Back to top

Analyst Blog

Athersys, Inc.’s (ATHX - Snapshot Report) first quarter 2013 adjusted net loss of 13 cents per share was wider than the Zacks Consensus Estimate of a loss of 10 cents. Lower-than-expected revenues were primarily responsible for the wider-than-expected loss. The company suffered an adjusted loss of 19 cents per share in the year-ago quarter.

Revenues in the first quarter of 2013 came in at $0.3 million compared to $2.7 million a year ago. The massive year-over-year decline was attributable to the $2.4 million reduction in contract revenues pertaining to Athersys’ agreement with Pfizer Inc. (PFE - Analyst Report).  We note that the Pfizer-related contract revenues comprised amortization of collaboration payments over an estimated performance period. The period came to an end in Jun 2012. Revenues in the first quarter of 2013 fell short of the Zacks Consensus Estimate of $2 million.

Research and development (R&D) expenses for the first quarter of 2013 were flat at $5.6 million. R&D expenses included $2.5 million of clinical and preclinical development costs and personnel expenses of $1.3 million. Athersys stated that it does not expect 2013 R&D expenses to be significantly above 2012 levels ($19.6 million) unless additional funds for pipeline development are received.

General administrative expenses at Athersys climbed 15.4% to $1.5 million in the first quarter of 2013. Higher legal and professional fees led to the increase.

Athersys, which focuses mainly on the area of regenerative medicine, carries a Zacks Rank #3 (Hold). Companies such as Cubist Pharmaceuticals Inc. (CBST - Analyst Report) and Celgene Corporation (CELG - Analyst Report) appear to be more attractive with a Zacks Rank #2 (Buy).

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
RPC INC RES 24.91 +8.35%
LITHIA MOTO… LAD 94.59 +4.60%
DELTA AIR L… DAL 39.15 +3.90%
FLAMEL TECH… FLML 14.51 +3.50%
SOUTHWEST A… LUV 28.87 +2.92%