Medivation Q3 Loss Widens, But Tops View

(RTTNews) - Biotechnology company Medivation Inc. (MDVN), Tuesday said its third-quarter loss widened from a year ago, hurt mainly by lower revenues and higher costs. Nevertheless, loss for the quarter were lesser than what the Street expected, but revenues fell short of estimates.

San Francisco, California-based Medivation's third-quarter loss widened to $13.3 million or $0.18 per share from $4.5 million or $0.06 per share last year. On average, 18 analysts polled by Thomson Reuters expected a loss of $0.26 per share for the quarter.

Medivation's third-quarter collaboration revenues were $60.0 million, down from $64.8 million a year ago. Medivation generates most of its revenues as collaboration revenues. Sixteen analysts had a consensus revenue estimate of $60.13 million for the quarter.

Xtandi's US sales for the third quarter, as reported by Astellas, rose to $108.5 million up from $82.4 million, while Ex-US sales of Xtandi were $13.0 million. Xtandi was granted marketing authorization in the European Union in June 2013.

Last year, Medivation's late-stage prostate cancer drug Xtandi, which it developed with Astellas Pharma Inc., received approval from FDA for the treatment of men with late-stage prostate cancer that has spread or recurred, even with medical or surgical therapy to minimize testosterone.

Total operating costs for the quarter rose to $68.0 million from $64.4 million a year ago.

Looking forward to the full year 2013, Medivation expects US sales of Xtandi, as reported by Astellas, to exceed its prior guidance of $345 million to 365 million.

"The strong demand that we've seen for Xtandi, coupled with the positive results from our Phase 3 PREVAIL study, places us in a strong position as we look to advance to the next chapter in our company's development," said CEO David Hung.

MDVN closed Tuesday's trading at $60.91, down $0.03 or 0.05%, on the Nasdaq. The stock, however, gained $0.69 or 1.13% in the after hours trade.