Thurly, as of 3-17-10, Avid was profitable on a standalone-basis. The confusion may lie in the diff. between “Peregrine Corporate” and Avid itself, a wholly-owned subsidiary of Peregrine, who’s P&L is combined into PeregrineInc. on the financials.
CEO STEVE KING, 3-17-10/ROTH, SLIDE18: “We have a profitable CMO, Avid Bioservices. We’ve seen very nice, consistent growth over the past few years. If you take a snapshot of the company over the last 12mos. ended 1-31-2010, our last qtly reporting #’s, Avid provided about $32mm in services. What’s important here is these $32mm in services are all positive, no matter which of the 3 areas they fall into. Obviously, 3rd party work, $15mm over that time period, is important because it brings in revenues to help offset our overall burn rate. The same with the Gov’t Contract work, it’s one of our sub-contractors on our Gov’t Contract – that was another $8mm in services. And about $9mm in services for Peregrine, as we were building inventory, doing scale-up work, and preparing for the later-stage clinical trials. Again, this organization is a commercial mfg. facility since 2005 – we have 2,400L of capacity, and we believe this facility has adequate capacity in which we could potentially launch Bavi out of the facility. Of course, if Bavi is as successful as we believe it could be, we would need to expand the facility and potentially expand it beyond our existing space, so we believe we do have adequate capacity with very minor facility modifications to meet that commercial launch.” http://tinyurl.com/ye9v7jq
= = = = = = = = Here’s the updated PPHM Revs-by-Qtr table, now thru FY11/Q2 (q/e 10-31-10), per the 10-31-10 10-Q ( http://tinyurl.com/2e4rw3p ).
*Avid Standalone Business, adding in Internal+Govt work: from Conf.Calls: #SKing/2-9-10/BioCEO: Avid tot-svcs LTM 10-2009: $33.9mm – split evenly Q3/Q4. %SKing/3-17-10/ROTH: Avid tot-svcs LTM 1-2010: $32.4mm – used to calc. FY10Q3. ...%Q3 $7.15mm could be off given ‘split even’ assumption taken above. ^C.Eso/7-14-10CC: Avid tot-svcs for FY10 were $30mm