A month has gone by since the last earnings report for Momenta Pharmaceuticals (MNTA). Shares have added about 10% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Momenta due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.
Momenta Q2 Loss Wider Than Expected, Revenues Miss
The company reported a loss of $1.16 per share in the quarter, wider than the Zacks Consensus Estimate of a loss of 42 cents and the year-ago quarter’s loss of 91 cents.
Revenues in the quarter came in at $5.2 million, which declined from $13.0 million in the year-ago quarter and missed the Zacks Consensus Estimate of $9 million.
Quarter in Detail
Momenta’s top line comprises product revenues of $3.3 million from Sandoz’s sales of Glatopa, a generic version of Copaxone (20 mg), which decreased from $11.8 million in the year-ago quarter due to increasing competition from Mylan’s entry into the Copaxone market.
Research and development revenues came in at $1.8 million compared with $1.3 million in the year-ago quarter.
Research and development expenses came in at $32.1 million, up from $31.3 million in the year-ago quarter, due to lower personnel costs.
General and administrative expenses were $46.6 million, up 107% year over year due to $21.0 million paid to Amphastar in June 2019.
Pipeline Update
Momenta’s novel auto-immune portfolio includes M230, a Selective Immunomodulator of Fc receptors (SIF3); Nipocalimab (M281), an anti-FcRn monoclonal antibody; and M254, a hypersialylated immunoglobulin designed as a high potency alternative for intravenous immunoglobulin (IVIg).
Momenta recently commenced an adaptive phase II/III clinical study of nipocalimab in warm autoimmune hemolyticannemia (wAIHA). The FDA accepted its Investigational New Drug (IND) application for the same and granted it Fast Track designation. Clinical sites are currently being activated and patient recruitment is underway. Momenta expects to report top-line data from this study by the end of 2021. Vivacity-MG, the phase II study of nipocalimab in generalized myasthenia gravis (gMG), continues to open sites and enroll patients. The top-line data is expected in the second or third quarter of 2020.
Unity, the phase II study of nipocalimab in hemolytic disease of the fetus and newborn (HDFN), continues to open sites and enroll patients. Top-line data is expected in 2021. The candidate has been granted Fast Track designation by the FDA for this indication.