CRANBURY, N.J., Nov. 16 /PRNewswire-FirstCall/ -- Palatin
Technologies, Inc. (NYSE Amex: PTN) today announced results for its
quarter ended September 30, 2009. Palatin reported a net loss of
$37,000, or $(0.00) per basic and diluted share, for the quarter
ended September 30, 2009, compared to a net loss of $4.3 million,
or $(0.05) per basic and diluted share, for the same period in
2008. Total revenues in the quarter ended September 30, 2009 were
$3.7 million, compared to $754,000 for the same period in 2008. The
decrease in net loss for the quarter ended September 30, 2009,
compared to the same period last fiscal year, was primarily due to
an increase in revenue recognized under Palatin's license and
clinical trial agreements with AstraZeneca AB (AstraZeneca) and a
net decrease in operating expenses resulting from strategic
restructuring and refocusing of Palatin's clinical-stage
development programs in 2008. In September 2009, Palatin and
AstraZeneca signed an amendment to their exclusive research
collaboration and license agreement to discover, develop and
commercialize compounds that target melanocortin receptors for
treatment of obesity and related indications. Under the terms of
the amendment to the parties' collaboration agreement, AstraZeneca
has agreed to make a $2.5 million payment (received October 2009)
and, subject to completion of certain tasks relating to the
program, $2.5 million in the first quarter of calendar year 2010.
Under the amendment, the terms of the original collaboration and
license agreement signed in January 2007 relating to milestone
payments and royalty rates were restructured. As of September 30,
2009, Palatin's cash, cash equivalents and investments totaled $7.7
million, compared to $7.8 million at June 30, 2009. LICENSE AND
CONTRACTS For the quarter ended September 30, 2009, Palatin
recognized $3.7 million of contract revenue under its collaboration
agreement with AstraZeneca, compared to $746,000 for the same
period in 2008. Based on the September 2009 amendment, Palatin will
provide research services to AstraZeneca through January 2010.
Accordingly, contract revenue is being recognized over the
estimated remaining performance period. COSTS AND EXPENSES Total
operating expenses for the quarter ended September 30, 2009 were
$3.8 million compared to $5.1 million for the comparable quarter of
2008, primarily due to a strategic restructuring and refocusing of
Palatin's clinical-stage development programs. Palatin
Technologies' management will discuss the first quarter financial
results for the fiscal year ending June 30, 2010 and provide an
update on corporate developments during a conference call and
webcast on November 16, 2009 at 11:00 a.m. ET. Conference Call /
Webcast Palatin will host a conference call and webcast on November
16, 2009 at 11:00 a.m. Eastern Time to discuss its first quarter of
fiscal year 2010 financial results. Individuals interested in
listening to the conference call live can dial 888-801-6504
(domestic) or 913-312-4376 (international), passcode 8561334. The
webcast and replay can be accessed by logging on to the
"Investor/Media Center-Webcasts" section of Palatin's website at
http://www.palatin.com/. A telephone and webcast replay will be
available approximately one hour after the completion of the call.
To access the telephone replay, dial 888-203-1112 (domestic) or
719-457-0820 (international), passcode 8561334. The webcast and
telephone replay will be available through November 23, 2009. About
Palatin Technologies, Inc. Palatin Technologies, Inc. is a
biopharmaceutical company focused on discovering and developing
targeted, receptor-specific small molecule and peptide
therapeutics. Palatin's strategy is to develop products and then
form marketing collaborations with industry leaders in order to
maximize their commercial potential. For additional information
regarding Palatin, please visit Palatin Technologies' website at
http://www.palatin.com/. Forward-looking Statements Statements
about future expectations of Palatin Technologies, Inc., including
statements about its development programs, proposed indications for
its product candidates, pre-clinical activities, marketing
collaborations, and all other statements in this document other
than historical facts, are "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933, Section 21E
of the Securities Exchange Act of 1934 and as that term is defined
in the Private Securities Litigation Reform Act of 1995. Palatin
intends that such forward-looking statements be subject to the safe
harbors created thereby. Palatin's actual results may differ
materially from those discussed in the forward-looking statements
for various reasons, including, but not limited to Palatin's
ability to fund development of its technology, ability to establish
and successfully complete clinical trials and pre-clinical studies
and the results of those trials and studies, dependence on its
partners for certain development activities, need for regulatory
approvals and commercial acceptance of its products, ability to
protect its intellectual property, and other factors discussed in
Palatin's periodic filings with the Securities and Exchange
Commission. Palatin is not responsible for updating for events that
occur after the date of this press release. PALATIN TECHNOLOGIES,
INC. and Subsidiary Consolidated Statements of Operations
(unaudited) Three Months Ended September 30,
------------------------------- 2009 2008 ---- ---- REVENUES
$3,662,619 $753,846 ---------- -------- OPERATING EXPENSES:
Research and development 2,669,564 3,657,999 General and
administrative 1,153,731 1,456,848 --------- --------- Total
operating expenses 3,823,295 5,114,847 --------- --------- Loss
from operations (160,676) (4,361,001) -------- ---------- OTHER
INCOME (EXPENSE): Investment income 33,312 82,980 Interest expense
(4,701) (4,494) Gain on sale of supplies 95,000 - ------ ------
Total other income, net 123,611 78,486 ------- ------ NET LOSS
$(37,065) $(4,282,515) ======== =========== Basic and diluted net
loss per common share $(0.00) $(0.05) ======= ======= Weighted
average number of common shares outstanding used in computing basic
and diluted net loss per common share 91,306,223 85,524,316
========== ========== PALATIN TECHNOLOGIES, INC. and Subsidiary
Consolidated Balance Sheets (unaudited) September 30, June 30, 2009
2009 ------------- ------------ ASSETS Current assets: Cash and
cash equivalents $4,188,173 $4,378,662 Available-for-sale
investments 3,466,673 3,439,650 Accounts receivable 3,233,278
508,528 Prepaid expenses and other current assets 364,239 492,824
------- ------- Total current assets 11,252,363 8,819,664 Property
and equipment, net 3,338,705 3,650,783 Restricted cash 475,000
475,000 Other assets 250,022 254,364 ------- ------- Total assets
$15,316,090 $13,199,811 =========== =========== LIABILITIES AND
STOCKHOLDERS' EQUITY Current liabilities: Capital lease obligations
$45,154 $87,675 Accounts payable 410,984 206,363 Accrued expenses
1,048,974 1,420,741 Deferred revenue 6,311,416 6,955,553 ---------
--------- Total current liabilities 7,816,528 8,670,332 Capital
lease obligations 29,224 33,954 Deferred rent 1,056,673 1,182,026
--------- --------- Total liabilities 8,902,425 9,886,312 ---------
--------- Stockholders' equity: Preferred stock of $.01 par value -
authorized 10,000,000 shares; Series A Convertible; issued and
outstanding 4,997 shares as of September 30, 2009 and June 30,
2009, respectively 50 50 Common stock of $.01 par value -
authorized 150,000,000 shares; issued and outstanding 96,155,249
and 86,662,901 shares as of September 30, 2009 and June 30, 2009,
respectively 961,552 866,629 Additional paid-in capital 212,727,664
209,712,379 Accumulated other comprehensive income 143,134 116,111
Accumulated deficit (207,418,735) (207,381,670) ------------
------------- Total stockholders' equity 6,413,665 3,313,499
--------- --------- Total liabilities and stockholders' equity
$15,316,090 $13,199,811 =========== =========== DATASOURCE: Palatin
Technologies, Inc. CONTACT: Investors, Stephen T. Wills, CPA, MST,
EVP-Operations, Chief Financial Officer of Palatin Technologies,
Inc., +1-609-495-2200, , or Media, Carney Noensie, Vice President,
Investor Relations of Burns McClellan for Palatin Technologies,
Inc., +1-212-213-0006, Web Site: http://www.palatin.com/
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