Burn rate significantly reduced and Semen Sexing Technology achieves milestone
TORONTO, Aug. 6 /PRNewswire-FirstCall/ - For nine months ended June 30, 2009, Microbix Biosystems Inc. (TSX:MBX) announced strong sales and a significantly reduced burn rate. The third quarter had a small sales retraction that was related to timing of orders and changing exchange rates. The forecast is for continued growth in sales.
"The 22% sales growth achieved in the nine months ending June 30, 2009 is a trend we expect to continue in fiscal 2010. Our new manufacturing facility is fully operational, cash flow is improving and the opportunity to create shareholder value is still available in all three pipeline products albeit delayed," said William J. Gastle, CEO of Microbix.
Third Quarter Highlights Core Business
In the third quarter, sales declined 7% compared to the very strong third quarter in 2008. "Fourth quarter sales are expected to be steady but the overall outlook is that demand for virology products is forecasted to continue to increase in fiscal 2010," Mr. Gastle added.
"A new product line is being launched late in 2009 that will generate revenue in the following six months. We see the growth trend in product volume enjoyed in 2009 continuing into 2010 although currency fluctuation may challenge near term sales objectives. The expanded capabilities of the Watline facility are allowing us to enter related biological markets that have the potential to grow our opportunity base significantly over our traditional markets."
Influenza Vaccine Business
"Influenza vaccine has been in the news since the emergence of the H1N1 virus in April, a virus that met the WHO criteria of a pandemic strain," said Mr. Gastle. "There is a global capacity shortage of vaccine supply as H1N1 vaccine production has only produced 25 to 50% of the yields obtaine
|SOURCE Microbix Biosystems Inc.|
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