Denali reports net loss of $39M in Q1 2019

Denali has reported net loss of $39.0 million in the first quarter 2019, compared with a net loss of $23.7 million same period last year.

Denali said in the press release that collaboration revenue was $4.2 million for the three months ended March 31, 2019, compared with collaboration revenue of $0.6 million for same period in 2018. The increase was due to $3.5 million of revenue recognized under the Sanofi Collaboration Agreement in the first quarter 2019, Denali said.

According to the company’s press release, the total research and development expenses were $37.4 million for the first quarter, including non-cash stock-based compensation of $4.0 million, compared to $20.8 million for the same period 2018, including non-cash stock-based compensation of $1.7 million.

The increase in total research and development expenses of $16.6 million was primarily attributable to increases in personnel-related expenses, including non-cash stock-based compensation, driven primarily by higher headcount and new option grants. Further, there were increases in external research and development expenses, reflecting both the progress of Denali’s most advanced programs and increased investment in growing and developing its pipeline, and facilities-related expenses primarily due to rent expense, the company said.

Denali also reported cash, cash equivalents, and marketable securities were $583.0 million as of March 31, 2019.