are subject to risks and uncertainties. Actual results could differ materially from these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, the following: (i) Nanosphere's ability to develop commercially viable products; (ii) Nanosphere's ability to achieve profitability; (iii) Nanosphere's ability to produce and market its products; (iv) Nanosphere's ability to obtain regulatory approval of its products; (v) Nanosphere's ability to protect its intellectual property; (vi) competition and alternative technologies; and (vii) Nanosphere's ability to obtain additional financing, if and when necessary, to support its operations. Additional risks are discussed in the Company's current filings with the Securities and Exchange Commission. Although the Company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. The forward-looking statements are made as of the date of this press release, and we undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
Nanosphere, Inc.
Statements of Operations
(Unaudited)
Three Month Periods Ended March 31,
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2009 2008
---------------- ----------------
As Adjusted
REVENUE:
Grant and contract revenue $ -- $ 272,612
Product sales 255,225 303,404
---------------- ----------------
Total revenue 255,225 576,016
COSTS AND EXPENSES:
Cost of product sales 310,171 349,429
Research and development 4,800,252 5,923,829
Sales, general, and
administrative 3,126,865 3,408,898
---------------- ----------------
Total costs and expenses 8,237,288 9,682,156
---------------- ----------------
Loss from operations (7,982,063) (9,106,140)
OTHER INCOME (EXPENSE):
Foreign exchange loss (274) (24,410)
Interest expense (398,922) (585,037)
Interest income 187,786 932,219
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Total other income (expense) (211,410) 322,772
---------------- ----------------
NET LOSS $ (8,193,473) $ (8,783,368)
================ ================
Net loss per common share -- basic
and diluted $ (0.37) $ (0.40)
Weighted average number of common
shares outstanding -- basic and
diluted 22,228,696 22,192,170
Nanosphere, Inc.
Condensed Balance Sheets
(Unaudited)
March 31, December 31,
2009 2008
------------- -------------
Cash and cash equivalents $ 66,362,474 $ 75,356,960
Other current assets 3,138,579 2,672,954
------------- -------------
Total current assets 69,501,053 78,029,914
Net property and equipment 6,798,948 7,294,224
Intangible assets - net of accumulated
amortization 1,510,693 1,443,582
Other assets 120,007 128,190
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Total assets $ 77,930,701 $ 86,895,910
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Current liabilities 8,780,060 9,002,665
Long term liabilities 2,198,470 3,352,137
Total stockholders' equity 66,952,171 74,541,108
------------- -------------
Total liabilities and stockholders'
equity $ 77,930,701 $ 86,895,910
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