CALGARY, March 2 /PRNewswire-FirstCall/ – Oncolytics Biotech Inc.
(TSX:ONC, NASDAQ:ONCY) (“Oncolytics” or the “Company”) today reported its
financial results for the year ended December 31, 2006.
“The past year has been an exciting and productive one for Oncolytics,”
said Dr. Brad Thompson, President and CEO of Oncolytics Biotech Inc. “In 2006,
we presented positive clinical results from local and systemic administrations
trials using REOLYSIN(R), commenced our Phase II combination REOLYSIN(R) and
radiation clinical program and received approval to begin our combination
REOLYSIN(R) program with approved chemotherapeutics.”
Selected Highlights:
- Expanded the clinical program with the approval and commencement of
enrolment for a Phase II combination REOLYSIN(R)/radiation trial in
the U.K., approval and commencement of a Phase Ib
REOLYSIN(R)/radiation trial in the U.K., commencement of a Phase I/II
recurrent malignant glioma trial in the U.S., and approval for three
combination REOLYSIN(R) and chemotherapy trials in the U.K.;
- Completed enrolment of two Phase I systemic administration trials in
the U.S. and the U.K;
- Presented positive final results of a Canadian Phase I recurrent
malignant glioma trial and positive interim results of a U.K. Phase I
systemic administration trial at the American Society of Clinical
Oncology (ASCO) annual meeting and positive interim results of a
Phase Ia combination REOLYSIN(R) and radiation clinical trial at the
American Association for Cancer Research (AACR) annual meeting;
- Presented promising preclinical research at the EORTC-NCI-AACR
Symposium on Molecular Targets and Cancer Therapeutics in the area of
co-therapy with chemotherapeutic agents and at the AACR Annual
Meeting on the anti-tumour activity of reovirus in vitro and in vivo
in childhood sarcoma cell lines;
- Presented additional preclinical research on the interaction of
reovirus and the immune system in 2006 at the British Society of Gene
Therapy in London, U.K. and the European National Societies of
Immunology in Paris, France and in early 2007 at the Academic &
Research Surgery Conference in Cambridge, U.K.;
- Strengthened the Board of Directors with the appointments of
Dr. Ed Levy and Mr. Ger van Amersfoort;
- Expanded the Company's intellectual property portfolio with the issue
of four additional U.S. patents and one more Canadian patent in 2006,
and an 18th U.S. patent in early 2007;
- Announced in January 2007 that Ms. Mary Ann Dillahunty had been
appointed to the Company's management team as Vice President,
Intellectual Property; and,
- Announced in February 2007 the closing of a public offering that
provided gross proceeds of $12 million to the Company.
Oncolytics Biotech Inc.
BALANCE SHEETS
As at December 31
2006 2005
$ $
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ASSETS
Current
Cash and cash equivalents 3,491,511 3,511,357
Short-term investments 24,122,237 36,894,810
Accounts receivable 84,003 47,390
Prepaid expenses 638,540 540,368
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28,336,291 40,993,925
Property and equipment 149,596 189,863
Intellectual property 5,079,805 5,110,538
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33,565,692 46,294,326
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LIABILITIES AND SHAREHOLDERS' EQUITY
Current
Accounts payable and accrued liabilities 2,616,421 1,692,481
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Alberta Heritage Foundation loan 150,000 150,000
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Commitments and contingency
Shareholders' equity
Share capital
Authorized: unlimited
Issued: 36,520,748 (2005 - 36,236,748) 83,083,271 82,841,871
Warrants 4,216,740 4,429,932
Contributed surplus 8,529,326 7,912,584
Deficit (65,030,066) (50,732,542)
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30,799,271 44,451,845
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33,565,692 46,294,326
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Oncolytics Biotech Inc.
STATEMENTS OF LOSS AND DEFICIT
For the periods ended December 31
Cumulative
from
inception
on April 2,
1998 to
December 31,
2006 2005 2004 2006
$ $ $ $
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Revenue
Rights revenue - - - 310,000
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- - - 310,000
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Expenses
Research and
development 10,535,689 9,308,977 7,107,998 43,371,194
Operating 3,630,144 3,083,372 2,803,669 16,770,581
Stock based
compensation 403,550 64,104 2,668,570 4,165,649
Foreign exchange loss 35,270 253,608 358,068 648,848
Amortization -
intellectual property 874,043 786,459 686,717 4,036,834
Amortization -
capital assets 52,637 69,532 65,039 407,683
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15,531,333 13,566,052 13,690,061 69,400,789
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15,531,333 13,566,052 13,690,061 69,090,789
Interest income (1,233,809) (783,456) (699,757) (4,803,005)
Gain on sale of BCY
LifeSciences Inc. - (765) (34,185) (299,403)
Loss on sale of
Transition
Therapeutics Inc. - - - 2,156,685
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Loss before taxes 14,297,524 12,781,831 12,956,119 66,145,066
Future income tax
recovery - - - (1,115,000)
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Net loss for the year 14,297,524 12,781,831 12,956,119 65,030,066
Deficit, beginning
of year 50,732,542 37,950,711 24,994,592 -
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Deficit, end of year 65,030,066 50,732,542 37,950,711 65,030,066
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Basic and diluted
loss per share (0.39) (0.39) (0.45)
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Oncolytics Biotech Inc.
STATEMENTS OF CASH FLOWS
For the periods ended December 31
Cumulative
from
inception
on April 2,
1998 to
December 31,
2006 2005 2004 2006
$ $ $ $
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OPERATING ACTIVITIES
Net loss for the year (14,297,524) (12,781,831) (12,956,119) (65,030,066)
Deduct non-cash items
Amortization -
intellectual
property 874,043 786,459 686,717 4,036,834
Amortization -
capital assets 52,637 69,532 65,039 407,683
Stock based
compensation 403,550 64,104 2,668,570 4,165,649
Other non-cash
items - 224,508 379,895 1,383,537
Net changes in
non-cash working
capital 811,922 584,766 (69,065) 1,904,921
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Cash used in
operating activities (12,155,372) (11,052,462) (9,224,963) (53,131,442)
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INVESTING ACTIVITIES
Intellectual property (842,610) (1,033,035) (958,809) (5,499,280)
Capital assets (35,837) (61,309) (15,230) (623,348)
Purchase of
short-term
investments (1,035,427) (22,195,253) (6,777,179) (48,119,467)
Redemption of
short-term
investments 13,808,000 6,656,746 3,114,000 23,578,746
Investment in BCY
LifeSciences Inc. - 7,965 133,609 464,602
Investment in
Transition
Therapeutics Inc. - - - 2,532,343
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Cash used in
investing
activities 11,894,126 (16,624,886) (4,503,609) (27,666,404)
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FINANCING ACTIVITIES
Alberta Heritage
Foundation loan - - - 150,000
Proceeds from
exercise of stock
options and warrants 241,400 3,384,787 8,121,296 15,208,468
Proceeds from private
placements - 15,395,402 6,223,763 38,137,385
Proceeds from public
offerings - - 9,150,902 30,793,504
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Cash provided by
financing activities 241,400 18,780,189 23,495,961 84,289,357
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Increase (decrease)
in cash and cash
equivalents during
the period (19,846) (8,897,159) 9,767,389 3,491,511
Cash and cash
equivalents,
beginning of the
period 3,511,357 12,408,516 2,641,127 -
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Cash and cash
equivalents, end of
the period 3,491,511 3,511,357 12,408,516 3,491,511
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Cash interest
received 940,100 993,097 459,757
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To view the Notes to the Company’s Financial Statements and Management’s
Discussion and Analysis, please see the Company’s 2006 Annual Filings which
will be available on www.sedar.com.
About Oncolytics Biotech Inc.
Oncolytics is a Calgary-based biotechnology company focused on the
development of oncolytic viruses as potential cancer therapeutics. Oncolytics’
clinical program includes a variety of Phase I and Phase II human trials using
REOLYSIN(R), its proprietary formulation of the human reovirus, alone and in
combination with radiation or chemotherapy. For further information about
Oncolytics please visit www.oncolyticsbiotech.com
This press release contains forward-looking statements, within the meaning
of Section 21E of the Securities Exchange Act of 1934, as amended.
Forward-looking statements, including the Company’s belief as to the potential
of REOLYSIN(R) as a cancer therapeutic; the Company’s expectations as to the
success of its research and development programs in 2007 and beyond, the
Company’s planned expansion, the value of the additional patents and
intellectual property; the Company’s expectations related to the applications
of the patented technology; the ability of the technology to strengthen the
core technology; the Company’s expectations as to adequacy of its existing
capital resources; the design, timing, success of planned clinical trial
programs and the Company’s planned expansion of such programs; and other
statements related to anticipated developments in the Company’s business and
technologies involve known and unknown risks and uncertainties, which could
cause the Company’s actual results to differ materially from those in the
forward-looking statements. Such risks and uncertainties include, among
others, the availability of funds and resources to pursue research and
development projects, the efficacy of REOLYSIN(R) as a cancer treatment, the
success and timely completion of clinical studies and trials, the Company’s
ability to successfully commercialize REOLYSIN(R), uncertainties related to
the research and development of pharmaceuticals, uncertainties related to the
regulatory process and general changes to the economic environment. Investors
should consult the Company’s quarterly and annual filings with the Canadian
and U.S. securities commissions for additional information on risks and
uncertainties relating to the forward-looking statements. Investors are
cautioned against placing undue reliance on forward-looking statements. The
Company does not undertake to update these forward-looking statements.
SOURCE Oncolytics Biotech Inc.
Released March 2, 2007