<PAGE>
ONYX PHARMACEUTICALS, INC
U.S. SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
____________________________
FORM 10-QSB
( 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: 0-28298
-------
ONYX PHARMACEUTICALS, INC.
(Exact name of registrant as specified in its charter)
DELAWARE 94-3154463
- -------- ----------
(State or other jurisdiction of (IRS Employer ID Number)
incorporation or organization)
3031 Research Drive
Richmond, California 94806
(Address of principal executive offices)
(510) 222-9700
(Registrant's telephone number including area code)
Check whether the issuer (1) filed all reports required to be filed
by Section 13 or 15(d) of the Exchange Act during the past 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.
(XX) Yes ( ) No
The number of outstanding shares of the registrant's Common Stock, $0.001 par
value, was 9,477,004 as of October 31, 1996.
---------
<PAGE>
ONYX PHARMACEUTICALS, INC
INDEX
PART I: FINANCIAL INFORMATION
PAGE
ITEM 1. Financial Statements
Condensed balance sheets - September 30, 1996 and
December 31, 1995 3
Condensed statements of operations - three and nine months
ended September 30, 1996 and 1995 4
Condensed statements of cash flows - nine months ended
September 30, 1996 and 1995 5
Notes to condensed financial statements 6
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 12
SIGNATURES 13
EXHIBIT INDEX 14
2
<PAGE>
ONYX PHARMACEUTICALS, INC
PART I: FINANCIAL INFORMATION
ITEM 1:
CONDENSED BALANCE SHEETS
(IN THOUSANDS , EXCEPT SHARE DATA)
<TABLE>
<CAPTION>
September 30, December 31,
1996 1995
------------- ------------
ASSETS (unaudited)
<S> <C> <C>
Current assets:
Cash and cash equivalents $ 35,735 $ 3,779
Short-term investments 6,509 8,704
Other current assets 505 400
-------- --------
Total current assets 42,749 12,883
Property and equipment, net 4,159 4,221
Notes receivable from officers and employees 381 419
Other assets 317 233
-------- --------
TOTAL ASSETS $ 47,606 $ 17,756
-------- --------
-------- --------
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 520 $ 487
Accrued liabilities 1,397 826
Accrued compensation 549 342
Deferred revenue 1,136 1,373
Long-term debt, current portion 445 408
-------- --------
Total current liabilities 4,047 3,436
Long-term debt, noncurrent portion 194 544
Accrued rent 214 231
Stockholders' equity:
Preferred stock, $0.001 par value;5,000,000 shares
authorized, none issued and outstanding - -
Convertible preferred stock, $0.001 par value, issuable
in series; 92,000,000 shares authorized; 0 and
37,408,880 shares issued and outstanding as of
September 30, 1996 and December 31, 1995,
respectively - 37
Common stock, $0.001 par value: 25,000,000 shares
authorized, 9,463,558 and 6,197,895 shares issued and
outstanding as of September 30, 1996 and
December 31,1995, respectively 1 1
Additional paid-in capital 70,921 34,788
Deferred compensation (699) (111)
Accumulated deficit (27,072) (21,170)
-------- --------
TOTAL STOCKHOLDERS' EQUITY 43,151 13,545
-------- --------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 47,606 $ 17,756
-------- --------
-------- --------
</TABLE>
See Accompanying Notes.
3
<PAGE>
ONYX PHARMACEUTICALS, INC
CONDENSED STATEMENTS OF OPERATIONS
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
(UNAUDITED)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
September 30, September 30,
--------------------------- ---------------------------
1996 1995 1996 1995
------------ ----------- ------------ -----------
<S> <C> <C> <C> <C>
Revenue:
Contract revenue $ 2,497 $ 1,938 $ 6,347 $ 4,989
Other revenue 61 10 85 10
------- -------- -------- --------
Total revenue 2,558 1,948 6,432 4,999
Operating expenses:
Research and development 3,358 3,222 10,441 9,590
General and administrative 1,023 867 2,936 2,423
------- -------- -------- --------
Total operating expenses 4,381 4,089 13,377 12,013
------- -------- -------- --------
Loss from operations (1,823) (2,141) (6,945) (7,014)
Interest income, net 581 176 1,043 567
------- -------- -------- --------
Net loss $(1,242) $ (1,965) $(5,902) $ (6,447)
------- -------- -------- --------
------- -------- -------- --------
Net loss per share $ (0.13) $ (1.42) $ (1.06) $ (4.72)
------- -------- -------- --------
------- -------- -------- --------
Shares used in computing net loss per share 9,461 1,381 5,559 1,367
------- -------- -------- --------
------- -------- -------- --------
</TABLE>
See Accompanying Notes.
4
<PAGE>
ONYX PHARMACEUTICALS, INC
CONDENSED STATEMENTS OF CASH FLOW
(IN THOUSANDS)
(UNAUDITED)
<TABLE>
<CAPTION>
Nine months ended
September 30,
----------------------------
1996 1995
---------- ----------
<S> <C> <C>
CASH FLOWS USED IN OPERATING ACTIVITIES:
Net loss $(5,902) $ (6,447)
Adjustments to reconcile net loss to net cash used
in operating activities:
Depreciation and amortization 1,129 990
Forgiveness of note receivable 38 283
Amortization of deferred compensation 205 20
Changes in certain assets and liabilities:
Other current assets (105) (76)
Other assets (84) (34)
Accounts payable 33 (49)
Accrued liabilities 571 459
Accrued compensation 207 150
Accrued rent (17) 74
Deferred revenue (237) (360)
------- -------
Net cash used in operating activities (4,162) (4,990)
------- -------
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of short-term investments (9,907) (10,244)
Maturities of short-term investments 12,102 14,329
Capital expenditures (1,067) (641)
Notes receivable from officers and employees - (16)
------- -------
Net cash provided by investing activities 1,128 3,428
------- -------
CASH FLOWS FROM FINANCING ACTIVITIES:
Payments on long-term debt (313) (639)
Net proceeds from issuance of preferred and common stock 35,303 3,628
------- -------
Net cash provided by financing activities 34,990 2,989
------- -------
Net increase in cash and cash equivalents 31,956 1,427
Cash and cash equivalents at beginning of the period 3,779 9,309
------- -------
Cash and cash equivalents at end of the period $35,735 $10,736
------- -------
------- -------
</TABLE>
See Accompanying Notes.
5
<PAGE>
ONYX PHARMACEUTICALS, INC
NOTES TO CONDENSED FINANCIAL STATEMENTS
SEPTEMBER 30, 1996
(UNAUDITED)
NOTE 1. BASIS OF PRESENTATION
The accompanying unaudited condensed financial statements have been prepared in
accordance with generally accepted accounting principles for interim financial
information and with the instructions to Form 10-QSB and Item 310 (b) of
Regulation S-B. Accordingly, they do not include all of the information and
footnotes required by generally accepted accounting principles for complete
financial statements. In the opinion of management, all adjustments (consisting
of normal recurring accruals) considered necessary for a fair presentation have
been included.
Operating results for the three- and nine-month periods ended September 30, 1996
are not necessarily indicative of the results that may be expected for the year
ending December 31, 1996. For further information, refer to the financial
statements and footnotes thereto for the year ended December 31, 1995 included
in the ONYX Pharmaceuticals, Inc. (the "Company" or "ONYX") Registration
Statement on Form SB-2, File No. 333-3176-LA.
NOTE 2 . NET LOSS PER SHARE
Net loss per share is computed using the weighted average number of common
shares outstanding. Common equivalent shares are excluded from the computation
as their effect is antidilutive, except that, pursuant to the Securities and
Exchange Commission ("SEC") Staff Accounting Bulletins, common and common
equivalent shares issued during the 12-month period prior to the initial filing
of the Company's initial public offering at prices below the public offering
price of $12.00 have been included in the calculation as if they were
outstanding for all periods presented through March 31, 1996 (using the treasury
stock method for stock options at the estimated public offering price).
Pro forma net loss per share has been computed as described above and also gives
effect to the conversion of convertible preferred shares not included above that
automatically converted upon completion of the Company's initial offering (using
the if converted method) from original date of issuance. Pro forma net loss per
share information is as follows (in thousands, except per share amounts)
<TABLE>
<CAPTION>
Three months Nine months
ended September 30, ended September 30,
------------------------- ---------------------------
1996 1995 1996 1995
-------- -------- -------- -------
<S> <C> <C> <C> <C>
Pro forma net loss per share $(0.13) $(0.30) $(0.73) $(0.99)
------ ------ ------ ------
------ ------ ------ ------
Shares used in computing pro forma net loss per share 9,461 6,621 8,059 6,493
------ ------ ------ ------
------ ------ ------ ------
</TABLE>
NOTE 3. INITIAL PUBLIC OFFERING
On May 14, 1996 the Company completed an initial public offering of 2,500,000
shares of its common stock to the public at a price of $12.00 per share. In
addition, the Company granted the underwriters an option to purchase up to
375,000 additional shares of common stock, which the underwriters exercised in
full. The proceeds to the Company from the sale of 2,875,000 shares, net of the
underwriters' discount and offering expenses payable by ONYX, was approximately
$31.2 million.
6
<PAGE>
ONYX PHARMACEUTICALS, INC
NOTES TO CONDENSED FINANCIAL STATEMENTS
SEPTEMBER 30, 1996
(UNAUDITED)
NOTE 4. COLLABORATIVE AGREEMENTS
In accordance with the terms of the agreement dated May 4, 1995 between ONYX
Pharmaceuticals Inc. and Warner-Lambert Company, Warner-Lambert Company
purchased 1,818,182 shares of preferred stock at an aggregate purchase price of
$4.0 million on May 4, 1996. The preferred shares converted into 254,683 shares
of common stock upon closing of the initial public offering.
In June 1996, the Company extended and expanded its BRCA1 research agreement
with Eli Lilly for three years pursuant to which both parties will provide
research funding and ONYX will receive milestone payments. A milestone payment
of $685,000 was received in the current quarter ended September 30, 1996.
NOTE 5. MARKETABLE SECURITIES - AVAILABLE-FOR-SALE
The following is a summary of available-for-sale securities as of September 30,
1996:
Available-
for-sale
Securities
--------------------
Estimated
Fair Value
--------------------
(in thousands)
Cash equivalents:
U.S. corporate securities $ 5,989
Foreign corporate securities 8,070
Money market funds 12,756
--------
26,815
Short-term investments:
U.S. corporate securities 2,013
Foreign corporate securities 1,970
--------
3,983
--------
Total available-for-sale securities $ 30,798
--------
--------
As of September 30, 1996, the difference between the fair value and the
amortized cost of available-for-sale securities was insignificant. The average
portfolio duration is approximately three months, and the contractual maturity
of each of the investments does not exceed one year. Held at September 30, 1996
and excluded from short term investments above is $11,708,000 of certificates of
deposits.
7
<PAGE>
ONYX PHARMACEUTICALS, INC
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
OVERVIEW
ONYX Pharmaceuticals, Inc. (the "Company" or "ONYX") was incorporated on
February 14, 1992 and commenced operations on April 24, 1992. The Company is
engaged in the discovery and development of novel therapeutics including both
small molecule drugs and therapeutic viruses which are based upon the
genetics of human disease. The Company has initially chosen to focus its
research in the area of cancer. Currently, the Company has five therapeutic
discovery programs focused on the following cancer mutations: p53, Ras, cell
cycle checkpoints, BRCA1 and APC. The Company's lead product, ONYX-015, is
an adenovirus which has been modified to replicate in and kill cancer cells
with p53 mutations. These mutations occur in over 50% of human cancer cases.
The Company's Investigational New Drug application for ONYX-015 has been
cleared by the FDA and a Clinical Trials Exemption has been cleared in the
United Kingdom. In April 1996, the Company initiated human Phase I clinical
trials for ONYX-015 in both countries in patients with p53-deficient tumors
of the head and neck.
The Company intends to pursue its therapeutic discovery programs independently
and in collaboration with pharmaceutical companies, and to collaborate with such
companies on the development and commercialization of any products which may
result from the Company's discovery programs. The Company has entered into
collaborative agreements with Bayer Corporation ("Bayer") in the area of Ras
oncogenes, Warner-Lambert Company ("Warner-Lambert") in the cell cycle area and
Eli Lilly and Company ("Eli Lilly") on the function of the BRCA1 gene in breast
cancer. In June 1996, the Company extended and expanded its BRCA1 research
agreement with Eli Lilly for a further three years pursuant to which both
parties will provide research funding and ONYX will receive milestone payments.
A milestone payment of $685,000 was received in the current quarter ended
September 30, 1996.
The Company completed an initial public offering ("IPO") in May 1996
resulting in net proceeds of approximately $31.2 million. On May 4, 1996,
prior to the closing of the offering, Warner-Lambert purchased 1,818,182
shares of preferred stock at an aggregate purchase price of $4.0 million
which converted into 254,683 shares of common stock upon the closing of the
IPO.
The Company has not been profitable since inception and expects to incur
substantial and increasing losses for the foreseeable future, primarily due to
the expansion of its research and development programs, including preclinical
studies and clinical trials. 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 approximately $27.1
million.
Except for the historical information contained herein, this overview and the
following discussion contain forward-looking statements that involve risks and
uncertainties. The Company's actual results could differ materially from those
discussed here. Factors that could cause or contribute to such differences
include, but are not limited to, those discussed in the Company's Registration
Statement on Form SB-2 (File No. 333-3176-LA).
8
<PAGE>
ONYX PHARMACEUTICALS, INC
RESULTS OF OPERATIONS
THREE- AND NINE-MONTH PERIODS ENDED SEPTEMBER 30, 1996 AND 1995
REVENUES
The Company's contract revenues increased 29% to $2,497,000 and 27% to
$6,347,000 for the three- and nine-month periods ended September 30, 1996,
respectively, as compared to the same periods in 1995. Contract revenues for
the 1995 periods were $1,938,000 and $4,989,000, respectively. Revenues for
the three- and nine-month periods ended September 30, 1996 and 1995 were
attributable to amounts earned for research performed under the Company's
collaborations with Bayer, Warner-Lambert and Eli Lilly. The 1996 periods
include revenue from each of these collaborators in all quarters while
revenue from Warner-Lambert and Eli Lilly in the 1995 periods commenced in
May 1995. An additional reason for the percentage increases in contract
revenues for the three- and nine-month periods ended September 30, 1996 was
the $685,000 milestone payment received from Eli Lilly.
RESEARCH AND DEVELOPMENT EXPENSES
Research and development expenses increased 4% to $ 3,358,000 and 9% to
$10,441,000 for the three- and nine-month periods ended September 30, 1996
respectively, as compared to the same periods in 1995. The increase was
primarily due to additional preclinical and clinical costs associated with
current and planned Phase I clinical trials of ONYX-015, the lead product in the
Company's p53 program.
GENERAL AND ADMINISTRATIVE EXPENSES
General and administrative expenses increased 18% to $1,023,000 and 21% to
$2,936,000 for the three- and nine-month periods ended September 30, 1996,
respectively, as compared to the same periods in 1995. This increase was
primarily due to additional costs incurred as a result of being a public company
and increased compensation expenses associated with additional staff.
NET INTEREST INCOME
The Company had net interest income of $581,000 and $1,043,000 for the three-
and nine- month periods ended September 30, 1996, respectively compared with
$176,000 and $567,000 for the same periods in 1995. The increase in interest
income reflects the Company's higher average cash and investment balances
resulting from the proceeds from the IPO. Interest expense has declined as the
Company has reduced its obligations under debt financing agreements.
LIQUIDITY AND CAPITAL RESOURCES
The Company has financed its operations since inception primarily through
private placements of preferred stock with aggregate net proceeds of $38.8
million, $ 24.4 million from collaborative agreements, $ 1.8 million from
United States government grants and $2.9 million from debt financing
agreements. In order to fund future operations, in May 1996 the Company
raised a further $31.2 million in net proceeds from its IPO.
The Company's cash, cash equivalents and short-term investments, were $42.2
million at September 30, 1996, compared with $12.5 million at December 31,
1995. The $29.7 million increase in cash, cash equivalents and short term
investments was primarily the result of net proceeds from the IPO of $31.2
million and $4.0 million from the sale of preferred stock to Warner-Lambert
(which was converted to common stock upon closing of the initial public
offering). Cash used in operations totaled $ 4.2 million in the nine- month
period ended September 30, 1996. This cash was used primarily to fund
increasing levels of clinical research and product development associated
with ONYX-015, the lead product in the p53 Program, and the general and
administrative expenses necessary to support
9
<PAGE>
ONYX PHARMACEUTICALS, INC
the research and development operations. The Company expects cash used in
operations may continue to increase as additional clinical trials for ONYX-015
commence and new programs are initiated.
Total capital expenditures for equipment and leasehold improvements for the
nine-month period ended September 30, 1996, was $1,067,000. The Company
expects to make expenditures for capital additions of approximately $550,000
during the fourth quarter of 1996. The Company intends to construct a small
scale manufacturing facility capable of producing material for clinical
trials and potential sale for the p53 Program. The Company anticipates
construction would be initiated in 1997 at an estimated cost of $2.0 million.
As of September 30, 1996, the Company had $2.7 million available through a
line of credit collateralized by laboratory equipment and leasehold
improvements.
The Company anticipates that its existing capital resources and interest
thereon, and anticipated revenues from its existing collaborations, (without
giving effect to any future equity investment by Warner-Lambert) will be
sufficient to fund its current and planned operations through 1998. There can
be no assurance, however, that changes in the Company's operating expenses will
not result in the expenditure of such resources before such time, and in any
event, the Company will need to raise substantial additional capital to fund its
operations in future periods.
BUSINESS RISKS
The Company is at an early stage of development. The development of the
Company's technology and proposed products will require a commitment of
substantial funds to conduct these costly and time-consuming activities.
All of the Company's potential products are in research or development and will
require significant additional research and development efforts prior to any
commercial use, including extensive preclinical and clinical testing as well as
lengthy regulatory approval. The development of new products is subject to a
number of significant risks. Potential products that appear to be promising at
an early stage of development may not reach the market for a number of reasons.
Such risks include the possibilities that the potential products will be found
ineffective or unduly toxic during clinical trials, fail to receive necessary
regulatory approvals, be difficult to manufacture on a large scale, be
uneconomical to market or be precluded from commercialization by proprietary
rights of third parties.
In addition, many of the Company's potential products are subject to development
and licensing arrangements with the Company's collaborators. Therefore, the
Company is dependent on the research and development efforts of these
collaborators. Moreover, the Company is entitled to only a portion of the
revenues, if any, realized from the commercial sale of any of the potential
products covered by the collaborations. Should the Company or its collaborators
fail to perform in accordance with the terms of any of their agreements, any
consequent loss of revenue under the agreements could have a material adverse
effect on the Company's results of operations.
The proposed products under development by the Company have never been
manufactured on a commercial scale, and there can be no assurance that such
products can be manufactured at a cost or in quantities necessary to make them
commercially viable. The Company has no sales, marketing or distribution
capability. If any of its products subject to collaborative agreements are
successfully developed, the Company must rely on its collaborators to market
such products. If the Company develops any products which are not subject to
collaborative agreements, it must either rely on other large pharmaceutical
companies to market such products or must develop a marketing and sales force
with technical expertise and supporting distribution capability in order to
market such products directly.
The Company intends to seek additional funding through collaborative
arrangements, public or private equity or debt financings, capital lease
transactions or other financing sources that may be available. However, there
can be no assurance that additional financing will be available on acceptable
terms or at all. If additional funds are raised by issuing equity securities,
substantial dilution to existing stockholders may result. If adequate funds are
not available, the Company may be required to delay, reduce the scope of, or
eliminate one or more of its research
10
<PAGE>
ONYX PHARMACEUTICALS, INC
or development programs or to obtain funds through collaborative arrangements
with others that are on unfavorable terms or that may require the Company to
relinquish rights to certain of its technologies, product candidates or products
that the Company would otherwise seek to develop itself.
The foregoing risks reflect the Company's early stage of development and the
nature of its industry and proposed product. Also inherent in the Company's
stage of development is a range of additional risks, including competition,
uncertainties regarding protection of patents and proprietary rights, government
regulation and uncertainties regarding health care reform.
11
<PAGE>
ONYX PHARMACEUTICALS, INC
PART II: OTHER INFORMATION
Item 6.
a) Exhibits
Exhibit 11.1 Statement Regarding Computation of Net Loss Per Share
Exhibit 27.1 Financial Data Schedule
b) Form 8-K
No reports on Form 8-K were filed during the period covered by this
report.
12
<PAGE>
ONYX PHARMACEUTICALS, INC
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.
ONYX PHARMACEUTICALS, INC
Date: November 14, 1996 By: /s/ Hollings C. Renton
---------------------------------
Hollings C. Renton
President, Chief Executive Officer and Director
(Principal Executive Officer)
Date: November 14, 1996 By: /s/ Douglas L. Blankenship
---------------------------------
Douglas L. Blankenship
Director of Finance
(Principal Financial and Accounting Officer)
13
<PAGE>
ONYX PHARMACEUTICALS, INC
EXHIBIT INDEX
SEQUENTIALLY
NUMBERED
EXHIBIT NUMBER DESCRIPTION OF EXHIBITS PAGE
-------------- ----------------------- ------------
11.1 Statement Regarding Computation of Net Loss Per Share
27.1 Financial Data Schedule
14
<PAGE>
ONYX PHARMACEUTICALS, INC
Exhibit 11.1
COMPUTATION OF NET LOSS PER SHARE
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
(UNAUDITED)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
September 30, September 30,
1996 1995 1996 1995
---- ---- ---- ----
<S> <C> <C> <C> <C>
NET LOSS: $(1,242) $(1,965) $(5,902) $(6,447)
------- ------- ------- -------
------- ------- ------- -------
Shares used in net loss per share computation:
Weighted average shares of common stock
outstanding: 9,461 954 5,417 940
Shares related to Staff Accounting
Bulletins Nos. 55, 64 and 83 - 427 142 427
------- ------- ------- -------
Shares used in net loss per share
computation: 9,461 1,381 5,559 1,367
------- ------- ------- -------
------- ------- ------- -------
Net loss per share $ (0.13) $ (1.42) $ (1.06) $ (4.72)
------- ------- ------- -------
------- ------- ------- -------
CALCULATION OF SHARES OUTSTANDING FOR
COMPUTING PRO FORMA NET LOSS PER SHARE:
Shares used in computing historical net
loss per share (from above): 9,461 1,381 5,559 1,367
Adjusted to reflect the effect of the assumed
conversion of convertible preferred stock from the
date of issuance: - 5,240 2,500 5,126
------- ------- ------- -------
Shares used in computing proforma net loss
per share: 9,461 6,621 8,059 6,493
------- ------- ------- -------
------- ------- ------- -------
Pro forma net loss per share $ (0.13) $ (0.30) $ (0.73) $ (0.99)
------- ------- ------- -------
------- ------- ------- -------
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JUL-1-1996
<PERIOD-END> SEP-30-1996
<CASH> 35,735
<SECURITIES> 6,509
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 42,749
<PP&E> 8,122
<DEPRECIATION> (3,963)
<TOTAL-ASSETS> 47,606
<CURRENT-LIABILITIES> 4,047
<BONDS> 639
0
0
<COMMON> 1
<OTHER-SE> 43,150
<TOTAL-LIABILITY-AND-EQUITY> 47,606
<SALES> 0
<TOTAL-REVENUES> 2,558
<CGS> 0
<TOTAL-COSTS> 4,381
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 26
<INCOME-PRETAX> (1,242)
<INCOME-TAX> 0
<INCOME-CONTINUING> (1,242)
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (1,242)
<EPS-PRIMARY> (0.13)
<EPS-DILUTED> (0.13)
</TABLE>
