SOURCE: Pronova BioPharma ASA

August 05, 2008 01:13 ET

Q2 2008: Pronova BioPharma's best quarter

LYSAKER, NORWAY--(Marketwire - August 5, 2008) -


Pronova BioPharma ASA reports record-high second quarter results, with 34.3 per cent revenue growth and 23.5 per cent EBITDA growth. Global end-user sales were up 55 per cent to USD 283.3 million (May YTD), driven by market share growth in the USA. The blockbuster potential of the company's product is highlighted by a global run-rate in May 2008 of some USD 735 million (USD 475 million in May 2007).

Total revenues and other income were NOK 316.3 million (NOK 235.5 million) in the quarter. Underlying revenues at constant currency rate were up 41.2 per cent. Revenues and other income for the first half year increased by 18 per cent to NOK 575.2 million (NOK 487.4 million).

EBITDA was NOK 151.1 million (NOK 122.3 million) in the quarter and NOK 272.7 million (NOK 243.8 million) in the first half year. Net profit in the second quarter totalled NOK 78.9 million (or NOK 0.26 per share), compared with NOK 43.5 million (NOK 0.15 per share) in the same quarter last year. Net profit for the first half year was NOK 122.3 million (NOK 0.41 per share) against NOK 87.6 million in the first half of 2007 (NOK 0.30 per share).

Commenting on the second quarter results, Tomas Settevik, president and CEO of Pronova BioPharma said: "We are pleased to report the strongest quarter to date for Pronova BioPharma. The rapid growth in end-user sales, in addition to a continued increase in worldwide demand, further highlights the blockbuster potential of Omacor/Lovaza. With the construction process in Kalundborg progressing well, and the positive momentum in the ongoing R&D initiatives, we remain very confident in the future prospects for Pronova BioPharma. We reiterate our full year production target of 1 200 tonnes and look forward to the continued strong growth of the company."

Substantial growth was seen in the global end-user sales of Omacor/Lovaza, with 55 per cent growth in the annual run-rate, which totalled some USD 735 million (USD 476 million) at the end of May. End-user sales in the USA grew by 63 per cent to USD 160.1 million (May YTD), equalling an annual run-rate of USD 422 million at 31 May 2008.

Lovaza benefits from GSK commercial activities with prescription data showing accelerated growth. The strong sales growth in Europe also continues, with end-user sales up 45 per cent to USD 118.9 million (May YTD), equalling an annual run-rate of USD 302 million as of May 2008 (Source: IMS).

Pronova BioPharma is on track to achieve the 2008 production target of 1 200 tonnes. Total volume produced in the quarter was 315 tonnes (179 tonnes). The volume shipped was 315 tonnes (185 tonnes). The Kalundborg project is progressing on time and on budget.

The pipeline development initiatives are progressing well. Clinical studies on a fixed dose combination product (Omacor/Lovaza and simvastatin) will commence by the end of 2008. Pre-clinical animal studies for the alginate capsule technology project are ongoing and expected to be finalised by the end of the third quarter this year. A toxicology report is now complete on PRB-2 (next generation omega derived pharmaceutical) and a phase I trial will be initiated in 2009.

The complete second quarter and first half year report is available at www.newsweb.no and at www.pronova.com.

A presentation and webcast of the results will be held at today at 08:30AM CET. The webcast can be accessed at www.pronova.com. In addition, the company will host a telephone conference, which will open for Q&A immediately after the presentation.

Please dial the following numbers:
Country                                       Number
Norway Free Call                                800 196 40
International Dial In                   +44(0)20 7806 1957
UK Free Call                                 0800 028 1277
USA Free Call                                1888 935 4577
The following dial-in code is required: 7427161.

For further information, please contact:
Hilde H. Steineger, Head of IR             +47 48 00 42 40
Morten Jurs, CFO                           +47 22 53 49 10

Q2 and H1 presentation: http://hugin.info/137506/R/1240606/266159.pdf

Q2 and H1 report: http://hugin.info/137506/R/1240606/266158.pdf

Copyright © Hugin AS 2008. All rights reserved.

Contact Information