Caliper Technologies Corp. Announces First Quarter 2001 Financial Results

Operating Loss of $0.05 per Share Offset By Positive Effect of Comprehensive

Litigation Settlement



Apr 30, 2001, 01:00 ET from Caliper Technologies Corp.

    MOUNTAIN VIEW, Calif., April 30 /PRNewswire/ --
 Caliper Technologies Corp. (Nasdaq:   CALP) today announces its first quarter
 financial results for 2001.  For the quarter ended March 31, 2001, the company
 reported net income of $26.4 million, or $1.03 per diluted share as compared
 to a net loss of $8.3 million, or $0.40 per diluted share for the same period
 last year after consideration of the company's adoption of Staff Accounting
 Bulletin 101 (SAB 101) in the first quarter of 2000. In the first quarter, the
 company recognized $27.5 million, or $1.07 per diluted share for the dismissal
 of all suits and countersuits between the company and Aclara Biosciences.
 Excluding the effects of this settlement, the first quarter of 2001 would have
 been a net loss of $1.1 million, or $0.05 per diluted share.
     Total revenues were $9.8 million for the quarter ended March 31, 2001, as
 compared to $3.9 million in the same period in 2000, representing a 150%
 increase.  Of the increase, $5.0 million is attributable to the initial
 licensing of the "Ramsey" family of patents to Aclara Biosciences.  The
 remaining increase is principally attributed to product sales associated with
 the company's commercial collaboration with Agilent Technologies.  Operating
 expenses for the first quarter of 2001 were $13.8 million, an increase of
 $2.5 million over the comparative first quarter of 2000, primarily due to
 expanded research and development activities.  Also contributing to expenses
 were additional administrative costs from increased marketing efforts offset
 by reduced expenses associated with deferred stock compensation.  Cash and
 investments totaled $184.2 million at March 31, 2001. In the quarter, the
 company received 900,000 shares of common stock from Aclara Biosciences,
 which, along with an accompanying letter of credit, has a guaranteed aggregate
 value of $32.5 million for the company which is reflected in other assets on
 the company's Balance Sheet.
     "Our strong overall financial performance was in line with our
 expectations for the quarter and shows positive trends in our business year
 over year," said Jim Knighton, Executive Vice President and Chief Financial
 Officer. "In this quarter, licensing revenue increased as a component of our
 overall revenue, consistent with our strategy to expand our revenue sources.
 Revenue from Technology Access Program customers in the form of licensing and
 subscription fees and chip and instrument purchases, as well as product sales
 of the Agilent 2100 Bioanalyzer and R&D funding from Agilent were the other
 major revenue contributors, while sales of the recently launched AMS 90 and
 the Applications Developer Program made contributions.  Our expenses and use
 of cash were consistent with our goals to invest in high value R&D programs,
 to continue to expand our highly skilled workforce and to build our commercial
 infrastructure while managing our burn rate."
     "Our first quarter 2001 performance reflects our ability to introduce new
 commercial programs, expand our product offerings, manage ongoing programs and
 diversify our revenue," said Dan Kisner, M.D., President and Chief Executive
 Officer. "Certainly, one highlight of the quarter was the comprehensive
 litigation settlement we established with Aclara on financial terms that were
 very favorable to Caliper. We believe that this settlement provided
 significant actual and potential commercial upside to Caliper and, at the same
 time, significantly reduced the company's overall risk profile."
     "Among the other highlights of the quarter were increased sales of the
 personal laboratory system, commercialized by Agilent Technologies as the
 2100 Bioanalyzer. Sales in the U.S., Europe and Japan grew significantly, and
 Agilent has recently initiated a sales effort in China, Taiwan, Korea and
 Australia. Sales of LabChip(R) kits are expanding as well, aided by increasing
 uptake of the LabChip(R) Protein 200 kit. The recent introduction of the
 LabChip(R) DNA 1000 kit should enable Agilent to increase the utilization of
 LabChip(R) technology in the DNA array and gene expression markets, where
 today the LabChip(R) DNA 500 kit is most widely used. Later this year, we
 anticipate adding several new LabChip(R) applications, including cell-based
 assays, which we believe will further expand the utility and commercial value
 of this novel product line."
     "In the Technology Access Program for high throughput screening, customers
 are progressively undertaking production screening and increasing utilization
 of chips and instruments," continued Dr. Kisner. "We are aggressively
 marketing the TAP with the goal of expanding our customer base, and are
 undertaking pre-collaboration or pilot studies for several potential
 customers. We are intensifying our sales and marketing efforts with the goal
 of bringing new customers into the program this year.
     "We are seeing significant interest in our new commercial programs, the
 AMS 90 and Applications Developer Program. We shipped our first AMS 90 systems
 this quarter and are actively marketing this system to the biopharmaceutical
 industry. We anticipate adding a protein assay for the AMS 90 later in 2001.
 We are also seeing growing interest in the ADP from within the
 biopharmaceutical industry as well as other markets, including the federal
 government, where researchers want to apply LabChip(R) solutions to difficult
 experimental challenges. We hope to establish several of these relationships
 throughout the year. In the first quarter, we shipped our first microfluidics
 development workstation, the Caliper 42, to GlaxoSmithKline.
     "We are also making progress in our development-stage programs, SNP
 genotyping and the LibraryCard(TM) reagent array which, together with novel
 applications that we believe will emerge from our ADP collaborations, will
 help keep our LabChip(R) product pipeline well stocked.
     "We believe that our commercial traction will build during the next
 several quarters and strengthen our ability to meet the aggressive financial
 goals we have set for 2001. We are undertaking new initiatives with respect to
 our high throughput product offerings, as well as our other direct commercial
 efforts, that we anticipate will further the penetration of LabChip(R)
 products into the biopharmaceutical industry, increase the demand for our
 chips and instruments, and strengthen our leadership in microfluidic chip
 technology."
     Caliper Technologies Corp. is a leader in lab-on-a-chip technology.
 Caliper designs, manufactures, and commercializes LabChip(R) devices and
 systems that enable experiments that ordinarily require laboratories full of
 equipment and people to be conducted on a chip small enough to fit in the palm
 of a child's hand.  The chip contains a network of microscopic channels
 through which fluids and chemicals are moved in order to perform the
 experiment. The LabChip(R) systems are designed to streamline and accelerate
 laboratory experimentation and have potential applicability in a broad range
 of industries including pharmaceuticals, agriculture, chemicals and
 diagnostics. Caliper has established multiple strategic and commercial
 alliances and has built a leading intellectual property estate in microfluidic
 technology. For more information, please visit Caliper's new web site at
 www.calipertech.com.
     Note:  This news release contains forward-looking statements that involve
 risks and uncertainties. Caliper has identified these forward-looking
 statements by using the words "believe," "anticipate," "will," "should,"
 "hope," and "goal." These statements include Caliper's expectations as to its
 future financial performance and revenue diversification, its expectations
 regarding the introduction of additional applications for the Agilent 2100
 Bioanalyzer and the AMS 90, its expectations concerning new programs such as
 the AMS 90, ADP, SNP genotyping and LibraryCard(TM) reagent array, and its
 expectations as to the addition of new ADP customers.  Actual results may
 differ materially from Caliper's beliefs and expectations as a result of
 numerous risks and uncertainties, including the risks:  that Caliper's
 LabChip(R) systems are new and may not achieve market acceptance; that Caliper
 and its customers may encounter technical or other difficulties preventing or
 delaying the introduction of new products or enhancements; recent economic
 conditions may limit capital expenditures by Caliper's customers and potential
 customers; and that Caliper's customers may not perform under the agreements
 as Caliper expects.  These and other risks related to Caliper are detailed in
 Caliper's Annual Report on Form 10-K, filed on March 16, 2001, under the
 caption "Risks Related to our Business" in "Management's Discussion and
 Analysis of Financial Condition and Results of Operations."
     NOTE:  LabChip, Caliper and the Caliper logo are registered trademarks of
 Caliper Technologies Corp.
 
                             CALIPER TECHNOLOGIES CORP.
                           SELECTED FINANCIAL INFORMATION
                      (In thousands, except per share amounts)
 
 
     STATEMENTS OF OPERATIONS                            Three Months Ended
                                                               March 31,
                                                         2001           2000
 
     Revenue                                           $9,793         $3,912
 
     Costs and expenses:
       Research and development                         9,831          7,091
       General and administrative                       3,190          2,713
       Amortization of deferred stock compensation        768          1,446
 
     Total costs and expenses                          13,789         11,250
 
     Operating loss                                   (3,996)        (7,338)
 
     Interest income, net                               2,900          1,338
 
     Litigation settlement                             27,500             --
 
 
     Net income/(loss) before accounting change        26,404        (6,000)
 
     Cumulative effect of a change in
      accounting principle                                 --        (2,294)
 
     Net income/(loss)                                $26,404       $(8,294)
 
     Net income/(loss) per share -- basic
       Net income/(loss) before accounting change       $1.11        $(0.29)
       Cumulative effect of a change in
        accounting principle                               --         (0.11)
       Net income/(loss)                                $1.11        $(0.40)
 
     Shares used in computing net
      income/(loss) per share - basic                  23,835         20,887
 
     Net income/(loss) per share -- diluted
       Net income/(loss) before accounting change      $ 1.03        $(0.29)
       Cumulative effect of a change
        in accounting principle                            --         (0.11)
       Net income/(loss)                                $1.03        $(0.40)
 
     Shares used in computing net
      income/(loss) per share -- diluted               25,681         20,887
 
 
     BALANCE SHEET                                  March 31,   December 31,
                                                         2001           2000
     Cash, cash equivalents and
      short-term marketable securities               $127,908       $142,597
     Other current assets                               7,614          7,467
     Long-term marketable securities                   56,326         49,102
     Property and equipment, net                       10,193          9,101
     Other assets                                      36,619          4,247
 
     Total assets                                    $238,660       $212,514
 
 
     Current liabilities                               $9,450        $11,691
     Long-term obligations                              4,378          4,366
     Stockholders' equity                             224,832        196,457
 
     Total liabilities and stockholders' equity      $238,660       $212,514
 
                      MAKE YOUR OPINION COUNT - Click Here
                http://tbutton.prnewswire.com/prn/11690X57654111
 
 

SOURCE Caliper Technologies Corp.
    MOUNTAIN VIEW, Calif., April 30 /PRNewswire/ --
 Caliper Technologies Corp. (Nasdaq:   CALP) today announces its first quarter
 financial results for 2001.  For the quarter ended March 31, 2001, the company
 reported net income of $26.4 million, or $1.03 per diluted share as compared
 to a net loss of $8.3 million, or $0.40 per diluted share for the same period
 last year after consideration of the company's adoption of Staff Accounting
 Bulletin 101 (SAB 101) in the first quarter of 2000. In the first quarter, the
 company recognized $27.5 million, or $1.07 per diluted share for the dismissal
 of all suits and countersuits between the company and Aclara Biosciences.
 Excluding the effects of this settlement, the first quarter of 2001 would have
 been a net loss of $1.1 million, or $0.05 per diluted share.
     Total revenues were $9.8 million for the quarter ended March 31, 2001, as
 compared to $3.9 million in the same period in 2000, representing a 150%
 increase.  Of the increase, $5.0 million is attributable to the initial
 licensing of the "Ramsey" family of patents to Aclara Biosciences.  The
 remaining increase is principally attributed to product sales associated with
 the company's commercial collaboration with Agilent Technologies.  Operating
 expenses for the first quarter of 2001 were $13.8 million, an increase of
 $2.5 million over the comparative first quarter of 2000, primarily due to
 expanded research and development activities.  Also contributing to expenses
 were additional administrative costs from increased marketing efforts offset
 by reduced expenses associated with deferred stock compensation.  Cash and
 investments totaled $184.2 million at March 31, 2001. In the quarter, the
 company received 900,000 shares of common stock from Aclara Biosciences,
 which, along with an accompanying letter of credit, has a guaranteed aggregate
 value of $32.5 million for the company which is reflected in other assets on
 the company's Balance Sheet.
     "Our strong overall financial performance was in line with our
 expectations for the quarter and shows positive trends in our business year
 over year," said Jim Knighton, Executive Vice President and Chief Financial
 Officer. "In this quarter, licensing revenue increased as a component of our
 overall revenue, consistent with our strategy to expand our revenue sources.
 Revenue from Technology Access Program customers in the form of licensing and
 subscription fees and chip and instrument purchases, as well as product sales
 of the Agilent 2100 Bioanalyzer and R&D funding from Agilent were the other
 major revenue contributors, while sales of the recently launched AMS 90 and
 the Applications Developer Program made contributions.  Our expenses and use
 of cash were consistent with our goals to invest in high value R&D programs,
 to continue to expand our highly skilled workforce and to build our commercial
 infrastructure while managing our burn rate."
     "Our first quarter 2001 performance reflects our ability to introduce new
 commercial programs, expand our product offerings, manage ongoing programs and
 diversify our revenue," said Dan Kisner, M.D., President and Chief Executive
 Officer. "Certainly, one highlight of the quarter was the comprehensive
 litigation settlement we established with Aclara on financial terms that were
 very favorable to Caliper. We believe that this settlement provided
 significant actual and potential commercial upside to Caliper and, at the same
 time, significantly reduced the company's overall risk profile."
     "Among the other highlights of the quarter were increased sales of the
 personal laboratory system, commercialized by Agilent Technologies as the
 2100 Bioanalyzer. Sales in the U.S., Europe and Japan grew significantly, and
 Agilent has recently initiated a sales effort in China, Taiwan, Korea and
 Australia. Sales of LabChip(R) kits are expanding as well, aided by increasing
 uptake of the LabChip(R) Protein 200 kit. The recent introduction of the
 LabChip(R) DNA 1000 kit should enable Agilent to increase the utilization of
 LabChip(R) technology in the DNA array and gene expression markets, where
 today the LabChip(R) DNA 500 kit is most widely used. Later this year, we
 anticipate adding several new LabChip(R) applications, including cell-based
 assays, which we believe will further expand the utility and commercial value
 of this novel product line."
     "In the Technology Access Program for high throughput screening, customers
 are progressively undertaking production screening and increasing utilization
 of chips and instruments," continued Dr. Kisner. "We are aggressively
 marketing the TAP with the goal of expanding our customer base, and are
 undertaking pre-collaboration or pilot studies for several potential
 customers. We are intensifying our sales and marketing efforts with the goal
 of bringing new customers into the program this year.
     "We are seeing significant interest in our new commercial programs, the
 AMS 90 and Applications Developer Program. We shipped our first AMS 90 systems
 this quarter and are actively marketing this system to the biopharmaceutical
 industry. We anticipate adding a protein assay for the AMS 90 later in 2001.
 We are also seeing growing interest in the ADP from within the
 biopharmaceutical industry as well as other markets, including the federal
 government, where researchers want to apply LabChip(R) solutions to difficult
 experimental challenges. We hope to establish several of these relationships
 throughout the year. In the first quarter, we shipped our first microfluidics
 development workstation, the Caliper 42, to GlaxoSmithKline.
     "We are also making progress in our development-stage programs, SNP
 genotyping and the LibraryCard(TM) reagent array which, together with novel
 applications that we believe will emerge from our ADP collaborations, will
 help keep our LabChip(R) product pipeline well stocked.
     "We believe that our commercial traction will build during the next
 several quarters and strengthen our ability to meet the aggressive financial
 goals we have set for 2001. We are undertaking new initiatives with respect to
 our high throughput product offerings, as well as our other direct commercial
 efforts, that we anticipate will further the penetration of LabChip(R)
 products into the biopharmaceutical industry, increase the demand for our
 chips and instruments, and strengthen our leadership in microfluidic chip
 technology."
     Caliper Technologies Corp. is a leader in lab-on-a-chip technology.
 Caliper designs, manufactures, and commercializes LabChip(R) devices and
 systems that enable experiments that ordinarily require laboratories full of
 equipment and people to be conducted on a chip small enough to fit in the palm
 of a child's hand.  The chip contains a network of microscopic channels
 through which fluids and chemicals are moved in order to perform the
 experiment. The LabChip(R) systems are designed to streamline and accelerate
 laboratory experimentation and have potential applicability in a broad range
 of industries including pharmaceuticals, agriculture, chemicals and
 diagnostics. Caliper has established multiple strategic and commercial
 alliances and has built a leading intellectual property estate in microfluidic
 technology. For more information, please visit Caliper's new web site at
 www.calipertech.com.
     Note:  This news release contains forward-looking statements that involve
 risks and uncertainties. Caliper has identified these forward-looking
 statements by using the words "believe," "anticipate," "will," "should,"
 "hope," and "goal." These statements include Caliper's expectations as to its
 future financial performance and revenue diversification, its expectations
 regarding the introduction of additional applications for the Agilent 2100
 Bioanalyzer and the AMS 90, its expectations concerning new programs such as
 the AMS 90, ADP, SNP genotyping and LibraryCard(TM) reagent array, and its
 expectations as to the addition of new ADP customers.  Actual results may
 differ materially from Caliper's beliefs and expectations as a result of
 numerous risks and uncertainties, including the risks:  that Caliper's
 LabChip(R) systems are new and may not achieve market acceptance; that Caliper
 and its customers may encounter technical or other difficulties preventing or
 delaying the introduction of new products or enhancements; recent economic
 conditions may limit capital expenditures by Caliper's customers and potential
 customers; and that Caliper's customers may not perform under the agreements
 as Caliper expects.  These and other risks related to Caliper are detailed in
 Caliper's Annual Report on Form 10-K, filed on March 16, 2001, under the
 caption "Risks Related to our Business" in "Management's Discussion and
 Analysis of Financial Condition and Results of Operations."
     NOTE:  LabChip, Caliper and the Caliper logo are registered trademarks of
 Caliper Technologies Corp.
 
                             CALIPER TECHNOLOGIES CORP.
                           SELECTED FINANCIAL INFORMATION
                      (In thousands, except per share amounts)
 
 
     STATEMENTS OF OPERATIONS                            Three Months Ended
                                                               March 31,
                                                         2001           2000
 
     Revenue                                           $9,793         $3,912
 
     Costs and expenses:
       Research and development                         9,831          7,091
       General and administrative                       3,190          2,713
       Amortization of deferred stock compensation        768          1,446
 
     Total costs and expenses                          13,789         11,250
 
     Operating loss                                   (3,996)        (7,338)
 
     Interest income, net                               2,900          1,338
 
     Litigation settlement                             27,500             --
 
 
     Net income/(loss) before accounting change        26,404        (6,000)
 
     Cumulative effect of a change in
      accounting principle                                 --        (2,294)
 
     Net income/(loss)                                $26,404       $(8,294)
 
     Net income/(loss) per share -- basic
       Net income/(loss) before accounting change       $1.11        $(0.29)
       Cumulative effect of a change in
        accounting principle                               --         (0.11)
       Net income/(loss)                                $1.11        $(0.40)
 
     Shares used in computing net
      income/(loss) per share - basic                  23,835         20,887
 
     Net income/(loss) per share -- diluted
       Net income/(loss) before accounting change      $ 1.03        $(0.29)
       Cumulative effect of a change
        in accounting principle                            --         (0.11)
       Net income/(loss)                                $1.03        $(0.40)
 
     Shares used in computing net
      income/(loss) per share -- diluted               25,681         20,887
 
 
     BALANCE SHEET                                  March 31,   December 31,
                                                         2001           2000
     Cash, cash equivalents and
      short-term marketable securities               $127,908       $142,597
     Other current assets                               7,614          7,467
     Long-term marketable securities                   56,326         49,102
     Property and equipment, net                       10,193          9,101
     Other assets                                      36,619          4,247
 
     Total assets                                    $238,660       $212,514
 
 
     Current liabilities                               $9,450        $11,691
     Long-term obligations                              4,378          4,366
     Stockholders' equity                             224,832        196,457
 
     Total liabilities and stockholders' equity      $238,660       $212,514
 
                      MAKE YOUR OPINION COUNT - Click Here
                http://tbutton.prnewswire.com/prn/11690X57654111
 
 SOURCE  Caliper Technologies Corp.