Alnylam Pharmaceuticals Inc.
) third quarter 2013 loss of 48 cents per share was wider than
the Zacks Consensus Estimate of a loss of 38 cents per share. The
company incurred a loss of 38 cents per share in the year-ago
quarter. The wider loss was primarily due to lower net revenues.
Quarter in Detail
Revenues for the reported quarter fell 46.4% from the prior year
to $9.0 million. Revenues were in line with the Zacks Consensus
Revenues in the third quarter of 2013 included $5.5 million from
its collaboration with
Takeda Pharmaceutical Company Limited
), in addition to $3.5 million from the company's alliance with a
couple of other companies. Alnylam's net revenues from research
collaborators declined in the reported quarter as the company has
already recognized its collaboration revenues from the company's
former alliance with
Cubist Pharmaceuticals Inc
Alnylam expects its fourth quarter 2013 revenues to remain around
Research and development (R&D) expenses went up approximately
56.0% to $34.5 million. The increase in R&D expenses was
primarily due to the company's efforts to advance its pipeline.
Alnylam expects R&D expenses to decrease a bit in the fourth
quarter of 2013 because of lower stock-based compensation
General and administrative (G&A) expenses in the reported
quarter decreased approximately 47.2% year over year to $6.8
million. The decrease in G&A expenses was primarily
attributable to lower consulting and professional services
expenses. Alnylam expects fourth quarter G&A expenses to
remain consistent with the third quarter.
Maintains 2013 Cash Balance Projection
Alnylam still expects to end 2013 with cash, cash equivalents and
total marketable securities in excess of $320 million.
We are impressed by Alnylam's efforts to develop its pipeline.
The company also has multiple pipeline related activities in the
coming quarters. Alnylam is set to initiate a phase II on
ALN-TTRsc in patients suffering from familial amyloidotic
cardiomyopathy by Dec 31, 2013. ALN-TTRsc is a ribo nucleic acid
interference (RNAi) therapeutic targeting the transthyretin (TTR)
gene that is being developed for the treatment of TTR-mediated
Alnylam is also developing patisiran (ALN-TTR02) in a phase II
study for the treatment of familial amyloidotic polyneuropathy
(FAP) in patients suffering from ATTR. Full results from the
study are expected to be presented at the International Symposium
on Familial Amyloidotic Polyneuropathy soon. The company also
plans to initiate a phase III pivotal trial for patisiran in FAP
patients by year end.
Apart from these candidates Alnylam has ALN-AT3 (hemophilia),
ALN-AS1 (hepatic porphyrias) and ALN-PCSsc (hypercholesterolemia)
in its pipeline. We expect investor focus to remain on the
development of the company's pipeline.
Alnylam, a biopharmaceutical company, presently carries a Zacks
Rank #4 (Sell). Biopharma stocks, such as
), are comparatively well placed with a Zacks Rank #1 (Strong
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