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Epizyme (EPZM) Posts Wider-Than-Expected Loss in Q3

Epizyme, Inc.EPZM is a Cambridge, MA-based development-stage biopharmaceutical company focused on bringing novel epigenetic oncology therapies to the market.

Being a development-stage company, Epizyme does not have any approved product in its portfolio yet. Hence, investor focus should remain on pipeline updates.

Epizyme is currently evaluating tazemetostat as monotherapy in a registration-supporting 5-arm phase II study in patients with relapsed or refractory B-cell non-Hodgkin lymphoma (NHL). Interim data expected in mid-2016. The company plans to initiate two registration-supporting studies in patients with INI1-negative tumors or synovial sarcoma - a phase II study in adult patients, and a proof-of-concept phase I study in pediatric patients in the fourth quarter of 2015. In addition, the company also plans to initiate additional study on tazemetostat as a combination therapy in the first half of 2016.

Another candidate, pinometostat, is being evaluated in pediatric patients with MLL-r acute leukemia. Patient enrolment is expected to be completed in the fourth quarter of 2015.

Currently, Epizyme has a Zacks Rank #3 (Hold), but that could definitely change following the company's earnings report which was just released. We have highlighted some of the key stats from this just-revealed announcement below:

Earnings: Epizyme posted wider-than-expected loss in the third quarter of 2015. While our consensus called for a loss of 55 cents per share, the company reported a loss of 56 cents.

Revenues: However, Epizyme's revenues missed our expectations by a wide margin. The company reported collaboration revenues of $0.4 million, compared to our consensus estimate of $9 million.

Key Stats: The company is on track with the five-arm phase II study on tazemetostat for relapsed or refractory non-Hodgkin lymphoma, which was commenced in Jul 2015. Initial data should be out in mid-2016. In addition, the company has plans to evaluate tazemetostat for INI1-negative tumors or synovial sarcoma in pediatrics and adults in a phase I and phase II study, respectively. Both studies are slated for initiation in the fourth quarter of 2015.

Check back later for our full write up on earnings report later!

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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