10-K/A

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                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                          ---------------------------


                                  FORM 10-K/A


[x]      ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
         EXCHANGE ACT OF 1934

         For the fiscal year ended December 31, 1995

[ ]      TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
         AND EXCHANGE ACT OF 1934

         For the transition period from                    to 
                                        ------------------    -----------------

Commission file number                0-17254                    
                       --------------------------------------------------------

                             NOVEN PHARMACEUTICALS, INC.                
- -------------------------------------------------------------------------------
             (Exact name of registrant as specified in its charter)


             Delaware                                     59-2767632         
- -------------------------------               ---------------------------------
(State or other jurisdiction of                         (IRS Employer
 incorporation or organization)                      Identification No.)


11960 S.W. 144th Street, Miami, Florida                        33186        
- ------------------------------------------         ----------------------------
(Address of principal executive office)                      (Zip Code)

Registrant's telephone number, including area code: (305)253-5099
                                                    -------------

Securities registered pursuant to Section 12(b) of the Act:


                                      None

Securities registered Pursuant to Section 12(g) of the Act:

                        Common Stock $.0001 Par Value
- -------------------------------------------------------------------------------
                               (Title of class)


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  Research and
    development                               2,164              4,127             5,161              8,036      10,509
  General and
    administrative                            1,133              1,836             2,244              2,805       3,442
                                              -----              -----             -----              -----       -----
         Total                                3,297              5,963             7,405             10,989      18,765

Net loss                                    $(3,098)           $(3,041)          $(3,311)           $(4,944)    $(6,581)
                                            =======            ========          ========           =======     =======
Net loss per share                          $  (.25)           $  (.21)          $  (.21)           $  (.28)       (.34)
                                            ========           =======           ========           =======     =======
Weighted average
  shares of common
  stock and common
  stock equivalents                          12,246             14,761            15,925             17,440      19,237






                                                                             AT DECEMBER 31,               
                                              -----------------------------------------------------------------------
                                              1991              1992              1993               1994        1995
                                              ----              ----              ----               ----        ----
                                                                             (IN THOUSANDS)
                                                                                                 
BALANCE SHEET DATA:
Working capital                             $ 1,946           $ 20,781          $ 14,822           $ 35,047     $ 27,560
Total assets                                  3,534             23,289            29,860             54,365       48,646
Long-term obligations                            --                 --                --                 ----
Accumulated deficit                          (4,186)            (7,228)          (10,539)           (15,483)     (22,063)
Total stockholders'
  equity                                      1,562             20,740            20,693             44,546       38,030



Item 7.  Management's Discussion and Analysis of Financial
         Condition and Results of Operations.

 General

         Since commencing operations in 1987, the Company has been  engaged
primarily in the research and development of transdermal drug delivery systems.
The Company's revenues have been generated principally by license fees,
milestone payments pursuant to various license agreements and interest.  A
significant portion of revenues in 1995, however, is attributable to the
purchase by the Company's licensee partners of transdermal estrogen delivery
systems for commercial sale in Europe and in anticipation of that product's
commercial launch in the United States.


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                                   SIGNATURES


         Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed
on its behalf by the undersigned, thereunto duly authorized.


Date: April 22, 1996                       NOVEN PHARMACEUTICALS, INC.


                                           By:/s/ Steven Sablotsky
                                              ---------------------------
                                              STEVEN SABLOTSKY, Chairman
                                              of the Board and President

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Exhibit
Number                 Description of Document
- ------                 -----------------------

27               Financial Data Schedule (for SEC use only).

EX-27

 

<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS OF NOVEN PHARMACEUTICALS, INC. FOR THE YEAR ENDED DECEMBER
31, 1995, AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL
STATEMENTS.

       
                             
<PERIOD-TYPE>                   YEAR
<FISCAL-YEAR-END>                          DEC-31-1995
<PERIOD-START>                             JAN-01-1995
<PERIOD-END>                               DEC-31-1995
<CASH>                                      16,131,263
<SECURITIES>                                 7,881,397
<RECEIVABLES>                                2,512,561
<ALLOWANCES>                                         0
<INVENTORY>                                  5,069,946
<CURRENT-ASSETS>                            31,853,387
<PP&E>                                      17,506,935
<DEPRECIATION>                               1,974,138
<TOTAL-ASSETS>                              48,645,552
<CURRENT-LIABILITIES>                        4,293,185
<BONDS>                                              0
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                         1,967
<OTHER-SE>                                  38,028,389
<TOTAL-LIABILITY-AND-EQUITY>                48,645,552
<SALES>                                      8,747,965
<TOTAL-REVENUES>                            12,184,341
<CGS>                                        4,814,349
<TOTAL-COSTS>                                4,814,349
<OTHER-EXPENSES>                            10,508,763
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                                   0
<INCOME-PRETAX>                             (6,580,608)
<INCOME-TAX>                                         0
<INCOME-CONTINUING>                         (6,580,608)
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                (6,580,608)
<EPS-PRIMARY>                                     (.34)
<EPS-DILUTED>                                     (.34)