August 28, 2008
VANCOUVER, Canada— iCo Therapeutics Inc. (TSX-V: ICO) today reported interim financial results (unaudited) for the three and six months ended June 30, 2008. Amounts, unless specified otherwise, are expressed in Canadian dollars and in accordance with Canadian Generally Accepted Accounting Principles (Canadian GAAP).
Summary Q2 2008 Results (see attached file) 2008.08.28_iCo_Q2.pdf
We incurred a net loss of $671,290 for the three months ended June 30, 2008 compared to a net loss of $716,648 for the same period in 2007, representing a decrease of approximately $45,358.
Research and development expenses were $365,276 for the three months ended June 30, 2008 compared to $377,444 for the same period in 2007, representing a decrease of $12,168. For the three months ended June 30, 2008 general and administrative expenses were $243,742 compared to $285,972 for the same period in 2007, representing a decrease of $42,230.
We realized a net cash outflow of $490,648 for the six months ended June 30, 2008 reflecting overall operating costs for the company for the six months of $1,603,136, less $1,112,488 of cash inflows coming primarily from financing proceeds received in the second quarter. This compares to a net cash inflow of $84,564 for the six months ended June 30, 2007, which was principally due to financing proceeds of $2,540,665 offset by cash outflow from operations and investing activities of $2,625,299. While we expect that overall cash outflows for the next 12 months will remain fairly consistent with outflows experienced for the six months ended June 30, 2008, we are undertaking efforts to conserve cash resources wherever possible and as such, cash outflows may decline moderately over the next six months. Any cash inflows will be highly dependent on our ability to raise equity capital.
Liquidity and Outstanding Share Capital
As at June 30, 2008, we had cash and cash equivalents of $1,398,585 compared to $1,931,407 as at December 31, 2007. Surplus cash is invested in redeemable, short-term money market investments. As at June 30, 2008, the company had working capital of $1,387,904 compared to $1,608,921 as at December 31, 2007. We anticipate that our current cash on hand plus expected receivables (relating to Canadian Scientific and Research Development tax credits and a pending claim for United Kingdom Value Added Tax related to the manufacture of iCo-008) will be sufficient to fund operations through to the first quarter of 2009, at which time we will need to obtain additional proceeds through equity or debt financing or by selling or licensing our technology for cash proceeds. However, our working capital position may not be sufficient to meet its stated business objectives in the event unforeseen circumstances or a change in our strategic direction.
For complete financial results, please see our filings at http://www.sedar.com.
About iCo Therapeutics Inc.
iCo Therapeutics Inc. is a Vancouver-based development based company focused on in-licensing drugs with clinical history redosing or reformulating for new or expanded indications. iCo has exclusive worldwide rights to three products. iCo-007, a second generation antisense candidate licensed from Isis Pharmaceuticals, is currently in a Phase I trial in Diabetic Macular Edema patients with compelling early data. iCo-008 is a human monoclonal antibody targeting eotaxin-1 with Phase II clinical history, licensed from AstraZeneca/MedImmune. iCo-009 is a proprietary oral formulation of amphotericin B licensed from the University of British Columbia. To date, iCo has reported positive preclinical results for iCo-009. iCo Therapeutics trades on the TSX-Venture exchange under the symbol “ICO”. For more information, visit the company website at: http://www.icotherapeutics.com
No regulatory authority has approved or disapproved the content of this release. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Forward Looking Statements
Certain statements included in this press release may be considered forward-looking. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements, and therefore these statements should not be read as guarantees of future performance or results. All forward-looking statements are based on iCo Therapeutics’ current beliefs as well as assumptions made by and information currently available to iCo Therapeutics and relate to, among other things, anticipated financial performance, business prospects, strategies, regulatory developments, market acceptance and future commitments. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Due to risks and uncertainties, including the risks and uncertainties identified by iCo Therapeutics in its public securities filings; actual events may differ materially from current expectations. iCo Therapeutics disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.