Momenta Pharmaceuticals, Inc.
MOMENTA PHARMACEUTICALS INC (Form: 8-K, Received: 08/04/2011 08:16:23)

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 


 

FORM 8-K

 

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

 

Date of report (Date of earliest event reported) August 4, 2011

 

Momenta Pharmaceuticals, Inc.

(Exact Name of Registrant as Specified in Charter)

 

Delaware

 (State or Other Jurisdiction

of Incorporation)

 

000-50797

 (Commission File Number)

 

04-3561634

 (IRS Employer

 Identification No.)

 

675 West Kendall Street, Cambridge, MA

(Address of Principal Executive Offices)

 

02142

(Zip Code)

 

(617) 491-9700

 (Registrant’s telephone number, including area code)

 

 

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions ( see General Instruction A.2. below):

 

o             Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

o             Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

o             Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

o             Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 



 

Item 2.02.  Results of Operations and Financial Condition

 

On August 4, 2011, Momenta Pharmaceuticals, Inc., a Delaware corporation, announced its financial results for the quarter ended June 30, 2011.  The full text of the press release issued in connection with the announcement is furnished as Exhibit 99.1 to this Current Report on Form 8-K.

 

The information in this Form 8-K (including Exhibit 99.1) shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such a filing.

 

Item 9.01.  Financial Statements and Exhibits

 

(d)          Exhibits

 

The following exhibit relating to Item 2.02 shall be deemed to be furnished, and not filed:

 

99.1.  Press Release issued by Momenta Pharmaceuticals, Inc. on August 4, 2011.

 

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SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.

 

 

MOMENTA PHARMACEUTICALS, INC.

 

 

 

 

By:

/s/ Richard P. Shea

 

 

Richard P. Shea

 

 

Chief Financial Officer

 

 

(Principal Financial Officer)

 

Date: August 4, 2011

 

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EXHIBIT INDEX

 

Exhibit No.

 

Description

99.1

 

Press Release issued by Momenta Pharmaceuticals, Inc. on August 4, 2011.

 

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Exhibit 99.1

 

MOMENTA PHARMACEUTICALS, INC.

 

675 WEST KENDALL STREET

 

T: 617.491.9700  F: 617.621.0430

 

 

CAMBRIDGE, MA 02142

 

WWW.MOMENTAPHARMA.COM

 

 

Momenta Pharmaceuticals Reports $1.26 Earnings per Share

for the Second Quarter of 2011

– Company marks one year anniversary of FDA approval of generic Lovenox ®

 

CAMBRIDGE, MA — August 4, 2011 — Momenta Pharmaceuticals, Inc. (Nasdaq: MNTA), a biotechnology company specializing in the characterization and engineering of complex drugs, today reported its financial results for the quarter ended June 30, 2011.

 

For the second quarter of 2011, the Company reported a net income of $64.3 million, or $1.26 per diluted share, compared to a net loss of $15.0 million, or $0.34 per share, for the same period in 2010.  For the six months ended June 30, 2011, the Company reported a net income of $121.3 million, or $2.39 per diluted share, compared to a net loss of $31.1 million, or $0.71 per share, for the same period in 2010. At June 30, 2011, the Company had cash, cash equivalents, and marketable securities of $246.3 million, compared to $152.8 million at December 31, 2010.

 

The Company noted the following highlights:

 

·       On July 23, 2011 Momenta/Sandoz marked a full year as the sole provider of generic enoxaparin.

·       Revenue for the second quarter 2011 was $87.5 million with an EPS of $1.26, fully diluted.

·       The Company has earned over $256 million in profit share revenue from sales of enoxaparin to date.

·       At the quarter’s end the Company had a cash balance of $246 million and $85 million in accounts receivable.

 

“We had a very strong quarter,” stated Craig A. Wheeler, President and Chief Executive Officer.  “On July 23 rd  we and Sandoz marked a full year as the sole provider of generic enoxaparin, and through June 30, 2011, we have earned over $256 million in profit share revenue from enoxaparin,” he continued. “At the same time, we are providing patients with more affordable medicine, which is a very rewarding aspect of our business.”

 

Second Quarter 2011 Financial Results

 

Revenue for the second quarter of 2011 was $87.5 million, compared to $2.8 million for the same period in 2010.  For the six months ended June 30, 2011, revenues were $165.7 million, compared to $6.5 million for the same period in 2010.  The increase in revenue in both periods was due to profit-share on Sandoz’ sales of enoxaparin sodium injection which received FDA marketing approval in July of 2010.  At June 30, 2011, the receivable for the second quarter enoxaparin profit share was $83.8 million.

 

Research and development expenses for the second quarter of 2011 were $14.2 million, compared to $11.8 million for the same period in 2010. For the six months ended June 30, 2011, research and development expenses were $27.1 million, compared to $24.0 million for the same period in 2010. The increase in research and development expenses in both periods principally resulted from increases in process development, manufacturing and third-party research costs in support of its development programs, principally the Company’s M356 program.

 

General and administrative expenses for the second quarter of 2011 totaled $9.2 million, compared with $6.0 million for the same period in 2010.  For the six months ended June 30, 2011, general and administrative expenses were $17.5 million, compared with $13.4 million for the same period in 2010.  The increase in general and administrative expenses for both periods was primarily due to royalties payable to Massachusetts Institute of Technology associated with the Company’s product revenue on Sandoz’ sales of enoxaparin sodium injection and an increase in legal and consulting activities.

 

Conference Call Information

 

Management will host a conference call on Thursday, August 4, 2011 at 10:00 am ET to discuss these results and provide an update on the Company.  To access the call, please dial (877) 224-9084 (domestic) or (720)

 



 

545-0022 (international) prior to the scheduled conference call time and provide the access code 85283127. A replay of the call will be available approximately two hours after the conclusion of the call and will be accessible through August 19, 2011.  To access the replay, please dial (855) 859-2056 (domestic) or (404) 537-3406 (international) and provide the access code 85283127.

 

A live audio webcast of the call will be available on the “Investors” section of the Company’s website, www.momentapharma.com.  Please go to the site at least 15 minutes prior to the call in order to register, download, and install any necessary software. An archived version of the webcast will be posted on the Momenta website approximately two hours after the call and will be available through August 19, 2011.

 

About Momenta

 

Momenta Pharmaceuticals is a biotechnology company specializing in the detailed structural analysis of complex mixture drugs and is headquartered in Cambridge, MA. Momenta is applying its technology to the development of generic versions of complex drug products, as well as to the discovery and development of novel drugs.

 

To receive additional information about Momenta, please visit the website at www.momentapharma.com, which does not form a part of this press release.

 

Forward Looking Statements

 

Statements in this press release regarding management’s future expectations, beliefs, intentions, goals, strategies, plans or prospects, the Company’s revenue, expenses and other results of operations, including the quarter ended June 30, 2011, our profitability, and our status as the sole provider of generic enoxaparin, may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  Forward-looking statements can be identified by terminology such as “anticipate,” “believe,” “could,” “could increase the likelihood,” “hope,” “target,” “project,” “goals,” “potential,” “predict,” “might,” “estimate,” “expect,” “intend,” “is planned,” “may,” “should,” “will,” “will enable,” “would be expected,” “look forward,” “may provide,” “would” or similar terms, variations of such terms or the negative of those terms.  Such forward-looking statements involve known and unknown risks, uncertainties and other factors referred to in the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2011 filed with the Securities and Exchange Commission under the section “Risk Factors,” as well as other documents that may be filed by Momenta from time to time with the Securities and Exchange Commission.  As a result of such risks, uncertainties and factors, the Company’s actual results may differ materially from any future results, performance or achievements discussed in or implied by the forward-looking statements contained herein.  Momenta is providing the information in this press release as of this date and assumes no obligations to update the information included in this press release or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

 

Our logo, trademarks, and service marks are the property of Momenta Pharmaceuticals, Inc. All other trade names, trademarks, or service marks are property of their respective owners.

 

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MOMENTA PHARMACEUTICALS, INC.

Unaudited, Condensed Consolidated Balance Sheets

(in thousands)

 

 

 

June 30,
2011

 

December 31,
2010

 

Assets

 

 

 

 

 

Cash and marketable securities

 

$

246,263

 

$

152,759

 

Accounts receivable

 

84,803

 

54,485

 

Restricted cash

 

1,778

 

1,778

 

Other assets

 

18,813

 

18,547

 

Total assets

 

$

351,657

 

$

227,569

 

Liabilities and Stockholders’ Equity

 

 

 

 

 

Current liabilities

 

$

13,039

 

$

17,652

 

Other liabilities

 

2,742

 

3,814

 

Stockholders’ equity

 

335,876

 

206,103

 

Total liabilities and stockholders’ equity

 

$

351,657

 

$

227,569

 

 

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MOMENTA PHARMACEUTICALS, INC.

Unaudited Condensed Statements of Operations

(in thousands, except per share amounts)

 

 

 

Three Months Ended
June 30,

 

Six Months Ended
June 30,

 

 

 

2011

 

2010

 

2011

 

2010

 

Collaboration revenues:

 

 

 

 

 

 

 

 

 

Product revenues

 

$

83,848

 

$

 

$

159,608

 

$

 

Research and development revenues

 

3,648

 

2,795

 

6,060

 

6,485

 

Total collaboration revenues

 

87,496

 

2,795

 

165,668

 

6,485

 

Operating expenses:

 

 

 

 

 

 

 

 

 

Research and development*

 

14,168

 

11,778

 

27,111

 

24,033

 

General and administrative*

 

9,205

 

5,959

 

17,515

 

13,434

 

Total operating expenses

 

23,373

 

17,737

 

44,626

 

37,467

 

 

 

 

 

 

 

 

 

 

 

Operating income (loss)

 

64,123

 

(14,942

)

121,042

 

(30,982

)

 

 

 

 

 

 

 

 

 

 

Other income (expense):

 

 

 

 

 

 

 

 

 

Interest income

 

176

 

26

 

304

 

86

 

Interest expense

 

(34

)

(88

)

(75

)

(192

)

Total other income (expense)

 

142

 

(62

)

229

 

(106

)

 

 

 

 

 

 

 

 

 

 

Net income (loss)

 

$

64,265

 

$

(15,004

)

$

121,271

 

$

(31,088

)

 

 

 

 

 

 

 

 

 

 

Net income (loss) per share:

 

 

 

 

 

 

 

 

 

Basic

 

$

1.29

 

$

(0.34

)

$

2.44

 

$

(0.71

)

Diluted

 

$

1.26

 

$

(0.34

)

$

2.39

 

$

(0.71

)

 

 

 

 

 

 

 

 

 

 

Weighted average shares outstanding:

 

 

 

 

 

 

 

 

 

Basic

 

49,708

 

44,069

 

49,620

 

43,911

 

Diluted

 

51,001

 

44,069

 

50,668

 

43,911

 

 


*Includes the following share-based compensation expense:

 

 

 

 

 

 

 

 

 

Research and development

 

$

1,375

 

$

944

 

$

2,211

 

$

2,483

 

General and administrative

 

$

1,758

 

$

1,541

 

$

2,688

 

$

4,070

 

 

CONTACT:

Momenta Pharmaceuticals, Inc.

Beverly Holley, Director of Investor Relations

bholley@momentapharma.com

(617) 395-5189

 

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