Yesterday, development-stage biotech Vanda Pharmaceuticals
The one statement that can useful to look at is the balance sheet, which tells us what its cash level and burn rate are. Vanda ended the first quarter with $130 million in cash and equivalents and burned through $13 million in cash after raising $111 million in a dilutive financing in January. For the full year, Vanda expects to burn through $80 million to $90 million.
The first quarter was relatively light on the drug development side of things. Vanda's lead compound, iloperidone for schizophrenia, just finished a phase 3 study; one of its other top compounds, VSF-173, only just began a small phase 2 trial for excessive sleepiness in April.
Even though Vanda is still a development-stage biotech, by the end of 2008 this status could change if the FDA approves its lead compound, iloperidone. In December, Vanda announced positive phase 3 clinical trial results for the drug and expects to file a New Drug Application for the compound in the fourth quarter.
All of Vanda's compounds in development, like iloperidone, will be up against tough competition like Eli Lilly's
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