CombinatoRX projects narrower-than-expected loss

Cambridge biotechnology company CombinatoRx Inc. narrowed its expected 2008 loss because of higher-than-forecast revenue for this year.

The company expects a loss between $49 million and $55 million on revenue between $15 million and $20 million in 2008. Analysts polled by Thomson Financial expect a loss of $64.5 million on revenue of $13.7 million.

Continued development of several drug candidates will further drain the company's funding, though CombinatoRx said it has enough capital to follow through on the programs. It expects to end 2008 with between $58 million and $64 million in cash and cash equivalents. The company previously said it would end 2007 with between $103 million and $113 million.

CombinatoRx said it will continue searching for development partners.

Previously, the company said it expects a 2007 loss between $48 million and $53 million on revenue between $13 million and $15 million. Wall Street has forecast a loss of $53.1 million on revenue of $15 million.

The company said it plans to present midstage study data on CRx-102, aimed at treating osteoarthritis and rheumatoid arthritis, in 2008. Other midstage studies with results planned for this year include CRx-191 for psoriasis, CRx-197 for dermatitis and CRx-401 for type-2 diabetes.

Shares of CombinatoRx rose 21 cents, or 4.8 percent, to $4.61 in morning trading on the Nasdaq Stock Market. (AP)