Berlin, November 09, 2009 – MOLOGEN AG made significant clinical advances in the third quarter of the current fiscal year: The primary study objectives were reached in the phase 1b clinical trial for the anti-cancer drug MGN1703. The biopharmaceutical company intends to submit an application to commence a phase 2 study on the efficacy of MGN1703 in the treatment of metastasized colorectal cancer by the end of this year.

 

MOLOGEN also succeeded in the US market, being granted a patent from the United States Patent and Trademark Office for the company's cell-based gene therapy against cancer. This US patent is of key importance for future out-licensing of another highly innovative product candidate.

 

Business development

As in the same period last year, sales revenue in the first nine months of 2009 was low at 0.05 EUR million, in line with expectations. Other operating income was up substantially on the prior-year level, increasing to EUR 0.3 million through grants totaling EUR 0.02 million.

 

During the reporting period, the net loss of EUR -4.6 million improved to EUR -3.6 million. The earnings results are primarily attributable to the rise in other income alongside lower costs of materials and a decrease in other operating expenses.

 

The decline in cost of materials was due mainly to a reduction in purchases of services and raw materials. Other operating expenses were lower primarily as a result of cutting back the use of consulting services. Also the personnel expenses stayed with 1.6 million slightly below last year’s figures.  

 

Future success built on R&D

The MOLOGEN corporate strategy is aimed at achieving high returns over the medium to long term through research and development of an innovative product pipeline. In order to accomplish this goal, continued expenditure and investment will be required throughout the remainder of 2009 – which will rule out positive earnings in the near-term.

 

During the nine-month period, MOLOGEN’s spending on research and development was on track at EUR 2.4 million, after EUR 3.1 million in the same period last year.