Abgenix Inc (1052837) SEC Filing 10-K Annual report for the fiscal year ending Friday, December 31, 2004

Exhibit 99.1

ABGENIX ANNOUNCES 2004 FOURTH QUARTER AND FULL YEAR
FINANCIAL RESULTS

FREMONT, Calif., February 22, 2005 - Abgenix, Inc. (Nasdaq:ABGX) today reported financial results for the fourth quarter and full year ended December 31, 2004.

For the quarter ended December 31, 2004, the company reported a net loss of $42.9 million or $0.48 per share, compared to a net loss of $53.0 million or $0.60 per share for the same period in 2003.  The net loss for the fourth quarter of 2003 included a $7.9 million impairment charge related to an investment.  The company ended 2004 with $416.3 million in cash, cash equivalents and marketable securities.

Revenues for the fourth quarter of 2004 were $5.9 million, compared to $6.4 million for the same period in 2003.  Contract revenues for the quarter ended December 31, 2004 primarily consisted of milestones and fees from technology licensing agreements, including milestones from Human Genome Sciences, Chiron and CuraGen for advancing XenoMouse®-derived antibodies into the clinical phase.  The company’s revenues typically result from milestone payments and fees associated with various collaborations and technology licensing agreements.

Operating expenses for the fourth quarter of 2004 were $47.2 million, compared to $51.8 million for the same period in 2003.  The majority of fourth quarter 2004 research and development costs related to advancement of the company’s proprietary clinical product candidates, including its lead oncology product candidate, panitumumab, and ABX-PTH, an antibody for secondary hyperparathyroidism (SHPT).  Included in both periods were manufacturing start-up costs related to operating the company’s antibody production facility.  A portion of the costs associated with this facility will continue to be classified as manufacturing start-up costs until the facility is operating at normal capacity.

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