HALIFAX, Dec. 6, 2013 /CNW/ - MedMira, Inc. (MedMira)
(TSXV: MIR), a developer of rapid diagnostic technology and
solutions, reported today on its financial results for the three
month period ending October 31,
2013.
During the quarter, the Company received
$6.105 million in new equity
financing from its largest and controlling shareholder, OnSite Lab
Holding AG. This investment supports significant go-to-market
activities including sales and marketing programs aimed at putting
MedMira's technology platform and products in front of customers
and key decision makers in the United
States and global markets.
Key initiatives accomplished this quarter
include the hiring of Kevin Jones as
Senior Director, Global Sales & Marketing and Markus Meile as Senior Director, International
Markets, as well as the establishment of the Company's subsidiary,
MedMira International AG, to serve strategic markets, customers,
and partners internationally. The establishment of a US sales
office is progressing well. Manufacturing automation is underway
and major product development and commercialization projects are on
track with new product launches set to begin in 2014.
First Quarter Financial Highlights
- The Company received $6.105
million in new equity financing from its largest and
controlling shareholder, OnSite Lab Holding AG.
- The Company recorded revenue in the quarter totalling
$472,846, as compared to $544,502 for the same period last year. Delays in
sales opportunities in Latin
America and other international markets as well as varying
levels of service sales activity related to development and
commercialization contracts contributed to the decrease in
revenue.
- MedMira's product revenue and related royalties in the quarter
were $174,720 as compared to revenue
of $201,688 for the same period last
year. Gross profit on product sales for the quarter was
$93,731 (54%) compared to
$114,253 (57%) in the same period in
2012.
- The Company recorded service revenue of $298,126 with a related gross margin of
$46,701 compared to service revenues
of $342,814 and related gross margin
of $52,786 in the same period last
year. The higher service revenue in 2012 is attributed to a large
one-time payment to a contractor, which was covered by the US Army
contract.
- Total operating expenses were $727,384 during the quarter compared to
$668,883 in the first quarter of
2012. The increase in operating expenses is attributed to increased
spending on research and development as well as sales and marketing
ahead of the new product launches and commercialisation
activates.
About MedMira
MedMira is the leading developer and
manufacturer of flow-through rapid diagnostics and technologies.
MedMira is the only Canadian company to be awarded US Army
contracts for the development of rapid tests for HIV and Hepatitis
viruses. The Company's testing solutions provide hospitals, labs,
clinics and individuals with reliable, rapid diagnosis for diseases
such as HIV and hepatitis C in just three minutes. The Company's
tests are sold under the Reveal®, Multiplo™ and Miriad brands in
global markets. MedMira is located in Halifax, Nova Scotia, Canada.
www.medmira.com.
This news release contains forward-looking
statements, including statements relating to growth in the
Company's business, earnings and profitability, and trends in
demand for the Company's products, which involve risk and
uncertainties and reflect the Company's current expectation
regarding future events including statements regarding possible
future growth and new business opportunities. Actual events could
materially differ from those projected herein and depend on a
number of factors including, but not limited to, changing market
conditions, successful and timely completion of clinical studies,
uncertainties related to the regulatory approval process,
establishment of corporate alliances and other risks detailed from
time to time in the company quarterly filings.
Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
SOURCE MEDMIRA INC.