Interim report, January-March 2012
Unless otherwise stated in this report, all data refers to the Group. Figures in parentheses relate to the corresponding period in 2011.
OREXO’S REVENUES FROM ABSTRAL® CONTINUE TO INCREASE
During the period
- Net revenues amounted to MSEK 83.6 (41.5).
- Abstral royalty revenues increased by 39 percent to MSEK 19.4 (14.0).
- Earnings after tax were MSEK -16.2 (-39.2).Cash flow from operating activities was a MSEK -32.9 (16.3).
- EBITDA was MSEK -12.1 (-34.7).
- Earnings per share were SEK -0.54 (-1.67).
- Cash and cash equivalents amounted to MSEK 212.4 (150.3).
- Focused operations will reduce costs with approximately MSEK 30 on an annual basis.
After the close of the period
- Three new Board members were elected at the Annual General Meeting on April 11.
I am pleased to report that sales of the pain product Abstral continue to increase. During the first quarter, sales rose 39 percent compared with the corresponding period in 2011. Abstral shows a particularly strong growth in our major markets in Southern Europe.
In the US, Abstral is not until now able to compete on equal terms with other fast-acting fentanyl products following the introduction of a joint risk management system, known as REMS, in mid-March, which now also includes all products in the class.
In the first quarter, we implemented a reorganization of Orexo, aimed at focusing the operations on our proprietary development programs. These programs are based on using our own patented formulation technology and developing new products from already well-known substances. This method has been successfully applied to the development of Abstral and Edluar. The benefits we gain from this type of product development, include reduced development risk, shorter development time and lower costs.
Development of our proprietary projects proceeds according to plan. In the first quarter, we initiated registration studies in the OX219 project and we continue to work intensively toward the goal of submitting an application for regulatory approval in the first half of 2013.
In the OX51 project, under development for treatment of procedure-induced pain, preliminary work is under way in preparation for the forthcoming registration studies.
I look forward to the Capital Markets Day on May 3 in Stockholm. It is my intention to provide a clear picture of Orexo’s potential to generate value through our commercially attractive products and development programs.
President and CEO
CEO Anders Lundström and CFO Carl-Johan Blomberg will present the report at a teleconference today at 10:15 a.m. CET. Presentation slides are available via the link and on the website.
Telephone: +44 (0) 20 3003 2666 - Standard International Access; 020 089 6377 - Stockholm Toll Free; 0808 109 0700 - UK Toll Free; 1 866 966 5335 - USA Toll Free
Orexo AB publ discloses the information provided herein pursuant to the Securities Markets Act. The information was provided for public release on April 27, 2012, at 8:00 a.m. This report has been prepared in both Swedish and English. In the event of any discrepancy in the content of the two versions, the Swedish version shall prevail.