Anacor Pharmaceuticals, Inc. reported second quarter 2013 net loss per share of 32 cents, narrower than the Zacks Consensus Estimate of a loss of 38 cents and the year-ago loss of 47 cents per share.
Second quarter revenues were $3.4 million, compared with $2.6 million in the year-ago quarter. Revenues beat the Zacks Consensus Estimate of $3 million.
Research and development expenses fell 28% year over year to $10.1 million. The decline was due to lower clinical expenses for tavaborole and preclinical studies for AN2728.
Selling, general and administrative expenses increased 90.4% year over year to $5.1 million, primarily driven by higher legal fees related to disputes with Valeant Pharmaceuticals International, Inc. .
In Jul 2013, Anacor submitted a New Drug Application (NDA) for tavaborole to the U.S. Food and Drug Administration (FDA) for the prevention of onychomycosis. An arbitration hearing is scheduled for Sep 2013 to resolve the breach of contract dispute between Anacor and Valeant.
In Jul 2013, Anacor commenced the MUSE (maximal use systemic exposure) study in children to evaluate the effects of its atopic dermatitis candidate, AN2728. Anacor intends to start a TQT (thorough QT) study in the third quarter of 2013. Results from both studies are expected this year. For AN2728, a phase III study in atopic dermatitis will start in the fourth quarter of 2013 or first quarter of 2014, depending on the completion of the MUSE study.
In Apr 2013, Anacor inked a deal with the Bill & Melinda Gates Foundation for the discovery of drug candidates for the treatment of two filarial worm diseases (onchocerciasis - river blindness and lymphatic filariasis - elephantiasis) and tuberculosis. Anacor will also create an expanded library of boron compounds, which will screen additional potential drug candidates for the treatment of neglected diseases. The Gates Foundation will have access to this expanded library.
Anacor carries a Zacks Rank #3 (Hold). Currently, companies like Pharmacyclics, Inc. and Actelion Ltd. look well-positioned with a Zacks Rank #1 (Strong Buy).