UPDATE 1-Regeneron Pharma posts narrower-than-expected loss

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Feb 27 (Reuters) - Regeneron Pharmaceuticals Inc (REGN.O) posted a narrower-than-expected fourth quarter loss, helped by $35.9 million contract research and development revenue from its collaboration with Bayer Healthcare.

For the fourth quarter, the company posted a loss of $13.1 million, or 19 cents a share, compared with $31 million, or 51 cents a share in the year-ago quarter. Revenue rose more than 500 percent to $64.7 million.

Analysts on average were expecting a loss of 47 cents a share before items, on revenue of $27.1 million, according to Reuters Estimates.

The company is collaborating with Bayer Healthcare, a U.S. based unit of German Bayer BAYG.DE, to develop VEGF Trap-Eye outside the United States for treatment of various indications of eye diseases.

Regeneron holds the U.S rights to VEGF Trap, which works on proteins involved in the abnormal growth of new blood vessels.

The company also recognized $10.0 million of technology licensing revenue during the latest quarter.

Regeneron's operating expenses rose 74 percent to $76.3 million primarily on research and development. During the fourth quarter, the company initiated two late-stage trials, a mid-stage trial and a early-stage trial.

The company's development pipeline includes drugs targeting cancer, eye diseases, and inflammatory diseases.

Shares of the company closed at $18.66 Tuesday on Nasdaq. (Reporting by Jennifer Robin Raj in Bangalore; Editing by Bernard Orr)