Denmark’s Genmab says that its net loss for the first six months of 2007 has narrowed 54.2% to 87 million kroner, helped by an almost fourfold leap in revenues.
The latter reached 279.6 million kroner, or around $50.7 million, up from 74.3 million kroner in the like, year-earlier period. The rise was helped by the receipt of a first milestone payment from partner GlaxoSmithKline relating to positive data from a Phase II study of HuMax-CD20 (ofatumumab) as a potential treatment for rheumatoid arthritis.
Genmab has also recently announced further plans for HuMax-CD20, a fully human monoclonal antibody, including clinical expansion into the new disease indications of multiple sclerosis and diffuse large B-cell lymphoma. It is already in late-stage development for CD20 positive B-cell chronic lymphocytic leukaemia and in Phase II for follicular non-Hodgkin's lymphoma.
The firm maintained its financial guidance for the full year which means that its net loss should be in the range of 260 to 310 million kroner, while its cash position will look very healthy at the end of 2007 at around 3.9 billion kroner. The results were ahead of analysts expectations and Frank Andersen of Jyske Bank, who has a ‘buy’ rating on the stock, said that Genmab’s pipeline appears promising, with solid potential.
He added that the next six months will see the company announce a partnership agreement for its Unibody antibody technology, which will be developed to target the CD4 receptor for potential HIV applications, and the analyst also expects a deal to be announced concerning HuMax-EGFr (zalutumumab) soon. In April, Genmab initiated a Phase II study of HuMax-EGFr in combination with chemo-radiation to treat non-small cell lung cancer and two months later presented positive pre-clinical data illustrating the broad potential of the antibody in cancer.