PALO ALTO, Calif., Aug. 16, 2013 /PRNewswire/ -- Cellular Biomedicine Group, Inc. (OTCQB: CBMG), a developer of proprietary cell therapies for the treatment of degenerative diseases and cancers, this week reported financial results and business highlights for the quarter and six months ended June 30, 2013.
Cellular Biomedicine Group reported a net loss for the quarter and six months ended June 30, 2013 of $2.5 million, or $0.44 loss per share and $8.4 million, or $1.62 loss per share, respectively, compared to a net loss of $0.9 million, or $0.30 loss per share, and $1.8 million, or $0.63 loss per share, for the same periods a year ago. The increase in net loss from the prior year is primarily due to an increase in general and administrative expenses and research and development expenses.
General and administrative expenses for the quarter and six months ended June 30, 2013 were $1.9 million and $7.0 million, respectively, compared to $0.8 million and $1.5 million for the same periods a year ago. Of the $5.5 million increase in general and administrative expenses for the six months ended June 30, 2013 as compared to the six months ended June 30, 2012, approximately $2.7 million was in the form of cash expenses, which included $1.3 million in merger-related professional fees, and the remainder were in non-cash expenses.
Research and development expenses for the quarter and six months ended June 30, 2013 were $0.6 million and $1.1 million, respectively, compared to $0.06 million and $0.3 million for the same periods a year ago.
Depreciation and amortization expenses for the six months ended June 30, 2013 were $0.4 million, compared to $0.1 million for the same period a year ago.
Other income (expense) for the quarter ended June 30, 2013 was $15,306, compared to $288 for the same period a year ago. Other income (expense) for the six months ended June 30, 2013 were $(307,837), compared to $1,301 for the same period a year ago.
As of June 30, 2013, the company had $2.1 million in cash and cash equivalents. For the six months ended June 30, 2013 and the twelve months ended December 31, 2012, cash used for operations was $4.6 million and $2.0 million, respectively.
During and since the second quarter of 2013, the company has:
- Completed the enrollment required for its Phase I trial to evaluate the safety and preliminary efficacy of the medical technology haMPC (Human Adipose-derived Mesenchymal Progenitor Cells) therapy for Knee Osteoarthritis (KOA)
- Achieved half of the enrollment of the total projected enrollment required for its Phase I trial to evaluate the safety and preliminary efficacy of TC-DC (Tumor Stem Cell Specific Dendritic Cell) therapy for hepatocellular carcinoma (HCC)
- Appointed orthopedic surgeon Maxwell Wang, M.D., PhD, as Director of Medical Research
- Raised $3.0 million in working capital through the issuance of its common stock in July 2013.
"We have accomplished much in the past quarter," said Chairman and CEO Dr. Steve Liu. "The completion and near-completion of enrollment for our KOA and liver cancer trials, respectively, are important achievements. We are very encouraged that the interim data from each trial continues to support the strong safety profile of the therapies, and believe that the efficacy of these therapies combined with our international compliance will position us to become a leading translational cellular medicine platform in China."
About Cellular Biomedicine Group
Cellular Biomedicine Group, Inc. develops proprietary cell therapies for the treatment of certain degenerative diseases and cancers. Our developmental stem cell, progenitor cell, and immune cell projects are the result of research and development by scientists and doctors from China and the United States. Our flagship GMP facility, consisting of eight independent cell production lines, is designed, certified and managed according to U.S. standards. To learn more about CBMG, please visit: www.CellBioMedGroup.com
Statements in this press release relating to plans, strategies, trends, specific activities or investments, and other statements that are not descriptions of historical facts may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking information is inherently subject to risks and uncertainties, and actual results could differ materially from those currently anticipated due to a number of factors, which include, but are not limited to, risk factors inherent in doing business. Forward-looking statements may be identified by terms such as "may," "will," "expects," "plans," "intends," "estimates," "potential," or "continue," or similar terms or the negative of these terms. Although CBMG believes the expectations reflected in the forward-looking statements are reasonable, they cannot guarantee that future results, levels of activity, performance or achievements will be obtained. CBMG does not have any obligation to update these forward-looking statements other than as required by law.
ProActive Capital Group
Director of Corporate Communications, CBMG
+1 650 566 5064
SOURCE Cellular Biomedicine Group