Emergent BioSolutions Inc. (NYSE: EBS) today announced preliminary 2012 financial results and provided guidance for 2013.
For 2012, the company anticipates total revenues of $280 to $284 million, which includes approximately $216 million of product sales and $64 to $68 million of contracts and grants revenue. The company also anticipates 2012 net income of $21 to $24 million, which includes a one-time, non-cash charge of $9.6 million related to impairment of in-process research and development associated with the SBI-087 product candidate, which was being developed by Pfizer; the impairment charge was incurred in Q1 2012. In addition, the company anticipates year end 2012 cash and cash equivalents combined with accounts receivable of approximately $235 million.
Product revenues for 2012 are primarily attributable to delivery of approximately 8.1 million doses of BioThrax ® (Anthrax Vaccine Adsorbed) to CDC during the year. Contracts and grants revenue for 2012 is primarily attributable to revenues from our contracts with BARDA for large-scale manufacturing of BioThrax and for development of PreviThrax TM (Recombinant Protective Antigen Anthrax Vaccine, Purified).
For 2013, the company forecasts total revenues of $290 to $310 million, split between product sales of $230 to $240 million and contracts and grants revenue of $60 to $70 million. The company also forecasts 2013 net income of $20 to $30 million. The 2013 forecast does not reflect the impact of a possible M&A transaction.Daniel J. Abdun-Nabi, president and chief executive officer of Emergent BioSolutions Inc., stated, “The 2012 preliminary financial performance is in line with our expectations and guidance. During 2013, we will be focused on implementing the principles outlined in our growth plan, including streamlining our R&D efforts and executing on our M&A strategy, as we drive towards achieving our stated 2015 financial and operational goals.” The 2012 financial results will be finalized upon the completion of the company’s external audit, which is anticipated in early March 2013.