Enanta Pharmaceuticals Inc (ENTA): ENTA FY3Q22* financials—royalty

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DewDiligence

Re: DewDiligence post# 2216

Monday, 08/08/2022 4:15:24 PM

Monday, August 08, 2022 4:15:24 PM

ENTA FY3Q22* financials—royalty_revenue=$19.5M—6/30/22_cash=$292.7M (down from $322.5M at 3/31/22):

https://ir.enanta.com/news-releases/news-release-details/enanta-pharmaceuticals-reports-financial-results-its-fiscal-32

FY3Q22 R&D expenses were $39.1M, inline with prior guidance of $150-170M for FY2022; FY2Q22 SG&A expenses were $12.9M, higher than the annualized run rate of the prior guidance of $35-41M for FY2022 (#msg-166871344) due to an increase in headcount.

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How ENTA’s Mavyret royalty is calculated

ENTA’s royalty rate on Mavyret sales from ABBV is tiered, as shown in the table in #msg-142808661. The royalty rate is applied to the 50% Glecaprevir component of Mavyret (a 2-drug combination). The royalty tiers reset at the start of each calendar year (like tax brackets), so ENTA’s royalty rate is highest in the fourth calendar quarter (ENTA’s fiscal* Q1) and is lowest during the first calendar quarter (ENTA’s fiscal* Q2).

*ENTA’s fiscal year ends on September 30.

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