AVANIR PHARMACEUTICALS (AVNR)

[Gd2Aussie3]

Good summary of the conference call from a yahoo poster:

G'day, Mates.

Aussie

Conf. Call upon further review
by: nirvana_avanir

07/14/05 12:34 pm
Msg: 357294 of 357324

I listened again for clarification and affirmation, having had a day to digest it all.

Mathews made it pretty clear the BOD has taken a direction of focusing on execution- that didn't exist previously- and the new CEO will continue that direction. And his language about striking a balance of risk/reward with shareholders consideration in mind was refreshing and encouraging as well. (DIFFERENT)

Without rehashing the entire call- I recommend you all listen to the replay- two things I'm expecting:

1. A WW Partner for N'dex- all indications
2. An IgE partnership upon phIb trial initiation- Marty E says THAT would be the optimum time to ink a deal.

I thought that IgE trial was set to start soon- anyone recall the planned timeline? Fiscal 05 goes to 9/30. In the meantime our new CEO will be here and the FDA Acceptance w/Priority Review by end of August- fingers crossed for that KEY item. But there have been no hiccups that we're aware of with safety and efficacy that would lead me to think we won't be accepted. The rest of this year should be better than I have ever experienced here- despite these little pullbacks- natural trading action. All imo, as always.
Just one other point worth noting.

With the 10MM payment from AZ, we have 35MM cash on hand. Part of that is presumably another 10MM we got from Novartis.

The burn rate will be slashed considerably imo; no further R&D expenses outlayed for MIF, nor Rev Cholesterol Trans. And PBA trail costs and NDA submission costs already absorbed. Recall also the one-time charge for IriSys payoff appeared last quarter.

Bottom line- the financials to be reported in mid August should look healthy- and should show a substantial turnaround on its face, from the previous Q reported losses. Just something else to keep in mind going into August; New CEO, Updated Inst holdings, Narrowed Loss per Share (profit?) and FDA ruling by 8/30 expected.