Antigenics Inc. has a market cap of $87.6 million; its shares were traded at around $0.96 with and P/S ratio of 26.3.
Highlight of Business Operations: Revenue: We generated revenue of $936,000 and $621,000 during the quarters ended March 31, 2010 and 2009, respectively. Revenue includes revenue earned on shipments of QS-21 to our QS-21 licensees, license fees, and royalties earned. This higher revenue in 2010 is primarily due to an increase in shipments of QS-21 to our QS-21 licensees in the quarter ended March 31, 2010 as compared to the same quarter in 2009. In the quarters ended March 31, 2010 and 2009, we recorded revenue of $378,000 and $380,000, respectively, from the amortization of deferred revenue.
General and Administrative: General and administrative expenses consist primarily of personnel costs, facility expenses, and professional fees. General and administrative expenses decreased 9% to $3.6 million for the quarter ended March 31, 2010 from $3.9 million for the quarter ended March 31, 2009. This decrease is largely related to our general cost containment efforts partially offset by an increase in our non-cash share-based compensation expense attributable to the level of awards during the first quarter of 2010.
Interest Expense: Interest expense decreased to $1.2 million for the quarter ended March 31, 2010 from $1.5 million for the quarter ended March 31, 2009. This decrease is related to the repurchase of a portion of our 2005 Notes during the second quarter of 2009. Interest on our 8% senior secured convertible notes due August 2011 (the 2006 Notes) is payable semi-annually on December 30 and June 30 in cash or, at our option, in additional notes or a combination thereof. During the quarters ended March 31, 2010 and 2009, interest expense included $641,000 and $593,000, respectively, related to the 2006 Notes.
We have incurred annual operating losses since inception, and we had an accumulated deficit of $571.3 million as of March 31, 2010. We expect to incur significant losses over the next several years as we continue our clinical trials, apply for regulatory approvals, prepare for commercialization, and continue development of our technologies. Since our inception, we have financed our operations primarily through the sale of equity and convertible notes, interest income earned on cash, cash equivalents, and short-term investment balances, and debt provided through secured lines of credit. From our inception through March 31, 2010, we have raised aggregate net proceeds of $494.8 million through the sale of common and preferred stock, the exercise of stock options and warrants, proceeds from our employee stock purchase plan, and the issuance of convertible notes, and borrowed $20.5 million under two credit facilities. On February 26, 2010, we entered into an At the Market Sales Agreement with McNicoll, Lewis & Vlak LLC and Wm Smith & Co (the Sales Agents) under which we may sell an aggregate of up to 20 million shares of our common stock from time to time through the Sales Agents. Since March 31, 2010 we issued approximately 2.2 million shares of our common stock in at the market offerings through the Sales Agents and raised net proceeds of approximately $2.7 million after deducting offering costs of approximately $136,000. As of March 31, 2010, we had debt outstanding of $52.2 million in principal, including $32.1 million in principal of our 2006 Notes and $20.0 million in principal of our 2005 Notes, but subject to redemption at the option of the holders or us beginning February 1, 2012. During April 2010 we issued approximately 954,000 shares of our common stock as consideration for the repurchase of $2.3 million in principal of our 2005 Notes including interest bringing our outstanding principal debt balance to $49.9 million.
Our cash, cash equivalents, and short-term investments at March 31, 2010 were $23.9 million, a decrease of $6.1 million from December 31, 2009. Based on our current plans and activities, we anticipate that our net cash burn (defined as cash used in operating activities plus capital expenditures and dividend payments) will be in the $16 - $18 million range for the year ending December 31, 2010. We continue to support and develop our QS-21 partnering collaborations, with the goal of generating royalties from this product in the 2012-2013 timeframe.
Our future cash requirements include, but are not limited to, efforts to make Oncophage available in Russia and other jurisdictions we are currently exploring, as well as supporting our clinical trial and regulatory efforts and continuing our other research and development programs. Since inception, we have entered into various agreements with institutions and clinical research organizations to conduct and monitor our clinical studies. Under these agreements, subject to the enrollment of patients and performance by the applicable institution of certain services, we have estimated our payments to be $47.2 million over the term of the studies. Through March 31, 2010, we have expensed $46.2 million as research and development expenses and $46.1 million has been paid related to these clinical studies. The timing of expense recognition and future payments related to these agreements is subject to the enrollment of patients and performance by the applicable institution of certain services.
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