Elite Pharmaceuticals, Inc. Reports Financial Results for the Fiscal Year Ended March 31, 2012
NORTHVALE, N.J., June 29, 2012 (GLOBE NEWSWIRE) -- Elite Pharmaceuticals, Inc. (OTCBB:ELTP), a specialty pharmaceutical company dedicated to developing and commercializing oral controlled release product formulations and the manufacturing of generic pharmaceuticals, announced results for the fiscal year ended March 31, 2012.
Consolidated revenues were $2.4 million, a decrease of 43% over last year's revenues of $4.3 million. Elite's operations incurred $0.4 million in a negative cash flow, compared with positive operating cash flows of $1.6 million last year. The decreases in revenues and cash flows, were the result of the removal of the Lodrane Extended Release products from the US market, pursuant to a directive from the US Food and Drug Administration (FDA) which applied to approximately 500 products, including the Lodrane Extended Release Products. At the time of the FDA's directive, the Lodrane Extended Release Products comprised 97% of Elite's revenues.
Most of Elite's revenues during this fiscal year are the result of new products launched and new revenue streams created during fiscal 2012. The new products, all launched during this fiscal year, are phentermine tablets and hydromorphone tablets being distributed under license by TAGI Pharma and Lodrane D® capsules co-developed and sold by ECR Pharmaceuticals. Elite also initiated contract manufacturing of methadone tablets for ThePharmaNetwork this fiscal year. Additionally, Elite now has two ANDAs pending approval with the FDA and two manufacturing transfers pending approval by the FDA.
Consolidated loss from operations was $(2.0 million) for the 2012 fiscal year, compared with a loss from operations of $(0.9 million) in the prior year.
GAAP net loss, including non-cash expenses relating to the accounting treatment of preferred share and warrant derivatives was $(15.1 million), compared to a GAAP net loss of $(13.6 million) in the prior year.
Basic and diluted loss per common share was $(0.06) on a weighted average 259.2 million common shares outstanding, this fiscal year, compared to a basic and diluted per common share of $(0.14) and a weighted average common shares outstanding of 100.0 million shares in the prior fiscal year.
Jerry Treppel, Chairman and CEO of Elite commented, "We knew fiscal year 2012 would be a difficult year with the loss of the extended release Lodrane® products. Nonetheless, we were able generate $2.4 M in non-Lodrane 24® revenues in less than one year. This was achieved by the launch of four commercial products, contract product development, contract manufacturing and with growth continuing from the existing products. We also now have four additional products before the FDA. In addition to strengthening the balance sheet, we had conversions of preferred shares, had a very important patent issued and built out 15,000 square feet of manufacturing, packaging and inventory space – more than doubling our the manufacturing space. The focus of the future will be development of abuse resistant products utilizing our patented proprietary technology." The Company will host a conference call to discuss the results of operations and provide an update on recent business developments on Tuesday, July 3, 2012 at 10:00 AM EDT. Company executives will also conduct a question and answer session following their remarks.
To access the conference call:
Domestic callers: (800) 346-7359
International callers: (973) 528-0008
Conference Entry Code: 98840
A digital telephone replay will be available approximately one hour after the conclusion of the call for two weeks until July 17, 2012 by dialing:
Domestic callers: (800) 332-6854
International callers: (973) 528-0005
Conference entry code: 98840
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