Cardiome Sees Improvement In Fourth Quarter

Despite falling revenue and a lack of license fees during the quarter, the drug company's net loss narrowed.
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On March 30, 2009,

Cardiome Pharma


declared that its Q4 FY08 net loss improved at Canadian Dollar (Cdn$) 8.55 million compared with a loss of Cdn$25.31 million in the previous year's quarter. The most recent consensus estimate was a loss of $0.19 per share.

Revenue for Q4 FY08 plunged 63.1% to Cdn$410,000 from Cdn$1.11 million in the prior year's quarter. The company did not receive License fees during the quarter, unlike the year-ago quarter, when it received Cdn$224,000 in License fees. Research collaborative fees fell 53.7% to Cdn$410,000 from Cdn$886,000. Meanwhile, research and development expenditure plummeted 52.6% to Cdn$9.55 million from Cdn$20.16 million. General and administration costs dropped 21.7% to Cdn$3.83 million from Cdn$4.90 million in Q4 FY07. In addition, amortization expenses fell 8.1% to Cdn$954,000 from Cdn$1.04 million.

CRME's co-development partner Astellas Pharma US, Inc. announced that it has decided to withdraw the New Drug Submission for Kynapid with the Therapeutic Products Directorate of Health Canada. Recently, CRME disclosed that its Chairman and Chief Executive Officer, Bob Rieder, was recently subject to involuntary margin sales of 45,000 common shares from his direct holding of Cardiome stock.

For 2008, net loss was Cdn$60.52 million or Cdn$0.95 per share compared to a loss of Cdn$85.49 million or Cdn$1.36 per share. The decrease in net loss was largely due to favorable foreign exchange and a decline in research and development activities. Annual revenue plunged 67.1% to Cdn$1.60 million from Cdn$4.88 million in FY07. Cash and cash equivalents at the end of the year slipped 45.4% to Cdn$37.14 million from Cdn$67.99 million in 2007.