online.wsj.com/article/PR-CO-20131114-913833.html?dsk=y
Elite Pharmaceuticals, Inc. Reports Financial Results for the Second Quarter of Fiscal Year 2014
Revenues Increase by 83%, Product Development Accelerating
Conference Call Scheduled for Monday, November 18 at 3:00 PM ET
NORTHVALE, N.J., Nov. 14, 2013 (GLOBE NEWSWIRE) -- Elite Pharmaceuticals, Inc. (OTCBB:ELTP), a specialty pharmaceutical company dedicated to developing and commercializing oral abuse-resistant controlled release product formulations and the manufacturing of generic pharmaceuticals, announced results for the second quarter of fiscal year 2014 ended September 30, 2013.
Total revenues for the quarter ended September 30, 2013 were $1.2 million, an increase of 83% from the prior year. This growth is attributed to the recent launch of 3 new products, Naltrexone 50mg in the September quarter and Phentermine 15mg and 30mg capsules in the June quarter, combined with strong year-on-year growth of Elite's Phentermine 37.5mg tablets, Hydromorphone 8mg tablets and contract manufactured Methadone 10mg product lines.
Consolidated quarterly loss from operations was $0.7 million, and GAAP net income, including non-cash income related to the accounting treatment of preferred share and warrant derivatives was a net loss of $9.6 million. Basic and diluted loss per share was $(0.02) on a weighted average 422.0 million common shares outstanding. Elite's operations incurred a $1.3 million negative cash flow for the six months ended September 30, 2013, due in large part to the cost of significantly expanded product development activities.
Subsequent to the end of the quarter, Elite executed a manufacturing and license agreement with Epic Pharma LLC, wherein Elite grants manufacturing and distribution rights to Epic in relation to the 12 approved ANDA's acquired by Elite in August 2013. Epic will have exclusive licenses to 6 of these approved ANDA's and non-exclusive licenses to the remaining 6 approved ANDA's. Pursuant to this agreement, Elite will receive various milestone payments and profit splits from sales of these products. Elite expects this agreement to begin generating revenues during the quarter ended December 31, 2013.
"In addition to launching a new product and substantially increasing our revenues, we have set in motion several initiatives that will have significant impact on Elite's future," commented Nasrat Hakim, President and CEO of Elite. "During this quarter, we acquired 12 new approved products, greatly accelerated the development of our abuse resistant technology and are on schedule for clinical trials to begin this year."
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