Dendreon 3Q loss grows on stock warrant charge

The company's loss expanded to $26.8 million, or 29 cents per share, from $19.2 million, or 23 cents per share, a year earlier. While Dendreon reduced its research and general expenses, it took a charge of $9.1 million connected to its April stock offering. Revenue dropped 77 percent, to $26,000 from $112,000, and interest income also shrank.

Dendreon is a development-stage company with no products currently on the market.

Analysts had expected a loss of 22 cents per share on $80,000 in revenue, according to a Thomson Reuters average.

Dendreon sold $47 million in additional stock in April, offering 8 million shares and warrants to buy 8 million more. It took a charge in the third quarter because the value of those options increased.

During the quarter, Dendreon started two midstage clinical trials of Provenge, its prostate cancer drug candidate, and it finished an interim data analysis of a late-stage trial. It plans to report full results in mid-2009.