MONTREAL, Aug. 31 /PRNewswire-FirstCall/ - Haemacure Corporation (TSX : HAE) released today the results of its third quarter ended July 31, 2007.
Revenues amounted to $31,674, as compared to $31,409 for the same quarter last year. Revenues are exclusively derived from the sale of our fibrin sealant application devices. Operating expenses amounted to $869,822, as compared to $741,205 for the same quarter last year. The increase is mainly attributable to stock-based compensation resulting from option grants and increased business development and investor relations activities. The consolidated net loss for the quarter amounted to $856,879, or $0.01 per share, as compared to $724,163, or $0.02 per share, for the same quarter last year.
"We continue to accomplish the turnaround of the company to make it an independent player with next generation, high-value products", said Mr. Joseph Galli, Chairman and Chief Executive Officer of Haemacure. "We are implementing a strategy to hasten the initiation of the Phase III clinical trials for our lead product candidate, the Hemaseel(R)HMN fibrin sealant We are also assessing alliances with strategic partners that may result in much wider fields of use for our fibrin sealant. To that end, we will soon deliver to these potential partners small volumes of our fibrin sealant for evaluation", concluded Mr. Galli.
Cash and cash equivalents and temporary investments stood at $8.3 million as of July 31, 2007, as compared to $519,300 as at October 31, 2006.
Pursuant to an agreement entered into in 2002, CSL Behring AG ("CSL") is obligated to pay to Haemacure the sum of US$4.5 million upon Haemacure achieving certain milestones related to its Hemaseel project. On August 20, 2007, CSL advised Haemacure of its opinion that it is no longer obliged to pay this sum. Haemacure disputes the position of CSL and will aggressively defend its right to the future payment of this sum. This has no impact on Haemacure's current financial situation.
Haemacure Corporation is a specialty bio-therapeutics company developing high-value human therapeutic proteins for commercialization. Haemacure's research and development effort is driven by its proprietary plasma protein extraction technology to develop next-generation products, including surgical hemostats.
Haemacure's lead product candidate, Hemaseel(R)HMN, is a human-derived fibrin sealant in late-stage clinical development. Haemacure's second product candidate is human thrombin, a component of its fibrin sealant. Both candidates have applications in the expanding bio-surgical market. Follow-on development will focus on surgical hemostats, bio-material combinations and drug delivery in select therapeutic areas. Haemacure has recently discovered additional specialty proteins in its plasma-derived intermediates and will advance these specialty proteins through partnerships with pharmaceutical and biotechnology companies.
Certain of the statements contained in this news release may be forward-looking statements. Such statements, based as they are on the current expectations of management, inherently involve numerous risks and uncertainties, known and unknown. Some examples of known risks include, but are not limited to the following: the impact of general economic conditions, general conditions in the biotech industry, results and outcomes of Haemacure's clinical trials, changes in the regulatory environment in the jurisdictions in which Haemacure Corporation does business, stock market volatility, fluctuations in costs, and changes to the competitive environment due to consolidation or otherwise. Consequently, actual future results may differ materially from the anticipated results expressed in the forward-looking statements. Haemacure Corporation disclaims any intention or obligation to update these statements.
Complete financial statements for the quarter ended July 31, 2007 are available on Haemacure's web site, http://www.haemacure.com, and have been filed on Sedar.
July 31, July 31,
Sales $ 31,674 $ 31,409
Gross profit $ 12,943 $ 17,042
Gross margin 41% 54%
Selling and marketing expenses - $ 13,105
General and administrative expenses $ 734,286 $ 522,444
Total expenses $ 869,822 $ 741,205
Net loss $ (856,879) $ (724,163)
Loss per share $ (0.01) $ (0.02)
Weighted average number of shares
outstanding 163,800,917 38,800,917
As at As at
July 31, October 31,
Cash and cash equivalents $ 4,292,487 $ 78,300
Temporary investment $ 4,007,200 $ 441,000
Total assets $11,726,205 $ 2,696,198
Shareholders' equity $10,138,094 $ 981,381
|SOURCE HAEMACURE CORPORATION|
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