-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, SoD01uv4P4YKIN/6Low/j9DC5i4Hyu15SI0zo9ccnfCS/9mdVAFof37yw6diIrOc +zzfxSd0GUa2LMIiL6SfOA== 0000899243-96-001475.txt : 19961118 0000899243-96-001475.hdr.sgml : 19961118 ACCESSION NUMBER: 0000899243-96-001475 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19960930 FILED AS OF DATE: 19961114 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: ENERGY BIOSYSTEMS CORP CENTRAL INDEX KEY: 0000895677 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-COMMERCIAL PHYSICAL & BIOLOGICAL RESEARCH [8731] IRS NUMBER: 043078857 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-21130 FILM NUMBER: 96663293 BUSINESS ADDRESS: STREET 1: 4200 RESEARACH FOREST DR CITY: THE WOODLANDS STATE: TX ZIP: 77381 BUSINESS PHONE: 7133646100 10-Q 1 FORM 10-Q UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) /X/ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 1996 OR / / TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ___________ Commission file number: 0-21130 ENERGY BIOSYSTEMS CORPORATION (Exact name of registrant as specified in its charter) Delaware 04-3078857 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 4200 Research Forest Drive The Woodlands, Texas 77381 (address of principal executive offices) (zip code) 281-364-6100 (Registrant's telephone number, including area code) Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No ____ As of November 4, 1996, there were outstanding 11,490,770 shares of Common Stock, par value $.01 per share, of registrant. ENERGY BIOSYSTEMS CORPORATION Form 10-Q for the quarter Ended September 30, 1996 INDEX Page ---- PART I. FINANCIAL INFORMATION --------------------- 3 Item 1. Financial Statements Balance Sheets as of September 30, 1996 (unaudited) and December 31, 1995 4 Statements of Operations for the Three and Nine Months Ended September 30, 1996 and 1995 (Unaudited) 5 Statements of Cash Flows for the Nine Months Ended September 30, 1996 and 1995 (Unaudited) 6 Notes to Financial Statements 7 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 8 PART II. OTHER INFORMATION ----------------- Item 6. Exhibits and Reports on Form 8-K 11 SIGNATURES 12 - ------------ 2 ENERGY BIOSYSTEMS CORPORATION PART I. FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS The following unaudited financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and note disclosures normally included in annual financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to those rules and regulations, although the Company believes that the disclosures made herein are adequate to make the information presented not misleading. These financial statements should be read in conjunction with the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 1995. The information presented in the accompanying financial statements is unaudited, but in the opinion of management, reflects all adjustments (which include only normal recurring adjustments) necessary to present fairly such information. 3 ENERGY BIOSYSTEMS CORPORATION BALANCE SHEETS
September 30, December 31, 1996 1995 ------------ ----------- ASSETS (Unaudited) ------ Current Assets: Cash and cash equivalents $ 3,757,680 $ 6,172,400 Short term investments 8,898,829 10,431,444 Prepaid expenses and other current assets 380,430 687,530 ------------ ----------- Total current assets $ 13,036,939 $ 17,291,374 Long term investments -- 2,492,874 Notes receivable 16,603 45,633 Furniture, equipment and leasehold improvements, net 3,175,185 3,322,609 Intangible and other assets, net 779,947 656,961 ------------ ----------- Total assets $ 17,008,674 $ 23,809,451 ============ =========== LIABILITIES & STOCKHOLDERS' EQUITY ---------------------------------- Current liabilities: Accounts payable $ 449,416 $ 494,307 Accrued liabilities 186 97,227 Current portion of deferred revenue 477,000 1,314,000 Current portion of obligations under capital lease 7,861 7,256 Note payable 44,445 294,713 ------------ ----------- Total current liabilities $ 978,908 $ 2,207,503 ------------ ----------- Long term liabilities: Capital lease obligations 5,658 11,632 Deferred revenue -- 13,500 ------------ ----------- Total long term liabilities $ 5,658 $ 25,132 ------------ ----------- Stockholders' equity: Series A Convertible Preferred Stock, $0.01 par value (liquidation value $24,000,000; 508,800 shares authorized. 480,000 shares issued and outstanding) 23,750,954 22,968,152 Common Stock, $0.01 par value (30,000,000 shares authorized, 11,325,210 and 10,584,269 issued and outstanding, respectively) 113,252 105,843 Additional paid-in capital 31,018,064 29,823,343 Accumulated deficit (38,858,162) (31,320,522) ------------ ----------- Total stockholders' equity $ 16,024,108 $ 21,576,816 ------------ ----------- Total liabilities and stockholder's equity $ 17,008,674 $ 23,809,451 ============ ===========
The accompanying notes are an integral part of these financial statements. 4 ENERGY BIOSYSTEMS CORPORATION STATEMENTS OF OPERATIONS (Unaudited)
Three Nine Months Ended Months Ended September 30, September 30, 1996 1995 1996 1995 -------- --------- --------- --------- REVENUES: Sponsored research revenues $ 437,273 $ 498,706 $ 1,318,780 $ 1,227,427 Interest and investment income 178,194 540,051 654,236 1,275,280 --------- ----------- ------------ ----------- Total Revenues 615,467 1,038,757 1,973,016 2,502,707 --------- ----------- ------------ ----------- COSTS AND EXPENSES: Research and development 2,108,329 1,902,881 5,963,391 5,321,536 General and administrative 600,796 643,484 1,927,267 2,177,300 --------- ----------- ------------ ----------- Total costs and expenses 2,709,125 2,546,365 7,890,658 7,498,836 --------- ----------- ------------ ----------- NET LOSS $(2,093,658) $(1,507,608) $ (5,917,642) $ (4,996,129) --------- ----------- ------------ ----------- NET LOSS PER COMMON SHARE $(0.24) $(0.21) $(0.70) $(0.67) ========= =========== ============ =========== SHARES USED IN COMPUTING NET LOSS PER COMMON SHARE 11,319,087 10,239,617 11,185,015 10,148,008 ========= =========== ============ ===========
The accompanying notes are an integral part of these financial statements. 5 ENERGY BIOSYSTEMS CORPORATION STATEMENTS OF CASH FLOWS (Unaudited)
Nine Months Ended September 30, 1996 1995 --------- --------- CASH FLOWS FROM OPERATING ACTIVITES: Net Loss $(5,917,642) $(4,996,129) Adjustments to reconcile net loss to net cash provided (used) in operating activities: Depreciation and amortization 795,690 689,523 Compensation expense related to stock options, and stock issued for services rendered -- 62,500 Changes in assets and liabilities: Decrease (increase) in trading securities 2,946,555 (11,354,606) Decrease (increase) in prepaid expenses and other current assets 307,100 (267,368) Increase in intangible and other assets and notes receivable (104,486) (152,554) Decrease in accounts payable and accrued liabilities (141,930) (458,559) Increase (decrease) in deferred revenues (850,500) (850,500) ------------ ------------ Net cash provided (used) in operating activities (2,965,213) (17,327,693) ------------ ------------ CASH FLOWS FROM INVESTING ACTIVITIES: Capital expenditures (637,736) (1,381,562) Net sale (purchase) of investments 1,078,934 (7,216,716) ------------ ------------ Net cash used in investing activities 441,198 (8,598,278) ------------ ------------ CASH FLOWS FROM FINANCING ACTIVITIES: Payment on capital lease obligations (5,369) (9,619) Payment on notes payable (326,468) (318,402) Issuance of notes payable 76,200 85,522 Issuance of stock, net 364,932 127,945 ------------ ------------ Net cash provided (used) by financing activities 109,295 (114,554) ------------ ------------ NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (2,414,720) (26,040,525) CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD 6,172,400 28,283,809 ------------ ------------ CASH AND CASH EQUIVALENTS AT END OF PERIOD $ 3,757,680 $ 2,243,284 ============ ============
The accompanying notes are an integral part of these financial statements. 6 ENERGY BIOSYSTEMS CORPORATION Note 1. Basis of Presentation and Significant Accounting Policies Energy BioSystems Corporation (the "Company"), formerly Environmental BioScience Corporation, was incorporated in the State of Delaware on December 20, 1989. Since inception, the Company has devoted substantially all of its efforts to research and development. The Company's revenues consist of sponsored research revenues and interest income. Management of the Company anticipates continued operating losses for at least the next several years. The accompanying unaudited interim financial statements reflect all adjustments which, in the opinion of management, are necessary for a fair presentation of the results for the interim periods presented. These financial statements should be read in conjunction with the Company's Annual Report on Form 10-K, as filed with the Securities and Exchange Commission, for the fiscal year ended December 31, 1995. Net Loss Per Common Share Net loss per share has been computed by dividing the net loss, which has been increased for periodic accretion and accrued dividends on the Series A Convertible Preferred Stock issued in October 1994, by the weighted average number of shares of common stock outstanding during the period. In all applicable periods, common stock equivalents were antidilutive and, accordingly, were not included in the computation. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Note 2. Series A Convertible Preferred Stock In October 1994, the Company offered and sold 480,000 shares of Series A Convertible Preferred Stock ("Preferred Stock") at $50.00 per share in a private placement. The net proceeds from the offering were approximately $22.2 million. The placement agents for the Preferred Stock received warrants to purchase an aggregate of 28,800 shares of Preferred Stock at an exercise price of $50.00 per share of Preferred Stock in addition to customary commissions. Dividends on the Preferred Stock are cumulative and payable semi- annually from October 27, 1994, at an annual rate equal to $4.00 per share if paid in cash and $4.50 per share if paid in common stock. During the second quarter of 1996, the Company paid $1,080,000 in dividends by issuing 153,907 shares of common stock. The shares of Preferred Stock are convertible into shares of the Company's common stock at the option of the holder at a conversion price equal to $8.25 per share of common stock, subject to adjustment for certain circumstances. The Preferred Stock, if not redeemed earlier, must be redeemed on November 7, 1999 at the redemption price. The redemption price, which is equal to $50.00 per share plus accrued and unpaid dividends, may be paid in shares of common stock or cash or in a combination of common stock and cash, at the Company's option. It is the Company's intent, however, to redeem the Preferred Stock for common stock. Accordingly, the Preferred Stock is included in stockholders' equity. 7 ENERGY BIOSYSTEMS CORPORATION The carrying amount of the Preferred Stock is increased for accrued and unpaid dividends plus periodic accretion, using the effective interest method, such that the carrying amount will equal the redemption amount on November 7, 1999. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATION Overview Since its inception in December 1989, the Company has devoted substantially all resources to its research and development. To date, all of the Company's revenues have resulted from interest income and sponsored research payments from collaborative agreements. The Company has incurred cumulative net losses since inception and expects to incur substantial losses for at least the next several years, due primarily to the increase in its research and development activities and acceleration of the development of its biocatalyst, fermentation and bioreactor programs. The Company expects that losses will fluctuate from quarter to quarter and that such fluctuations may be substantial. As of September 30, 1996, the Company's accumulated deficit was $38,858,162. Results of Operations The Company had total revenues for the nine months ended September 30, 1996 and 1995 of $1,973,016 and $2,502,707, respectively. The decrease resulted primarily from a decrease in interest and investment income, partially offset by an increase in sponsored research revenues. The Company had sponsored research revenues of $1,318,780 during the first nine months of 1996 as compared to $1,227,427 during the first nine months of 1995. The Company recognized revenues of $850,500 under its research collaboration agreement with Petrolite Corporation ("Petrolite") for each of the nine month periods ended September 30, 1996 and 1995. Payments under the Petrolite agreement were initiated on April 1, 1992 and the final payment was received in March 1994. Revenue attributable to the Petrolite agreement, however, is recognized ratably over the period for which research and development costs are incurred under the terms of the agreement. As of September 30, 1996, an aggregate of $297,000 of the payments received under the Petrolite agreement was classified as deferred revenue and will be recognized as revenue in future periods. The increase of $91,353 in sponsored research revenues resulted from the Company's receipt of sponsored research revenue of $150,000 from an agreement with Carbide/Graphite Group, Inc. ("Carbide/Graphite") during the first nine months of 1996 offset in part by a decrease in the sponsored research revenues received from a National Institute of Standards and Technology ("NIST") grant from $376,927 for the nine months ended September 30, 1995 to $318,280 for the nine months ended September 30, 1996. Interest and other investment income decreased by $621,044 for the first nine months of 1996 compared to the first nine months of 1995 primarily as a result of the decrease in the available cash from which interest and other investment income are generated. The Company had total revenues for the three months ended September 30, 1996 and 1995 of $615,467 and $1,038,757, respectively. The Company had sponsored research revenues 8 ENERGY BIOSYSTEMS CORPORATION of $437,273 during the third quarter of 1996 as compared to $498,706 during the third quarter of 1995. The decrease in sponsored research revenues of $61,433 for the third quarter of 1996 compared to the third quarter of 1995 is attributable to the decrease in expenditures reimbursable from a NIST grant. Interest and other investment income decreased by $361,857 for the three months ended September 30, 1996 compared to the third quarter of 1995 as a result of the decrease in available cash from which interest and other investment income are generated. The Company had research and development expenses for the three months ended September 30, 1996 and 1995 of $2,108,329 and $1,902,881, respectively, and for the nine months ended September 30, 1996 and 1995 of $5,963,391 and $5,321,536, respectively. The increase in research and development expenses of $205,448 and $641,855, respectively for the three and nine months ended September 30, 1996 as compared to the corresponding prior year periods resulted primarily from the addition of 16 research and development personnel and laboratory expansion. The Company expects its research and development expenses to increase during the remainder of 1996, reflecting increased expenditures related to hiring additional personnel and an approximate 4,500 square foot expansion of the Company's laboratory facilities completed at the end of the first quarter of 1996. The Company had general and administrative expenses for the three months ended September 30, 1996 and 1995 of $600,796 and $643,484, respectively, and for the nine months ended September 30, 1996 and 1995 of $1,927,267 and $2,177,300, respectively. The decrease of $42,688 for the three months ended September 30, 1996 as compared to the third quarter of 1995 resulted from a decrease in travel and professional fees. The decrease of $250,033 for the nine months ended September 30, 1996 as compared to the corresponding prior year period resulted primarily from a decrease in professional fees related to the adoption of the stock rights plan in the prior year. The Company expects a slight increase in its general and administrative expenses during the remainder of 1996 in support of its expanded research activities and corporate development activities. Liquidity and Capital Resources The Company completed its initial public offering in March 1993 resulting in net cash proceeds of approximately $14.9 million. In October 1994 the Company privately placed 480,000 shares of its Series A Convertible Preferred Stock resulting in net cash proceeds of approximately $22.2 million. Dividends on the Preferred Stock are cumulative from the date of the initial closing, October 27, 1994, and are payable in cash or common stock of the Company, or a combination thereof, at an annual rate equal to $4.00 per share if paid in cash and $4.50 per share if paid in common stock. The shares of Preferred Stock are convertible into shares of the Company's common stock at the option of the holder at a conversion price equal to $8.25 per share of common stock, subject to adjustment in certain circumstances. During the second quarter of 1996 the Company paid $1,080,000 in dividends by issuing 153,907 shares of common stock. Prior to its initial public offering, the Company had financed its operations through private placements of equity securities, revenues from collaborative research agreements and interest income earned on the net proceeds from these private placements. 9 ENERGY BIOSYSTEMS CORPORATION For the nine months ended September 30, 1996, the Company used $5,911,768 of net cash in operating activities (excluding the net sales and purchases of trading securities), incurred $637,736 in capital expenditures and received $109,295 from financing activities. At September 30, 1996, the Company had cash, cash equivalents, and short term investments totaling $12,565,509 and working capital of $12,058,031. The Company intends to spend approximately $145,000 during the remainder of 1996 for the purchase of laboratory and analytical instrumentation. The Company also expects to incur substantial additional research and development expenses, including expenses associated with biocatalyst, fermentation and bioreactor development. The Company has funding commitments through 1996 requiring the Company to spend approximately $12,000 under research and development agreements. The Company also expects its general and administrative expenses to increase as its adds marketing, sales and other personnel and prepares for the commercialization of its proprietary biocatalytic desulfurization ("BDS") technology. To supplement its research and development budgets, the Company intends to seek additional collaborative research and development agreements with corporate partners. In this regard, the Company has entered into collaborative agreements with The Petrolite Corporation, the Exploration and Production Technology Division of Texaco, Inc., Total Raffinage Distribution S.A., The M. W. Kellogg Company, Koch Refining Company and Carbide/Graphite Group, Inc., among others, as more fully described in the Company's Annual Report on Form 10-K for the year ended December 31, 1995. The Company believes that its available cash, investments and interest income will be adequate to satisfy its funding needs through late 1997 to early 1998. The Company's future funding requirements will depend on many factors, including the progress of the Company's research and development, timing of environmental regulations, the rate of technological advances, determinations as to the commercial potential of the Company's technology under development, the status of competitive technology, the establishment of biocatalyst manufacturing capacity or third-party manufacturing arrangements and the establishment of collaborative relationships. The Company may seek additional funding through public or private financings, including equity financings, and through collaborative arrangements. Forward Looking Statements This Form 10-Q includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical facts included in this Form 10-Q are forward- looking statements. The expectations reflected in the forward-looking statements are based on the Company's current views with respect to future events as well as assumptions made by and information currently available to management. Important factors that could cause actual results to differ materially from expectations ("Cautionary Statements") are disclosed in this Form 10-Q and in the Company's Annual Report on Form 10-K for the year ended December 31, 1995 (the "Form 10-K"), including without limitation under the caption "Liquidity and Capital Resources" included in this Form 10-Q and under the caption "Item 1. Business - Risk Factors" in the Form 10-K. All subsequent written and oral forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by the Cautionary Statements. 10 ENERGY BIOSYSTEMS CORPORATION PART II. OTHER INFORMATION ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K a. Exhibits 11.1 Statement regarding Computation of Per Share Earnings. 27.1 Financial Data Schedule. b. Reports on Form 8-K None. 11 ENERGY BIOSYSTEMS CORPORATION SIGNATURES ---------- Pursuant to the requirements 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. Energy BioSystems Corporation By: /s/ JOHN H. WEBB _____________________________________________________________ John H. Webb President and Chief Executive Officer Date: November 14, 1996 By: /s/ PAUL G. BROWN, III _____________________________________________________________ Paul G. Brown III Vice President, Finance and Administration Date: November 14, 1996 12 ENERGY BIOSYSTEMS CORPORATION INDEX TO EXHIBITS Exhibit Page Number Description of Exhibits Number - -------- ------------------------ ------- 11.1 Statement regarding Computation of Per Share Earnings 14 27.1 Financial Data Schedule 20 13 EX-11.1 2 COMPUTATION OF PER SHARES EARNINGS ENERGY BIOSYSTEMS CORPORATION EXHIBIT 11.1 STATEMENT REGARDING COMPUTATION OF PER SHARE EARNINGS ----------------------------------------------------- The following schedules reflect the information used in calculating the number of shares in the computation of net loss per share for each of the periods set forth in the Statements of Operations. 14 ENERGY BIOSYSTEMS CORPORATION COMPUTATION OF PER SHARE EARNINGS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1996 WEIGHTED AVERAGE SHARES OUTSTANDING: TOTAL # DAYS SHARES OUTSTANDING - ------------------------------------- 10,584,268 x 23 = 243,438,164 11,107,568 x 14 = 155,505,952 11,139,268 x 27 = 300,760,236 11,140,768 x 8 = 89,126,144 11,142,868 x 55 = 612,857,740 11,301,975 x 28 = 316,455,300 11,302,025 x 16 = 180,832,400 11,303,525 x 7 = 79,124,675 11,309,295 x 1 = 11,309,295 11,309,355 x 5 = 56,546,775 11,310,855 x 7 = 79,175,985 11,311,955 x 5 = 56,559,775 11,316,955 x 4 = 45,267,820 11,318,210 x 28 = 316,909,880 11,320,010 x 4 = 45,280,040 11,320,210 x 23 = 260,364,830 11,325,210 x 19 = 215,178,990 --- ------------ 274 3,064,694,001 11,185,015 =========== FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1996 LOSS PER SHARE: Net Loss plus dividend accrual plus accretion of offering costs ($7,780,444) = ($0.70) - --------------------------------- ------------ ========== Weighted Avg. Shares 11,185,015 15 ENERGY BIOSYSTEMS CORPORATION COMPUTATION OF PER SHARE EARNINGS FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1996 WEIGHTED AVERAGE SHARES OUTSTANDING: TOTAL # DAYS SHARES OUTSTANDING - --------------------------------------- 11,309,355 x 2 = 22,618,710 11,310,855 x 7 = 79,175,985 11,311,955 x 5 = 56,559,775 11,316,955 x 4 = 45,267,820 11,318,210 x 28 = 316,909,880 11,320,010 x 4 = 45,280,040 11,320,210 x 23 = 260,364,830 11,325,210 x 19 = 215,178,990 -- ------------- 92 1,041,356,030 11,319,087 ------------- =========== FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1996 LOSS PER SHARE: Net Loss plus dividend accrual plus accretion of offering costs ($2,716,413) = ($0.24) - --------------------------------- ------------ ========== Weighted Avg. Shares 11,320,210 16 ENERGY BIOSYSTEMS CORPORATION COMPUTATION OF PER SHARE EARNINGS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1995 WEIGHTED AVERAGE SHARES OUTSTANDING: TOTAL # DAYS SHARES OUTSTANDING - --------------------------------------- 9,988,409 x 2 = 19,976,818 9,998,409 x 28 = 279,955,452 9,999,404 x 4 = 39,997,616 10,000,604 x 4 = 40,002,416 10,040,604 x 16 = 160,649,664 10,041,604 x 1 = 10,041,604 10,046,604 x 62 = 622,889,448 10,228,645 x 21 = 214,801,545 10,233,645 x 89 = 910,794,405 10,235,645 x 2 = 20,471,290 10,237,645 x 7 = 71,663,515 10,242,640 x 18 = 184,367,520 10,249,640 x 13 = 133,245,320 10,258,241 x 6 = 61,549,446 --- ------------- 273 2,770,406,059 10,148,008 =========== FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1995 LOSS PER SHARE: Net Loss plus dividend accrual plus accretion of offering costs $ 6,844,109 = $ 0.67 - ---------------------------------- -------------- =========== Weighted Avg. Shares 10,148,008 17 ENERGY BIOSYSTEMS CORPORATION COMPUTATION OF PER SHARE EARNINGS FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1995 WEIGHTED AVERAGE SHARES OUTSTANDING: TOTAL # DAYS SHARES OUTSTANDING - --------------------------------------- 10,233,645 x 46 = 470,747,670 10,235,645 x 2 = 20,471,290 10,237,645 x 7 = 71,663,515 10,242,640 x 18 = 184,367,520 10,249,640 x 13 = 133,245,320 10,258,241 x 6 = 61,549,446 --- ------------- 92 942,044,761 / 10,239,617 ============ FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1995 LOSS PER SHARE: Net Loss plus dividend accrual plus accretion of offering costs ($2,123,266) = ($0.21) - ---------------------------------- ------------- ============ Weighted Avg. Shares 10,239,617 18 EX-27 3 FINANCIAL DATA SCHEDULE
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE FINANCIAL STATEMENTS INCLUDED IN THE REGISTRANTS QUARTERLY REPORT ON FORM 10-Q FOR THE QUARTER ENDED SEPTEMBER 30, 1996 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 9-MOS DEC-31-1996 JAN-01-1996 SEP-30-1996 3,757,680 8,898,829 153,773 0 14,889 13,036,939 5,851,579 2,676,394 17,008,674 978,908 0 113,252 0 23,750,954 31,018,064 17,024,108 0 1,973,016 0 0 7,890,658 0 0 (5,917,642) 0 (5,917,642) 0 0 0 (5,917,642) (0.70) 0
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