DUBLIN, Ireland, Feb. 14, 2017 (GLOBE NEWSWIRE) -- Prothena Corporation plc (NASDAQ:PRTA), a late-stage clinical biotechnology company focused on the discovery, development and commercialization of novel protein immunotherapies, today reported financial results for the fourth quarter and full year 2016. In addition, the Company provided 2017 financial guidance and an update on its R&D programs.
"In 2016 we were saddened by the loss of Dale Schenk, PhD, our friend and former CEO, and a true scientific pioneer," said Gene Kinney, PhD, President and Chief Executive Officer of Prothena. "As a testament to our team's talent and commitment, our business continued to gain momentum and 2016 was a year of significant progress where we reported positive data for each of our three clinical programs. As our pipeline continues to mature, several key milestones in 2017 and into 2018 keep us on track towards our goal of delivering novel disease modifying therapies to patients. For NEOD001 in patients with AL amyloidosis, we expect to complete enrollment in the PRONTO study during the next several weeks and in the VITAL study during the second quarter. Also in 2017, for PRX002/RG7935, we expect to initiate, with our partners at Roche, a Phase 2 clinical study in patients with Parkinson's disease. For PRX003 we expect to report full topline results from a Phase 1b multiple ascending dose, proof-of-biology study in patients with psoriasis, and for PRX004 we continue to advance our preclinical work toward the start of a Phase 1 clinical study in patients with ATTR amyloidosis."
Full Year 2016 and Recent Highlights:
NEOD001 is a monoclonal antibody for the potential treatment of AL amyloidosis:
PRX002/RG7935 is a monoclonal antibody for the potential treatment of Parkinson's disease and related synucleinopathies, and is the primary focus of Prothena's worldwide collaboration with Roche:
PRX003 is a monoclonal antibody for the potential treatment of inflammatory diseases, including psoriasis and psoriatic arthritis:
PRX004 is a monoclonal antibody for the potential treatment of ATTR amyloidosis:
Upcoming Research and Development Milestones
Prothena's pipeline includes four protein immunotherapy programs.
Fourth Quarter and Full Year of 2016 Financial Results and 2017 Financial Guidance
Prothena reported a net loss of $48.9 million and $160.1 million for the fourth quarter and full year of 2016, respectively, as compared to a net loss of $24.2 million and $80.6 million for the fourth quarter and full year of 2015, respectively. Net loss per share for the fourth quarter and full year of 2016 was $1.41 and $4.66, respectively, as compared to a net loss per share for the fourth quarter and full year of 2015 of $0.76 and $2.66, respectively.
Prothena reported total revenue of $0.2 million and $1.1 million for the fourth quarter and full year of 2016, respectively, as compared to total revenue of $0.3 million and $1.6 million for the fourth quarter and full year of 2015, respectively. The decrease in revenue for the fourth quarter and full year of 2016 was primarily due to lower revenue from Prothena's collaboration agreement with Roche.
Research and development (R&D) expenses totaled $39.8 million and $119.5 million for the fourth quarter and full year of 2016, respectively, as compared to $17.9 million and $58.4 million for the fourth quarter and full year of 2015, respectively. The increase in R&D expenses for the fourth quarter and full year of 2016 was primarily due to increased expenses for product manufacturing, clinical trials and personnel cost. R&D expenses included non-cash share-based compensation expense of $1.9 million and $7.1 million for the fourth quarter and full year of 2016, respectively, as compared to $1.3 million and $4.3 million for the fourth quarter and full year of 2015, respectively.
General and administrative (G&A) expenses totaled $9.6 million and $41.1 million for the fourth quarter and full year of 2016, respectively, as compared to $6.6 million and $23.1 million for the fourth quarter and full year of 2015, respectively. The increase in G&A expenses for the fourth quarter and full year of 2016 was primarily due to increases in personnel costs. The full year costs included $7.7 million of non-cash share-based compensation expense related to the accelerated vesting of stock options and payments due to the estate of our former Chief Executive Officer, Dr. Dale B. Schenk, upon his passing. G&A expenses included non-cash share-based compensation expense of $3.3 million and $17.8 million in the fourth quarter and full year of 2016, respectively (including $6.5 million, of non-cash share-based compensation expense in 2016 related to the accelerated vesting of Dr. Schenk's stock options), as compared to $1.9 million and $6.1 million in the fourth quarter and full year of 2015, respectively.
Total non-cash share-based compensation expense was $5.2 million and $24.9 million for the fourth quarter and full year of 2016, respectively, as compared to $3.3 million and $10.4 million for the fourth quarter and full year of 2015, respectively.
As of December 31, 2016, Prothena had $391.0 million in cash, cash equivalents and restricted cash and no debt.
As of February 10, 2017, Prothena had approximately 35.0 million ordinary shares outstanding.
The Company expects the full year 2017 net cash burn from operating and investing activities to be $160 to $170 million, including an expected milestone payment from Roche upon initiation of the Phase 2 study of PRX002, and ending the year with approximately $224 million in cash (mid-point). The estimated full year 2017 net cash burn from operating and investing activities is primarily driven by an estimated net loss of $177 to $191 million, which includes an estimated $26 million of non-cash share-based compensation expense.
Upcoming Investor Conferences
Members of the senior management team will present and participate in investor meetings at the following upcoming investor conferences:
A live webcast of the presentations can be accessed through the investor relations section of the Company's website at www.prothena.com. Following the live presentations, a replay of the webcast will be available on the Company's website for at least 90 days following the presentation date.
Conference Call Details
Prothena management will discuss these results and its 2017 outlook in a live audio webcast and conference call today, Tuesday, February 14, 2017, at 4:30 PM ET. The webcast will be made available on the Company's website at www.prothena.com under the Investors tab in the Events and Presentations section. Following the live audio webcast, a replay will be available on the Company's website for 90 days.
To access the call via dial-in, please dial (877) 887-5215 (U.S. toll free) or (315) 625-3069 (international) five minutes prior to the start time and refer to conference ID number 56336849. A replay of the call will be available until February 28, 2017 via dial-in at (855) 859-2056 (U.S. toll free) or (404) 537-3406 (international), Conference ID Number 56336849.
Prothena Corporation plc is a global, late-stage clinical biotechnology company establishing fully-integrated research, development and commercial capabilities. Fueled by its deep scientific understanding built over decades of research in protein misfolding and cell adhesion — the root causes of many serious or currently untreatable amyloid and inflammatory diseases — Prothena seeks to fundamentally change the course of progressive diseases associated with this biology. The Company's pipeline of antibody therapeutic candidates targets a number of indications including AL amyloidosis (NEOD001), Parkinson's disease and other related synucleinopathies (PRX002), inflammatory diseases, including psoriasis and psoriatic arthritis (PRX003), and ATTR amyloidosis (PRX004). The company continues discovery of additional novel therapeutic candidates where its deep scientific understanding of disease pathology can be leveraged. For more information, please visit the company's website at www.prothena.com.
This press release contains forward-looking statements. These statements relate to, among other things, our goal of delivering therapies to patients; the sufficiency of our cash position; the timing of completing enrollment in the Phase 2b and Phase 3 studies and announcing topline results from the Phase 2b study of NEOD001; the timing of initiating a Phase 2 study of PRX002; the timing of announcing full topline results from the Phase 1b study of PRX003; the timing of advancing PRX004 into a Phase 1 clinical study; our anticipated net cash burn from operating and investing activities for 2017 and expected cash balance at the end of 2017; and our estimated net loss and non-cash share-based compensation expense for 2017. These statements are based on estimates, projections and assumptions that may prove not to be accurate, and actual results could differ materially from those anticipated due to known and unknown risks, uncertainties and other factors, including but not limited to the risks, uncertainties and other factors described in the "Risk Factors"" sections of our Annual Report on Form 10-K filed with the Securities and Exchange Commission (SEC) on February 25, 2016, our subsequent Quarterly Reports on Form 10-Q filed with the SEC and our Annual Report on Form 10-K to be filed with the SEC for our fiscal year 2016. Prothena undertakes no obligation to update publicly any forward-looking statements contained in this press release as a result of new information, future events or changes in Prothena's expectations.
PROTHENA CORPORATION PLC
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited - amounts in thousands except per share data)
|Three Months Ended |
|Twelve Months Ended |
|Research and development||39,844||17,890||119,534||58,439|
|General and administrative||9,604||6,629||41,056||23,105|
|Total operating expenses||49,448||24,519||160,590||81,544|
|Loss from operations||(49,277||)||(24,212||)||(159,535||)||(79,937||)|
|Other income, net:||727||57||571||26|
|Loss before income taxes||(48,550||)||(24,155||)||(158,964||)||(79,911||)|
|Provision for income taxes||353||2||1,144||701|
|Basic and diluted net loss per share||$||(1.41||)||$||(0.76||)||$||(4.66||)||$||(2.66||)|
|Shares used to compute basic and diluted net loss per share||34,603||31,611||34,351||30,326|
PROTHENA CORPORATION PLC
CONSOLIDATED BALANCE SHEETS
(unaudited - amounts in thousands)
|Cash and cash equivalents||$||386,923||$||370,586|
|Other current assets||4,439||6,817|
|Total current assets||391,362||377,403|
|Property and equipment, net||56,452||3,862|
|Total non-current assets||68,614||7,833|
|Liabilities and Shareholders' Equity|
|Accrued research and development||$||19,073||$||12,794|
|Other current liabilities||22,002||9,422|
|Total current liabilities||41,075||22,216|
|Total shareholders' equity||365,403||360,669|
|Total liabilities and shareholders' equity||$||459,976||$||385,236|
Contacts Investors: Tran Nguyen, CFO 650-837-8535, IR@prothena.com Media: Ellen Rose, Head of Communications 650-922-2405, email@example.com