ImmunoGen, Inc., a biotechnology company that develops targeted antibody-based anticancer products using its antibody expertise and Targeted Antibody Payload (TAP) technology, reported financial results for the third quarter of the Company’s 2011 fiscal year.
ImmunoGen reported a net loss of $15.0 million, or $0.22 per basic and diluted share, for the quarter ending March 31, 2011 (3Q FY2011), as compared to a net loss of $12.1 million, or $0.21 per basic and diluted share, for the same quarter of the last fiscal year (3Q FY2010).
Revenues were $5.2 million for 3Q FY2011, as compared to $3.3 million for the same period last year. Revenues in 3Q FY2011 include $2.2 million of research and development support fees and $2.2 million of clinical material reimbursement, compared to $1.8 million and $0.2 million, respectively, for the same quarter last year. Revenues in 3Q FY2011 also include $0.9 million of license and milestone fees, compared to $1.3 million for 3Q FY2010.
Operating expenses for 3Q FY2011 were $20.3 million, compared to $15.5 million in the same period last year. Operating expenses in 3Q FY2011 include research and development expenses of $15.8 million, compared to $12.1 million in 3Q FY2010. The increase in the current period is primarily due to greater investment being made in the Company’s development of its proprietary product candidates, including costs associated with the enrollment of more patients in clinical trials and the advancement of IMGN529 and IMGN853 toward IND filing, as well as to increased cost of clinical materials reimbursed related to increased manufacturing on behalf of our partners. The operating expenses also include general and administrative expenses of $4.6 million in 3Q FY2011, compared to $3.4 million in 3Q FY2010. This increase is primarily due to increased patent and personnel costs.
ImmunoGen had approximately $115.8 million in cash and marketable securities as of March 31, 2011, compared with $110.3 million as of June 30, 2010, and had no debt outstanding in either period. Cash provided by operations was $5.9 million in the first nine months of the Company’s 2011 fiscal year, compared with $30.9 million of cash used in operations during the same period in fiscal 2010. This $36.8 million difference is driven principally by the $45 million upfront payment received from Novartis in 2Q FY2011 with the establishment of a technology access collaboration between the companies. Capital expenditures were $1.5 million and $1.1 million for the first nine months of fiscal years 2011 and 2010, respectively.
“Our recent achievements underscore our focus on enhancing our development capabilities while maintaining our research strength,” said Daniel Junius, President and CEO. “We’re making solid progress evaluating our IMGN901 compound as part of combination regimens – interim findings from the multiple myeloma trial were accepted for oral presentation at ASCO in June, and we’re on schedule to begin the randomized phase of our small-cell lung cancer trial later this year. We’re now assessing our IMGN388 product candidate using a weekly dosing schedule and expect to report initial findings later this year. We presented highly encouraging data on our IMGN529 and IMGN853 preclinical compounds at AACR in April, with both on track for IND filing within the next twelve months.”
Mr. Junius continued, “Roche’s progress with T-DM1, now called trastuzumab emtansine, continues to generate excitement, and we look forward to seeing mature data this fall from the Phase II trial evaluating it for first-line treatment of HER2+ metastatic breast cancer. We’re particularly pleased that Roche now expects to submit for this indication in 2014 – a year earlier than previous projections – using their MARIANNE Phase III trial. We expect other product candidates in development through our partnerships to start gaining prominence this year as well as a marked increase in the number of clinical-stage partner compounds.”
Date: April 28, 2011
Source: ImmunoGen, Inc.