CORAL GABLES, Fla., Nov. 14 /PRNewswire-FirstCall/ -- Catalyst Pharmaceutical Partners, Inc. today reported financial results for the quarter ended September 30, 2007.
Third Quarter 2007 Results
For the quarter ended September 30, 2007, the Company reported a net loss of $734,347 or $0.06 loss per basic and diluted share, compared to a net loss of $1,321,388, or $0.19 loss per basic and diluted share for the same period in 2006. Third quarter 2007 results were impacted by non-cash charges relating to stock-based compensation in the amount of $94,482, compared to $828,818 in the same period in 2006. For the nine months ended September 30, 2007, the Company reported a net loss of $3,194,555, or $0.26 loss per basic and diluted share, compared to a net loss of $1,988,213, or $0.29 loss per basic and diluted share for the same period in 2006. Results for the first nine months of 2007 were impacted by non-cash charges relating to stock-based compensation in the amount of $477,083, compared to $1,069,943 in the same period in 2006.
Research and development expenses for the third quarter of 2007 were $503,348, an increase of 113.8% compared to $235,467 in the third quarter of 2006. These include non-cash stock-based compensation of $75,997 and $88,993, respectively. Research and development expenses for the nine months ended September 30, 2007 were $2,268,648, an increase of 239.5% compared to $668,231 for the first nine months of 2006. These include non-cash stock-based compensation of $315,710 and $302,368, respectively.
General and administrative expenses for the third quarter of 2007 totaled $447,078, a decrease of 59.6% compared to $1,106,752 in the third quarter of 2006. These include non-cash stock-based compensation of $18,485 and $739,825, respectively. General and administrative expenses for the first nine months of 2007 totaled $1,615,912, an increase of 19.8% compared to $1,348,945 for the first nine months of 2006. These include non-cash stock-based compensation of $161,373 and $767,575, respectively.
As a development stage pharmaceutical company, Catalyst has no revenues to-date.
At September 30, 2007, the Company had cash and cash equivalents totaling $16.9 million and no long-term debt. The Company believes that its existing cash and cash equivalents will be sufficient to meet the Company's projected operating requirements through the end of 2008.
Commenting on today's news, Patrick J. McEnany, Catalyst's Chief Executive Officer, noted, "We continue to move ahead with our clinical developments program for CPP-109. In particular, we have initiated our first U.S. Phase II clinical trial which will evaluate CPP-109 as a treatment for cocaine addiction. We also expect to initiate our U.S. Phase II clinical trial evaluating CPP-109 as a treatment for methamphetamine addiction in the first quarter of 2008."
About Catalyst Pharmaceutical Partners
Catalyst Pharmaceutical Partners, Inc. is a biopharmaceutical company focused on the development and commercialization of prescription drugs for the treatment of addiction. The Company has obtained from Brookhaven National Laboratory an exclusive worldwide license for nine patents and four patents pending in the United States relating to the right to use vigabatrin to treat a wide variety of substance addictions. Catalyst has also been granted rights to Brookhaven's vigabatrin-related foreign patents or patents pending in more than 30 countries. The Company's initial product candidate based on vigabatrin is CPP-109. CPP-109 has been granted "Fast Track" status by the U.S. Food & Drug Administration (FDA) for the treatment of cocaine addiction. This indicates that the FDA has recognized that CPP-109 is intended for the treatment of a serious or life-threatening condition for which there is no effective treatment and which demonstrates the potential to address unmet medical needs. For more information about the Company, go to http://www.catalystpharma.com/.
This press release contains forward-looking statements. Forward-looking statements involve known and unknown risks and uncertainties which may cause the Company's actual results in future periods to differ materially from forecasted results. A number of factors, including our ability to successfully complete the clinical trials required for us to file a new drug application for CPP-109, our ability to complete such trials on a timely basis within the budgets we establish for such trials, our ability to protect our intellectual property and those other factors described in the Company's Annual Report on Form 10-K for 2006 and the Company's Quarterly Report on Form 10-Q for the quarter ended September 30, 2007 that the Company has filed with the U.S. Securities and Exchange Commission ("SEC"), could adversely affect the Company. Copies of the Company's filings with the SEC are available from the SEC or may be obtained upon request from the Company. The Company does not undertake any obligation to update the information contained herein, which speaks only as of this date.
CATALYST PHARMACEUTICAL PARTNERS, INC. (a development stage company) CONDENSED STATEMENTS OF OPERATIONS (unaudited) For the Three Months For the Nine Months Ended Ended September 30, September 30, 2007 2006 2007 2006 Revenues $- $- $- $- Operating costs and expenses: Research and development 503,348 235,467 2,268,648 668,231 General and administrative 447,078 1,106,752 1,615,912 1,348,945 Total operating costs and expenses 950,426 1,342,219 3,884,560 2,017,176 Loss from operations (950,426) (1,342,219) (3,884,560) (2,017,176) Interest income 216,079 20,831 690,005 28,963 Loss before income taxes (734,347) (1,321,388) (3,194,555) (1,988,213) Provision for income taxes - - - - Net loss $(734,347) $(1,321,388) $(3,194,555) $(1,988,213) Loss per share - basic and diluted $(0.06) $(0.19) $(0.26) $(0.29) Weighted average shares outstanding - basic and diluted 12,527,564 7,020,508 12,524,678 6,932,332 CATALYST PHARMACEUTICAL PARTNERS, INC. (a development stage company) CONDENSED BALANCE SHEETS September 30, December 31, 2007 2006 (unaudited) ASSETS Current Assets: Cash and cash equivalents $16,886,194 $20,434,702 Interest receivable 65,559 85,787 Prepaid expenses 495,831 67,333 Total current assets 17,447,584 20,587,822 Property and equipment, net 125,517 20,157 Other assets 20,388 11,500 Total assets $17,593,489 $20,619,479 LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities: Accounts payable $ 229,478 $448,072 Accrued expenses 175,576 324,774 Total current liabilities 405,054 772,846 Total stockholders' equity 17,188,435 19,846,633 Total liabilities and stockholders' equity $17,593,489 $20,619,479
