Advaxis (NASDAQ: ADXS) reported that Q2 revenue decreased to $1.2 million from $1.7 million in the prior year quarter. The 32% decline in revenue was due to the termination of the collaboration agreement with Amgen effective February 2019. Advaxis stock, which closed up 2.94% at $2.80, was trading flat in the after-hours.
Advaxis’ net loss for the second quarter of the fiscal year 2019 was $9.4 million or $1.59 per share compared with a net loss for the second quarter of the fiscal year 2018 of $13.4 million or $4.03 per share.
As of April 30, 2019, Advaxis had cash and cash equivalents of $33.7 million, which includes $9 million in net proceeds from a public offering completed in April.
During the three months ended January 31, 2019, Advaxis recognized approximately $19.4 million of revenue from the Amgen Agreement. In August 2016, Advaxis entered into a global agreement with Amgen for the development and commercialization of ADXS-NEO, preclinical investigational immunotherapy. But Amgen terminated this agreement effective February 8, 2019.
The late-stage biotech company also provided updates on its clinical pipeline. Advaxis expects preliminary data from ADXS-HOT, which is focused on the treatment of most types of non-small cell lung cancers, Phase 1/2 study in the second half of 2019. The company plans to file INDs on two additional HOT constructs within the next nine months.
“In order to ensure we have the appropriate resources to fund our programs, we have taken cost-control measures over the past year. These efforts have resulted in a reduction to our cash burn of more than 50% for the first six months of fiscal year 2019 versus the comparable period last year,” said CEO Kenneth Berlin.
ADXS shares have lost 44% of its value in the last three months and 90% in the past year.