Thursday, Apr 29, 1982
South San Francisco, Calif. -- April 29, 1982 --Genentech, Inc. reported revenues of $6.5 million for the 1982 first quarter, up 65 percent from $3.9 million for the same period of the previous year.
Expenses during the quarter increased to $6.4 million from $3.8 million for the first quarter of 1981. Net income for the quarter ended March 30, 1982 was $50,000 or $.01 per share. Due to substantial investments in product development and facility expansion, the Company says it expects to operate near the break-even point for the year.
Genentech, Inc. and Corning Glass Works recently announced they had formed a jointly owned company to produce enzymes for the food processing and chemical industries. The new company, Genencor, Inc., will combine genetic engineering and enzymes for current markets and for entirely new applications. Corning Glass Works will become an equity investor in Genentech in a private placement of 571,000 shares of common stock which will be purchased over the next 2 years.
The relationship with Corning is another major step in Genentech's development of products for industrial chemical markets which began with the formation of a biocatalysis research group in 1981.
Genentech has developed a series of products for the pharmaceutical and agricultural industries. Among the human health care products, insulin, growth hormone and interferons are in various stages of clinical studies. Human insulin is expected to be commercially available later this year.
Scientists at Genentech reported at a March interferon conference that they had successfully engineered microbes to produce bovine interferon, a potential treatment of virus-related diseases in cattle. This is the Company's fourth animal health care product.
The Company's headquarters are located at 460 Point San Bruno Blvd., South San Francisco, California.
# # #
CONDENSED CONSOLIDATED INCOME STATEMENTS
(in thousands, except per share amounts)
|First Quarter Ended March 31||1982||1981|
(a) Tax-loss carry-forward