Vertex' 3rd-qtr 2006 loss widens 17.4%

US drugmaker Vertex says that its third-quarter 2006 non-generally accepted accounting principles loss reached $47.9 million, or $0.42 per share, from the $40.8 million, or $0.43 per share loss it saw in the like, year-ago period, due to increased development costs, particualrly for its lead investigational drug, telaprevir (VX-950), a potential treatment of hepatitis C virus. However, net loss on a GAAP basis narrowed 35% to $51.8 million, or $0.46 per share.

During the period, Vertex' R&D expenses soared 51.3% to $96.1 million, due to the costs for telaprevir's global Phase IIb clinical development program, as well as the drug's initial commercial inventory investment and increased charges for stock-based compensation compared to the prior year. On the day of the announcement, October 26, shares in Cambridge, Massachusetts-based Vertex fell $0.27 to $34.20.

Total revenues for the reporting period were $53.3 million versus $36.2 million due to revenue recognized from its collaboration with Janssen Pharmaceutica, which offsets a drop in turnover from the company's research efforts.