Replies to post #3053 on Enanta Pharmaceuticals Inc (ENTA)

[dewophile]

Shionogi said the challenge study for their polymerase inhibitor should wrap up in Q4. I do think this is the most significant competitor even though PFE's fusion inhibitor is more advanced bc of the poor track record for prior fusion inhibitors.
Nice to see they completed enrollment of the peds study - that is the more significant event

[DewDiligence]

ENTA’s pro forma net cash @6/30/24=$303.2M—excluding balance-sheet “debt” relating to ENTA’s deferred-royalty obligations, which is a GAAP artifact rather than an actual debt instrument.*

The $303.2M figure, which declined $26.9M since 3/31/24, consists of:

• $260.6M net current assets on the 6/30/24 balance sheet (https://www.sec.gov/ix?doc=/Archives/edgar/data/0001177648/000095017024092714/enta-20240630.htm p.3), after excluding the $32.3M line under Current Liabilities called, “Liability related to the sale of future royalties.” *

• $42.5M of marketable securities on the 6/30/24 balance sheet (ibid) designated as long term (e.g. T-notes and bonds with a time to maturity greater than one year).

*The GAAP treatment for ENTA’s deferred-royalty “debt” is described in #msg-172603887.