CALP fails to control costs and misses estimates by a fairly wide margin despite strong sales and fundies. I'll have to listen to the CC to get a feel for what they're doing to correct this. I am sure someone asked.
>>MOUNTAIN VIEW, Calif., Oct. 25 /PRNewswire/ -- Caliper Technologies Corp. (Nasdaq: CALP - news) today announced its financial results for the third quarter of 2001. For the quarter ended September 30, 2001, total revenues were $6.6 million as compared to $5.5 million in the same period in 2000, representing a 21% increase. Revenue growth was driven by $2.0 million derived from product sales to a related party, Amphora Discovery Corp., with the remaining portion attributed to new product sales associated with the company's AMS 90 system. Product related revenue from sales of the Agilent 2100 Bioanalyzer grew in the third quarter, offset in part by an anticipated decrease in the research and development component of the collaboration with Agilent Technologies. As anticipated, the Technology Access Program (TAP) revenue declined 35% in the quarter compared to the same period last year as a result of Caliper's conversion from a fee-based technology access program model to a commercial high throughput screening products business and the associated change in revenue recognition methods.
For the quarter ended September 30, 2001 the company reported a net loss of $8.4 million or $0.35 per share, as compared to net income of $6.1 million or $0.25 per diluted share for the same period last year. Excluding $12 million or $0.49 per diluted share resulting from the breach of duty and trade secret misappropriation litigation settlement signed in September 2000, net loss for the third quarter of 2000 would have been $5.9 million or $0.27 per share. For the first nine months of 2001, the company reported net income of $11.8 million or $0.46 per share as compared to a net loss of $7.5 million or $0.35 per share for the same period in 2000. Included in the net income for the first nine months of 2001 is the $27.5 million or $1.07 per diluted share and the $5.0 million or $0.19 per diluted share the company recorded for the dismissal of all suits and countersuits and for the initial licensing of the ``Ramsey'' family of patents, respectively, all between the company and Aclara Biosciences. The net loss for the first nine months of 2000 occurred despite the $12 million resulting from the breach of duty and trade secret misappropriation litigation settlement signed in September 2000.
Operating expenses for the third quarter of 2001 were $17.2 million, an increase of $3.9 million over the third quarter of 2000 due in part to increased cost of goods sold associated with increased product sales. Also contributing to expenses were expanded research and development activities and additional administrative costs from increased marketing efforts offset by reduced expenses associated with deferred stock compensation.
Cash and investments totaled $170.4 million at September 30, 2001, excluding approximately $3 million in pledged funds for leased lines of credit. In addition, in the first nine months of the year, Caliper received from Aclara Biosciences 900,000 shares of Aclara common stock that, along with an accompanying letter of credit, have a guaranteed aggregate value of $32.5 million for Caliper that is reflected in other assets on Caliper's balance sheet.
``Our financial performance for the third quarter 2001 reflects several strategic initiatives we undertook to expand and strengthen our high throughput screening business as well as continuing strength in sales of the Agilent 2100 Bioanalyzer,'' said Jim Knighton, Executive Vice President and Chief Financial Officer of Caliper. ``These strategies have had the positive effect of continuing the trend toward increasing our revenue as well as positively impacting the percentage of our revenues deriving from product sales, as contrasted with licensing fees and R&D contract services. Impacting our bottom line financial performance were anticipated increases in our cost of goods sold associated with increased product sales. Additionally, our increased investment in marketing and sales and building of commercial infrastructure continued to impact our expenses. Lastly, interest income was lower than anticipated due to decreasing interest rates.''
``During this quarter, we accomplished several goals that we believe strengthened the company's fundamentals, commercial prospects and market leadership,'' said Dan Kisner, M.D., President and Chief Executive Officer. ``Since the launch of our new LabChip® high throughput screening business, interest in our new system's features, functionality and flexible pricing schemes has been strong among potential customers and our salespeople are actively responding to this interest. We strengthened our overall commercial, manufacturing and support capabilities in the third quarter and are well-positioned to support our HTS business going forward.''
Continued Dr. Kisner: ``An important development in this quarter was the creation of Amphora Discovery Corp., a chemical genomics database company that Caliper spun out as a separate, independently funded and managed company, in which Caliper maintains a 28% owership position. Amphora is, and will be, a significant customer for Caliper's new HTS systems. When fully operational, Amphora has the potential to become the world's largest and most productive high throughput screening center. Amphora's management includes some of the most knowledgeable and skilled HTS professionals in the business and has considerable experience with Caliper's high throughput screening technology and products.
``Sales of the Agilent 2100 Bioanalyzer and demand for chips continued to increase well. Sales increased nearly 50% in the third quarter over the previous quarter, and demand is increasing in all major world markets. We remain on track to at least double instrument placements in 2001 over 2000, and we are pleased with the marketing and sales support Agilent is providing for this product worldwide.''
``During the third quarter, our business fundamentals continued to strengthen. For the remainder of the year, we are focusing all of our efforts on bringing in new business and, most importantly, selling HTS systems. Despite the challenges represented by a demanding and competitive marketplace and recent world events, we are optimistic about our prospects. We believe that Caliper's LabChip® products can deliver major benefits to customers, that our leadership position in this powerful technology is unparalleled and that we have all the ingredients for success within our company.''
Caliper Technologies Corp. is a leader in lab-on-a-chip technology. Caliper designs, manufactures, and commercializes LabChip® devices and systems that enable experiments that ordinarily require laboratories full of equipment and people to be conducted on a chip small enough to fit in the palm of a child's hand. The chip contains a network of microscopic channels through which fluids and chemicals are moved in order to perform the experiment. The LabChip® systems are designed to streamline and accelerate laboratory experimentation and have potential applicability in a broad range of industries including pharmaceuticals, agriculture, chemicals and diagnostics. Caliper has established multiple strategic and commercial alliances and has built a leading intellectual property estate in microfluidic technology. For more information, please visit Caliper's web site at www.calipertech.com.
Note: This news release contains forward-looking statements that involve risks and uncertainties. Caliper has identified these forward-looking statements by using the words such as ``believe,'' ``potential,'' ``will,'' ``optimistic,'' and ``on track.'' These statements include Caliper's expectations regarding the future growth of its high throughput screening business, the potential of Amphora as a customer and as a successful company and sales performance of the Agilent 2100 Bioanalyzer. Actual results may differ materially from Caliper's beliefs and expectations as a result of numerous risks and uncertainties, including the risks: that Caliper's LabChip® HTS systems are new and may not achieve market acceptance; that Amphora has only recently been funded and begun to operate, and Amphora's business may not develop as Caliper anticipates; and recent economic conditions may limit capital expenditures by Caliper's customers and potential customers. These and other risks related to Caliper are detailed in Caliper's Annual Report on Form 10-K, filed on March 16, 2001, under the caption ``Risks Related to our Business'' in ``Management's Discussion and Analysis of Financial Condition and Results of Operations.''
NOTE: LabChip, Caliper and the Caliper logo are registered trademarks of Caliper Technologies Corp.
CALIPER TECHNOLOGIES CORP.
SELECTED FINANCIAL INFORMATION
STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
Three Months Ended Nine Months Ended
September 30, September 30,
2001 2000 2001 2000
Revenues:
Related party revenue $2,017 $-- $2,017 $--
Other revenue 4,624 5,507 19,704 13,576
Total revenues 6,641 5,507 21,721 13,576
Costs and expenses:
Cost of related party
revenue 1,381 -- 1,381 --
Research and development 10,879 9,826 31,216 24,322
General and administrative 4,327 2,464 10,692 7,300
Amortization of deferred
stock compensation 587 1,020 2,027 3,663
Total costs and expenses 17,174 13,310 45,316 35,285
Operating loss (10,533) (7,803) (23,595) (21,709)
Interest income, net 2,165 1,870 7,936 4,528
Litigation settlement -- 12,000 27,500 12,000
Net income (loss) before
accounting change (8,368) 6,067 11,841 (5,181)
Cumulative effect of a change
in accounting principle -- -- -- (2,294)
Net income (loss) $(8,368) $6,067 $11,841 $(7,475)
Net income/(loss) per share
- basic
Net income/(loss) before
accounting change $(0.35) $0.28 $0.49 $(0.24)
Cumulative effect of a
change in accounting
principle -- -- -- (0.11)
Net income/ (loss) $(0.35) $0.28 $0.49 $(0.35)
Shares used in computing net
income/(loss) per share-basic 24,059 21,971 23,947 21,278
Net income/ (loss) per share
- diluted
Net income/(loss) before
accounting change $(0.35) $0.25 $0.46 $(0.24)
Cumulative effect of a
change in accounting
principle -- -- -- (0.11)
Net income/ (loss) $(0.35) $0.25 $0.46 $(0.35)
Shares used in computing net
income/(loss) per share
- diluted 24,059 24,281 25,641 21,278
BALANCE SHEET September 30, December 31,
2001 2000
Cash, cash equivalents and
short-term marketable securities $90,916 $142,597
Other current assets 42,560 7,467
Long-term marketable securities 79,522 49,102
Property and equipment, net 12,727 9,101
Other assets 4,234 4,247
Total assets $229,959 $212,514
Current liabilities $11,229 $11,691
Long-term obligations 5,164 4,366
Stockholders' equity 213,566 196,457
Total liabilities and stockholders'
equity $229,959 $212,514<<
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Cheers, Tuck |
