Tengion Reports Fourth Quarter and Full Year 2011 Financial Results
-- Company Announces Significant Advances in Neo-Urinary Conduit™ and Neo-Kidney Augment™ Programs --
WINSTON-SALEM, NC, March 26, 2012 -- Tengion, Inc. (NASDAQ: TNGN), a leader in regenerative medicine, today reported its financial results for the year ended December 31, 2011 and provided a business and clinical update detailed in a separate press release issued today, in which the Company reported that it has made significant advances in its two lead programs.
“We have made significant progress advancing our Neo-Urinary Conduit and Neo-Kidney Augment programs and I believe we have created strong momentum to build upon as we continue to execute on our aggressive development goals in 2012,” stated John L. Miclot, President and Chief Executive Officer of Tengion. “A fourth patient has now been enrolled and implanted in our Neo-Urinary Conduit clinical trial and we have submitted a pre-Investigational New Drug filing to FDA for our Neo-Kidney Augment one quarter ahead of schedule.”
For the year ended December 31, 2011, the Company reported an adjusted net loss of $24.4 million, or $1.13 per basic and diluted common share, compared with an adjusted net loss of $25.8 million, or $2.80 per basic and diluted common share, for the same period in 2010.
The decreased adjusted net loss for the 2011 period was primarily due to a decrease in interest expense of $1.2 million resulting from lower average debt balances outstanding in 2011, and a decrease in depreciation expense of $1.7 million resulting from both a change in the estimated useful life of leasehold improvements at the Company’s leased facility in Winston-Salem, North Carolina and the impairment of the Company’s leased facility in East Norriton, Pennsylvania. These decreases were offset in part by increased general and administrative expense of $1.2 million related to restructuring charges incurred during 2011 and an increase in research and development expense of $0.4 million primarily due to increased preclinical study costs associated with the Company’s Neo-Kidney Augment program. The adjusted net loss per basic and diluted common share for the year ended December 31, 2011 was significantly affected by the issuance of common stock in connection with equity financings completed in April 2010 and March 2011.
For the quarter ended December 31, 2011, the Company reported an adjusted net loss of $6.2 million, or $0.26 per basic and diluted common share, compared with an adjusted net loss of $5.9 million, or $0.48 per basic and diluted common share, for the same period in 2010.