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Myriad Pharmaceuticals Inc. Reports Operating Results (10-Q)

February 16, 2010 | About:
10qk

10qk

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Myriad Pharmaceuticals Inc. (MYRX) filed Quarterly Report for the period ended 2009-12-31.

Myriad Pharmaceuticals Inc. has a market cap of $115.84 million; its shares were traded at around $4.71 . MYRX is in the portfolios of Richard Perry of Perry Capital, Jean-Marie Eveillard of Arnhold & S. Bleichroeder Advisers, LLC, John Rogers of ARIEL CAPITAL MANAGEMENT LLC.
This is the annual revenues and earnings per share of MYRX over the last 10 years. For detailed 10-year financial data and charts, go to 10-Year Financials of MYRX.


Highlight of Business Operations:

Research revenue is comprised of research payments received pursuant to external collaborative agreements. Research revenue for the three and six months ended December 31, 2009 was $0 and $60,000, respectively, compared to $0.4 million and $4.1 million, respectively, for the same periods ended December 31, 2008. Research revenue for the six months ended December 31, 2009 reflects revenues earned under recent short-term research agreements utilizing our expertise to characterize pathogen-host protein

Research and development expenses are comprised primarily of salaries and related personnel costs, laboratory supplies, equipments costs, facilities expense, and costs associated with our clinical trials. Research and development expenses for the three and six months ended December 31, 2009 were $8.2 million and $14.1 million, respectively, compared to $15.5 million and $28.3 million, respectively, for the same periods ended December 31, 2008. These 47% and 50% decreases were primarily due to:

Selling, general and administrative expenses consist primarily of salaries and related personnel costs for marketing, executive, legal, finance and accounting, information technology, human resources, and allocated facilities expenses. Selling, general and administrative expenses for the three and six months ended December 31, 2009 were $6.9 million and $12.2 million, respectively, compared to $2.1 million and $4.5 million, respectively, for the same periods ended December 31, 2008. These 228% and 171% increases in selling, general and administrative expenses during the three and six months ended December 31, 2009, respectively, were due primarily to the costs and expenses associated with being a separate, stand-alone publicly traded entity, including costs to implement and maintain accounting, human resource, payroll, purchasing, information technology, legal and other business functions and systems. In addition, there were costs incurred in the three months ended December 31, 2009 associated with due diligence and, legal, accounting and investment banking fees incurred in connection with the Merger. Amounts included in the prior year period for general and administrative costs include some proportional cost allocations of certain common costs of Myriad Genetics because these expenses were not specifically identified at the subsidiary level. The basis of these allocations includes full-time equivalent employees for the respective periods presented, square footage, and other appropriate allocation drivers. Increased costs during the current period were offset, in part, by a decrease in commercialization expenses following the discontinuance of our drug candidate Flurizan. We expect our selling, general and administrative expenses will continue to fluctuate as we continue to implement our accounting, human resource, payroll, purchasing, information technology, legal and other business functions and systems. In addition, if the Merger with Javelin is successfully completed, and if Dyloject is approved by the FDA, we expect that selling, general and administrative expenses would increase substantially as we bring Dyloject to market.

Other income of $0.4 million and $0.8 million for the three and six months ended December 31, 2009, respectively, reflects interest income earned and realized gains on our marketable investment securities. Prior to June 30, 2009, all cash and investments were held and managed by Myriad Genetics, accordingly, we had no other income (expense) in the comparable prior year periods.

Net cash used in operating activities was $19.6 million during the six months ended December 31, 2009 compared to $34.2 million used in operating activities for the same six months in 2008. The change in cash flow from operating activity can be attributed primarily to a lower net loss in 2009 and the payment of accrued expenses in 2008 associated with our former drug candidate Flurizan. These were offset, in part, by lower non-cash charges associated with share-based compensation expense and depreciation in 2009.

Approximately $1.2 million in cash was provided by financing activities during the six months ended December 31, 2009 as a result of proceeds from stock options exercised during the period compared to $34.4 million for the same six months in 2008, which amount reflects cash and the changes in Myriad Genetics’ net investment in MPI.

Read the The complete Report

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