Hemispherx Announces First Quarter Results
PHILADELPHIA, May 15, 2000 /PRNewswire via COMTEX/ -- Hemispherx Biopharma,
Inc. (Amex: HEB, HEBws) reported today a net loss (including non cash stock
compensation expense) of $1,972,056 or $.07 per share for the three months
ending March 31, 2000 versus a net loss of $2,900,053 or $.11 per share for the
same period in 1999. The reduced net loss of $927,997 in the first quarter of
2000 versus the first quarter of 1999 consists of increased revenues, coupled
with lower manufacturing costs and reduced General and Administrative expenses.
Revenues from the Company's ME/CFS treatment programs in Europe and North
America increased 59%, substantially higher than in any previous quarter.
Manufacturing costs in the first quarter of 2000 decreased approximately
$800,000 compared to the first quarter of 1999. In 1999, the Company invested
heavily in the procurement of raw materials to be used in the manufacturing of
the Company's Investigational Drug tradenamed "Ampligen." This build-up of raw
materials was to support the Company's ongoing clinical programs.
Clinical and R&D costs increased $551,779 in the first quarter of 2000. Clinical
trial costs increased due to the accelerated enrollment of patients in the
Company's ME/CFS clinical trial in the United States. The Company has been
actively enrolling ME/CFS patients needed to complete the FDA authorized
confirmatory pivotal tests.
General and Administrative costs decreased by approximately $351,000 on a
quarter to quarter basis. The Company took certain actions to reduce costs,
including legal fees, consultant fees and public relations expense. Stock
compensation expense was reduced by $222,000 from the first quarter of last
year. Stock compensation expense reflects the fair value of the common stock
including warrants granted to non-employees of the Company.
The Company's overall cash position increased $3,579,718 in the period December
31, 1999 to March 31, 2000.
Information contained in this news release other than historical information,
should be considered forward-looking and is subject to various risk factors and
uncertainties. For instance, the strategies and operations of Hemispherx involve
risks of competition, changing market conditions, changes in laws and
regulations affecting these industries and numerous other factors discussed in
this release and in the Company's filings with the Securities and Exchange
Commission. Accordingly, actual results may differ materially from those in any
forward-looking statements.
SOURCE Hemispherx Biopharma, Inc.
CONTACT: William A. Carter, M.D., CEO & Chairman of Hemispherx
Biopharma, Inc., 215-988-0080, or fax, 215-988-1739; or Mark Kollar of
Broadgate Consultants, 212-232-2222, or fax, 212-232-3232; or Dianne Will,
Investor Relations, 214-954-9300, or fax, 214-954-9333, both for Hemispherx
/Web Site: hemispherx.com
(HEB)
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