Catalyst Biosciences Inc (NASDAQ:CBIO)
Catalyst Biosciences Inc (NASDAQ:CBIO) has started the year with a slight jump in its quarterly revenue. The company reported $0.3 million in revenue in Q1 2017. This is a major improvement from the $0.1 million that the company reported in Q1 2016. The quarterly revenue benefited from $0.2 million in milestone revenues that Catalyst earned from ISU Abxis.
In 2016, Catalyst Biosciences Inc (NASDAQ:CBIO) restructured its staffing needs. This paid off by reducing personnel-related costs as the company reported a slight drop in its research and development expenses. The company reported $2.1 million in research and development revenue in Q1 2017, a drop from the $2.3 million reported in Q1 2016. The company further reported $2.4 million in general and administrative expenses in Q1 2017, which is similar to what was reported in Q1 2016.
The company however reported a decrease in its interest earnings and other incomes. In Q1 2017, the company earned $0.03 million compared to $1.0 million that was reported in Q1 2016. The company has attributed the decrease to the $1.0 million gain reported last year which was related to a change in the value of a derivative liability.
Catalyst Biosciences Inc (NASDAQ:CBIO) reported an increase in its net loss. The company reported (-$4.1) million or (-$4.57) per share in net loss compared to (-$3.6) million or (-$4.71) per share reported in Q1 2016.
At the close of the quarter, the company had a much stronger cash position with $14.5 million in cash, cash equivalents plus short term investments. The company further raised an additional $20.7 million from an underwritten public equity offering and $3.5 million from its at-the-market offering program with JonesTrading. The company believes the current cash will be able to finance its operating requirements for the next 12 months. At the close of Q1 2017, the company had around 1.0 million shares of common stock which rose to around 4.26 million by May 4, 2017.
In a statement, Catalyst Biosciences Inc (NASDAQ:CBIO)’s President and Chief Executive Officer, Nassim Usman, said the company has made a lot of progress after completing the IND-enabling preclinical trials for the company’s subcutaneous Factor IX program. He added that the IND has been approved in South Korea and now they will be focusing on a Phase 1/2 proof-of-concept clinical study in severe hemophilia B patients. The company also plans to initiate Phase 2 part of a Phase 2/3 clinical study evaluating the efficacy of Marzeptacog alfa.
The company has announced that its CB 2679d/ISU304 has been given an Orphan Drug designation by the Committee for Orphan Medicinal Products (COMP), a branch of the European Medicines Agency (EMA). The product is used for treatment of hemophilia B. Many of the current approved treatments for hemophilia B utilize intravenous infusions as the delivery method.
Catalyst Biosciences Inc (NASDAQ:CBIO) stock had an impressive 13.43% raise to close the session at $4.73 per share.
I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.
About the author: Monica Gray has an undergraduate degree in Accounting and an MBA – earned with Honors. She has six years of experience in the financial markets and has been a securities analyst for the past two years.