Incyte's 3rd-quarter loss narrows on lower costs following pipeline prioritization move
Associated Press
11/05/09 11:05 AM EST
WILMINGTON, DEL. — Biotechnology company Incyte Corp. said Thursday its third-quarter loss narrowed on lower costs as it prioritized is pipeline of potential products.
Incyte is developing treatments for breast cancer, arthritis, and bone marrow diseases.
The company lost $43.4 million, or 44 cents per share, compared with a loss of $44.8 million, or 48 cents per share, during the same period a year prior. Revenue fell to $939,000 from $1.1 million.
Analysts polled by Thomson Reuters expected a loss of 41 cents per share on revenue of $710,000.
Costs and expenses fell 20 percent to $32.5 million as the company trimmed its pipeline of products in an effort to focus on treatments that could produce a financial benefit more quickly.
The cost savings were nearly offset by $5.4 million in losses on debt repurchases.
"We recently raised over $500 million in our common stock and senior convertible notes offerings, which we intend to use to complete the Phase III program for our lead JAK1/2 inhibitor, INCB18424, for myelofibrosis, advance our pipeline, and reduce our existing convertible notes that are due in 2011," Paul A. Friedman, president and CEO, said in a statement. "Thus far, we have retired over $212 million of the $400 million outstanding principal balance."
Shares rose 48 cents, or 7.6 percent, to $6.84 in morning trading. The stock has traded between $1.85 and $8.18 over the last 52 weeks.
