WorldHeart Corp, a developer of mechanical circulatory systems, has reported a net loss of $16.7m for the year ended December 31, 2009, compared to a $25.3m in 2008.
The decrease was primarily the result of one-time, non-cash clinical and marketing expenses of $6.5m and one-time debt inducement expense of $3.9m in 2008 related to warrants issued to a strategic partner and the subsequent conversion of debt to common stock.
The decrease in clinical and marketing expenses and the debt inducement expense in 2009 was offset by increases in research and development expenses as well as selling, general and administrative expenses. The increased costs were associated with the preparation for the Levacor VAD Bridge-to-Transplant (BTT) clinical study which received unconditional approval from the US FDA in January 2010.
Revenues were $5,000, compared to $1.7m during the previou year. The decrease in revenue is the result of a decision in November 2006 to suspend its commercial efforts with respect to the Novacor LVAS and focus efforts and resources in the development of the Levacor VAD.
As on December 31, 2009 WorldHeart’s balance sheet reflected $6.1m in cash, cash equivalents and marketable investment securities, which is exclusive of the $7.1m in net proceeds from the January 2010 private placement. This compares to $20.7m in cash and cash equivalents at December 31, 2008.
Alex Martin, president and chief executive officer, said: “With our unconditional approval for the BTT clinical study in January coupled with the financing we recently completed, we are well positioned to move our Levacor VAD program forward. We are excited to offer the world’s only fully magnetically levitated, bearingless, implantable centrifugal pump to heart failure patients in the US.”