Mast Therapeutics Inc (NYSEMKT:MSTX) a clinical-stage biopharmaceutical entity, recently announced the results for the fourth quarter as well as the last fiscal year ended December 31, 2016. Mast Therapeutics in his remarks said the company’s AIR001 made significant progress during the year and they hope to close the planned merger with Savara in this year’s second quarter. He added that the merger, upon full implementation will offer a diversified product development platform to shareholders.
The company y recorded a net loss of $6.0 million which is equivalent to 0.02 per share in the fourth quarter of 2016. This is in comparison to the $10.2 million, or $0.06 per share loss made by the company the same period the previous financial year. The recorded reported $83,000 in net revenue for the fourth quarter which represents reimbursement of costs incurred in the nonclinical trial of vepoloxamer which is funded using a grant from Small Business Innovation Research (SBIR).
Expenses towards Research and development (R&D) for the fourth quarter of 2016 stood at $78,000 representing a 99% or $7.1 million reduction from last year, where $7.2 million was reported. The reduction in research and development expenses is a result of the company move to call off vepoloxamer’s clinical development since September 2016. The company’s fees incurred in external clinical study went down by $3.9 million in addition to a $2.9 million decrease in external nonclinical study expenses. R&D personal costs went down by $0.3 million compared to the same period the previous year.
General, selling and administrative cost stood at $1.9 million representing a 23% or $0.6 million decrease compared to the $2.5 million reported the previous year. The decrease is attributed to reduction in consulting and legal fee as well as personal costs.
Expense on interest stood at $0.2 million compared to the $0.5 million recorded the previous year. This decrease is as a result of repayment of the 10.0 million of the company’s principal debt in October 2016. The debt’s principal balance stood at $3.3 million at the end of the year compared to $15.0 million at the close of the previous year.