IntelGenx Reports First Quarter 2012 Results
Saint Laurent, Quebec--(Newsfile Corp. - May 15, 2012) - IntelGenx Technologies Corp. (TSXV: IGX) (OTCQB: IGXT) ("IntelGenx") today announced financial results for the first three months ending March 31, 2012.
“I am pleased to report that we strengthened our balance sheet in the first quarter of 2012 and, specifically, improved our cash reserves which increased from $0.6 million at March 31, 2011 to $4.1 million at March 31, 2012” stated Dr. Horst G. Zerbe, President and CEO of IntelGenx. “Our first quarter was highlighted by the execution of a license agreement with Edgemont Pharma for our lead product, CPI-300, from which we received an upfront payment of $1 million. We expect CPI-300 to be commercialized this summer, following which we will receive additional milestone payments and start to earn royalty income on sales of the product.”
Dr. Zerbe added, “We continue to make excellent progress with our VersaFilm™ products; most notably we are currently running a clinical trial for our anti-migraine product. We are also very pleased with the excellent progress being made with our confidential project with Par Pharmaceutical. Finally, we continue to make headway in our negotiations with potential partners for the execution of additional collaboration agreements and anticipate the execution of partnership deals in the near future.”
Cash and cash equivalents improved to $4.1 million at March 31, 2012 up from $3.5 million at December 31, 2011. The increase relates primarily to the receipt of an upfront payment of $1 million in respect of the execution of a license agreement for CPI-300, plus approximately $0.2 million from the exercise of warrants and a further $0.2 million refund of investment tax credits, partly offset by an operating loss of $0.6 million and investments in equipment of $0.2 million.
Revenue and other income improved to $0.3 million in the first quarter of 2012, up from $0.1 million in the same period of last year. Included within other income in 2012 is approximately $0.2 million related to the cancelation of an invoice received from a supplier in 2011.
Total expenses increased from $0.7 in the first three months of 2011 to $0.9 million in the same period of 2012. The increase is primarily attributable to clinical study fees associated with the project that we are developing together with Par Pharmaceutical.
The net loss is constant at $0.6 million for both the quarters ended March 31, 2011 and 2012, and the basic and diluted loss per share for the first three months of 2012 remained the same as the previous year at $0.01 per share.
IntelGenx is a drug delivery company focused on the development of oral controlled-release products as well as novel rapidly disintegrating delivery systems. IntelGenx uses its unique multiple layer delivery system to provide zero-order release of active drugs in the gastrointestinal tract. IntelGenx has also developed novel delivery technologies for the rapid delivery of pharmaceutically active substances in the oral cavity based on its experience with rapidly disintegrating films. IntelGenx' research and development pipeline includes products for the treatment of severe depression, hypertension, erectile dysfunction, benign prostatic hyperplasia, migraine, insomnia, bipolar disorder, idiopathic pulmonary fibrosis, allergies and pain management. More information is available about the company at www.intelgenx.com.
Forward Looking Statements:
This document may contain forward-looking information about IntelGenx' operating results and business prospects that involve substantial risks and uncertainties. Statements that are not purely historical are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. These statements include, but are not limited to, statements about IntelGenx' plans, objectives, expectations, strategies, intentions or other characterizations of future events or circumstances and are generally identified by the words "may," "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," "could," "would," and similar expressions. All forward looking statements are expressly qualified in their entirety by this cautionary statement. Because these forward-looking statements are subject to a number of risks and uncertainties, IntelGenx' actual results could differ materially from those expressed or implied by these forward looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed under the heading "Risk Factors" in IntelGenx' annual report on Form 10-K for the fiscal year ended December 31, 2011, filed with the United States Securities and Exchange Commission and available at www.sec.gov, and also filed with Canadian securities regulatory authorities and www.sedar.com. IntelGenx assumes no obligation to update any such forward-looking statements.
Each of the TSX Venture Exchange and OTC Bulletin Board has neither approved nor disapproved the contents of this press release.