Vanda Pharmaceuticals Inc. reported a smaller second-quarter loss as a drop in expenses prompted by the completion of some clinical research helped the drug developer.
The Washington, D.C., company, which focuses on developing treatments for center nervous system disorders, lost $3.1 million, or 11 cents per share, in the three-month period that ended June 30. That compares to a loss of $8 million, or 28 cents per share in last year’s quarter.
Revenue slipped slightly to $8.3 million, as royalty payments on sales of the schizophrenia drug Fanapt fell. Swiss drugmaker Novartis AG markets Fanapt.
Analysts surveyed by FactSet expected, on average, a loss of 22 cents per share on $8.4 million in revenue.
Vanda said research and development costs sank 52 percent to about $6 million compared to last year’s quarter, as Vanda completed some studies involving tasimelteon. The company is developing that drug as a potential treatment for non-24-hour disorder, a rare disorder that affects people who are totally blind.
Those patients have difficulty synchronizing their bodies with the 24-hour cycle because they can’t detect light.
The company said the Food and Drug Administration has accepted its application for the drug and classified it for a priority review. The FDA plans to decide on the application by Jan. 31.
Vanda had $103.6 million in cash at the end of the second quarter.
Its shares rose 24 cents, or 2.1 percent, to $11.85 in premarket trading.