Orbus Pharma Inc.

Orbus Pharma Inc.

November 06, 2006 06:00 ET

Orbus Pharma Inc. Reports Third Quarter 2006 Results

All amounts in thousands of dollars, except per share data

TORONTO, ONTARIO--(CCNMatthews - Nov. 6, 2006) - Orbus Pharma Inc. (TSX:ORB) reported that the net loss for the first nine months of 2006 was $4,500 ($0.12 per share) compared to $5,091 ($0.17 per share) in 2005.

Three Months Ended Nine Months Ended
September 30 September 30
2006 2005 2006 2005
Revenues $ 408 $ 1,289 $ 1,663 $ 2,601
Loss from continuing operations (1,736) (1,835) (4,720) (5,101)
Income (loss) from discontinued
operations (34) (5) 220 10
Net loss (1,770) (1,840) (4,500) (5,091)
Net loss per share (0.05) (0.06) (0.12) (0.17)

Cash provided by (used in)
Continuing operations (879) (1,153) (3,238) (3,306)
Discontinued operations (34) (5) (52) (24)
Investing activities (121) (22) (217) (256)
Financing activities (65) 389 4,692 333

The third quarter 2006 report to shareholders including management's discussion and analysis is available on-line at www.sedar.com.

For the nine month period ended September 30, 2006, consolidated revenues decreased to $1,663 from $2,601 in 2005. Revenue from manufacturing activities includes $268 in connection with the first shipment of product manufactured in our dedicated antibiotic plant in Cambridge, Ontario.

For the first nine months of 2006, cash used in continuing operations decreased to $3,238 from $3,306 in 2005. At September 30, 2006, the Company had cash of $4,303 compared to $3,133 on December 31, 2005.

Financing activities provided cash of $4,692 during the first nine months of 2006 and is mainly attributable to the completion of a private placement financing in April 2006 with net proceeds of $4,887.

In September 2006, the Company announced the successful results of the second phase of the bioequivalence studies in its European drug development of a once per day formulation for metoprolol succinate 190mg extended release tablets. The company is currently completing the remaining bioequivalence studies and results are expected near the end of 2006.

On November 6, 2006 Orbus announced the signing of a three way license, sale of marketing authorizations and manufacturing agreement with Desitin Arzneimittel GmbH, and its 50% co-development partner Alfred E. Tiefenbacher GmbH & Co. KG, both of Germany, for its immediate release 150mg, 300mg and 600mg tablets containing the active ingredient oxcarbazepine (anti-epileptic).

Orbus Pharma Inc., listed on The Toronto Stock Exchange under the symbol ORB, pursues a strategy of generating revenue through the licensing of generic drug developments as well as the manufacturing and selling of pharmaceutical products.

Forward-looking statements

Certain statements in this disclosure are "forward-looking statements", which reflect management's expectations regarding the Company's future growth, results of operations, performance and business prospects and opportunities. Such forward-looking statements reflect management's current beliefs and are based on information currently available to management. Many factors could cause results to differ materially from the results discussed in the forward-looking statements, including risks related to dependence on key suppliers, economic conditions, competition, regulatory change, foreign exchange rates, and interest rates, among others. Although the forward-looking statements are based on what management believes to be reasonable assumptions, the Company cannot assure investors that actual results will be consistent with these forward-looking statements.

Contact Information

  • Orbus Pharma Inc.
    Denis C. Arsenault
    V.P. Finance and Chief Financial Officer
    (905) 943-9444