MannKind Corporation (NASDAQ: MNKD) reported a narrower loss in the first quarter of 2019 helped by higher total revenues. The bottom line was narrower than the analysts’ expectations while the top line exceeded consensus estimates.
Net loss was $14.88 million or $0.08 per share, narrower than the previous year quarter’s loss of $30.39 million or $0.25 per share.
Total revenues soared by 404% to $17.45 million. The top line reflected Afrezza net revenues of $5.1 million and collaboration and services revenue of $12.4 million.
Afrezza net revenue increased by 49% primarily driven by higher product demand and a more favorable mix of cartridges and price. Collaborations and services revenue increased to $12.37 million from $63,000 a year ago, primarily due to the United Therapeutics licensing and research agreements.
For the first quarter, research and development expenses dropped by 37% year-over-year to $1.7 million. The decrease was primarily attributable to $0.4 million decreases in both lower clinical trial spending and lower personnel costs.
Also read: Regeneron Q1 2019 earnings results
Selling, general and administrative expenses increased by 25% to $25.7 million. This was primarily due to spending on direct-to-consumer television advertising offset by a decrease in personnel costs, a decrease in stock-based compensation expense, and a decrease in professional fees.
Cash, cash equivalents, restricted cash, and short-term investments at March 31, 2019, fell to $59.8 million from $71.7 million at December 31, 2018. The decrease was primarily due to net cash used in operating activities of $11.6 million in the first quarter of 2019, which included the receipt of a $12.5 million milestone payment from United Therapeutics.
Shares of MannKind ended Monday’s regular session up 1.31% at $1.55 on the Nasdaq. Following the earnings release, the stock inched up over 3% in the premarket session.