Source: Opiant Pharmaceuticals, Inc.
Opiant Pharmaceuticals, Inc. Reports Fiscal Fourth Quarter and Full Year 2017 Financial Results and Provides Corporate Update
SANTA MONICA, Calif, Oct. 13, 2017 (GLOBE NEWSWIRE) -- Opiant Pharmaceuticals, Inc. (“Opiant”) (NASDAQ:OPNT), a specialty pharmaceutical company developing pharmacological treatments for addictions, today reported financial results for the fiscal fourth quarter and year ended July 31, 2017.
“I recently testified before the President's Commission on Combating Drug Addiction and the Opioid Crisis, where industry experts and advocates came together to discuss strategies to combat and treat drug abuse, addiction and the opioid epidemic. This gathering of experts further strengthened our resolve to continue the advancement of our pipeline of addiction therapies,” said Roger Crystal, M.D., Chief Executive Officer of Opiant. “Fiscal 2017 was a transformational year for Opiant, marked by a significant increase in sales of NARCAN® Nasal Spray. We expect fiscal 2018 will be another exciting year, and we believe we are well positioned to execute on our mission to develop novel therapeutics that transform the lives of patients with addictions.”
Fourth Quarter 2017 and Recent Highlights
- Received an additional $3.75 million in funding from SWK Funding LLC (“SWK”), which was triggered by surpassing $25.0 million of net sales of NARCAN® Nasal Spray (“NARCAN”) for the first half of calendar 2017.
- Announced that shares of our common stock were approved for listing on the Nasdaq Capital Market (“Nasdaq”).
- Strengthened the leadership team through the appointment of David O’Toole as Chief Financial Officer.
- Announced a collaboration with Titan Pharmaceuticals to explore development of a novel approach to the prevention of opioid relapse and overdose in individuals with opioid use disorder.
- Generated encouraging Phase I data for OPNT002, in development for the treatment of Alcohol Use Disorder (AUD).
- Licensed Aegis Therapeutics’ Intravail® drug delivery technology, which can improve the absorption of drugs delivered nasally.
- Had three additional patents issued for NARCAN® Nasal Spray in the U.S. Food and Drug Administration (FDA) publication, Approved Drug Products with Therapeutic Equivalence Evaluations, commonly known as the Orange Book. There are now six Orange Book-listed patents covering NARCAN®.
Expected Clinical Goals
- Further advance OPNT002 for AUD in the second half of calendar 2017.
- Complete enrollment of patients in the OPNT001 Phase II Study for Bulimia Nervosa by end of calendar Q2 2018.
- Further advance the pre-clinical development of Opiant’s heroin vaccine candidate, which was licensed in October 2016 from the Walter Reed Army Institute of Research and the National Institute on Drug Abuse (NIDA).
Financial Results
Quarter ended July 31, 2017 compared to quarter ended July 31, 2016
For the quarter ended July 31, 2017, Opiant generated revenue of approximately $3.75 million, compared to approximately $0.3 million in the corresponding period in 2016. The increase was primarily due to the $3.75 million milestone payment that was earned under the royalty monetization agreement with SWK.
General and administrative expenses were approximately $2.0 million in the quarter ended July 31, 2017, compared to approximately $1.2 million in the corresponding period in 2016. The increase was primarily due to compensation expense from increased headcount, consulting expense and legal fees.
Research and development expenses were approximately $1.3 million for the quarter ended July 31, 2017, compared to approximately $0.2 million for the same period in 2016. The increase was primarily due to compensation expense associated with the hiring of our Chief Scientific Officer and additional clinical trial personnel in our UK office.
Selling expenses were approximately $0.3 million compared to approximately $16 thousand for the same period in 2016.
For the quarter ended July 31, 2017, Opiant reported a net loss of approximately $0.3 million, or a net loss of $0.17 per basic share and fully-diluted share, compared to a net loss of approximately $1.1 million, or a net loss of $0.57 per basic share and fully-diluted share, for the same period in 2016.
Year ended July 31, 2017 compared to year ended July 31, 2016
For the year ended July 31, 2017, Opiant generated revenue of approximately $18.4 million, compared to approximately $9.9 million in the corresponding period in 2016. The increase was primarily due to the $3.75 million milestone payment that was earned in July 2017 and the $13.7 million received in December of 2016 at closing under the royalty monetization agreement with SWK.
General and administrative expenses were approximately $6.5 million for the year ended July 31, 2017, compared to approximately $14.5 million for the same period in 2016. The decrease was primarily due to the reduction in stock based compensation expense.
Research and development expenses were approximately $3.2 million for the year ended July 31, 2017 compared to approximately $2.8 million for the same period in 2016. The increase was primarily due to compensation expense related to the hiring of our Chief Scientific Officer and additional clinical trial personnel in our UK office.
Selling expenses were approximately $1.7 million for the year ended July 31, 2017, compared to approximately $0.3 million for the corresponding period in 2016. The increase was primarily due to selling expenses associated with the royalty monetization agreement with SWK.
For the year ended July 31, 2017, Opiant reported a net profit of approximately $6.6 million, or $3.27 per basic share and $2.94 per fully-diluted share, compared to a net loss of approximately $7.8 million, or $4.09 per basic and fully-diluted share, for the same period in 2016.
Opiant ended the fiscal year 2017 with cash and cash equivalents of approximately $6.9 million. This cash balance does not include the $3.75 million that was received in August 2017.
About Opiant Pharmaceuticals, Inc.
Opiant Pharmaceuticals, Inc. is a specialty pharmaceutical company developing pharmacological treatments for addictions. NIDA, a division of the NIH, describes these disorders as chronic relapsing brain diseases which burden society at both the individual and community levels. With its innovative opioid antagonist nasal delivery technology, Opiant is positioned to become a leader in these treatment markets. Its first product, NARCAN® Nasal Spray, is approved for marketing in the U.S. and Canada by the company’s partner, Adapt Pharma Operations Limited. For more information please visit: www.opiant.com.
Forward-Looking Statements
This press release contains forward-looking statements. These statements relate to future events or our future financial performance and involve known and unknown risks, uncertainties and other factors that may cause our or our industry’s actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed, implied or inferred by these forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “should,” “could,” “would,” “expects,” “plans,” “intends,” “anticipates,” “believes,” “estimates,” “predicts,” “projects,” “potential,” or “continue” or the negative of such terms and other comparable terminology. These statements are only predictions based on our current expectations and projections about future events. You should not place undue reliance on these statements. Actual events or results may differ materially. In evaluating these statements, you should specifically consider various factors. These and other factors may cause our actual results to differ materially from any forward-looking statement. We undertake no obligation to update any of the forward-looking statements after the date of this press release to conform those statements to reflect the occurrence of unanticipated events, except as required by applicable law.
[Financial tables to follow]
| Opiant Pharmaceuticals, Inc. | ||||||||||
| Condensed Consolidated Balance Sheets | ||||||||||
| (in thousands, except shares and per share amounts) | ||||||||||
| (unaudited) | ||||||||||
| As of July 31, | As of July 31, | |||||||||
| 2017 | 2016 | |||||||||
| Assets | ||||||||||
| Current Assets | ||||||||||
| Cash & Cash Equivalents | $ | 6,873 | $ | 1,481 | ||||||
| Accounts Receivable | 3,750 | 313 | ||||||||
| Prepaid expenses and other current assets | 165 | 62 | ||||||||
| Total Current Assets | 10,788 | 1,856 | ||||||||
| Long-term Assets | ||||||||||
| Computer equipment, net | 3 | 7 | ||||||||
| Patents and patent applications, net | 17 | 19 | ||||||||
| Total Assets | $ | 10,808 | $ | 1,882 | ||||||
| Liabilities and stockholders' equity (deficit) | ||||||||||
| Current Liabilities | ||||||||||
| Accounts Payable | $ | 2,212 | $ | 141 | ||||||
| Accrued Compensation and other current liabilities | 1,701 | 3,681 | ||||||||
| Note Payable | - | 165 | ||||||||
| Deferred revenue | 254 | 250 | ||||||||
| Total Current Liabilities | 4,167 | 4,237 | ||||||||
| Long-Term Liabilities | ||||||||||
| Deferred revenue | 2,307 | 2,350 | ||||||||
| Total Long-Term Liabilities | 2,307 | 2,350 | ||||||||
| Total Liabilities | 6,474 | 6,587 | ||||||||
| Stockholders' equity (deficit) | ||||||||||
| Common stock, $0.001 par value, 200,000,000 shares authorized, 2,026,608 and 1,992,433 shares issued and outstanding at July 31, 2017 and July 31, 2016, respectively | 2 | 2 | ||||||||
| Additional paid-in-capital | 58,937 | 56,478 | ||||||||
| Accumulated deficit | (54,605 | ) | (61,185 | ) | ||||||
| Total stockholders' equity (deficit) | 4,334 | (4,705 | ) | |||||||
| Total liabilities and stockholders' equity (deficit) | $ | 10,808 | $ | 1,882 | ||||||
| Opiant Pharmaceuticals Inc. | ||||||||||||||||
| Condensed Consolidated Statements of Operations | ||||||||||||||||
| (in thousands, except shares and per share amounts) | ||||||||||||||||
| (unaudited) | ||||||||||||||||
| Three months ended | Year Ended | |||||||||||||||
| July 31, | July 31, | |||||||||||||||
| 2017 | 2016 | 2017 | 2016 | |||||||||||||
| Revenues | ||||||||||||||||
| Royalty & licensing revenue | $ | 3,750 | $ | 313 | $ | 18,406 | $ | 5,098 | ||||||||
| Treatment investment income | 22 | - | 40 | 4,800 | ||||||||||||
| Total Revenue | 3,772 | 313 | 18,446 | 9,898 | ||||||||||||
| Operating Expenses | ||||||||||||||||
| General and Administrative | 1,962 | 1,189 | 6,530 | 14,509 | ||||||||||||
| Research and development | 1,282 | 158 | 3,172 | 2,809 | ||||||||||||
| Sales and Marketing | 328 | 16 | 1,651 | 318 | ||||||||||||
| Total expenses | 3,572 | 1,363 | 11,353 | 17,636 | ||||||||||||
| Operating income (loss) | 200 | (1,050 | ) | 7,093 | (7,738 | ) | ||||||||||
| Interest and other income (expense) | ||||||||||||||||
| Interest income (expense), net | 11 | (1 | ) | 20 | (12 | ) | ||||||||||
| Income (loss) on foreign exchange | 1 | (39 | ) | 18 | (64 | ) | ||||||||||
| Total other income (expense | 12 | (40 | ) | 38 | (76 | ) | ||||||||||
| Income (loss) before provision for income taxes | $ | 212 | $ | (1,090 | ) | $ | 7,131 | $ | (7,814 | ) | ||||||
| Provision for income taxes | $ | 550 | 550 | - | ||||||||||||
| Net income (loss) | $ | (338 | ) | $ | (1,090 | ) | 6,581 | (7,814 | ) | |||||||
| Net income (loss) per common share | ||||||||||||||||
| Basic net income (loss) per common share | $ | (0.17 | ) | $ | (0.57 | ) | $ | 3.27 | $ | (4.09 | ) | |||||
| Diluted net income (loss) per common share | $ | (0.17 | ) | $ | (0.57 | ) | $ | 2.94 | $ | (4.09 | ) | |||||
| Weighted-average common shares outstanding: | ||||||||||||||||
| Basic | 2,026,608 | 1,910,489 | 2,014,540 | 1,910,489 | ||||||||||||
| Diluted | 2,026,608 | 1,910,489 | 2,235,851 | 1,910,489 | ||||||||||||
CONTACT INFORMATION:
Corporate Contact:
Investor.relations@opiant.com
Media Contact:
Casey Myburgh
Ketchum Public Relations
Casey.Myburgh@Ketchum.com
202-835-8876
Investor Contact:
Sam Martin
Argot Partners
sam@argotpartners.com
212-600-1902