Revenues Rise at Endocyte - Analyst Blog
February 26 2013 - 4:40AM
Zacks
Endocyte, Inc.
(ECYT) reported fourth quarter 2012 net loss per share of 2 cents,
in line with the Zacks Consensus Estimate and narrower than
the year-ago loss of 30 cents.
Fourth quarter 2012 revenues were
$14.5 million compared with $0.2 million in 2011. Revenues
comprised solely of collaboration revenues. Revenues in the final
quarter of 2012 edged past the Zacks Consensus Estimate of $14
million.
In the fourth quarter of 2012,
research and development expenses were $10.5 million, up 35.7%. The
company’s effort to develop its pipeline was primarily responsible
for the increase. In the fourth quarter of 2012, general and
administrative (G&A) expenses jumped 73% to $4.95 million. The
increase was attributable to establishing commercial capability. An
increase in compensation expenses was also responsible for pushing
G&A costs up.
Full year 2012 net loss per share
was 48 cents compared with a loss of $1.40 per share in 2011. The
Zacks Consensus Estimate for 2012 hinted at a net loss of 47 cents
per share. Revenues in 2012 were $34.7 million compared with 0.2
million in 2011. Revenues for 2012 surpassed the Zacks Consensus
Estimate of $34 million.
In 2012, the company submitted a
marketing authorization application (MAA) for its oncology
candidate, vintafolide (MK-8109/EC145) in the EU. Endocyte is also
looking for EU approval of etarfolatide (EC20) along with
vintafolide. Etarfolatide is developed for the identification of
tumors that overexpress folate receptors and that may respond to
folate-targeted therapy. Both the candidates were granted orphan
drug status in the EU in 2012. The company expects a decision from
the European Commission on both the candidates towards the end of
2013.
Endocyte and its partner,
Merck & Co. Inc. (MRK), are looking to get
vintafolide approved as a treatment of patients suffering from
folate-receptor positive platinum-resistant ovarian cancer in
combination with pegylated liposomal doxorubicin (PLD). They
entered into a partnership in Apr 2012.
Under this agreement, Endocyte
granted Merck an exclusive license to develop, manufacture and
commercialize the candidate.
2013 Guidance
Total expenses, net of Merck reimbursements, are expected around
$65 million in 2013.
Cash, cash equivalents and investments are expected in the range of
$145 - $160 million as on Dec 31, 2013.
Endocyte carries a Zacks Rank #3
(Hold). Currently, companies like Lannett Company,
Inc. (LCI) and United Therapeutics
Corporation (UTHR) look more attractive with a Zacks Rank
#1 (Strong Buy).
ENDOCYTE INC (ECYT): Free Stock Analysis Report
LANNETT INC (LCI): Free Stock Analysis Report
MERCK & CO INC (MRK): Free Stock Analysis Report
UTD THERAPEUTIC (UTHR): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
London Clubs (AMEX:LCI)
Historical Stock Chart
From Aug 2024 to Sep 2024
London Clubs (AMEX:LCI)
Historical Stock Chart
From Sep 2023 to Sep 2024