SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUERS PURSUANT TO RULE
13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT
OF 1934
Dated: October 28, 2002
Commission file number 0-21392
AMARIN CORPORATION PLC
(Exact name of Registrant as Specified in its Charter)
ENGLAND
(Jurisdiction of Incorporation or
organization of Issuer)
7 Curzon Street
London W1J 5HG, England
(Address of Principal Executive Offices)
Indicate by check mark whether the registrant files
or will file annual reports under cover of Form 20-F or
Form 40-F.
[X] Form 20-F [ ] Form 40-F
Indicate by check mark whether the registrant by
furnishing the information contained in this Form is
also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the
Securities Exchange Act of 1934.
[ ] Yes [X] No
Attachment:
Material Events
(a) Amarin Corporation plc Reports Third Quarter 2002 Financial Results.
This report on Form 6-K is hereby incorporated
by reference in the registration statement on Form F-3
(Registration Statement No. 333-12642) of Amarin
Corporation plc and in the prospectus contained therein,
and in the Registration Statement on Form F-3
(Registration No. 333-13200) of Amarin Corporation plc
and in the prospectus contained therein, and this report
on Form 6-K shall be deemed a part of each such
registration statement from the date on which this
report is filed, to the extent not superseded by
documents or reports subsequently filed.
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.
AMARIN CORPORATION PLC
By:/s/Richard A B Stewart
Richard A B Stewart
Chief Executive Officer
Date: October 28, 2002
Index to
Exhibits
Exhibit Item Sequentially Numbered Page
(a) Material Event description- 4
Amarin Corporation plc Reports Third
Quarter 2002 Financial Results
Exhibit (a)
Contact:
Nigel Bell
Chief Financial Officer
Amarin Corporation plc
Phone: +44 (0) 20 7907 2444
Email: nigel.bell@amarincorp.com
AMARIN CORPORATION REPORTS THIRD QUARTER 2002
FINANCIAL RESULTS
Revenues were $14.8 Million and Diluted Earnings per ADS
(excluding one-time charges and a foreign exchange gain)were $0.05
EBITDA (excluding one- time charges and foreign exchange gain) was $3.8 million
LONDON, United Kingdom, October 28, 2002 -- Amarin
Corporation plc NASDAQ: AMRN) today reported total revenues for
the third quarter of 2002 of $14.8 million, a decrease of 5%
compared with revenue of $15.6 million for the third quarter of
2001. For the quarter, net income (excluding one-time charges
and a foreign exchange gain) was $0.63 million, or $0.05 per
American Depository Share (ADS, diluted), versus $3.1 million, or
$0.28 per ADS (diluted) for the third quarter ended September 30,
2001.
For the nine months ended September 30, 2002, total revenues
increased 29% to $51.6 million, compared with $39.9 million
during the same period a year ago. For the first nine months of
the year, the Company achieved net income (excluding one-time
charges and foreign exchange gains) of $4.8 million and diluted
earnings per ADS of $0.41. This compares with net income of
$11.1 million and diluted earnings per ADS of $1.01 for the same
period last year, during which the company benefited from
revenues from Permax (pergolide mesylate tablets) prior to
building a sales and marketing infrastructure.
The Company recorded a foreign exchange gain of $2.4
million, or $0.20 per ADS (diluted), during the third quarter of
2002. This foreign exchange gain arises on the translation of
the Group's assets and liabilities from U.K. Pounds Sterling to
U.S. Dollars at the end of the quarter.
During the third quarter, Amarin recognised a one-time
charge of $0.5 million relating to the closure costs of its
Warren, New Jersey facility. This office will be closed by year-
end 2002, and all operations conducted in New Jersey, including
the direct marketing of Amarin's Legacy portfolio, will be
consolidated in San Francisco. Additionally, a strategic review
of the Legacy product portfolio concluded that one of the
portfolio products has experienced intense generic competition.
As a result, Amarin has taken a one-time charge of $4.65 million
relating to inventory write-offs. Amarin continues to experience
generic competition across the Legacy product portfolio,
resulting in weaker than expected revenues in the third quarter.
"Revenues from sales of Permax, a dopamine receptor agonist
indicated as adjunctive therapy in the management of Parkinson's
disease, were $8.8 million in the third quarter, and continue to
be robust, commented Rick Stewart, chief executive officer of
Amarin Corporation. "We are pleased with the continued progress
of Amarin's specialist neurology sales force, which resulted in
increasing demand for Permax during the quarter despite the
threat of generic competition and anticipatory inventory
adjustments by our customers. The impact of generics on the
Legacy portfolio has been disappointing, but we have taken
actions to limit the future impact of generic competition on our
revenues."
At the end of the third quarter, Amarin had total assets of
$134.3 million, cash of $19.5 million and receivables of $23
million.
EBITDA (excluding foreign exchange gain and one-time
charges) for the quarter was $3.8 million compared to $4.6
million for the same quarter last year and $11.9 million for the
nine months to September 2002 compared to $13.9 million for the
corresponding nine months of 2001.
In the first quarter of 2002, Amarin exercised its Permax
purchase option and capitalised amounts will be amortised over 15
years. The method of amortisation adopted by Amarin reflects the
underlying pattern of operating cashflows generated by the
product. The net book value of Permax is reviewed on a quarterly
basis to ensure that the net present value of Permax exceeds the
net book value of the product.
As a result of Amarin's acquisition of the exclusive U.S.
licensing rights to Permax, the Company expects that the majority
of its revenues, costs, assets and liabilities will be U.S.
Dollar denominated by the end of 2002. Therefore, it will be
appropriate to change the functional currency in which the
financial statements are prepared from UK Pounds Sterling to U.S.
Dollars. This change will be applied from January 1, 2003 and
will eliminate the effect of foreign exchange rates on U.S Dollar
amounts from that date forward.
Amarin Corporation plc is a specialty pharmaceutical company
focused on neurology and pain management. The Company plans to
become a leader in these therapeutic categories by providing
innovative products and solutions that address significant unmet
medical needs. For press release and other Company information,
visit our website at http://www.amarincorp.com.
Statements in this press release that are not historical facts
are forward-looking statements that involve risks and
uncertainties which may cause the Company's actual results in
future periods to be materially different from any performance
suggested herein. Such risks and uncertainties include, without
limitation, risks associated with the inherent uncertainty of
pharmaceutical research, product development and
commercialisation, the impact of competitive products and
patents, as well as other risks and uncertainties detailed from
time to time in periodic reports. For more information, please
refer to Amarin Corporation's Annual Report for 2001 on Form 20-F
and its Form 6-Ks as filed with the U.S. Securities and Exchange
Commission. The Company assumes no obligation to update
information on its expectations.
Amarin Corporation plc
Period Ended 30 September 2002 Selected Data (UK GAAP-UNAUDITED)
INCOME STATEMENT Three months ended Nine months ended
'30 September '30 September
2001 2002 2001 2002
$'000 $'000 $'000 $'000
REVENUE
Licensing & Development Fees 690 919 1,818 2,563
Royalties & Product Sales 14,700 13,904 36,190 49,004
Revenues from discontinued
business 191 - 1,907 -
_____________________ __________________
Total Revenues 15,581 14,823 39,915 51,567
OPERATING EXPENSES
Direct Costs 6,231 5,442 14,591 19,744
Inventory write off provision - 4,654 - 4,654
Research & Development 1,210 1,395 3,112 4,254
Restructuring provision - 510 - 510
Selling, General &
Administrative 4,022 4,495 7,609 16,183
Operating expenses from
discontinued business (302) (36) 942 (28)
Amortisation of intangible
fixed assets 1,244 2,312 2,683 4,972
_____________________ __________________
Total Expenses 12,405 18,772 28,937 50,289
OPERATING INCOME/(LOSS) from
continuing business 2,683 (3,985) 10,013 1,250
OPERATING INCOME from
discontinued business 493 36 965 28
Interest & Investment income
received/(paid) (net) 85 (372) 371 (1,046)
Foreign exchange gain 10 2,410 0 5,952
INCOME/(LOSS) BEFORE TAXES 3,271 (1,911) 11,349 6,184
Income Tax expense 83 209 83 514
Dividends payable 45 - 134 43
_____________________ __________________
NET INCOME/(LOSS) FOR PERIOD 3,143 (2,120) 11,132 5,627
_____________________ __________________
_____________________ __________________
EARNINGS BEFORE INTEREST,
TAX,DEPRECIATION,AMORTISA-
TION, FOREIGN EXCHANGE AND
ONE-TIME CHARGES 4,589 3,841 13,989 11,933
_____________________ __________________
_____________________ __________________
WEIGHTED AVERAGE
NUMBER OF DILUTED SHARES
-Thousands 11,376 11,838 11,085 11,830
INCOME/(LOSS) PER AMERICAN DEPOSITORY SHARE (ADS)
From continuing business 0.24 (0.18) 0.93 0.47
From discontinued business 0.04 - 0.09 -
From net income 0.28 (0.18) 1.01 0.47
SELECTED BALANCE SHEET DATA $'000
Working capital: 2,779
Cash & receivables: 41,541
Total assets: 134,355
Long-term obligations: (55,121)
Stockholders' equity: 36,337