La Jolla Pharmaceutical Company Announces Financial Results for the Three Months Ended March 31, 2021 and Highlights Corporate Progress
La Jolla Pharmaceutical Company (Nasdaq: LJPC) reported significant financial results for Q1 2021, achieving total revenue of $34.1 million, up from $7.6 million in Q1 2020. The net income was $14.4 million, or $0.42 per diluted share, contrasting with a net loss of $(8.6) million in the prior year. Notable milestones included a $3 million payment related to XERAVA's NDA submission in China and a $22.5 million upfront payment from PAION for GIAPREZA and XERAVA in Europe. Operating cash flow improved to $17.2 million from $(12.2) million year-over-year.
- Total revenue increased to $34.1 million, up from $7.6 million in Q1 2020.
- Achieved a net income of $14.4 million, reversing a loss of $8.6 million from the previous year.
- $3 million milestone payment for XERAVA's NDA submission in China received.
- $22.5 million upfront payment from PAION for GIAPREZA and XERAVA in Europe.
- Net product sales slightly declined for GIAPREZA, falling to $6.9 million from $7.6 million year-over-year.
La Jolla Pharmaceutical Company (Nasdaq: LJPC), which is dedicated to the development and commercialization of innovative therapies that improve outcomes in patients suffering from life-threatening diseases, today announced financial results for the three months ended March 31, 2021 and highlighted corporate progress.
Corporate Progress
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Operating Cash Flow Improved: La Jolla’s net cash provided by (used for) operating activities for the three months ended March 31, 2021 was
$17.2 million , compared to$(12.2) million for the same period in 2020. La Jolla’s net cash provided by (used for) operating activities excluding net receipts in connection with license agreements and payments related to reductions in headcount for the three months ended March 31, 2021 was$(1.8) million , compared to$(9.2) million for the same period in 2020. -
$3.0 Million Milestone Payment Associated with NDA Submission for XERAVA™ (Eravacycline) in China by Licensee Everest Received: In March 2021, under its license agreement with Everest Medicines Limited, the Company received a$3.0 million milestone payment associated with the submission of a New Drug Application (NDA) with the China National Medical Products Administration (NMPA) for XERAVA for the treatment of cIAI in patients in China. The Company previously granted Everest an exclusive license to develop and commercialize XERAVA for the treatment of cIAI and other indications in mainland China, Taiwan, Hong Kong, Macau, South Korea, Singapore, the Malaysian Federation, the Kingdom of Thailand, the Republic of Indonesia, the Socialist Republic of Vietnam and the Republic of the Philippines. The Company is eligible to receive an additional$8.0 million regulatory milestone payment and up to an aggregate of$20.0 million in sales milestone payments. The Company is also entitled to receive royalties from Everest on sales, if any, by Everest of products containing eravacycline. -
License Agreement for GIAPREZA™ (Angiotensin II) and XERAVA in Europe, which Included a
$22.5 Million Upfront Payment, Executed with PAION: In January 2021, the Company entered into a license agreement with PAION AG to commercialize GIAPREZA and XERAVA in the European Economic Area, the United Kingdom and Switzerland. Pursuant to the agreement: (i) the Company has received an upfront cash payment of$22.5 million , less a15% refundable withholding tax; and (ii) the Company is entitled to receive potential commercial milestone payments of up to$109.5 million and royalties on net sales of GIAPREZA and XERAVA.
“We are pleased to report continued progress toward our goal of becoming cash flow positive from operations,” said Larry Edwards, President and Chief Executive Officer of La Jolla. “The filing of an NDA for XERAVA in China by our licensee Everest and the execution of our license agreement with PAION for GIAPREZA and XERAVA in Europe position us well to serve the needs of patients suffering from life-threatening diseases globally while significantly strengthening our balance sheet. We continue to focus on growing net sales of both GIAPREZA and XERAVA while managing operating costs.”
Financial Results
For the three months ended March 31, 2021, La Jolla’s total revenue was
La Jolla’s net income (loss) for the three months ended March 31, 2021 was
As of March 31, 2021 and December 31, 2020, La Jolla had cash and cash equivalents of
La Jolla’s net cash provided by (used for) operating activities for the three months ended March 31, 2021 was
About GIAPREZA
GIAPREZA™ (angiotensin II) injection is approved by the U.S. Food and Drug Administration (FDA) as a vasoconstrictor indicated to increase blood pressure in adults with septic or other distributive shock. GIAPREZA is approved by the European Commission (EC) for the treatment of refractory hypotension in adults with septic or other distributive shock who remain hypotensive despite adequate volume restitution and application of catecholamines and other available vasopressor therapies. GIAPREZA mimics the body’s endogenous angiotensin II peptide, which is central to the renin-angiotensin-aldosterone system, which in turn regulates blood pressure. Prescribing information for GIAPREZA is available at
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