UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
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QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
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For the quarterly period ended September 30, 2003 |
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or |
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TRANSITION
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE |
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Commission File Number: 0-27118 |
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PHARMACOPEIA, INC.
(Exact name of registrant as specified in its charter)
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Delaware |
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33-0557266 |
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(State or other jurisdiction of |
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(I.R.S. Employer Identification No.) |
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PO Box 5350, Princeton, New Jersey |
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08543-5350 |
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(Address of principal executive offices) |
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(Zip code) |
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(609) 452-3600 |
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(Registrant’s telephone number, including area code) |
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Not Applicable |
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(Former name, former address and former fiscal year, if changed since last report) |
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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 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 ý No o
Indicate by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act). Yes ý No o
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date:
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Class |
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Outstanding at October 31, 2003 |
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Common Stock, $.0001 par value |
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23,844,681 |
Form 10-Q
2
Item 1. Unaudited Consolidated Financial Statements
Pharmacopeia, Inc.
Consolidated
Balance Sheets
(Dollars
in thousands)
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September 30, |
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December 31, |
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(Unaudited) |
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ASSETS |
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Current assets: |
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Cash and cash equivalents |
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$ |
24,388 |
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$ |
28,236 |
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Marketable securities |
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114,924 |
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112,835 |
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Trade receivables, net of allowance for doubtful accounts of $269 and $1,634, respectively |
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15,339 |
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35,571 |
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Prepaid expenses and other current assets |
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5,401 |
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5,505 |
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Total current assets |
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160,052 |
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182,147 |
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Property and equipment - net |
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12,992 |
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14,157 |
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Goodwill - net |
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34,404 |
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34,404 |
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Capitalized software - net |
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7,423 |
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8,656 |
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Other intangibles - net |
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— |
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116 |
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Other assets |
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571 |
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625 |
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Total assets |
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$ |
215,442 |
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$ |
240,105 |
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LIABILITIES AND STOCKHOLDERS’ EQUITY |
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Current liabilities: |
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Accounts payable |
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$ |
2,528 |
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$ |
2,497 |
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Accrued liabilities |
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16,510 |
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20,429 |
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Deferred revenue, current portion |
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19,480 |
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29,076 |
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Total current liabilities |
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38,518 |
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52,002 |
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Deferred revenue, long-term |
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2,831 |
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4,766 |
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Stockholders’ equity: |
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Capital stock |
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2 |
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2 |
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Additional paid-in capital |
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286,707 |
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284,733 |
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Treasury stock |
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(8,340 |
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(8,340 |
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Accumulated deficit |
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(105,171 |
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(93,821 |
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Accumulated comprehensive income |
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895 |
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763 |
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Total stockholders’ equity |
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174,093 |
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183,337 |
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Total liabilities and stockholders’ equity |
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$ |
215,442 |
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$ |
240,105 |
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See accompanying notes to these unaudited financial statements.
3
Pharmacopeia, Inc.
Consolidated Statements of
Operations
(Unaudited, Dollars in thousands, except per share data)
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For the Three Months |
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For the Nine Months |
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2003 |
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2002 |
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2003 |
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2002 |
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Revenues: |
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Software license, service and other |
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$ |
17,675 |
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$ |
22,872 |
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$ |
53,984 |
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$ |
63,906 |
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Drug discovery |
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7,422 |
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8,036 |
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21,957 |
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23,142 |
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Total revenues |
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25,097 |
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30,908 |
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75,941 |
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87,048 |
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Cost of revenues: |
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Software license, service and other |
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5,156 |
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5,649 |
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15,338 |
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15,833 |
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Drug discovery |
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5,535 |
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4,647 |
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16,707 |
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14,704 |
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Total cost of revenues |
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10,691 |
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10,296 |
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32,045 |
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30,537 |
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Gross margin |
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14,406 |
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20,612 |
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43,896 |
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56,511 |
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Operating costs and expenses: |
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Research and development |
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4,991 |
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7,503 |
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16,223 |
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21,809 |
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Sales, general and administrative |
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12,531 |
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16,230 |
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41,676 |
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50,536 |
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Restructuring |
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— |
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4,340 |
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(384 |
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4,340 |
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Total operating costs and expenses |
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17,522 |
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28,073 |
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