Categories Earnings

Novavax tumbles as net loss widened during 1Q

Shares of the synthetic vaccine maker Novavax (NVAX) tumbled about 6% during the extended hours trading session after the company reported a net loss during the first-quarter 2018 that widened to $46.4 million from $43.9 million a year earlier. On a per-share basis, the loss improved to 14 cents from 16 cents in the prior year. However, the company witnessed a whopping 70% jump in its revenue to $9.7 million. This huge lift was boosted by the higher revenue recorded under the BMGF grant relating to the ongoing Prepare clinical trial.

Novavax stock surged more than 70% during early April because of the acquisition rumors. There were speculations that the biotech firm would be acquired either by GlaxoSmithKline (GSK) or Sanofi (SNY).

It was said that both the companies eyed Novavax’s NanoFlu vaccine. In February, the company had offered positive top-line results from its Phase 1/2 clinical trial of NanoFlu, which has a tremendous opportunity if it goes through the clinical testing. Apart from experimental flu vaccine NanoFlu, the company has another candidate in pipeline i.e. the RSV F vaccine for infants via maternal immunization. The Gaithersburg-based vaccine company hopes to offer results on the Prepare Phase 3 interim efficacy analysis by early 2019.

Novavax is ambitious about its RSV F vaccine and hopes to generate sales of more than $1 billion from this vaccine alone. RSV F, if successful, could snatch the market share from Pfizer’s (PFE) Prevnar. The company recently made a stock offering to raise cash in order to fund the operations.

During the quarter, Novavax’s R&D expenses increased 18% to $44.5 million. The increase was primarily due to increased development activities of the RSV F Vaccine.

“We had an extremely productive first quarter, including making important advances in our two lead clinical vaccine programs. We are pleased to have reached the enrollment target for our Prepare Phase 3 RSV F Vaccine trial, which clears the path for following these most recent participants and their babies, and subsequently announcing top-line results of our planned interim efficacy analysis in the first quarter of 2019,” said CEO Stanley Erck.

 

Most Popular

KB Home (KBH): What did and did not work for the homebuilder in the third quarter

Shares of KB Home (NYSE: KBH) were up slightly on Friday. The stock has dropped 40% year-to-date and 35% over the past 12 months. The company delivered mixed results for

Infographic: A snapshot of Costco’s (COST) Q4 2022 earnings

Warehouse behemoth Costco Wholesale Corporation (NASDAQ: COST) has reported a 15% increase in fourth-quarter 2022 revenues, which translated into double-digit growth in net income. Fourth-quarter revenues increased sharply to $72.09 billion.

FDX Earnings: FedEx Q1 adjusted earnings drop; revenue up 5%

Cargo giant FedEx Corporation (NYSE: FDX) Thursday reported a decline in first-quarter adjusted earnings, despite an increase in revenues. The company also provided guidance for fiscal 2023. Net income, adjusted

Tags

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top