Avanir Pharmaceuticals (NASDAQ: AVNR), a biopharmaceutical company focused on developing therapies to treat central nervous system disorders, reported strong product sales growth in its first-quarter earnings results after the bell today.
For the quarter, Avanir reports that Nuedexta, a treatment for pseudobulbar affect, a neurological condition characterized by involuntary and sudden episodes of laughing and/or crying, saw revenue increase 15% from the sequential fourth quarter to $23.3 million (in net sales). Total net revenue expanded 62% to $26.7 million from the year-ago period. The remainder of Avanir's revenue was derived from co-promotion revenue with Merck (NYSE:MRK) for type 2 diabetes medication Januvia and from royalty revenue from the sale of Abreva.
Total operating expenses widened during the quarter to $36.7 million from $27.6 million in the previous year as selling and marketing expenses rose 29% and research and development costs jumped 43%.
Despite higher expenses, Avanir's net loss actually decreased during the quarter to $10.9 million, or $0.07 per share, from $12.1 million, or $0.09, in the year-ago period. Net cash used during the quarter was $9.8 million, with the company ending 2013 with $46.5 million in cash equivalents and investments in securities.
Although Avanir didn't provide any financial guidance for the remainder of fiscal 2014, it did promote specific quarter highlights, including the new drug application with the Food and Drug Administration for inhaled migraine medication AVP-825, and announced the enrollment of the first patient in a phase 2 proof-of-concept study of AVP-923 for the treatment of levodopa-induced dyskinesia in patients with Parkinson's disease.