Monday, Aug 3, 1981
South San Francisco, Calif. -- August 3, 1981 --Genentech, Inc. reported revenues of $5.04 million for the second quarter of 1981, up 173 percent from $1.85 million for the same period at the previous year.
Expenses during the second quarter increased to $4.96 million from $2.07 million for the second quarter of 1980.
Net income was $76,000 or 1 cent per share in the second quarter of 1981, compared with a loss of $199,000 or 3 cents per share for the same period of 1980. The net income result includes the benefit from utilization of net operating loss carry forwards. Robert A. Swanson, President of the genetic engineering company, stated, "As expansion of research, product development and manufacturing continues, the company may experience earnings fluctuations and possible losses on a quarterly basis. These short term operating results can occur as a result of contract payment receipts relating to the timing of research benchmarks and, therefore, are not considered an indication of our progress. Genentech continues to make good progress in its product development programs and we expect to meet our goal of operating at or near the break-even point for 1981."
Three products developed by Genentech, human insulin, leukocyte interferon and human growth hormone, are undergoing human clinical studies. During the second quarter, the Company's vaccine against foot and mouth disease demonstrated effectiveness in animal studies conducted by the U.S. Department of Agriculture. This is Genentech's second product developed for the agricultural industry. The first, bovine growth hormone, was announced earlier this year.GENENTECH, INC. FINANCIAL RESULTS
|Quarter June 30||1981||1980|
|Net Income (loss)||75,661 (a)||(199,208)|
|Net Income (loss) Per Share||.01 (a)||(.03)|
|Six Months June 30|
|Net Income||208,444 (a)||80,802 (a)|
|Net Income Per Share||.03 (a)||.01 (a)|
(a) Includes benefit of utilization of net operating loss carryforward
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