Summary
Regeneron Pharmaceuticals, Inc. reported a net loss of $43.4 million for the first quarter of 2011, an increase from the $30.5 million loss in the same period of 2010. This widening loss was driven by higher research and development (R&D) expenses and increased selling, general, and administrative (SG&A) costs. Total revenues grew to $112.2 million, up from $103.5 million in Q1 2010, primarily due to increased collaboration revenue from its partnerships with sanofi-aventis and Bayer HealthCare. The company continues to advance its late-stage pipeline, with significant progress noted in the regulatory submission for VEGF Trap-Eye and positive results from trials for ZALTRAP™ and ARCALYST®. Financially, Regeneron's cash, cash equivalents, and marketable securities stood at $607.6 million at the end of the quarter. The company utilized $10.6 million in cash from operations, but also saw positive cash flow from investing activities due to the net sale of marketable securities. Management expressed confidence in their ability to fund operations through at least 2013, supported by existing capital and expected reimbursements from collaborators, though substantial future funding requirements for R&D and potential commercialization remain.
Financial Highlights
43 data points| Revenue | $112.20M |
| Cost of Revenue | $382K |
| Gross Profit | $111.82M |
| R&D Expenses | $129.39M |
| SG&A Expenses | $23.41M |
| Operating Expenses | $153.19M |
| Operating Income | -$40.98M |
| Interest Expense | $3.72M |
| Net Income | -$43.45M |
| EPS (Basic) | $-0.49 |
| EPS (Diluted) | $-0.49 |
| Shares Outstanding (Basic) | 89.16M |
| Shares Outstanding (Diluted) | 89.16M |
Key Highlights
- 1Net loss for Q1 2011 increased to $43.4 million ($0.49/share) from $30.5 million ($0.38/share) in Q1 2010, primarily due to higher R&D and SG&A expenses.
- 2Total revenue increased to $112.2 million in Q1 2011 from $103.5 million in Q1 2010, driven by higher collaboration revenue from sanofi-aventis and Bayer HealthCare.
- 3ARCALYST® net product sales were $4.4 million in Q1 2011, down from $9.9 million in Q1 2010 (which included $4.8 million of previously deferred sales).
- 4Submitted a Biologics License Application (BLA) to the FDA for VEGF Trap-Eye for wet AMD, receiving Priority Review with a target decision date of August 20, 2011.
- 5Reported positive Phase 3 results for ZALTRAP™ (aflibercept) in metastatic colorectal cancer (mCRC), with regulatory submissions planned for late 2011.
- 6Positive Phase 3 results for ARCALYST® for gout flare prevention were announced, with a supplemental BLA submission planned for mid-2011.
- 7Cash, cash equivalents, and marketable securities totaled $607.6 million as of March 31, 2011.