Medexus Pharmaceuticals Inc (CVE:KMDP) (OTCMKTS:PDDPF) posted fiscal first-quarter results after the bell on Thursday showing a healthy year-over-year increase in revenue and positive underlying earnings.
The Montreal-based drugmaker saw its revenue in the quarter to end June 2019 jump to C$16.1 million, up from C$3.2 million in the same quarter in the prior-year.
The company also finished the quarter with cash and cash equivalents of C$27.4 million, according to its statement.
Other 1Q financial highlights for Medexus included:
- Adjusted underlying earnings (EBITDA) of C$0.5 million, compared to a C$0.3 million loss in the year-ago quarter.
- Gross profit of C$9.9 million, compared to C$1.7 million in the prior-year quarter.
- Gross margin of 61.4%, compared to 53.5% in the prior-year quarter.
- Net loss of C$2.2 million, compared to a C$0.7 million loss in the year-ago quarter.
Medexus CEO Ken d’Entremont said the surge in first quarter revenue stemmed from the acquisitions of October 2018 - when the firm merged the businesses of Pediapharm Inc, Medexus Inc and Medac Pharma Inc - as well as strong organic growth.
“Importantly, we saw strong growth in each of the key product categories,” he said. “We were particularly pleased to have achieved positive adjusted EBITDA despite incurring incremental expenses related to the sales and marketing ramp-up for the allergy season, as well as our investment in a development project aimed at reformulating an existing FDA-approved product for use in the field of rheumatology.”
Medexus is focused on the therapeutic areas of auto-immune disease and pediatrics. The leading products are Rasuvo and Metoject, designed to treat rheumatoid arthritis and other auto-immune diseases; and Rupall, an innovative allergy medication.
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