Why Shares of ImmunoGen Inc. Shot Up Today

Why Shares of ImmunoGen Inc. Shot Up Today

ImmunoGen (NASDAQ: IMGN) ended Friday up 14% after reporting second-quarter earnings earlier in the day. Of course, it wasn't the cancer-focused biotech's earnings that caused shares to jump by double digits, since the company doesn't currently sell any drugs.

For the record, revenue came in at $39 million, most of which was from a previously disclosed $30 million payment from Sanofi (NYSE: SNY). The companies amended their agreement over isatuximab and three other earlier-stage drug candidates so ImmunoGen could get cash now in exchange for royalties later.

So while ImmunoGen's $8.9 million loss for the second quarter might at first glance appear to be significantly less than the $45.9 million it lost in Q2 2016, it wasn't not that different if you factor out the payment from Sanofi.

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Source: Fool.com