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ImmunoGen (IMGN) Reports Wider-than-Expected Loss

Waltham, MA-based ImmunoGen, Inc . IMGN is a development-stage biotechnology company, which focuses on developing targeted anticancer therapeutics using its antibody-drug conjugate technology (ADC). The company's ADC technology is used in Roche's marketed product, Kadcyla, in four other development-stage candidates in its own pipeline, and in programs in development by its partners Amgen and Bayer among others.

The company earns revenues from royalties, license and milestone payments, and research and development support fees paid by its partners.

ImmunoGen's track record has been disappointing with the company consistently missing expectations in all of the four reported quarters. Overall, the company has posted an average negative miss of 19.54%.

With ImmunoGen not having any approved products in its portfolio, investor focus should remain on pipeline updates since a number of pipeline related activities are lined up for the coming quarters.

Currently, ImmunoGen 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 : ImmunoGen posted wider-than-expected quarterly loss. Our consensus called for a loss of 38 cents per share, and the company reported a loss of 46 cents per share (excluding restructuring charge).

Revenues : Revenues also missed expectations. ImmunoGen posted revenues of $7.7 million, compared to our consensus estimate of $21.2 million.

Key Stats : ImmunoGen continues to progress with its pipeline. The company remains on track to enroll the first patient in a phase III study (FORWARD I) on its lead candidate mirvetuximab soravtansine, for the treatment of platinum-resistant ovarian cancer, before the end of 2016.

Guidance Updated : ImmunoGen is transitioning to a fiscal year ending Dec 31, effective Jan 1, 2017. The company has updated its financial guidance for the six months ending Dec 31, 2016. Revenues are now expected in the range of $25-$30 million (old guidance: $40-$45 million). Operating expenses are now projected in the range of $90 million and $95 million (old guidance: $95 million and $100 million). Net loss is now expected to be between $70 million and $75 million, compared to its previous estimate of $55 million and $60 million.

Check back later for our full write up on IMGN 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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