<PAGE> 1
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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 JUNE 30, 1997
or
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (D) OF THE SECURITIES
EXCHANGE ACT OF 1934
COMMISSION FILE NUMBER 0-21937
CERUS CORPORATION
(Exact name of registrant as specified in its charter)
DELAWARE 68-0262011
(State or other jurisdiction of (I.R.S. Employer
Incorporation or organization) Identification Number)
2525 STANWELL DR., SUITE 300
CONCORD, CALIFORNIA 94520
(Address of principal executive offices, including zip code)
(510) 603-9071
(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 July 31, 1997 there were 8,885,533 shares of the Registrant's
Common Stock outstanding.
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<PAGE> 2
CERUS CORPORATION
QUARTERLY REPORT ON FORM 10-Q
THREE MONTHS ENDED JUNE 30, 1997
TABLE OF CONTENTS
<TABLE>
<CAPTION>
PAGE NO.
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<S> <C> <C>
PART I FINANCIAL INFORMATION
Item 1. Financial Statements (Unaudited)
Condensed Balance Sheets -
June 30, 1997 and December 31, 1996 3
Condensed Statements of Operations -
Three and six months ended June 30, 1997 and 1996 4
Condensed Statements of Cash Flows -
Six months ended June 30, 1997 and 1996 5
Notes to Condensed Financial Statements 6
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations 8
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PART II OTHER INFORMATION
Item 1. Legal Proceedings 13
Item 2. Changes in Securities 13
Item 3. Defaults upon Senior Securities 13
Item 4. Submission of Matters to a Vote of Security Holders 13
Item 5. Other Information 13
Item 6. Exhibits and Reports on Form 8-K 13
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SIGNATURES 14
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</TABLE>
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PART I: FINANCIAL INFORMATION
ITEM I: FINANCIAL STATEMENTS
CERUS CORPORATION
CONDENSED BALANCE SHEETS
UNAUDITED
(in Thousands)
<TABLE>
<CAPTION>
June 30, December 31,
1997 1996
------- -------
<S> <C> <C>
Assets
Current assets:
Cash and cash equivalents $24,212 $ 6,002
Accounts receivable from related party 1,967 326
Other current assets 331 206
------- -------
Total current assets 26,510 6,534
Furniture and equipment, net of depreciation 1,225 1,184
Deferred financing costs -- 969
Other assets 116 125
------- -------
Total assets $27,851 $ 8,812
======= =======
Liabilities and stockholders' equity Current liabilities:
Accounts payable and accrued expenses $ 3,305 $ 2,805
Deferred revenue 982 982
Current portion of capital lease obligations 54 94
------- -------
Total current liabilities 4,341 3,881
Capital lease obligations, less current portion 69 92
Total stockholders' equity 23,441 4,839
------- -------
Total liabilities and stockholders' equity $27,851 $ 8,812
======= =======
</TABLE>
See notes to condensed financial statements
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CERUS CORPORATION
CONDENSED STATEMENTS OF OPERATIONS
UNAUDITED
(in Thousands, Except Per Share Data)
<TABLE>
<CAPTION>
Three Months Ended Six Months Ended
June 30, June 30,
-------- --------
1997 1996 1997 1996
-------- -------- -------- --------
<S> <C> <C> <C> <C>
Revenue:
Licenses, milestones and development
funding from a related party $ 971 $ 911 $ 1,846 $ 2,105
Government grants 152 94 309 501
-------- -------- -------- --------
Total revenue 1,123 1,005 2,155 2,606
Operating expenses:
Research and development 4,923 3,203 9,511 5,982
General and administrative 814 529 1,564 1,009
-------- -------- -------- --------
Total operating expenses 5,737 3,732 11,075 6,991
-------- -------- -------- --------
Loss from operations (4,614) (2,727) (8,920) (4,385)
Interest income, net 371 108 616 228
-------- -------- -------- --------
Net loss ($ 4,243) ($ 2,619) ($ 8,304) ($ 4,157)
======== ======== ======== ========
Net loss per share ($ 0.48) ($ 0.96) ($ 1.03) ($ 1.52)
======== ======== ======== ========
Shares used in computing net loss per share 8,886 2,729 8,034 2,729
======== ======== ======== ========
</TABLE>
See notes to condensed financial statements
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CERUS CORPORATION
CONDENSED STATEMENTS OF CASH FLOWS
UNAUDITED
(in Thousands)
<TABLE>
<CAPTION>
Six Months Ended
June 30,
--------
1997 1996
-------- --------
<S> <C> <C>
Net loss ($ 8,304) ($ 4,157)
Adjustments to reconcile net loss to net cash used
in operating activities:
Depreciation and amortization 281 236
Amortization of deferred compensation 100 86
Changes in operating assets and liabilities:
Accounts receivable from related party (1,641) (383)
Other current assets (125) 45
Other assets 9 19
Accounts payable and accrued expenses 500 1,125
Deferred revenue -- (919)
-------- --------
Net cash used in operating activities (9,180) (3,948)
Investing activities:
Purchases of furniture and equipment (322) (21)
-------- --------
Net cash used in investing activities (322) (21)
Financing activities:
Net proceeds from sale of preferred stock -- 2,907
Proceeds from issuance of common stock 26,791 251
Deferred financing costs 969 --
Payments on notes receivable from shareholders 15 1
Payments on capital lease obligations (63) (88)
-------- --------
Net cash provided by financing activities 27,712 3,071
-------- --------
Net increase (decrease) in cash and cash equivalents 18,210 (898)
Cash and cash equivalents, beginning of period 6,002 9,659
-------- --------
Cash and cash equivalents, end of period $ 24,212 $ 8,761
======== ========
Supplemental disclosure of non cash financing activities:
Deferred compensation related to stock option grants $ -- $ 530
======== ========
</TABLE>
See notes to condensed financial statements
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CERUS CORPORATION
NOTES TO CONDENSED FINANCIAL STATEMENTS
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 pursuant to the instructions to Form 10-Q and Article 10 of
Regulation S-X. 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 accrual adjustments, considered necessary for a fair
presentation have been included. Operating results for the three and six month
periods ended June 30, 1997 are not necessarily indicative of the results that
may be expected for any future period.
These financial statements and notes should be read in conjunction with the
Company's audited financial statements and notes thereto for the year ended
December 31, 1996 included in the Company's Prospectus dated January 30, 1997.
NOTE 2 - STOCKHOLDERS' EQUITY
In January 1997, the Company effected a 1.47-for-one stock split of its
outstanding shares of Common Stock.
In February 1997, the Company received net proceeds (after deduction of offering
costs) of $21.1 million from its initial public offering of 2,000,000 shares of
Common Stock. In conjunction with the initial public offering, the Company sold
an additional 496,878 shares of its Common Stock to Baxter Healthcare
Corporation for an aggregate purchase price of approximately $5.5 million.
Additionally, at the time of the initial public offering, warrants to purchase
47,605 shares of Common Stock were exercised. The aggregate exercise price paid
to the Company was approximately $183,000.
NOTE 3 - LOSS PER SHARE INFORMATION
Net Loss Per Share
Net loss per share is computed using the weighted average number of common and
dilutive common equivalent shares outstanding during the period, giving
retroactive effect to the January 1997 1.47-for-one stock split for the three
and six month periods ended June 30, 1996. Common equivalent shares consist of
the incremental common shares issuable upon conversion of the convertible
Preferred Stock (using the if-converted method), Common Stock options and
warrants, when their effect is dilutive. In addition, pursuant to SEC Staff
Accounting Bulletins and Staff policy, such computations include the effect of
all dilutive and antidilutive common and common equivalent shares issued at
prices below the Company's January 30, 1997 initial public offering price during
the 12 months prior to the offering as if they were outstanding through January
30, 1997, determined using the treasury stock method and the per share initial
public offering price.
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CERUS CORPORATION
NOTES TO CONDENSED FINANCIAL STATEMENTS
(Continued)
Net loss per share and shares used in computing net loss per share calculated on
the above basis are as follows (shares in thousands):
<TABLE>
<CAPTION>
Three Months Ended Six Months Ended
June 30, June 30,
------ ------ ------ ------
1997 1996 1997 1996
------ ------ ------ ------
<S> <C> <C> <C> <C>
Net loss per share ($0.48) ($0.96) ($1.03) ($1.52)
====== ====== ====== ======
Weighted average shares of common
stock outstanding 8,886 1,418 7,816 1,418
Shares related to Staff Accounting Bulletins -- 1,311 218 1,311
------ ------ ------ ------
Shares used in net loss per share calculation 8,886 2,729 8,034 2,729
====== ====== ====== ======
</TABLE>
In February 1997, the Financial Accounting Standards Board issued Statement No.
128, "Earnings Per Share," which is required to be adopted on December 31, 1997.
At that time, the Company will be required to change the method currently used
to compute earnings per share and to restate all prior periods. Under the new
requirements for calculating primary earnings per share, the dilutive effect of
stock options will be excluded. The impact is not expected to result in a
material change in the net loss per share for the three and six month periods
ended June 30, 1997 and June 30, 1996 as the Company incurred net losses in
those periods and, accordingly, the calculation of earnings per share for those
periods excluded common equivalent shares, as their effect was antidilutive.
Pro Forma Net Loss Per Share
Pro forma net loss per share for the three month period ended June 30, 1996 has
been computed as described above and also gives effect, even if antidilutive, to
common equivalent shares from convertible Preferred Stock that automatically
converted upon the closing of the Company's initial public offering (using the
if-converted method). Pro forma per share information calculated on the above
basis is as follows (shares in thousands):
<TABLE>
<CAPTION>
Three Months Ended Six Months Ended
June 30, 1996 June 30, 1996
------ ------
<S> <C> <C>
Pro forma net loss per share ($0.40) ($0.63)
====== ======
Shares used in computing net loss per share 2,729 2,729
Adjustment to reflect the effect of the assumed
conversion of convertible preferred
stock from the date of issuance 3,852 3,852
------ ------
Shares used in computing pro forma net loss per share 6,581 6,581
====== ======
</TABLE>
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ITEM 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
The following discussion and analysis should be read in conjunction with the
Company's financial statements and accompanying notes included herein and the
Company's 1996 audited financial statements and notes thereto included in the
Company's prospectus dated January 30, 1997 ("Prospectus").
This discussion contains forward-looking statements that involve risks and
uncertainties. The Company's actual results could differ significantly from
those discussed here as a result of certain factors, including those set forth
below and in the Prospectus.
OVERVIEW
Cerus Corporation is developing systems designed to improve the safety of blood
transfusions by inactivating infectious pathogens in blood components used for
transfusion (platelets, fresh frozen plasma ("FFP") and red blood cells) and
inhibiting the leukocyte (white blood cell) activity that is responsible for
certain adverse immune and other transfusion-related reactions. The Company's
platelet pathogen inactivation system is presently in Phase 2 clinical trials
and its FFP pathogen inactivation system is in Phase 1 clinical trials. The
Company's red blood cell pathogen inactivation system is presently in
preclinical development.
In December 1993, Cerus entered into a development and commercialization
agreement with Baxter Healthcare Corporation ("Baxter") to develop a system for
inactivation of pathogens in platelets used for transfusions. The agreement
provides for Baxter to share costs associated with research and development,
preclinical studies and clinical trials for the system. The agreement also
provides for a sharing of revenue from sales of inactivation system disposables,
after each party is reimbursed for its cost of goods above a specified level.
Under this agreement, the Company received a $1.0 million equity investment from
Baxter and has recognized approximately $11.0 million in revenue for license
fees, milestone payments and development funding from Baxter. The Company
recognizes the license fees as revenue when related milestones are achieved. At
June 30, 1997, approximately $980,000 in license fees remained to be recognized
as revenue subject to achievement of a milestone. In January 1997, the Company
and Baxter amended the agreement to provide that the Company would receive an
additional 2.2% of the adjusted product revenue from the sale of the platelet
pathogen inactivation system disposables in return for payment by the Company to
Baxter of $5.5 million in 1997 in four equal quarterly installments for
development costs. The current quarter's results include the second of these
quarterly contractual payments of approximately $1.4 million.
In January and July 1995, Cerus received approximately $2.6 million from Baxter
in connection with interim funding agreements related to the development of
pathogen inactivation systems for FFP and red blood cells. In April 1996, Cerus
entered into a second development and commercialization agreement with Baxter,
principally focused on the FFP and red blood cell pathogen inactivation systems.
The agreement provides for Baxter to share costs associated with research and
development, preclinical studies and clinical trials for the systems. The
agreement also provides for the Company and Baxter to share gross profits from
the sale of inactivation system disposables, after deducting from such gross
profits a specified percentage allocation to be retained by the marketing party
for marketing and administration expenses. Baxter's sharing of development
costs is conditioned upon receipt by Baxter of regulatory approval to begin
Phase 3 clinical trials of the platelet pathogen inactivation system in Europe
or the United States. Baxter has filed regulatory applications to conduct the
clinical trials at several sites in Europe, which are currently under review. If
a regulatory approval is not received at any site by September 30, 1997, Baxter
must reaffirm its commitment to either or both of the red cell and FFP programs
in order to maintain its status as a development and marketing partner in the
applicable program or programs. There can be no assurance that such an approval
will be received. Under this agreement, the Company received $6.0 million in
equity investments from Baxter and has recognized approximately $3.8 million in
revenue for development funding from Baxter. In addition, this agreement
provides for Baxter to make three additional investments of $5 million each in
the
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Common Stock of the Company, at 120% of the market price at the time of each
investment, subject to the achievement of certain milestones.
Since its inception in 1991, Cerus has devoted substantially all of its efforts
and resources to the research, development and clinical testing of techniques
and systems for inactivating pathogens in transfusion blood components. The
Company has been unprofitable since inception and, as of June 30, 1997, had an
accumulated deficit of approximately $28.5 million. All of the Company's planned
pathogen inactivation systems are in the research and development stage. The
Company will be required to conduct significant research, development, testing
and regulatory compliance activities on these products that, together with
anticipated general and administrative expenses, are expected to result in
substantial losses at least until commercialization of its products under
development. The Company's ability to achieve a profitable level of operations
in the future will depend on its ability to successfully complete development,
obtain regulatory approvals and achieve market acceptance of its pathogen
inactivation systems. As a result, there can be no assurance that the Company
will ever achieve a profitable level of operations.
To date, the Company has not received any revenue from product sales and it will
not derive revenue from product sales unless and until one or more planned
products receives regulatory approval and achieves market acceptance. The
Company anticipates that its sources of revenue until product sales occur will
be limited to payments under development and commercialization agreements with
Baxter in the area of blood component pathogen inactivation, payments from the
United States government under research grant programs, payments from future
collaboration agreements, if any, and interest income. Under the current
agreements with Baxter, all research, development, preclinical and clinical
costs of the pathogen inactivation projects are shared equally by Cerus and
Baxter. Because more of such research and development is typically performed
internally at Cerus than at Baxter and because Cerus is generally responsible
for engaging third parties to perform certain aspects of these projects, the
Company's research and development expenses have exceeded Baxter's expenses. As
a result, the Company has recognized revenue from Baxter, giving rise to a
receivable due from Baxter and corresponding periodic balancing payments to the
Company. The next such balancing payment is scheduled to be received by the
Company from Baxter during the first quarter of 1998 for amounts owed by Baxter
to Cerus at December 31, 1997. Through June 30, 1997, the Company had recognized
approximately $14.8 million in revenue under its agreements with Baxter,
including the license fee and milestone amounts described above, and
approximately $2.7 million under United States government grants.
RESULTS OF OPERATIONS
The following discussion compares the results of operations for the three and
six month periods ended June 30, 1997 and June 30, 1996. The operating results
for these periods are not necessarily indicative of operating results in future
periods. The following comparative information should be read in conjunction
with the financial statements and notes, as well as the other information
presented herein.
Revenue. Under the development agreements with Baxter, Cerus shares development
costs equally with Baxter. For this reason, periodic revenue recognized by Cerus
from Baxter varies with the amount by which by Cerus' development costs exceed
Baxter's development costs for the given period. Revenue earned under these
agreements increased 7% to approximately $970,000 for the quarter ended June 30,
1997 from approximately $910,000 for the same quarter in 1996. This quarterly
increase is the net effect of an increase in the Company's costs associated with
the FFP and red blood cell pathogen inactivation systems, a decrease in the
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Company's costs associated with the platelet pathogen inactivation system (see
Research and Development Expenses below) and an increase in Baxter's costs for
disposable and instrument development. Revenue decreased 12% to approximately
$1.8 million for the six month period ended June 30, 1997 from approximately
$2.1 million for the same period in 1996, primarily due to a decrease in the
Company's costs associated with the platelet pathogen inactivation system (see
Research and Development Expenses below) and an increase in Baxter's costs for
disposable and instrument development.
Government grant revenue increased 62% to approximately $150,000 for the quarter
ended June 30, 1997 from approximately $90,000 for the same quarter in 1996 and
decreased 38% for the six month period ended June 30, 1997 to approximately
$310,000 from approximately $500,000 for the same period in 1996, primarily due
to periodic changes in grant-related activity. In general, grant-related
activity is a function of how that activity fits into the overall development
activity at the Company and is not necessarily indicative of future grant
revenue.
Revenue under the agreements with Baxter was 86% of total revenue for the
quarter ended June 30, 1997, compared with 91% for the same quarter in 1996 and
was 86% of total revenue for the six month period ended June 30, 1997, compared
with 81% for the same period in 1996.
Research and Development Expenses. Research and development expenses increased
54% to approximately $4.9 million for the quarter ended June 30, 1997 from
approximately $3.2 million for the same quarter in 1996. Research and
development expenses increased 59% to approximately $9.5 million for the six
month period ended June 30, 1997 from approximately $6.0 million for the same
period in 1996. These increases are attributable to the following factors:
Payment to Baxter. As described above, the 1993 platelet agreement was
amended to provide for payment by Cerus to Baxter of $5.5 million for
development costs in return for an additional 2.2% share of platelet
pathogen inactivation system adjusted product revenue. The first two of
four equal quarterly payments were made in the first two quarters of
1997 and account for approximately $1.4 million of the increase in
research and development costs for the second quarter of 1997 over the
same quarter in 1996 and approximately $2.8 million of the increase in
research and development expenses for the six month period ended June
30, 1997 over the same period in 1996.
Platelet Pathogen Inactivation System. Research and development
expenses in the platelet program decreased by approximately $820,000 in
the second quarter of 1997 compared to the same quarter of 1996. The
decrease is due principally to reduced toxicology and compound
formulation / manufacturing costs in the current year. Research and
development expenses in the platelet program decreased by approximately
$1.1 million in the six month period ended June 30, 1997 compared to
the same period of 1996. The decrease is due principally to reduced
toxicology and compound formulation / manufacturing costs, partially
offset by increased clinical trial costs.
FFP and Red Blood Cell Pathogen Inactivation Systems. Research and
development expenses in the two programs increased by approximately
$920,000 in the second quarter of 1997 compared to the same quarter of
1996. Research and development expenses in the two programs increased
by approximately $1.7 million in the six month period ended June 30,
1997 compared to the same period of 1996. These increases are primarily
due to increased payroll and other personnel costs as well as the
commencement of toxicology studies and compound formulation /
manufacturing activities in the red blood cell program contracted by
Cerus with outside parties.
The Company anticipates that research and development expenses will continue to
increase in the future as it expands its pathogen inactivation system
development efforts and related clinical trials.
General and Administrative Expenses. General and administrative expenses
increased 54% to approximately $810,000 for the quarter ended June 30, 1997 from
approximately $530,000 for the same quarter in 1996 and increased 55% to
approximately $1.6 million for the six month period ended June 30, 1997 from
approximately $1.0 million for the same period in 1996. These
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increases are primarily attributable to increased personnel levels associated
with expansion of the Company's operations and to increased professional fees
and other costs associated with being a publicly-held company. The Company
anticipates that general and administrative expenses will continue to increase
in the future as additional personnel are added to support its operations.
Interest Income, Net. Interest income increased 231% to approximately $370,000
for the quarter ended June 30, 1997 from approximately $110,000 for the same
quarter in 1996 and increased 164% to approximately $620,000 for the six month
period ended June 30, 1997 from approximately $240,000 for the same period in
1996. These increases are due to increased average cash balances related to
proceeds from the Company's initial public offering and the related private
placement to Baxter (see Liquidity and Capital Resources below). Interest
expense remained relatively unchanged from the second quarter and the six month
period ended June 30, 1997 as compared to the same periods in 1996.
LIQUIDITY AND CAPITAL RESOURCES
In January 1997, the Company completed an initial public offering of 2,000,000
shares of Common Stock, generating net proceeds (after deduction of offering
costs) of approximately $21.1 million. Concurrent with this offering, the
Company sold directly to Baxter an additional 496,878 shares of its Common Stock
for an aggregate purchase price of approximately $5.5 million. In addition to
these two financings, the Company's sources of capital to date have consisted of
private placements of preferred and common equity securities, project funding by
Baxter, United States government grants and interest income. To date, the
Company has not received any revenue from product sales and it will not derive
revenue from product sales unless and until one or more planned products
receives regulatory approval and achieves market acceptance. At June 30, 1997,
the Company had cash and cash equivalents of approximately $24.2 million.
Net cash used in operating activities was approximately $9.2 million for the six
month period ended June 30, 1997 compared to $3.9 million for the same period in
1996, resulting primarily from net losses. Net cash used in investing activities
in the six month period ended June 30, 1997 of approximately $320,000 resulted
from purchases of laboratory and computer equipment.
The Company's future capital requirements and the adequacy of its available
funds will depend on many factors, including progress of the platelet program
and the related clinical trials; progress of the FFP and red blood cell
programs; achievement of milestones leading to a milestone payment and equity
investments by Baxter; regulatory approval and successful commercialization of
the Company's pathogen inactivation systems; costs related to creating,
maintaining and defending the Company's intellectual property position; and
competitive developments. The Company believes that its available cash balances,
together with anticipated cash flows from existing Baxter and grant
arrangements, will be sufficient to meet its capital requirements through 1999.
There can be no assurance that the Company will be able to meet its capital
requirements for this or any other period. In the event that additional capital
is required, the Company may seek to raise that capital through public or
private equity or debt financings or through additional collaborative
arrangements or government grants. Future capital funding transactions may
result in dilution to investors in the Company. There can be no assurance that
such capital will be available on favorable terms, if at all.
ADDITIONAL RISKS
The Company's business is subject to significant additional risks, including,
but not limited to, the risks inherent in its research and development efforts,
including clinical trials; uncertainties associated both with obtaining and
enforcing its patents and with the patent rights of others; the lengthy,
expensive and uncertain process of seeking regulatory approvals; uncertainties
regarding
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government reforms and of product pricing and reimbursement levels;
technological change and competition; manufacturing uncertainties; and
dependence on Baxter and other third parties.
In addition, the market price of the Company's Common Stock, like that of the
common stock of many other companies in similar industries, is likely to be
highly volatile. Factors such as the announcements of scientific achievements or
new products by the Company or its competitors; governmental regulation; health
care legislation; developments in patent or other proprietary rights of the
Company or its competitors, including litigation; fluctuations in the Company's
operating results; and market conditions for health care stocks in general could
have significant impact on the future price of the Common Stock. In addition,
the stock market has from time to time experienced extreme price and volume
fluctuations, which may be unrelated to the operating performance of particular
companies. There can be no assurance that fluctuations in the price and volume
of the Company's Common Stock will not occur in the future.
The Company's pathogen inactivation systems are in the research and development
stage and will require additional preclinical and clinical testing prior to
submission of any regulatory application for commercial use. The Company
currently does not expect to file a product approval application with the United
States Food and Drug Administration ("FDA") or corresponding regulatory filings
in Europe for its platelet pathogen inactivation system or for any of its other
planned products prior to 1998. No assurance can be given that any of the
Company's development programs will be successfully completed; that any further
Investigational New Drug ("IND") or Investigational Device Exemption ("IDE")
applications will become effective or that additional clinical trials will be
allowed by the FDA or other regulatory authorities; that clinical trials will
commence as planned; that required United States or foreign regulatory approvals
will be obtained on a timely basis, if at all; or that any products for which
approval is obtained will be commercially successful.
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PART II. OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
Not Applicable.
ITEM 2. CHANGES IN SECURITIES
Not Applicable.
ITEM 3. DEFAULTS UPON SENIOR SECURITIES
Not Applicable.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
Not Applicable.
ITEM 5. OTHER INFORMATION
Not Applicable.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibit
27.1 Financial Data Schedule
(b) Reports on Form 8-K
No reports on Form 8-K were filed during the period.
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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.
CERUS CORPORATION
Date: August 13, 1997 /s/ Stephen T. Isaacs
_____________________
Stephen T. Isaacs
Chief Executive Officer
(Principal Financial and Accounting Officer)
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CERUS CORPORATION
INDEX TO EXHIBITS
Sequentially
Exhibit Numbered
No. Description Page
--- ----------- ----
27.1 Financial Data Schedule ---
- --------------------------------------------------------------------------------
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> JUN-30-1997
<CASH> 24,212
<SECURITIES> 0
<RECEIVABLES> 1,967
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 26,510
<PP&E> 2,664
<DEPRECIATION> 1,438
<TOTAL-ASSETS> 27,851
<CURRENT-LIABILITIES> 4,341
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 0
<TOTAL-LIABILITY-AND-EQUITY> 27,851
<SALES> 0
<TOTAL-REVENUES> 2,155
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 9,511
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> (8,304)
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (8,304)
<EPS-PRIMARY> (1.03)
<EPS-DILUTED> (1.03)
</TABLE>
