Exhibit 99.7
 
         st th th




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(in thousands of dollars, except per share amounts)
    
    2009
    
    
    2008*
    
    
    2007*Revenues
    
    $
    19,720
    
    
    $
    2,641
    
    
    $
    3,134Research and development before tax credits
    
    $
    22,226
    
    
    $
    35,326
    
    
    $
    31,866Operating loss before realized loss on impairment
of available-for-sale financial assets
    
    $
    (15,058
    )
    
    $
    (48,033
    )
    
    $
    (37,611
    )Net loss
    
    $
    (15,058
    )
    
    $
    (48,611
    )
    
    $
    (37,668
    )Basic and diluted loss per share
    
    $
    (0.25
    )
    
    $
    (0.85
    )
    
    $
    (0.72
    )
 
 (in thousands of dollars)
    
    2009
    
    
    2008*
    
    
    2007*Liquidities (cash and bonds)
    
    $
    63,362
    
    
    $
    46,337
    
    
    $
    60,368Tax credits receivable
    
    $
    1,666
    
    
    $
    1,784
    
    
    $
    1,418Total assets
    
    $
    69,487
    
    
    $
    53,545
    
    
    $
    73,649Capital stock
    
    $
    279,169
    
    
    $
    269,219
    
    
    $
    238,842Shareholders equity
    
    $
    43,048
    
    
    $
    46,347
    
    
    $
    65,036
 
 *
    
    Information restated following the adoption of the Canadian Institute of
Chartered Accountants (CICA) Handbook Section 3064, Goodwill and Intangible Assets.




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Adjusted net loss
 (in thousands of dollars)
    
    Fourth quarter
    
    
    
    
    
    
    Year2009
    
    
    2008*
    
    
    2009
    
    
    2008*Net loss, per the financial statements
    
    $
    (4,698
    )
    
    $
    (15,145
    )
    
    $
    (15,058
    )
    
    $
    (48,611
    )Adjustments:Revenues associated with a Collaboration and Licensing Agreement
(note 7 to the consolidated financial statements)
    
    
    (1,711
    )
    
    
    
    
    
    
    (17,444
    )
    
    
    Fees associated with a Collaboration and Licensing Agreement
    
    
    
    
    
    
    
    
    
    
    4,269
    
    
    
    Adjusted net loss
    
    $
    (6,409
    )
    
    $
    (15,145
    )
    
    $
    (28,233
    )
    
    $
    (48,611
    )
 Adjusted burn rate from operating activities before changes in operating assets and liabilities
 (in thousands of dollars)
    
    Fourth quarter
    
    
    
    
    
    
    Year2009
    
    
    2008*
    
    
    2009
    
    
    2008*Burn rate before changes in operating assets
and liabilities, per the financial statements
    
    $
    (4,333
    )
    
    $
    (9,559
    )
    
    $
    (13,547
    )
    
    $
    (41,592
    )Adjustments:Revenues associated with a Collaboration and Licensing Agreement
(note 7 to the consolidated financial statements)
    
    
    (1,711
    )
    
    
    
    
    
    
    (17,444
    )
    
    
    Fees associated with a Collaboration and Licensing Agreement
    
    
    
    
    
    
    
    
    
    
    4,269
    
    
    
    Adjusted burn rate before changes
in operating assets and liabilities
    
    $
    (6,044
    )
    
    $
    (9,559
    )
    
    $
    (26,722
    )
    
    $
    (41,592
    )
 
 *
    
    Information restated following the adoption of the CICA Handbook Section 3064,
Goodwill and Intangible Assets.




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Goodwill and Intangible Assets
 (in thousands of dollars, except per share amounts)
    
    
    2009
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    2008Q4
    
    
    Q3
    
    
    Q2
    
    
    Q1
    
    
    Q4
    
    
    Q3
    
    
    Q2
    
    
    Q1Revenues
    
    $
    2,246
    
    
    $
    13,148
    
    
    $
    2,317
    
    
    $
    2,009
    
    
    $
    616
    
    
    $
    710
    
    
    $
    716
    
    
    $
    599Net loss
(net earnings)
    
    $
    (4,698
    )
    
    $
    5,824
    
    
    $
    (5,430
    )
    
    $
    (10,754
    )
    
    $
    (15,145
    )
    
    $
    (11,220
    )
    
    $
    (11,382
    )
    
    $
    (10,864
    )Basic and diluted
loss (earnings)
per share
    
    $
    (0.08
    )
    
    $
    0.10
    
    
    $
    (0.09
    )
    
    $
    (0.18
    )
    
    $
    (0.26
    )
    
    $
    (0.19
    )
    
    $
    (0.20
    )
    
    $
    (0.20
    )




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Less than
    
    
    1 to 5
    
    
    Over(in thousands of dollars)
    
    Total
    
    
    1 year
    
    
    years
    
    
    5 yearsOperating lease
    
    $
    6,576
    
    
    $
    340
    
    
    $
    2,020
    
    
    $
    4,216
        A)
    
    SHAREHOLDER RIGHTS PLANOn February 10, 2010, the Companys Board of Directors adopted a shareholder rights plan
(the Plan), effective as of such date. The Plan is designed to provide adequate time for the
Board of Directors, and the shareholders, to assess an unsolicited takeover bid for
Theratechnologies. In addition, the Plan provides the Board of Directors with sufficient time to
explore and develop alternatives for maximizing shareholder value if a takeover bid is made, as
well as provide shareholders with an equal opportunity to participate in a takeover bid to
receive full and fair value for their common shares (the Common Shares). The Plan, if approved
by the shareholders, will expire at the close of the Companys annual meeting of shareholders in
2013.The rights issued under the Plan will initially attach to and trade with the Common Shares and
no separate certificates will be issued unless an event triggering these rights occurs. The
rights will become exercisable only when a person, including any party related to it, acquires
or attempts to acquire 20% or more of the outstanding Common Shares without complying with the
Permitted Bid provisions of the Plan or without approval of the Board of Directors. Should
such an acquisition occur or be announced, each right would, upon exercise, entitle a rights
holder, other than the acquiring person and related persons, to purchase Common Shares at a 50%
discount to the market price at the time.




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Under the Plan, a Permitted Bid is a bid made to all holders of the Common Shares and which
is open for acceptance for not less than 60 days. If at the end of 60 days at least 50% of the
outstanding Common Shares, other than those owned by the offeror and certain related parties
have been tendered, the offeror may take up and pay for the Common Shares but must extend the
bid for a further 10 days to allow other shareholders to tender.B)
    
    GRANTING OF STOCK OPTIONSOn December 8, 2009, the Company granted 265,000 options at an exercise price of $3.84 per
share and cancelled 19,167 options at a weighted exercise price of $2.38 per share in connection
with its stock option plan.




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(in thousands of Canadian dollars)
    
    
    
    
    
    
    
    
    
    November 30, 2009$US
    
    
    EUR
    
    
    GBPCash
    
    
    1,471
    
    
    
    
    
    
    
    Accounts receivable
    
    
    
    
    
    
    4
    
    
    
    Accounts payable and accrued liabilities
    
    
    (1,095
    )
    
    
    
    
    
    
    (25
    )Balance sheet elements exposed to foreign currency risk
    
    
    376
    
    
    
    4
    
    
    
    (25
    )
  Average
    
    
    Reportingrate
    
    
    date$US  $CAN
    
    
    1.0594
    
    
    
    1.0556EUR  $CAN
    
    
    1.5808
    
    
    
    1.5852GBP  $CAN
    
    
    1.7597
    
    
    
    1.7366
  (in thousands of Canadian dollars)
    
    $US
    
    
    EURO
    
    
    GBPIncrease net loss
    
    
    19
    
    
    
    
    
    
    
    (1
    )




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Goodwill and intangible assets
 Goodwill and Intangible Assets Goodwill and Other
Intangible Assets Research and Development Costs




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Inventories
 Inventories
 Credit risk and fair value of financial assets and financial liabilities
 Credit Risk and Fair Value of Financial Assets and Financial Liabilities
 Financial instruments  Disclosures
 Financial Instruments 
Disclosures Financial Instruments: Disclosures
  Business combinations, consolidated financial statements and non-controlling interests
 Business
Combinations Consolidated Financial Statements Non-controlling
Interests
 Business Combinations
 Consolidated and Separate Financial Statements




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International Financial Reporting Standards




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The commercial success of the Company depends largely on the development and commercialization of
tesamorelin; the failure by the Company to commercialize tesamorelin would have a material adverse
effect on the Company.
    
    
    receipt of regulatory approvals of tesamorelin for the treatment of excess abdominal
fat in HIV-infected patients with lipodystrophy from the FDA and other regulatory
agencies;
    
    market acceptance of the product by the medical community, patients and third-party
payers (such as governmental health administration authorities and private health
coverage insurers);
    
    entering into one or more strategic alliance agreements with one or more partners or
building a marketing and sales force in countries other than the United States to help
with the regulatory approval and/or the marketing and sale of tesamorelin for the
treatment of excess abdominal fat in HIV-infected patients with lipodystrophy in those
countries;
    
    in the United States, the amount of resources used by the Companys commercial partner
to commercialize tesamorelin;
    
    maintaining manufacturing and supply agreements to ensure the availability of
commercial quantities of tesamorelin through validated processes;
    
    the number of competitors in the market; and
    
    protecting the Companys intellectual property and avoiding patent infringement claims.




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The Company does not have the required regulatory approval to commercialize its products and
cannot guarantee that it will obtain such regulatory approval.




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The Company has no control over the timing of the review of its NDA by the FDA.
   The Company is dependent on the Collaboration and Licensing Agreement for the commercialization of
tesamorelin for the treatment of excess abdominal fat in HIV-infected patients with lipodystrophy
in the United States. This agreement places the commercialization of tesamorelin outside of its
control.
  
    
    the exact timing of the launch of tesamorelin in the United States, if approved by the
FDA;
    
    the limited control by the Company on the amount and timing of resources that its
commercial partner will be devoting to the commercialization, marketing and distribution
of tesamorelin, which could adversely affect the Companys ability to obtain or maximize
its royalty payments;
    
    disputes or litigation that may arise between the Company and its commercial partner,
which could adversely affect the commercialization of tesamorelin in the United States,
all of which will divert the attention of Companys Management and its resources;
    
    its commercial partner not properly defending the Companys intellectual property
rights or using them in such a way as to expose the Company to potential litigation,
which could, in both cases, adversely affect the value of the Companys intellectual
property rights;
    
    corporate reorganizations or changes in business strategies of its
commercial partner, which could adversely affect such commercial partners willingness or
ability to fulfill its obligations under the Collaboration and Licensing Agreement;
    
    the termination of the Collaboration and Licensing Agreement, which would adversely
affect the commercialization of tesamorelin for the treatment of excess abdominal fat in
HIV-infected patients with lipodystrophy in the United States.




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The Company relies on third parties for the manufacture and supply of tesamorelin and such
reliance may adversely affect the Company if the third parties are unable to fulfill their
obligations.
   Market acceptance of the Companys products is uncertain and depends on a variety of factors, some
of which are not under the control of the Company.




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
    
    acceptance of a product by physicians and patients as safe and effective treatments;
    
    product price;
    
    the effectiveness of the Companys sales and marketing efforts (or those of its commercial partners);
    
    storage requirements and ease of administration;
    
    dosing regimen;
    
    safety and efficacy;
    
    prevalence and severity of side effects; and
    
    competitive products.
 The Companys financial condition could be affected by the introduction of new regulations or
amendments to existing regulations.
  The Company must complete several preclinical and clinical studies for its products which may not
yield positive results and, consequently, could prevent it from obtaining regulatory approval.




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The Company relies on third-party service providers to conduct its preclinical and clinical
studies and respond to the FDAs questions regarding the Companys NDA submission. The failure by
one of these third parties to comply with their obligations may delay the studies, have an adverse
effect on the Companys development program and/or delay the commercialization of tesamorelin for
the treatment of excess abdominal fat in HIV-infected patients with lipodystrophy.
    The conduct of clinical trials requires the enrollment of patients and difficulties in enrolling
patients could delay the conduct of the Companys clinical trials or result in their
non-completion.




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The Companys capacity to generate revenues may be limited by governmental control over the
pricing of prescription drugs.
  The Company must enter into strategic alliance agreements with third parties for the sale and
marketing of its products and there is no guarantee that the Company will be able to achieve these
tasks.




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The failure by the Company to protect its intellectual property may have a material adverse
effect on its ability to develop and commercialize its products.




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The Companys commercial success depends, in part, on its ability not to infringe on third
parties patents and other intellectual property rights.
      The Company faces competition and the development of new products by other companies could
materially adversely affect the Companys business and its products.




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The Companys business may be harmed if it is unable to manage its growth effectively.
   The Company depends on its key personnel to research, develop and bring new products to the market
and the loss of key personnel or the inability to attract highly qualified individuals could have a
material adverse effect on its business and growth potential.
  The Company is not profitable and may never achieve profitability.




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The Company may require additional funding and may not be able to raise the capital necessary
to continue and complete the research and development of its products and their commercialization.
   The Company may not receive the full payment of all milestones or royalty payments pursuant to the
agreements entered into with third parties and, consequently, the financial condition and operating
results of the Company could be adversely impacted.
  The Company may not achieve its publicly announced milestones on time.




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The outcome of scientific research is uncertain and the failure by the Company to discover new
products could slow down the growth of its portfolio of products.
  The development and commercialization of drugs could expose the Company to liability claims which
could exceed its insurance coverage.
  The Companys common share price is volatile and investors could lose money as a result of such
volatility.




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