TORONTO, June 13, 2008 (PRIME NEWSWIRE) -- Polydex Pharmaceuticals Limited (Nasdaq:POLXF) has today reported financial results of operations for the first quarter of fiscal 2009, ending April 30, 2008.
Q 1, Q 1,
ending ending
4/30/2008 4/30/2007
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Sales $ 1,219,785 $ 1,347,133
Net Income (loss) before income taxes (25,622) (134,238)
Earnings (loss) per common share - basic (0.01) (0.04)
Earnings (loss) per common share - diluted (0.01) (0.04)
Weighted average common
shares outstanding 3,072,846 3,072,846
As of April 30, 2008, assets of the Company totaled $9,912,545. With liabilities totaling $2,269,766 as of this date, the shareholders' equity of the Company was $7,642,779, or approximately $2.49 per share.
Although sales in the first quarter of fiscal 2009, ending April 30, 2008, were slightly less than the comparable period last year, improved gross margins and continued efforts by management to reduce expenses has resulted in a decrease in net loss for the quarter.
This increase in gross margins has been accomplished from sales of the higher margin powdered products, as well as realization of the impact from price increases implemented in the latter part of fiscal year 2008. The cost reduction campaign undertaken by management during fiscal 2008 has resulted in savings from most areas of the cost of sales.
In response to expanding market opportunities and the potential for new market penetration, management has been focusing on plant refurbishment and equipment upgrades to increase production quality and capacity over most of fiscal 2008. New spray drying equipment has now been installed and is expected to gradually increase the rate of production of the powdered product line over the next several quarters. Ultimately it is hoped that this new equipment will significantly increase production capacity of the powders, which have traditionally generated higher margins.
The Company anticipates that the completed improvements to the plant and equipment will not only increase production capacity, but also improve the quality of its products for both domestic and foreign markets.
In recent past quarters, fluctuations in the value of the United States and Canadian currencies have resulted in a negative impact on the bottom line. In this first quarter, a small foreign exchange gain has been experienced, in contrast to the loss experienced during fiscal year 2008.
Polydex Pharmaceuticals Limited, based in Toronto, Ontario, Canada, is engaged in the research, development, manufacture and marketing of biotechnology-based products for the human pharmaceutical market, and also manufactures bulk pharmaceutical intermediates for the worldwide veterinary pharmaceutical industry.
Note: This press release may contain forward-looking statements, within the meaning of the United States Securities Act of 1933, as amended, and the United States Securities Exchange Act of 1934, as amended, regarding Polydex Pharmaceuticals Limited, including, without limitation, statements regarding expectations about future revenues, effects of our plant refurbishment, or business opportunities and developments relating to potential research projects. These statements are typically identified by use of words like "may," "could," "might," "expect," "anticipate" or similar words. Actual events or results may differ materially from the Company's expectations, which are subject to a number of known and unknown risks and uncertainties including but not limited to changing market conditions, future actions by the United States Food and Drug Administration or equivalent foreign regulatory authorities as well as results of pending or future clinical trials. Other risk factors discussed in the Company's filings with the United States Securities and Exchange Commission may also affect the actual results achieved by the Company.