Iovance Biotherapeutics (IOVA 0.87%), one of the more high-flying biotech stocks of late, fell earthward in trading on Thursday. This was a direct consequence of its latest quarterly figures and operational update that were published after hours on Wednesday and received a fairly negative reaction from investors. The shares closed the day nearly 9% lower, in contrast to the S&P 500 index's gain of slightly over 0.5%.
A big revenue miss for the fourth quarter
Product revenue, which comprised Iovance's entire top line, came in at $482,000 for the company's fourth quarter. It didn't record any revenue in the same period of 2022.
The biotech company's costs and expenses grew over that one-year period to nearly $122 million from $107 million. This is the main reason why the net loss deepened to over $116 million ($0.45 per share) from the year-ago shortfall of $105 million.
Analysts had greater expectations for revenue. Collectively, they were estimating that Iovance would report a top line of $1.44 billion. The company also missed on the bottom line, although slightly, as those pundits were collectively expecting only a $0.43 per-share deficit.
Amtagvi soon to get a broader rollout?
Iovance's major triumph during the quarter was the U.S. Food and Drug Administration's (FDA) Feb. 16 approval of its Amtagvi cellular therapy to treat advanced melanoma. That was the catalyst for the energetic rally in the company's shares in recent days.
In the earnings release/update, Iovance quoted its CEO Frederick Vogt as saying that the drug was already experiencing "healthy demand and momentum."
As for Iovance's future, Vogt said the company aims to submit regulatory documents in the European Union in the first half of 2024. It will do the same in Canada and the U.K. in the second half of the year.
