*Excluding $34M received from GSK for IDX899 license.
IDIX has closed its drug-discovery office in Caligari, Italy and transferred the staff scientists to Cambridge, Massachusetts, which is expected to reduce cash burn by $3-4M per year. If we make the simplifying assumption that the cash burn going forward will be the same as the cash burn during 2Q09, then the $51.7M cash balance at the end of 2Q09 represents four quarters of cash burn, which is consistent with IDIX’s own guidance.
It follows that IDIX is in no immediate need to raise cash, but a financing transaction during 2009 seems likely if a new partnership deal with upfront cash has not been inked.
[The biggest news is clearly NVS’ decision not to license IDX184, which was reported Thursday in a separate PR (#msg-43046863). The financial results are as expected: cash on hand at 9/30/09 was $61.1M, an increase of $9.4M relative to the 6/30/09 cash balance of $51.7M (#msg-40353101). After adjusting for the $21.2M net proceeds from the financing in August 2009 (#msg-40217818), operating cash burn during 3Q09 was $11.8M, which was $1M less than the $12.8M cash burn during 2Q09. The slight reduction in cash burn was expected due to the previously announced closing of the R&D facility in Caligari, Italy (#msg-40353101).
During the next few quarters, IDIX expects cash burn to creep up slightly from the commencement of new clinical trials for IDX375, IDX316, and IDX184. If we presume that cash burn during the next few quarters will average $13.5M per quarter ($1.7M above the level during 3Q09), then the $61.1M cash balance at 9/30/09 is sufficient to fund operations for 4.5 quarters without any new sources of income.]
CAMBRIDGE, Mass., Oct. 29 /PRNewswire-FirstCall/ -- Idenix Pharmaceuticals, Inc. (Nasdaq: IDIX), a biopharmaceutical company engaged in the discovery and development of drugs for the treatment of human viral diseases, today reported unaudited financial results for the third quarter and nine months ended September 30, 2009. At September 30, 2009, Idenix's cash, cash equivalents and marketable securities totaled $61.1 million.
Business Highlights
Idenix successfully completed a proof-of-concept study of its lead HCV antiviral drug candidate, IDX184, a novel once-daily liver-targeted nucleotide prodrug. A 14-day dose-ranging study evaluating IDX184 in combination with pegylated interferon and ribavirin in treatment-naive HCV genotype 1-infected patients is being planned.
Additionally, the company submitted a Clinical Trial Application (CTA) for IDX375, a non-nucleoside polymerase inhibitor, and subsequently advanced this candidate into the clinic through initiation of a single ascending dose phase I study in healthy volunteers.
Also during the quarter, Idenix issued 7.3 million shares of common stock with net proceeds to the company of approximately $21.2 million in an underwritten offering.
"We are pleased to have drug candidates from two of our HCV programs in clinical development," said Jean-Pierre Sommadossi, Ph.D., chairman and chief executive officer of Idenix. "With our protease inhibitor on track for an initial regulatory filing by year end, we are close to achieving our goal of having several drug candidates from multiple HCV drug classes in the clinic."
For the third quarter ended September 30, 2009, Idenix reported total revenues of $3.1 million, compared to total revenues of $2.1 million in the third quarter of 2008. Idenix reported a net loss of $11.7 million, or a loss of $0.18 per basic and diluted share, for the third quarter ended September 30, 2009, compared to a net loss of $16.9 million, or a loss of $0.30 per basic and diluted share for the third quarter ended September 30, 2008.
For the nine months ended September 30, 2009, Idenix reported total revenues of $9.6 million, compared to total revenues of $5.8 million for the nine months ended September 30, 2008. The company reported a net loss of $40.9 million, or a loss of $0.68 per basic and diluted share, for the nine months ended September 30, 2009, compared to a net loss of $56.3 million, or a loss of $1.00 per basic and diluted share, for the nine months ended September 30, 2008.
2009 Financial Guidance
The company expects that its current cash, cash equivalents and marketable securities can fund operations through at least the next twelve months. This guidance assumes no milestone payments, license fees, reimbursement for development programs and no financing activities.
Conference Call Information
Idenix will hold a conference call and webcast today at 4:30 p.m. ET. To access the call please dial 800-471-3635 U.S./Canada or 706-758-9475 International and enter passcode 37050246 or to listen to a live webcast, go to "Calendar of Events" in the Idenix Investor Center at www.idenix.com. A replay of the call will also be available from 6:30 p.m. ET on October 29, 2009 until November 12, 2009 12:00 a.m. ET. To access the replay, please dial 800-642-1687 U.S./Canada or 706-645-9291 International and enter passcode 37050246. An archived webcast will also be available for two weeks after the call on the Idenix website.
About Idenix
Idenix Pharmaceuticals, Inc., headquartered in Cambridge, Massachusetts, is a biopharmaceutical company engaged in the discovery and development of drugs for the treatment of human viral diseases. Idenix's current focus is on the treatment of hepatitis C virus. For further information about Idenix, please refer to www.idenix.com.‹