What happened
Shares of MacroGenics (MGNX 1.32%) were up more than 24% as of 11:45 a.m. on Thursday after the biotech company announced second-quarter earnings. The stock is down more than 7% so far this year.
So what
MacroGenics focuses on antibody-based therapeutics for the treatment of cancer. On Wednesday, after the markets closed, the company reported that it had net income in the second quarter of $57.5 million compared to a net loss of $41.3 million for the same period a year ago. It also said that revenue was $13.1 million, down 49.6% year over year.
The company had other news that helped drive the stock. It said that it had received a $50,000 milestone payment from Sanofi (SNY -0.47%) due to positive top-line data from Tzield in a type-1 diabetes study. MacroGenics also said it had begun a phase 2 study for lorigerlimab as a treatment for metastatic castration-resistant prostate cancer (mCRPC) patients and was beginning enrollment in a phase 2 study for vobramitamab duocarmazine to treat mCRPC patients. MacroGenics has nine programs in its pipeline.
Now what
The company has only one commercial product of its own, breast cancer treatment Margenza. However, it receives royalties and milestone payments for Tzield and if that drug adds indications, MacroGenics will benefit. The company has also strengthened its cash position to $240 million, not counting the payment from Sanofi, compared to $154.3 million at the beginning of the year.
The extra funds should help support operations through 2026, the company said. That means MacroGenics has enough to fund its phase 2 trials for lorigerlimab and vobramitamab duocarmazine.
