Net loss for the fourth quarter 2011 was $1.2 million, or $0.01 per share, compared to a net loss of $18.1 million, or $0.17 per share, for the same period in 2010. Net loss for the full year 2011 was $25.5 million, or $0.24 per share, compared to $77.4 million, or $0.74 per share, for the same period in 2010.
As of December 31, 2011, the Company had no debt, and cash, cash equivalents and investments totaling $97.8 million.
- FOLOTYN net product sales are expected to be in the range of $50 to $55 million for 2012, an anticipated 16% to 28% increase over 2011 when excluding certain infrequently occurring items for 2011 as described above.
- License and other revenue, related to the Mundipharma agreement, is expected to approximate $9 million for 2012. Guidance for license and other revenue includes approximately $4 million of expected payments from Mundipharma to Allos relating to Mundipharma’s 40% share of jointly agreed-upon clinical development expenses for FOLOTYN.
- The components of the Company’s guidance for 2012 total operating costs and expenses are as follows:
- Cost of sales is expected to be in the range of $5.0 to $5.5 million for 2012, or 10% of net product sales.
- Cost of license and other revenue is expected to approximate $2.5 million for 2012.
- R&D expenses, excluding non-cash stock-based compensation expense, are expected to approximate $27 million for 2012 as compared to approximately $19 million for 2011. This increase is primarily due to expected increases in clinical study costs. Mundipharma’s reimbursements to Allos for 40% of jointly funded clinical trials are recorded in license and other revenue as discussed above.
- SG&A expenses, excluding non-cash stock-based compensation expense, are expected to approximate $48 million for 2012 as compared to approximately $60 million for 2011. This decrease is primarily due to decreases in personnel costs, external sales and marketing costs and business development-related professional fees.
- Amortization of intangible asset is expected to approximate $0.5 million for 2012.
- Stock-based compensation expense is expected to approximate $9 million for 2012, of which $2.5 million and $6.5 million are expected to be recorded in R&D and SG&A expenses, respectively.
- The Company expects to end 2012 with approximately $74 to $78 million in total cash, cash equivalents and investments.
As of December 31, 2011, the Company had $97.8 million in total cash, cash equivalents and investments. The Company expects its cash position will be sufficient to fund operations through at least early 2015. This projection is based on certain assumptions for modeling purposes only (and in the case of future revenue levels, should not be considered the Company’s financial guidance), including: (i) annual net product sales and cost of sales for 2012 through 2015 remaining consistent with the Company’s actual results for fiscal year 2011, and (ii) annual cash-based operating expenditures, excluding cost of sales, non-cash stock-based compensation and depreciation expense and net of expected reimbursements from Mundipharma for jointly funded clinical trials, approximating $72 to $75 million per year for 2012 through 2015.