CV Therapeutics narrows losses in Q2 with Lexiscan approval

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CV Therapeutics (CVT) has reported less of a financial loss for the second quarter of 2008, which ended June 30, partly due to the release of Lexiscan, a pharmacologic stress agent for radionuclide myocardial perfusion imaging.

The company reported a net loss of $4.3 million for the second quarter, which ended June 30, compared to a net loss of $57.6 million for the same quarter in 2007.

For the second quarter, the company recorded total revenues of $51.6 million, which consisted of $25.4 million of net product sales of Ranexa (ranolazine extended-release tablets for chronic angina), $4 million of royalty revenue and $22.2 million of license, collaboration and other revenue.

CVT said that the $25.4 million of net product sales for Ranexa represents an increase of 15 percent, compared to the $22 million of net product sales recorded in the first quarter of 2008, which ended March 31. The company said that the $4 million of royalty revenue includes $2.6 million of amortization of its $175 million upfront payment earned from an investment trust related to TPG-Axon Capita, in exchange for rights to 50 percent of its royalty on North American sales of Lexiscan (regadenoson) injection and $1.3 million of Lexiscan royalty revenue.

The $22.2 million of license, collaboration and other revenue includes $12 million relating to a milestone payment from Astellas Pharma US, associated with the FDA approval for Lexiscan and $10 million relating to a milestone payment from TPG-Axon Capital associated with the commercial launch of Lexiscan, according to the Palo Alto, Calif.-based CVT.

Costs and expenses were $56.8 million for the second quarter of 2008, compared to total costs and expenses of $53.1 million for the first quarter of 2008, and $83.1 million for the second quarter in 2007. The company added that the increase of total costs and expenses in the second quarter of 2008, compared to the first quarter of 2008 was primarily due to higher Ranexa marketing and sales expense.