Nektar Therapeutics reported a lower net loss and a rise in revenue for the fourth quarter of 2017 versus the year-ago period.
Net loss for the quarter was $33.8 million, or 21 cents per share, compared with a loss of $42.2 million, or 28 cents per share, in the fourth quarter of 2016.
The S&P Capital IQ consensus normalized estimate for the fourth quarter was a loss of 36 cents per share.
Revenue for the period totaled $95.5 million, versus $37.5 million in the year-ago period. This included a nonrecurring revenue of $60.0 million from a new sublicense agreement, a contract settlement agreement and the recognition of deferred revenue from several collaboration agreements.
Total operating costs and expenses were $119.5 million, compared with $69.6 million a year earlier. The increase was mainly due to increased research and development expense, which was $81.4 million in the fourth quarter, versus $50.2 million for the fourth quarter of 2016.
Full-year results
Net loss for 2017 was $96.7 million, or 62 cents per share, compared with a loss of $153.5 million, or $1.10 per share, in 2016.
The S&P Capital IQ consensus normalized estimate for 2017 was a loss of 75 cents per share.
Full-year revenue totaled $307.7 million, versus $165.4 million in 2016. The revenue included a payment of $130.1 million out of the $150.0 million up-front payment from Nektar's collaboration with Eli Lilly and Co. to develop and commercialize its investigational drug NKTR-358, which is being developed to treat a number of autoimmune and other chronic inflammatory conditions.
Total operating costs and expenses for 2017 were $367.4 million, compared with $278.3 million in 2016.
Research and development expense for the year was $268.5 million, versus $203.8 million a year ago. The research and development cost increased in 2017 due to expenses for the company's pipeline programs.
