Biodefense company PharmAthene, Inc., posted a net less of $2.3 million in the first quarter of 2014 on Thursday.
The company said that the loss in revenue was primarily due to a clinical hold placed on its SparVax anthrax vaccine by the FDA in December of last year. A shift from manufacturing to nonclinical activities in the company's bioscavenger program also contributed to the decline.
The company saw of a reduction of revenue from government contracts between the last quarter of 2013 and March of this year to $11.2 million, down from $14.1 million.
"Regarding our SparVax anthrax vaccine program, we have received guidance from the Department of Health and Human Services, Biomedical Advanced Research and Development Authority (BARDA) on the de-scoping and partial termination for convenience of our current SparVax contract," Eric I. Richman, PharmAthene president and CEO, said. "BARDA has authorized us to complete select activities, which we currently anticipate will be completed by the end of the fourth quarter of 2014."
In addition to the SparVax vaccine, PharmAthene also develops countermeasures for nerve agents and pesticides, as well as other antibodies targeting anthrax infection.
"We are continuing to carefully manage our cash resources while we evaluate other funding opportunities for SparVax," PharmAthene Chief Financial Officer and Corporate Secretary Linda L. Chang said.