NEW YORK (GenomeWeb News) – GeneNews today reported that it has cut its first-quarter net loss 30 percent, even though it had hardly any revenue for the period.
The Toronto-based molecular diagnostics firm brought in total revenues of just C$4,417 (US$4,298) for the three-month period ended March 31, compared to C$259,210 for the first quarter of 2009. The bulk of last year's revenues came from non-refundable license revenue, the firm said.
Despite the lack of revenues for Q1 2010, the firm managed to cut its net loss significantly, due primarily to a reduction in its R&D and SG&A spending. GeneNews reported a net loss of C$1.4 million, or C$.02 per share, compared to a net loss of C$2 million, or C$.04 per share, for the first quarter of 2009.
Its R&D spending fell 45 percent to C$474,990 from C$864,365, while its SG&A spending declined 40 percent to C$462,338 from C$767,241.
GeneNews finished the quarter with C$2.1 million in unrestricted cash and cash equivalents, cash held in trust, and short-term investments.
Gailina Liew, president and COO of GeneNews, said in a statement that the firm's primary goal for 2010 is commercializing its ColonSentry colorectal screening test.
"Throughout the first quarter, we have been working with our US marketing partner, Enzo Clinical Labs, as they prepare to launch ColonSentry in New York and New Jersey in the second half of 2010," Liew said. "We are also engaged in discussions with potential ColonSentry marketing partners for other regions of the United States, Europe, and Asia as we prepare for the launch of ColonSentry in these jurisdictions."