Total revenues for the quarter ended June 30, 2010, were $42.3 million, compared to $47.5 million for the same period in 2009. Total manufacturing revenues for the quarter ended June 30, 2010, were $26.9 million, which included $26.3 million related to RISPERDAL CONSTA and $0.6 million related to polymer for BYDUREON, compared to $28.8 million, which included $27.9 million related to RISPERDAL CONSTA and $0.9 million related to polymer for BYDUREON, for the same period in 2009. Royalty revenues for the quarter ended June 30, 2010, were $8.9 million, based on RISPERDAL CONSTA sales of $355.7 million, compared to $8.7 million, based on RISPERDAL CONSTA sales of $347.8 million, for the same period in 2009. Net sales of VIVITROL for the quarter ended June 30, 2010, were $6.2 million, compared to net sales of $4.2 million for the same period in 2009. Research and development (R&D) revenue under collaborative arrangements for the quarter ended June 30, 2010, was $0.3 million, compared to $1.5 million for the same period in 2009. The company no longer records net collaborative profit. Net collaborative profit for the quarter ended June 30, 2009, was $4.3 million.

Costs and Expenses

Cost of goods manufactured and sold for the quarter ended June 30, 2010, was $12.7 million, which included $10.4 million related to RISPERDAL CONSTA, $1.7 million related to VIVITROL and $0.6 million related to polymer for BYDUREON, compared to $12.7 million for the same period in 2009, of which $9.7 million related to RISPERDAL CONSTA, $2.0 million related to VIVITROL and $1.0 million related to polymer for BYDUREON. R&D expenses for the quarter ended June 30, 2010, were $23.0 million. R&D expenses were $25.6 million for the same period in 2009, which included $8.0 million of charges associated with the relocation of the company's headquarters, primarily related to the accelerated depreciation of certain R&D-related assets. Selling, general and administrative (SG&A) expenses for the quarter ended June 30, 2010, were $19.7 million, compared to $19.3 million for the same period in 2009. Share-based compensation expense (included in the operating expenses above) for the quarter ended June 30, 2010, was $4.5 million, of which $0.4 million related to cost of goods manufactured, $1.5 million related to R&D expenses and $2.6 million related to SG&A expenses. Share-based compensation expense for the same period in 2009 was $3.2 million, of which $0.3 million related to cost of goods manufactured, $0.8 million related to R&D expenses and $2.1 million related to SG&A expenses. Interest income for the quarter ended June 30, 2010, was $0.9 million, compared to $1.6 million for the same period in 2009. Interest expense for the quarter ended June 30, 2010, was $1.1 million, compared to $1.7 million for the same period in 2009. Income tax benefit for both the quarter ended June 30, 2010, and the quarter ended June 30, 2009, was $0.1 million.

At June 30, 2010, Alkermes had cash and total investments of $328.5 million, compared to $350.2 million at March 31, 2010. During the quarter, the company retired $6.4 million of the non-recourse RISPERDAL CONSTA secured 7% Notes through a scheduled principal payment. The company redeemed the remaining 7% Notes in full on July 1, 2010, at a total cost of approximately $46.4 million.

SOURCE Alkermes, Inc.