NEW YORK (GenomeWeb News) – GeneNews reported after the close of the market on Wednesday a sharp increase in revenues driven by royalty revenues.
For the three months ending March 31, revenues reached C$48,348 (US$47,538), up more than seven-fold from C$6,477 during the first quarter of 2012, the Toronto-based molecular diagnostics company said in a document filed with Canadian regulators.
The uptick resulted from C$47,436 in royalty revenues, compared to zero a year ago. Sales were down to C$912 from C$6,477.
Net loss for the quarter was C$1.5 million, or C$0.05 per share, from a net loss of C$1.3 million, or C$0.08 per share, a year ago.
The company's R&D spending increased 11 percent year over year to C$502,766 from C$452,955. SG&A costs spiked 36 percent to C$885,185 from C$648,981 a year ago.
GeneNews exited the quarter with C$325,702 in cash and C$7.2 million in short-term investments.
In a statement, company President and COO Gailina Liew said that ongoing challenges in the US reimbursement environment have constrained royalty revenues. Despite that, GeneNews remains focused on expanding the reach of its ColonSentry colorectal cancer test beyond New York and New Jersey, where the test has been available since 2012.
"In 2013, we expect to launch ColonSentry into additional regions of the US and selected global regions," Liew said.