ChemoCentryx's Q4 Loss Meet Estimates, Pipeline in Focus - Analyst Blog
ChemoCentryx, Inc. CCXI reported a loss of 28 cents per share in the fourth quarter of 2014, wider than the year-ago loss of 22 cents, but in line with the Zacks Consensus Estimate.
Chemocentryx Inc. - Earnings Surprise | FindTheCompany
The company did not generate any revenues in the fourth quarter as its product development and commercialization agreement with GlaxoSmithKline GSK had ended in Nov 2013.
Quarter in Detail
Research& development expenses came in at $9.1 million, up 22.9% from a year ago. The increase in research and development expenses was primarily attributed to pipeline related activities.
General and administrative expenses were $3.2 million compared to $3.0 million in the year-ago quarter.
2014 Results
The company did not generate any revenues in 2014. Loss per share came in at $1.08, compared unfavorably to a loss of 95 cents in 2013.
Pipeline Update
The company successfully completed and reported positive phase II results on candidate CCX140 for diabetic nephropathy and is looking forward to phase III studies in 2015.
Meanwhile, ChemoCentryx successfully completed and reported positive results from the first two steps of a three-step phase II trial CLEAR on CCX168. The company is evaluating the candidate in patients with anti-neutrophil cytoplasmic antibody (ANCA) associated vasculitis, a disease which can lead to renal and pulmonary failure. We remind investors that the FDA granted orphan drug designation to CCX168 for the treatment atypical hemolytic uremic syndrome in 2014.
ChemoCentryx expects to announce initial data on CCX872 in patients suffering from non-resectable pancreatic cancer in the second half of 2015.
2015 Outlook
ChemoCentryx had approximately $115 million in cash and cash equivalents at the beginning of 2015 and expects expenditure in the range of $45 million to $49 million in 2015.
Our take
ChemoCentryx currently has no approved product in its portfolio. Hence, speedy development and commercialization of CCX140 and CCX168 will boost growth prospects of the company significantly.
ChemoCentryx presently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the health care sector include Salix Pharmaceuticals SLXP and Lannett Inc. LCI. Both these stocks carry a Zacks Rank #2 (Buy).
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