By Melodie Warner
Auxilium Pharmaceuticals Inc. (AUXL) and Pfizer Inc. (PFE) will
end their European Union collaboration for the Dupuytren's disease
treatment Xiapex no later than April 24.
After which, the marketing rights and responsibility for
Xiapex's regulatory activities will revert to Auxilium in the EU
and certain other European and Eurasian countries.
Biopharmaceutical company Auxilium said it expects to recognize
$94 million of deferred revenue and $9 million of deferred costs in
the fourth quarter from the concluded collaboration.
As a result, the company raised its full-year revenue estimate
to between $388 million and $408 million from its prior forecast of
$310 million to $332 million.
Auxilium also said Wednesday its third-quarter loss widened as
gross margin fell to 78% from 80%.
The company reported a loss of $10.5 million, or 21 cents a
share, compared with a loss of $4.1 million, or 8 cents, a year
earlier. The most-recent quarter included stock-based compensation
expense of $3.5 million, while the year-earlier quarter included
$3.8 million. Revenue jumped 6.4% to $71 million.
Analysts polled by Thomson Reuters had most recently forecast a
loss of four cents on revenue of $79 million.
Separately, Auxilium said it submitted a supplemental biologics
license application to the U.S. Food and Drug Administration for
Xiaflex, a therapy for the potential treatment of Peyronie's
disease
It has asked for priority review designation for the submission
and the company expects to hear back from the FDA within about 60
days from the filing date.
Shares closed Tuesday at $20.04 and were halted premarket. The
stock has risen 32% over the past year.
Write to Melodie Warner at melodie.warner@dowjones.com
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