Back to top

Analyst Blog

Infinity Pharmaceuticals Inc. (INFI - Snapshot Report) reported a loss of $1.15 per share in the fourth quarter of 2012, wider than the year-ago loss of 53 cents and the Zacks Consensus Estimate of a loss of 89 cents. The wider loss during the quarter was primarily due to the absence of revenues.

Infinity Pharma did not generate any revenue during fourth quarter; however, it recorded $22.3 million as collaborative research and development revenue in the year-ago quarter.

Infinity Pharma suffered a loss of $3.18 per share for the full year 2012, wider than the Zacks Consensus Estimate of a loss of $1.32 and the year-ago loss of $1.50 per share. The company recorded full-year revenues of $47.1 million, down 49.2% year over year. Infinity Pharma’s 2012 revenues edged past the Zacks Consensus Estimate of $47 million.

Other Details

Infinity Pharma’s research and development (R&D) expenses increased 33.9% to $40 million in the fourth quarter of 2012. R&D expenses during the quarter increased primarily due to the restructuring agreement with Millennium in Dec 2012. The company’s general and administrative (G&A) expenses increased 17.7% to $7.1 million.

Infinity Pharma is developing retaspimycin hydrochloride (HCl), which is under the company’s heat shock protein 90 (Hsp90) inhibitor program. The company will be reporting data from two studies on the candidate in the first half of 2013. One is in combination with Sanofi’s (SNY - Analyst Report) Taxotere (docetaxel) and the other one is in combination with Novartis’ (NVS - Analyst Report) Afinitor (everolimus).

The company is also progressing with its phosphoinositide-3-kinase (PI3K) program. The company is expecting several data read-outs and trial initiations under this program this year.

2013 Outlook

In Jan 2013, Infinity Pharma had announced its financial guidance for 2013. The company expects to incur around $115 million–$125 million as operating expenses in 2013. Infinity Pharma expects net loss for the year also in the range of $115 million to $125 million.

The company expects to exit 2013 with cash and investments of about $210 million–$220 million. Infinity Pharma believes with its current cash position, it can easily fund its operations till 2015.

Infinity Pharma currently carries a Zacks Rank #3 (Hold). Other stocks such as BioDelivery Sciences International Inc. (BDSI - Snapshot Report), with a Zacks Rank #2 (Buy), currently looks more attractive in the pharma space.

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
ERBA DIAGNO… ERB 3.65 +2.82%
BANCO DO BR… BDORY 14.22 +1.94%
CHYRONHEGO… CHYR 2.60 +1.76%
WEATHERFORD… WFT 23.31 +1.66%
GTT COMMUNI… GTT 12.18 +1.58%