By a News Reporter-Staff News Editor at Clinical Trials Week -- Concert Pharmaceuticals, Inc. (NASDAQ: CNCE) reported financial results for the first quarter of 2014 (see also Concert Pharmaceuticals, Inc.).
"We believe that Concert is well positioned to build our business as we continue to make excellent progress in advancing our pipeline. We expect to have up to five proprietary and partnered product candidates in clinical development by the end of 2014, including at least two product candidates in Phase 2 clinical trials," said Roger Tung, Ph.D., President and Chief Executive Officer of Concert Pharmaceuticals. "We are encouraged by our ongoing Phase 2 trial of CTP-499 to slow the progression of diabetic kidney disease. We believe our efficacy, safety and biomarker data, which suggest a novel anti-fibrotic mechanism, position us well for a mid-year meeting with FDA to discuss the future clinical development of CTP-499." First Quarter 2014 Financial Results Cash, cash equivalents and investments as of March 31, 2014, totaled $108.0 million as compared to $32.7 million as of December 31, 2013. In the first quarter of 2014, Concert announced the closing of its initial public offering, raising net proceeds of $83.1 million including the exercise of the underwriters' overallotment option on March 3, 2014. Based upon Concert's current operating budget, the Company expects that its cash, cash equivalents and investments as of March 31, 2014 will be sufficient to fund operations into 2016.
Revenue was $1.6 million for the quarter ended March 31, 2014, compared to $5.9 million for the corresponding quarter in 2013. Revenue recognized in the first quarter of 2014 relates primarily to services performed by Concert under its strategic collaborations. In the first quarter of 2013, Concert recognized $3.7 million of license and research and development revenue under its collaboration with Jazz Pharmaceuticals and $2.0 million in milestone revenue from Avanir Pharmaceuticals, based on positive data from a Phase 1 clinical trial of AVP-786, a potential treatment for neurologic and psychiatric disorders.
Research and development expenses were $5.6 million for the quarter ended March 31, 2014, compared to $5.0 million for the same period in 2013. The increase in research and development expenses was primarily related to expenses associated with the development of CTP-354, a novel, potentially first-in-class, non-sedating treatment for spasticity.
General and administrative expenses were $2.5 million for the quarter ended March 31, 2014, compared to $2.0 million for the same period in 2013. The increase in general and administrative expenses was primarily related to compensation expenses as well as expenses associated with operating as a public company.
For the quarter ended March 31, 2014, net loss was $7.0 million, or $0.76 per share, compared with a net loss of $1.8 million, or $1.46 per share, for the quarter ended March 31, 2013. Conference Call and Webcast The company will host a conference call and webcast today at 8:30 a.m. EDT to provide an update on the company and discuss first quarter financial results. To access the conference call, please dial (855) 354-1855 (U.S. and Canada) or (484) 365-2865 (International) five minutes prior to the start time.
A live webcast of Concert's presentation may be accessed in the Investors & Media section of the company's website at www.concertpharma.com. Please log on to the Concert website approximately 15 minutes prior to the scheduled webcast to ensure adequate time for any software downloads that may be required. A replay of the webcast will be available on Concert's website for three months.
Concert Pharmaceuticals, Inc. Condensed Consolidated Statements of Operations (in thousands, except per share amounts)
Quarter Ended March 31, 2014
Keywords for this news article include: Investment and Finance, Clinical Trials and Studies.
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