EX-99.1 3 f89845exv99w1.txt EXHIBIT 99.1 EXHIBIT 99.1 FOR IMMEDIATE RELEASE Contact: Julie Wood, Senior Director Corporate Communications (650) 623 0654 CALIPER TECHNOLOGIES ANNOUNCES FIRST QUARTER 2003 FINANCIAL RESULTS COMPANY REDUCES WORKFORCE BY 10% MOUNTAIN VIEW, CA, MAY 6, 2003 -- Caliper Technologies Corp. (NASDAQ:CALP) today announced its first quarter 2003 financial results. For the quarter ended March 31, 2003, the company reported a net loss of $10.0 million, or $0.40 per share, as compared to a net loss of $9.7 million, or $0.40 per share, in the comparable period last year. Total revenue for the first quarter of 2003 was $5.6 million as compared $4.9 million in the fourth quarter of 2002. On a year-over-year basis, total first quarter 2003 revenue was down from $7.0 million in the first quarter of 2002. Of the $1.4 million year-over-year decline, total revenue from Amphora Discovery Corp., a related party, decreased $1.1 million, and the remaining difference was from lower drug discovery product revenue from unrelated customers. Total product revenue increased 26% to $3.5 million in the first quarter of 2003 from $2.8 million in the fourth quarter of 2002. Product sales from Caliper's collaboration with Agilent increased 22% in the first quarter of 2003 over the fourth quarter of 2002. However, total product revenue in the first quarter of 2003 declined from $4.6 million in the first quarter of 2002. The year-over-year change was primarily due to a decrease in product sales to Amphora, and to a lesser extent, to decreased sales of Caliper's drug discovery products to unrelated customers. This decrease was offset in part by the continuing growth of product sales from the company's commercial collaboration with Agilent Technologies, Inc., which increased by 65% in the first quarter of 2003 as compared to the same period last year. Licensing and contract revenue in the first quarter of 2003 was $2.1 million, essentially unchanged from the fourth quarter of 2002. In the first quarter of 2002, licensing and contract revenue was $2.5 million. The year-over-year decrease was driven by $356,000 in reduced assay and application development services from Amphora, as most contracted services were completed last year. Operating expenses of $14.2 million for the first quarter of 2003 were essentially unchanged as compared to the fourth quarter of 2002, but decreased 12% from $16.2 million in the first quarter of 2002. The year-over-year decrease was primarily due to lower wage and benefits costs resulting from a reduction in research personnel, as well as reduced technical services and supplies costs offset in part by higher product marketing and depreciation expense. Research and development costs decreased to $9.4 million in the first quarter of 2003 from $11.1 million in the first quarter of last year. This was primarily due to lower wage and benefits costs resulting from a reduction in research personnel carried out last September, as well as reduced technical services and supplies costs due to a more streamlined product development effort. This decrease was offset in part by higher depreciation expense. Selling, general and administrative expenses decreased slightly to $4.6 million in the first quarter of 2003, from $4.7 million in the same period last year. This resulted from reduced facilities and administrative costs offset in part by higher depreciation and product marketing expenses. As a part of the company's ongoing assessment of its cost structure and research programs, Caliper conducted a reduction in force today that eliminated approximately 26 positions, or 10% of its workforce. The estimated annual savings from this action will be $2.6 million, predominantly in research and development expense. As a result of this action, the company expects to take a restructuring charge of approximately $286,000 in the second quarter of 2003. Interest income in the first quarter of 2003 was $921,000 as compared to $2.4 million in the comparable period last year. The change in interest income was due to decreasing interest rates, as well as to a decrease in cash balances. Cash and investments totaled $144 million at March 31, 2003. Caliper will webcast its first quarter 2003 conference call discussing financial results and reviewing the company's strategic plans. The live webcast of this conference will begin at 5:00 PM ET (2:00 PM PT) today. Participants should visit the following address (www.companyboardroom.com) several minutes prior to the call and follow the instructions provided. Those unable to listen to the call at the scheduled time will be able to access a recording of the proceedings by using the same address or by visiting Caliper's web site (www.calipertech.com/investor/call_archive.html). ABOUT CALIPER Caliper Technologies Corp. is a leader in microfluidic lab-on-a-chip technology. Caliper designs, manufactures, and commercializes LabChip devices and systems that enable experiments that ordinarily require laboratories full of equipment and people to be conducted on a chip. The chip contains a network of microscopic channels through which fluids and chemicals are moved in order to perform the experiment. The LabChip system is designed to streamline and accelerate laboratory experimentation and has potential applicability in a broad range of areas including the pharmaceutical, diagnostic, and chemical industries. 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 web site at www.calipertech.com. The statements in this news release regarding the estimated annual savings from Caliper's reduction in force, as well as the size of the restructuring charge that Caliper expects to take in the second quarter of 2003 as a result of this action, are "forward-looking statements" that are subject to risks and uncertainties. Actual results could differ materially from those contemplated by the forward-looking statements. Further information on potential factors that could affect Caliper's financial results are included in risks detailed in Caliper's Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 28, 2003. This filing is available on a web site maintained by the Securities and Exchange Commission at http://www.sec.gov. Caliper does not undertake an obligation to update forward-looking or other statements in this release or the conference call. LabChip is a registered trademark of Caliper Technologies Corp. -- Financials Attached -- CALIPER TECHNOLOGIES CORP. SELECTED FINANCIAL INFORMATION (In thousands, except per share amounts)
CONSOLIDATED STATEMENTS OF OPERATIONS March 31, 2003 2002 ---------------- -------------- REVENUES: Product revenue $ 2,910 $ 3,196 Product revenue - related party 578 1,356 --------------- -------------- Subtotal product revenue 3,488 4,552 License fees and contract revenue 2,116 2,125 Contract revenue - related party 8 364 --------------- -------------- Subtotal license fees and contract revenue 2,124 2,489 TOTAL REVENUES 5,612 7,041 COST OF GOODS SOLD: Cost of product revenue 2,220 2,093 Cost of product revenue - related party 78 444 --------------- -------------- TOTAL COST OF GOODS SOLD 2,298 2,537 GROSS MARGIN 3,314 4,504 OPERATING EXPENSES: Research and development 9,411 11,052 Selling, general and administrative 4,569 4,657 Amortization of deferred stock compensation 188 446 --------------- -------------- TOTAL OPERATING EXPENSES 14,168 16,155 --------------- -------------- LOSS FROM OPERATIONS (10,854) (11,651) INTEREST INCOME, NET 921 2,431 OTHER EXPENSE/LOSS, NET (35) (466) --------------- -------------- NET LOSS ATTRIBUTABLE TO COMMON STOCKHOLDERS $ (9,968) $ (9,686) =============== ============== NET LOSS PER SHARE - BASIC AND DILUTED $ (0.40) $ (0.40) =============== ============== Shares used in computing net loss per share - basic and diluted 24,713 24,237
CONSOLIDATED BALANCE SHEETS March 31, December 31, ------------------------------------- 2003 2002 ---------------- -------------- ASSETS CURRENT ASSETS: Cash and cash equivalents $ 6,872 $ 16,184 Short-term marketable securities 137,126 138,139 Accounts receivable, net 2,328 1,754 Due from related party, net 263 115 Inventories 4,734 5,964 Other current assets 2,384 1,508 ---------------- ------------- TOTAL CURRENT ASSETS 153,707 163,664 PROPERTY AND EQUIPMENT, NET 11,035 12,545 OTHER ASSETS 3,445 3,669 ---------------- ------------- TOTAL ASSETS $ 168,187 179,878 ================ ============= LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES $ 6,856 $ 8,081 LONG-TERM OBLIGATIONS 3,556 4,239 STOCKHOLDERS' EQUITY 157,775 167,558 ---------------- ------------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 168,187 $ 179,878 ================ =============