ROCKVILLE, Md., May 2 EntreMed, Inc.(Nasdaq: ENMD), a clinical-stage pharmaceutical company developingtherapeutics for the treatment of cancer and inflammatory diseases, todayreported financial results for the three months ended March 31, 2008.
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The Company reported a net loss for the first quarter of approximately($8.3 million), or ($0.10) per share, compared with a net loss of ($7.7million), or ($0.09) per share, for the same period last year. The Company didnot report any revenues for the first quarter 2008. As of March 31, 2008, theCompany had cash and short-term investments of approximately $44 million.
Dane R. Saglio, EntreMed Chief Financial Officer, commented on the firstquarter results, "The Company's first quarter 2008 financial results were inline with our projections. During the first quarter, the Company made thedecision to invest behind Panzem(R) for rheumatoid arthritis rather thanoncology, given 2ME2's mechanisms of action, safety profile and substantiallylarger market opportunity. Patients currently enrolled in Panzem(R) oncologytrials will continue to receive treatment, and we expect to realize costsavings from the discontinuation of the program beginning in the second halfof this year. We further expect operational expenses to remain at similarlevels through the second quarter as we phase out the Panzem(R) NCD oncologyprogram and advance the clinical development of ENMD-2076. Consistent with thepast couple of years, we anticipate recording royalty revenue beginning in thethird quarter and decreasing our research and development expenses slightlyonce the open Panzem(R) oncology trials conclude."
James S. Burns, EntreMed President and CEO commented, "Going forward, wewill focus our resources on the development of our three oncology productcandidates, MKC-1, ENMD-1198 and ENMD-2076, as well as early clinicaldevelopment of Panzem(R) in rheumatoid arthritis. We continue to operate inline with our financial guidance for 2008. We believe that the full effect ofwinding down the Panzem(R) oncology program and our priority oncology programfocus will begin to positively impact our financial statement by 3Q08. Inaddition, we are actively seeking opportunities to offset or share developmentcosts with pharmaceutical partners in order to advance some of our programsinto later stages of development. We remain on track with our guidance and wehave the financial resources to fund current and planned activities into2009."
Mr. James S. Burns will present a corporate overview at the Rodman &Renshaw 5th Annual Healthcare Conference being held May 19-20, 2008. Mr. Burnsis scheduled to present on Monday, May 19, 2008 at 10:25 a.m. local time. Thepresentation will be web cast and will serve as the Company's first quarter2008 update. The presentation can be accessed through the Company's web siteat www.entremed.com. An archive will be available on the web site forapproximately 90 days.
EntreMed, Inc. is a clinical-stage pharmaceutical company developingtherapeutic candidates primarily for the treatment of cancer and inflammation.MKC-1 is currently in multiple Phase 2 clinical trials for cancer. MKC-1 is anoral cell-cycle regulator with activity against the mTOR pathway. ENMD-1198, anovel antimitotic agent, and ENMD-2076, a selective kinase inhibitor, are inPhase 1 studies in advanced cancers. The Company also has an approved INDapplication for Panzem(R) in rheumatoid arthritis. EntreMed's goal is todevelop and commercialize new compounds based on the Company's expertise inangiogenesis, cell-cycle regulation and inflammation -- processes vital to thetreatment of cancer and other diseases, such as rheumatoid arthritis.Additional information about EntreMed is available on the Company's web siteat www.entremed.com and in various filings with th