Seattle Genetics Inc. (SGEN, Financial) filed Quarterly Report for the period ended 2009-06-30.
Seatlle Genetic develops monoclonal antibody-based drugs to treat cancer and related diseases. Using its monoclonal antibody-based technologies and its expertise in cancer the company have assembled a portfolio of drug candidates targeted to many types of human cancers. The company utilizes its monoclonal antibody-based technologies to increase the potency and efficacy of antibodies with specificity for cancer. The company is testing our two most advanced product candidates SGN-15 and SGN-10 in patients with breast colon prostate or other cancers. Seattle Genetics Inc. has a market cap of $1.01 billion; its shares were traded at around $11.8 with and P/S ratio of 28.68. Seattle Genetics Inc. had an annual average earning growth of 0.7% over the past 5 years.
Genentech revenues increased 15% to $8.4 million in the second quarter of 2009 and 23% to $16.8 million for the first six months of 2009 compared to the comparable periods in 2008. The increases primarily resulted from revenues earned under the dacetuzumab collaboration agreement with Genentech entered into in January 2007. Under the terms of this agreement, we perform research and development activities over the six-year development period of the agreement, the costs of which are reimbursed by Genentech. We are also entitled to receive milestones as dacetuzumab progresses through development and royalties on future product sales. The $60 million upfront payment received in 2007 and all reimbursement and milestone payments received by us are deferred and recognized as revenue over the development period of the agreement using a time-based method. Genentech revenues also reflect the earned portion of payments received under our ADC collaboration agreement. Daiichi Sankyo revenues reflect the earned portion of a $4.0 million upfront payment received by us under our ADC collaboration that began in July 2008, and reimbursable support and research materials provided to Daiichi Sankyo by us. Millennium revenues reflect the earned portion of a $4.0 million upfront payment received by us under our ADC collaboration that began in March 2009 and reimbursable support and research materials provided to Millennium by us. Revenues attributable to our ADC collaboration agreement with Bayer decreased during both the three and six month periods of 2009 reflecting revenue earned from a collaboration extension payment we received from Bayer in the second quarter of 2008. Revenues attributable to our ADC collaboration agreement with CuraGen decreased during both the three and six month periods of 2009 reflecting revenue earned from a milestone payment triggered by CuraGens initiation of a Phase II clinical trial in the second quarter of 2008. Revenues decreased under both our MedImmune and Progenics collaborations during both the three and six months periods of 2009 from the comparable periods in 2008. The research term has been completed for both of these agreements.
Investment income, net decreased 45% to $0.9 million in the second quarter of 2009 and decreased 47% to $1.8 million in the first six months of 2009 from the comparable periods in 2008. The decreases resulted from lower average investment balances and lower yields on investments during the 2009 periods.
Read the The complete ReportSGEN is in the portfolios of Jean-Marie Eveillard of Arnhold & S. Bleichroeder Advisers, LLC.
Seatlle Genetic develops monoclonal antibody-based drugs to treat cancer and related diseases. Using its monoclonal antibody-based technologies and its expertise in cancer the company have assembled a portfolio of drug candidates targeted to many types of human cancers. The company utilizes its monoclonal antibody-based technologies to increase the potency and efficacy of antibodies with specificity for cancer. The company is testing our two most advanced product candidates SGN-15 and SGN-10 in patients with breast colon prostate or other cancers. Seattle Genetics Inc. has a market cap of $1.01 billion; its shares were traded at around $11.8 with and P/S ratio of 28.68. Seattle Genetics Inc. had an annual average earning growth of 0.7% over the past 5 years.
Highlight of Business Operations:
To date, we have generated revenues principally from our collaboration and license agreements. These revenues reflect upfront technology access fees, milestone payments and reimbursement for support and materials supplied to our collaborators. For the six months ended June 30, 2009, revenues increased 9% to $18.6 million, compared to $17.1 million for the same period in 2008. Operating expenses increased 31% to $70.1 million, compared to $53.7 million for the same period in 2008. Our net loss for the six-month period ended June 30, 2009 was $49.7 million, or $0.59 per share, compared to $33.1 million, or $0.43 per share, for the same period in 2008. As of June 30, 2009, we had $189.9 million in cash, cash equivalents and short-term and long-term investments, and $100.1 million in total stockholders equity.Genentech revenues increased 15% to $8.4 million in the second quarter of 2009 and 23% to $16.8 million for the first six months of 2009 compared to the comparable periods in 2008. The increases primarily resulted from revenues earned under the dacetuzumab collaboration agreement with Genentech entered into in January 2007. Under the terms of this agreement, we perform research and development activities over the six-year development period of the agreement, the costs of which are reimbursed by Genentech. We are also entitled to receive milestones as dacetuzumab progresses through development and royalties on future product sales. The $60 million upfront payment received in 2007 and all reimbursement and milestone payments received by us are deferred and recognized as revenue over the development period of the agreement using a time-based method. Genentech revenues also reflect the earned portion of payments received under our ADC collaboration agreement. Daiichi Sankyo revenues reflect the earned portion of a $4.0 million upfront payment received by us under our ADC collaboration that began in July 2008, and reimbursable support and research materials provided to Daiichi Sankyo by us. Millennium revenues reflect the earned portion of a $4.0 million upfront payment received by us under our ADC collaboration that began in March 2009 and reimbursable support and research materials provided to Millennium by us. Revenues attributable to our ADC collaboration agreement with Bayer decreased during both the three and six month periods of 2009 reflecting revenue earned from a collaboration extension payment we received from Bayer in the second quarter of 2008. Revenues attributable to our ADC collaboration agreement with CuraGen decreased during both the three and six month periods of 2009 reflecting revenue earned from a milestone payment triggered by CuraGens initiation of a Phase II clinical trial in the second quarter of 2008. Revenues decreased under both our MedImmune and Progenics collaborations during both the three and six months periods of 2009 from the comparable periods in 2008. The research term has been completed for both of these agreements.
Investment income, net decreased 45% to $0.9 million in the second quarter of 2009 and decreased 47% to $1.8 million in the first six months of 2009 from the comparable periods in 2008. The decreases resulted from lower average investment balances and lower yields on investments during the 2009 periods.
Read the The complete ReportSGEN is in the portfolios of Jean-Marie Eveillard of Arnhold & S. Bleichroeder Advisers, LLC.
