GuruFocus Premium Membership

Serving Intelligent Investors since 2004. Only 96 cents a day.

Free Trial

Free 7-day Trial
All Articles and Columns »

Novavax Inc. Reports Operating Results (10-Q)

August 06, 2010 | About:
insider

10qk

18 followers
Novavax Inc. (NVAX) filed Quarterly Report for the period ended 2010-06-30.

Novavax Inc. has a market cap of $229.1 million; its shares were traded at around $2.28 with and P/S ratio of 704.9. NVAX is in the portfolios of Jean-Marie Eveillard of First Eagle Investment Management, LLC.

Highlight of Business Operations:

Research and development expenses increased to $6.3 million for three months ended June 30, 2010 from $5.3 million for the same period in 2009, an increase of $1.0 million, or 19%, primarily due to higher research and development spending to support our clinical trials related to our H1N1 and seasonal influenza product candidates. The increase is primarily a result of increased employee and outside-testing costs (including outsourced clinical trial costs, sponsored research and consulting agreements).

General and administrative expenses increased to $3.1 million for the three months ended June 30, 2010 from $2.6 million for the same period in 2009, an increase of $0.5 million, or 23%, primarily due to increased employee costs.

We had total other income of less than $0.1 million for the three months ended June 30, 2010 compared to total other expense of $0.7 million for the same period in 2009, a change of $0.8 million. Interest expense decreased $0.3 million to less than $0.1 million for the three months ended June 30, 2010 from $0.3 million for the same period in 2009 as a result of the payment of our convertible notes in 2009. In the three months ended June 30, 2009, we recorded an impairment of $0.5 million relating to our auction rate securities.

Net loss for the three months ended June 30, 2010 was $9.4 million, or $0.09 per share, as compared to $8.5 million, or $0.10 per share, for the same period in 2009, an increased net loss of $0.9 million. The increased net loss was primarily due to higher research and development spending to support our clinical trials related to our H1N1 and seasonal influenza product candidates, as well as increased general and administrative expenses relating to employee costs. These increases were partially offset by reduced total other income (expense) in the three months ended June 30, 2010.

Research and development expenses increased to $15.4 million for six months ended June 30, 2010 from $9.6 million for the same period in 2009, an increase of $5.8 million, or 61%, primarily due to higher research and development spending to support our clinical trials related to our H1N1 and seasonal influenza product candidates. The increase is primarily a result of increased employee and outside-testing costs (including outsourced clinical trial costs, sponsored research and consulting agreements).

General and administrative expenses were relatively unchanged at $5.7 million for the six months ended June 30, 2010 as compared to $5.5 million for the same period in 2009, an increase of $0.2 million, or 4%.

Read the The complete Report

About the author:

10qk
GuruFocus - Stock Picks and Market Insight of Gurus

Rating: 3.0/5 (2 votes)

Comments

Please leave your comment:


Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK