In the last trading session, the stock price of Array Biopharma Inc (NASDAQ:ARRY) declined more than 1% to close the day at $17.32. The decline came at a share volume of 2.35 million compared to average share volume of 4.77 million. Post the recent decline, the market cap of firm was noted at 3.41 billion.
More recently, Array Biopharma reported that revenue for Q2 2018 declined $2.3 million over the same quarter of 2017. The decline was mainly due to reduced settlement revenue for the Novartis transitioned trials, which was partly offset by revenue from expanded and new collaborations. Cost of partnered plans surged $4.7 million compared to Q2 2017. The jump was mainly due to higher costs recorded for the BEACON CRC study, as well as additional resources engaged on deals.
For Q2 2018, R&D expense dropped $3.9 million, compared to Q2 2017. The decline was due to expenses related with the Novartis transitioned trials. Net loss for Q2 2018 came at $34.1 million compared to $23.3 million, for the comparable quarter in fiscal 2017. The jump in net loss was mainly due to a drop in reimbursement revenue from Novartis. It was also impacted by one-time costs to extinguish and convert Array’s convertible debt.
Array BioPharma is a biopharmaceutical entity with a prime focus on the discovery, commercialization and development of targeted small molecule medicines to treat patients suffering with cancer. Nine registration trials are currently advancing linked to seven Array-partnered or owned drugs: binimetinib (MEK162), selumetinib (associated with AstraZeneca), encorafenib (LGX818), ipatasertib (associated with Genentech), danoprevir (partnered with Roche), tucatinib (associated with Cascadian Therapeutics) and larotrectinib (associated with Loxo Oncology).
Commenting on Novartis financial commitment, the company reported that it continues to considerably fund all ongoing studies with binimetinib and encorafenib that were planned or active as of the end of the Novartis deals in 2015.