Mesoblast (ASX: MSB; USOTC: MBLTY) reported a wider full year loss on the back of higher investment in developing its late-stage pipeline.
Expenses increased by $33.2m (28 per cent at constant currency) as the company invested significant resources in its portfolio of regenerative cell-based product candidates.
According to an investor presentation, it now has five product candidates in Phase 3 or Phase 3 ready programs.
Mesoblast reported a 14.7 per cent increase in revenues to $42.5 million, with operating expenses of $161.9 million.
The reported loss of $119.4 million, compared with $81m for the previous year, was underpinned by a 40 per cent increase in R&D spending, which represents around half of the company's cost base.
The company reported cash reserves of $144.1 million at 30 June.
“We have made strong progress during the past year in moving forward our Phase 3, Tier 1 clinical programs, and have appropriately focused our resources on their execution," said Chief Executive Silviu Itescu.
“In addition, during the year our portfolio targeting inflammatory diseases has emerged with the potential to be a major new opportunity.
“We are particularly pleased with the outcome of the recent meeting between our development and commercialization partner Teva Pharmaceutical Industries Ltd and the United States Food and Drug Administration regarding our Phase 3 chronic heart failure program. The ongoing Phase 3 trial continues to recruit well and, as a result of the FDA meeting, has the potential for early completion based on overwhelming efficacy,” he said.