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During this call, we'll be making forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to factors, risks and uncertainties, such as those detailed in our Form 10-K for the year ended December 31, 2011, and other SEC filings that may cause actual results to differ materially from the results expressed or implied by such statements. Now let me introduce Dr. Berger for our opening remarks.Harvey J. Berger Thanks very much, Maria, and good morning, everyone. On our first quarter investor call this past May, I remember saying that we were off to a very busy start in 2012 with lots of progress, productivity taking place in all corners of the company. Well, I'm pleased to say that this progress and productivity have clearly been illustrated for our most recent announcements. These include the presentation of the updated PACE trial data at ASCO in June, the start of a global Phase III EPIC trial of ponatinib in newly diagnosed patients with chronic PACE CML and the submission of the new drug application to the Food and Drug Administration for the approval of ponatinib in CML and Philadelphia Chromosome-positive ALL in patients who are resistant or intolerance to prior therapy. Without question, we are executing on all of the objectives that we set out at the beginning of the year and we are focused on building a global commercial oncology company. With that as background, we have several updates to share with you this morning but first, Ed Fitzgerald will run through our financial results for the second quarter. Edward M. Fitzgerald Thank you, Harvey, and good morning, everyone. Our net loss for the second quarter was $51.3 million or $0.31 per share compared to a net loss of $47.8 million or $0.36 per share for the same period in 2011. The increase in net loss reflecting expansion of the global development program for ponatinib in preparations for commercialization of ponatinib in the U.S. and in Europe. Our R&D expenses increased by $20.7 million from the second quarter of 2011 to the second quarter of 2012, due primarily to expansion of development activities for ponatinib, including an increase in personnel expenses to support those activities.
During this period, we funded ongoing treatment in monitoring the patients in our Phase I and PACE clinical trials of ponatinib, the expansion of our expanded access program and investigator-sponsored trials of ponatinib, manufacturing activities in support of clinical trials, and importantly preparation of regulatory filings for ponatinib. In addition, R&D expenses in the second quarter of 2012 included a charge of $4.8 million to write down the carrying value of intangible assets related to ridaforolimus, following the issuance by the FDA of a complete response letter related to the MBA filed by Merck for ridaforolimus in patients with sarcomas.Our G&A expenses increased by $6.1 million from the second quarter of 2011 to the second quarter of 2012 due to growth in commercial operations and supporting activities in the anticipation of potential regulatory approval and commercial launch of ponatinib. Our net loss for the first half of 2012 also reflects a charge of $15.9 million taken in the first quarter of 2012, related to the reevaluation of our warrant liability compared to a charge of $41.5 million for the first half of 2011 due to increases in the market price of our common stock during those periods. As we've stated before, all warrants that remained outstanding at December 31, 2011, were exercised in the first quarter of 2012, and therefore, there will be no further impact of these warrants on our statement of operations. As of June 30, 2012, cash, cash equivalents and marketable securities totaled $250.3 million compared to $306.3 million at December 31, 2011. We are updating our financial guidance for 2012, in light of not receiving the $25 million milestone payment from Merck associated with approval -- U.S. approval of ridaforolimus in the sarcoma indication. We now expect cash used in operations for 2012 to be in the range of $162 million to $167 million, and we expect cash, cash equivalent and marketable securities at December 31, 2012, to be in the range of $142 million to $147 million. We estimate that current cash, cash equivalents and marketable securities are sufficient to fund our operations to the fourth quarter of 2013. Let me now turn the call back over to Harvey. Read the rest of this transcript for free on seekingalpha.com