ProMetic Life Sciences Inc.
TSX : PLI
OTCQX : PFSCF

ProMetic Life Sciences Inc.

November 13, 2014 17:00 ET

ProMetic Reports its Third Quarter 2014 Highlights and Financial Results

- 2014 year-to-date product sales $7.3 million compared to $6.8 million in 2013

- H2 2014 revenue guidance range of $15 million to $20 million reiterated

- Plasminogen and PBI-4050 cleared by regulatory authorities to commence clinical trials in patients

- ProMetic added to the S&P/TSX Small Cap Index

LAVAL, QUEBEC--(Marketwired - Nov. 13, 2014) - ProMetic Life Sciences Inc. (TSX:PLI)(OTCQX:PFSCF) ("ProMetic" or the "Corporation") today reported revenues of $2.3 million for the third quarter ended September 30, 2014 compared to $6.0 million for the third quarter ended September 30, 2013, with year-to-date product sales slightly ahead after the first nine months of 2014 at $7.3 million compared to $6.8 million for the first nine months of 2013.

"We are still at a stage of our corporate development where our revenues do not yet accrue in a straight-line on a quarterly basis as evidenced by these third quarter financial results. However, our yearly product sales should continue slightly ahead of last year and the fourth quarter anticipated licensing revenues should largely compensate as demonstrated by the reiteration of our revenue guidance for the second half of 2014 of over $15 million", said Mr. Bruce Pritchard, Chief Operating Officer and Chief Financial Officer of ProMetic. "The reduction in service and licensing revenues is in line with our commercialization strategy of further developing our clinical assets ourselves prior to partnering and demonstrates once again that our financial results are best analyzed and compared on a year-to-year basis for the time being, and in the context of our declared strategy", added Mr. Pritchard.

"The recent regulatory clearance of our Plasminogen Investigational New Drug application and PBI-4050 Clinical Trial Application respectively by the American and Canadian regulatory authorities allows us to confidently pursue our aggressive clinical development program timelines", mentioned Mr. Pierre Laurin, President and Chief Executive Officer of ProMetic Life Sciences Inc. "With even more therapeutic products progressing towards clinical trial stages and additional orphan indications being targeted, we are well underway to achieve our corporate objective of building our therapeutic products pipeline targeting orphan diseases", added Mr. Laurin.

Third Quarter 2014 Highlights and Results

Third Quarter 2014 Business Highlights

  • The Corporation announced that it will launch fibrinogen for commercial sales during the fourth quarter of 2014 after its successful scale-up at its Laval based plasma purification facility, ProMetic BioProduction Inc.;

  • The Corporation entered into an agreement (the "Agreement") with one of its existing multinational clients, a global leader in the biotherapeutics industry. The agreement relates to the development and scale-up of a new affinity resin and associated manufacturing process in order to enhance the quality and purity of an existing commodity biopharmaceutical product;
  • The Corporation secured a follow-on investment from Thomvest Seed Capital Inc. ("Thomvest") consisting of a $20 million Loan;

  • The Corporation announced the promotion of Mr. Bruce Pritchard to the newly created position of Chief Operating Officer as well as the nomination of Mr. Stefan Clulow to its Board of Directors, both effective in August, 2014;

  • The Corporation reported a successful Pre-Investigational New Drug ("Pre-IND) meeting with the US Food and Drug Administration ("FDA") for its anti-fibrotic, lead drug candidate, PBI-4050. This Pre-IND meeting with the FDA focused on ProMetic's proposed phase II clinical program for patients with diabetic kidney disease ("DKD"), other rare diseases as well as the manufacturing and pre-clinical package;

  • The Corporation announced its addition to the S&P/TSX Small Cap Index as the result of the annual review of the Index; and

  • The Corporation received, subsequently to third quarter 2014 end, clearance by the FDA for its plasminogen IND as well as clearance by Health Canada for its PBI-4050 CTA in order to commence clinical trials in patients.

More on Third Quarter 2014 Financial Results

The financial information for the third quarter ended September 30, 2014 should be read in conjunction with the Corporation's interim consolidated financial statements as well as the Management's Discussion and Analysis for the quarter ended September 30, 2014.

Total revenues for the third quarter ended September 30, 2014 were $2.3 million compared to $6.0 million for the third quarter ended September 30, 2013 representing a decrease of $3.7 million. Total revenues for the nine months ended September 30, 2014 were $12.5 million compared to $15.6 million during the comparative 2013 period, a decrease of $3.1 million.

Revenues from the sale of goods amounted to $1.0 million during the third quarter of 2014 compared to $2.2 million for the third quarter ended September 30, 2013 and for the nine months ended September 30, 2014 were $7.3 million compared to $6.8 million for the same period in 2013 representing an increase of $0.5 million. Service revenues for the third quarter ended September 30, 2014 were $0.7 million compared to $2.2 million for the third quarter ended September 30, 2013 representing a decrease of $1.5 million. Total service revenues for the nine months ended September 30, 2014 were $4.6 million compared to $7.3 million for the corresponding 2013 period. The decrease for both 2014 periods over the same 2013 periods are mainly due to the fact that NantPro is now consolidated since the May 8, 2014 change of control and consequently following said date, these transactions were and will continue to be eliminated upon consolidation.

Milestone and licensing revenues amounted to $0.6 million for both the third quarter and nine months period ended September 30, 2014 compared to $1.5 million for the third quarter and nine month periods ended September 30, 2013. The Corporation anticipates delivering further significant licensing revenues during the last quarter of 2014.

ProMetic generated a net loss of $20.7 million for the quarter ended September 30, 2014 compared to a net loss of $5.3 million for the quarter ended September 30, 2013 and a net loss of $5.9 million for the nine months period ended September 30, 2014 compared to a net loss of $9.9 million for the nine months period ended September 2013. The net loss generated is mainly due to the loss on the fair value variation of the warrant liability and the increase in non-rechargeable R&D expenses, notably the investment in the Laval plant and PBI-4050 clinical program.

Third Quarter 2014 Conference Call Information

ProMetic will host a conference call at 10:00am (ET) on Friday, November 14, 2014. The telephone numbers to access the conference call are (647) 788-4922 (International) and 1-877-223-4471 (Toll-free). A replay of the call will be available from November 14, 2014 at 2:00 p.m. until November 28, 2014. The numbers to access the replay are 1-416-621-4642 (passcode: 31622006) and 1-800-585-8367 (passcode: 31622006). A live audio webcast of the conference call will be available through the following: http://www.gowebcasting.com/6125

Additional Information in Respect to the Third Quarter ended September 30, 2014

ProMetic's MD&A and interim consolidated financial statements for the quarter ended September 30, 2014 have been filed on Sedar (http://www.sedar.com/) and will be available on the Corporation's website at www.prometic.com.

About ProMetic Life Sciences Inc.

ProMetic Life Sciences Inc. (www.prometic.com) is a long established biopharmaceutical company with globally recognized expertise in bioseparations, plasma-derived therapeutics and small-molecule drug development. ProMetic offers its state of the art technologies for large-scale purification of biologics, drug development, proteomics and the elimination of pathogens to a growing base of industry leaders and uses its own affinity technology that provides for highly efficient extraction and purification of therapeutic proteins from human plasma in order to develop best-in-class therapeutics and orphan drugs. ProMetic is also active in developing its own novel small-molecule therapeutic products targeting unmet medical needs in the field of fibrosis, cancer and autoimmune diseases/inflammation. A number of both the plasma-derived and small molecule products are under development for orphan drug indications. Headquartered in Laval (Canada), ProMetic has R&D facilities in the UK, the U.S. and Canada, manufacturing facilities in the UK and business development activities in the U.S., Europe and Asia.

Forward Looking Statements

This press release contains forward-looking statements about ProMetic's objectives, strategies and businesses that involve risks and uncertainties. These statements are "forward -looking" because they are based on our current expectations about the markets we operate in and on various estimates and assumptions. Actual events or results may differ materially from those anticipated in these forward-looking statements if known or unknown risks affect our business, or if our estimates or assumptions turn out to be inaccurate. Such risks and assumptions include, but are not limited to, ProMetic's ability to develop, manufacture, and successfully commercialize value-added pharmaceutical products, the availability of funds and resources to pursue R&D projects, the successful and timely completion of clinical studies, the ability of ProMetic to take advantage of business opportunities in the pharmaceutical industry, uncertainties related to the regulatory process and general changes in economic conditions. You will find a more detailed assessment of the risks that could cause actual events or results to materially differ from our current expectations in ProMetic's Annual Information Form for the year ended December 31, 2013, under the heading "Risk and Uncertainties related to ProMetic's business". As a result, we cannot guarantee that any forward-looking statement will materialize. We assume no obligation to update any forward-looking statement even if new information becomes available, as a result of future events or for any other reason, unless required by applicable securities laws and regulations. All amounts are in Canadian dollars unless indicated otherwise.

Contact Information

  • Pierre Laurin
    President and CEO
    ProMetic Life Sciences Inc.
    450-781-0115
    p.laurin@prometic.com

    Frederic Dumais
    Director, Communications & Investor Relations
    ProMetic Life Sciences Inc.
    450-781-0115
    f.dumais@prometic.com