Innate Pharma

Earnings Release • Dec 8, 2014

FINANCIAL INFORMATION FOR THE THIRD QUARTER OF 2014

• Cash, cash equivalent and financial instruments amounting to 74.7 million euros
• Cash horizon to end of 2017 unchanged

Marseille, France, November 5, 2014

Innate Pharma SA (the "Company" - Euronext Paris: FR0010331421 – IPH), the innate immunity company developing first-in-class therapeutic antibodies for cancer and inflammatory diseases, today announced its revenues and cash position for the first nine months of 2014.

Cash, cash equivalents and financial instruments of the Company amounted to 74.7 million euros as at September 30, 2014 including the research tax credit relating to the year 2013 (4.1 million euros) which was received in the third quarter of 2014. As at September 30, 2014, the financial liabilities of the Company amounted to 4.3 million euros. Based on its current programs, the Company estimates that it has sufficient cash to fund operation into end of 2017.

Revenues for the first nine months of 2014 amounted to 1.0 million euros (6.8 million euros for the same period in 2013). The table below shows the revenue for the first nine months of 2013 and 2014, as well as the revenue for the third quarter of the same years:

	Nine months ending September 30		Three months ending September 30
In thousands of euros	2014	2013	2014	2013
Revenues from collaboration and licensing agreements	972	6,793	(55)	2,259
Revenue	972	6,793	(55)	2,259

This revenue results from Innate Pharma's collaboration and licensing agreement with Bristol-Myers Squibb and largely relates to recognition of the upfront payment of 24.9 million euros (35.3 million dollars) throughout the expected duration of the clinical trials ongoing at the date of signing the agreement (July 2011). The decrease in revenue in 2014 is mainly explained by the decrease of the amount related to the recognition of the upfront payment, in accordance with the progress of these trials, which are now almost completed. In addition to this upfront payment, the Company invoiced Bristol-Myers Squibb for external costs incurred for these clinical trials. In the third quarter of 2014, the limits for reimbursement of these trials have been adjusted at their final cost by the partners. Related revenues have been adjusted consequently during this quarter. This operation has no cash impact.

About Innate Pharma:

Innate Pharma S.A. is a biopharmaceutical company discovering and developing first-in-class therapeutic antibodies for the treatment of cancer and inflammatory diseases.

Its innovative approach has translated into major alliances with leaders in the biopharmaceutical industry such as Bristol-Myers Squibb and Novo Nordisk A/S.

The Company has two clinical-stage programs in immuno-oncology, a new therapeutic field that is changing cancer treatment by enhancing the capability of the body's own immune cells to recognize and kill cancer cells. Innate Pharma science also has potential in chronic inflammatory diseases.

Listed on Euronext-Paris, Innate Pharma is based in Marseille, France, and had 97 employees as at September 30, 2014.

Learn more about Innate Pharma at www.innate-pharma.com.

Practical Information about Innate Pharma shares:

ISIN code	FR0010331421
Ticker code	IPH

Disclaimer:

This press release contains certain forward-looking statements. Although the company believes its expectations are based on reasonable assumptions, these forward-looking statements are subject to numerous risks and uncertainties, which could cause actual results to differ materially from those anticipated. For a discussion of risks and uncertainties which could cause the company's actual results, financial condition, performance or achievements to differ from those contained in the forward-looking statements, please refer to the Risk Factors ("Facteurs de Risque") section of the Document de Reference prospectus filed with the AMF, which is available on the AMF website (http://www.amf-france.org) or on Innate Pharma's website.

This press release and the information contained herein do not constitute an offer to sell or a solicitation of an offer to buy or subscribe to shares in Innate Pharma in any country.

For additional information, please contact:

Innate Pharma ATCG Press

Laure-Hélène Mercier Director, Investor Relations Tel.: +33 (0)4 30 30 30 87 investors@innate-pharma.com presse@atcg-partners.com

Judith Aziza, Mob.:+33 (0)6 70 07 77 51 Marielle Bricman, Mob.:+33 (0)6 26 94 18 53