Pharming Group N.V.

Quarterly Report • Apr 18, 2008

PHARMING ANNOUNCES FIRST QUARTER 2008 RESULTS

Leiden, The Netherlands, April 18, 2008. Biotech company Pharming Group NV ("Pharming" or "the Company") (Euronext: PHARM) announced today its financial first quarter (Q1) results for the period ended March 31, 2008.

Key Developments

Financial

• Cash position of € 49.2 million (including marketable securities, excluding restricted cash) at March 31, 2008 (€ 54.9 million, at December 31, 2007)
• Equity at March 31, 2008 of € 28.2 million (€ 34.7 million at December 31, 2007)
• Net cash of € 5.5 million used for operating activities in Q1 2008 compared to € 4.8 million in Q1 2007
• Revenues of € 0.1 million (€ 0.2 million in Q1 2007)
• Operating costs and expenses € 5.3 million in Q1 2008 (€ 4.8 million in Q1 2007)
• Total net loss of € 6.4 million in Q1 2008 (€ 5.0 million in Q1 2007)

Products

• Rhucin® (recombinant human C1 inhibitor or rhC1INH) for the treatment of acute attacks of Hereditary Angioedema (HAE) received negative opinion from European Medicines Agency (EMEA) for marketing authorization
• Exclusive licensing and distribution agreement signed with EİP Eczacıbaşı İlaç Pazarlama A.Ş., a leading Turkish pharmaceutical company for the marketing and sales of Rhucin® in Turkey
• License agreement signed with Advanced Cell Technology Inc to obtain exclusive rights on patents in the field of transgenic technology, to which Pharming already had non-exclusive rights.
• Pharming's wholly owned subsidiary DNage will head a collaborative Research and Development effort to identify novel biomarkers and therapeutic targets, and to develop therapeutics for the treatment of premature ageing diseases. The consortium has been granted a SenterNovem subsidy of € 0.9 million for a period of three years.

"In the first quarter of 2008, Pharming encountered a disappointment in the form of a negative opinion regarding its marketing authorization application of Rhucin® for the treatment of acute attacks of Hereditary Angioedema in Europe," said Dr. Bruno Giannetti, COO of Pharming. "However, we remain determined to bring Rhucin® to the market and provide the relevant patient community with a safe and effective product to relive their medical needs. Pharming is fortunate to have a strong financial position which will allow us to take the necessary next steps in our Rhucin® program as well as invest in other portfolio programs. "

Financial

Pharming's cash position (including marketable securities, excluding restricted cash) at March 31, 2008 was € 49.2 million in comparison to € 54.9 million at the end of 2007. The equity position of the Company was € 28.2 million compared to € 34.7 million at the end of 2007. Current liabilities were € 13.3 million compared to € 23.5 million at December 31, 2007. This decrease is large caused by the planned payment of € 10.2 million to Paul Capital as part of the final settlement in the restructuring of the original agreement with Paul Capital. Total non-current assets were € 35.4 million, almost identical to December 31, 2007. Total cash used for operating activities in the first quarter amounted to € 5.5 million compared to € 4.8 million in Q1 2007.

The operational costs and expenses in Q1 2008 were € 5.3 million compared to € 4.8 million in Q1 2007. The net loss after tax in Q1 2008 was € 6.4 million compared to a net loss of € 5.0 million in Q1 2007. Costs for Research and Development increased due to due to costs associated with the EMEA re-examination process as well preparations for the first clinical study of Prodarsan®, a DNage-product being developed for the treatment of premature ageing. Revenues decreased to € 0.,1 million compared to March 31, 2007 due to the one-time effect of an FDA grant recognized in 2007.

Product Development

On March 20, 2008 Pharming received a negative opinion regarding its Marketing Authorization Application for Rhucin® in the European Union. the Committee for Medicinal Products for Human Use (CHMP), after reexamination of its initial opinion, was not reassured that there is sufficient evidence to confirm the clinical benefits of Rhucin® in repeat use. In particular, the CHMP was not reassured about the potential for undesirable immune responses following repeated administration. The re-examination procedure by EMEA included a review by an independent scientific advisory group composed of European recognized experts in the field of HAE. There was consensus among the experts, recognizing that the available clinical data were limited, that there was no evidence to indicate the development of neutralising antibodies to C1-inhibitor with repeat administration of Rhucin®. The Company now intends to re-submit the registration dossier with the inclusion of additional clinical data including those from the recently completed North American clinical study when these results become available in the second quarter of 2008. As part of the re-submission, Pharming will request an expedited review, which is an assessment period of 150 days. In the meantime the Company will pursue registration in markets outside the European Union.

In March 2008 Pharming signed an exclusive licensing and distribution agreement with EİP Eczacıbaşı İlaç Pazarlama A.Ş., (EIP), a leading Turkish pharmaceutical company for the marketing and sales of Rhucin® in Turkey. The agreement covers the use of Rhucin® to treat acute attacks of HAE with a right of first refusal to EIP for other indications. EIP will be responsible for registration of the product in Turkey and has already taken the first steps in this process. Rhucin® may be eligible for an accelerated review procedure given the high medical need for new therapies in the HAE-patient community as a life threatening disease. Data submitted to the EMEA as well as additional data generated after the EMEA-submission will be used in the registration procedure, although the decision on registration in Turkey will be independent of decisions made in the EU or the USA. Under the terms of the agreement, EIP will purchase the product from Pharming and market, sell and distribute it in Turkey. EIP will also pay a license fee to Pharming for the product.

In February, a license agreement with Advanced Cell Technology Inc was concluded to obtain exclusive rights on patents in the field of transgenic technology. Pharming already had non-exclusive rights to this Intellectual Property. The patents were previously owned by Infigen Inc and cover a wide range of technologies including for Pharming relevant elements of nuclear transfer, which is an essential step in generating transgenic cattle. The agreement provides Pharming strict control over the generation of its transgenic cattle, while, at the same time, increasing the barriers of entry for others.

Using an International Innovation Subsidy of € 0.9 million for a period of three years, Pharming's subsidiary DNage has initiated a project with the Eberhard Karls University in Tubingen Germany, and Pyxis Discovery BV, to design new drug development tools aimed at discovery of new therapeutics to treat (premature) ageing diseases. In addition, DNage has announced that it will collaborate with the Leiden University Medical Center to identify unique biomarkers of such diseases that will facilitate the clinical development of new therapies.

Background on Pharming Group NV

Pharming Group NV is developing innovative products for the treatment of genetic disorders, ageing diseases, specialty products for surgical indications, intermediates for various applications and nutritional products. Pharming has two products in late stage development - Rhucin® (recombinant human C1 inhibitor) for hereditary angioedema (MAA under review by EMEA) and human lactoferrin for use in food products (GRAS notification under review by US FDA). The advanced technologies of the Company include innovative platforms for the production of protein therapeutics and technology and processes for the purification and formulation of these products, as well as technologies in the field of tissue repair (via its collaboration with NovaThera) and DNA repair (via its acquisition of DNage). Additional information is available on the Pharming website, http://www.pharming.com and on http://www.dnage.nl.

This press release contains forward looking statements that involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the Company to be materially different from the results, performance or achievements expressed or implied by these forward looking statements. The press release also appears in Dutch. In the event of any inconsistency, the English version will prevail over the Dutch version.

Contact:

Rein Strijker Pharming Group NV T: +31 (0)71 52 47 400

PH A R M I N G

CONSOLIDATED BALANCE SHEET

At March 31, 2008 (amounts in €'000) (unaudited)

	March 31, 2008	December 31, 2007
Goodwill	9,190	9,190
Intangible assets	19,040	18,981
Property, plant and equipment	6,813	7,098
Financial assets	200	200
Restricted cash	176	176
Non-current assets	35,419	35,645
Inventories	11,640	11,720
Other current assets	2,073	1,893
Marketable securities	3,998	3,956
Restricted cash	-	10,180
Cash and cash equivalents	45,180	50,954
Current assets	62,891	78,703
Total assets	98,310	114,348
Share capital	45,618	45,618
Share premium	182,243	182,243
Other reserves	22,070	22,110
Accumulated deficit	(221,701)	(215,280)
Total equity	28,230	34,691
Convertible bonds	50,500	49,768
Earn-out obligations	2,423	2,315
Deferred tax liability	3,513	3,613
Other	382	412
Non-current liabilities	56,818	56,108
Paul Royalty Fund	-	10,180
Trade and other payables	6,592	7,830
Earn-out obligations	4,564	4,634
Nominal interest convertible bonds	2,005	801
Current portion of other non-current liabilities	101	104
Current liabilities	13,262	23,549
Total equity and liabilities	98,310	114,348

CONSOLIDATED INCOME STATEMENT

For the period ended March 31, 2008 (amounts in €'000, except per share data) (unaudited)

	March 31, 2008	March 31, 2007
Revenues	87	180
Research and development	4,125	3,566
General and administrative	660	561
Depreciation and amortization charges	333	358
Share-based compensation	169	265
Costs	5,287	4,750
Loss from operating activities	(5,200)	(4,570)
Effective interest convertible bonds	(1,935)	-
Interest on liability Paul Royalty Fund	-	(656)
Interest on earn-out obligations	(38)	(270)
Other interest income, net	634	303
Finance revenue and costs	(1,339)	(623)
Foreign currency effect on liability Paul Royalty Fund	-	121
Other foreign currency results	18	(16)
Other income and expenses	18	105
Loss before tax	(6,521)	(5,088)
Income tax benefit	100	39
Net loss after tax	(6,421)	(5,049)
Attributable to Equity holders of the parent	(6,421)	(5,049)
Share information:
Basic and diluted net loss per share (€)	(0.07)	(0.06)
Weighted average shares outstanding	91,235,178	90,311,468

Number of shares outstanding at March 31, 2008 was 91,235,178

CONSOLIDATED STATEMENT OF CASH FLOW

For the period ended March 31, 2008 (amounts in €'000) (unaudited)

	March 31, 2008	March 31, 2007
Payments of third party fees and expenses, including Value Added Tax	(4,383)	(4,987)
Net compensation paid to board members and employees	(1,023)	(693)
Payments of pension premiums, payroll taxes and social securities, net of grants settled	(1,052)	(537)
Other payments	(202)	-
Receipt of Value Added Tax	293	632
Interest received from cash and marketable securities	675	414
Receipt of grants	79	187
Other receipts	133	184
Net cash flows used in operating activities	(5,480)	(4,800)
Purchase of property, plant and equipment	(89)	(352)
Purchase of intangible assets	(175)	-
Net cash flows used in investing activities	(264)	(352)
Net proceeds of increase of share capital	-	905
Repayment to Paul Royalty Fund	(10,075)	-
Repayment of other financial liabilities	(23)	(10)
Net cash flows from/(used in) financing activities	(10,098)	895
Net decrease cash and cash equivalents	(15,842)	(4,257)
Cash and cash equivalents at January 1 (including restricted cash)	61,310	26,258
Exchange rate effect	(112)	(3)
Net decrease cash and cash equivalents	(15,842)	(4,257)
Cash and cash equivalents at March 31 (including restricted cash)	45,356	21,998
Liquidity information
Cash and cash equivalents at March 31 (including restricted cash)	45,356	21,998
Marketable securities at March 31	3,998	4,337
Total liquidities at March 31	49,354	26,335