Business
New Covalon CEO Provides Shareholder Update and Releases Second Quarter Results
New Covalon CEO Provides Shareholder Update and Releases Second Quarter Results
About this update from Covalon Technologies Ltd.
[{"type":"text","content":"\n\n\n\n May 27, 2010 (Canada NewsWire Group) -- Covalon Technologies Ltd. (the "Company" or "Covalon") (TSX-V: COV), an advanced medical technology company, is pleased to provide a shareholder update from its new Chief Executive Officer, Brian Pedlar, as well as announcing the financial results of its second quarter ending March 31, 2010.\n\nCEO Update\n\nMr. Pedlar, who was appointed Covalon's CEO on April 5, 2010, today made the following comments, some of which were presented at the Company's annual and special meeting of shareholders held on Wednesday May 19, 2010:\n\n\n >\n\n\n"I look forward to building shareholder value by focusing on those technologies and merger and acquisition opportunities that can make the Company more profitable in the near term. There is a great deal of work to be done, but most biotech companies would be envious of Covalon's current position," added Mr. Pedlar.\n\nSecond Quarter Financial Results\n\nThe Company also announced today its second quarter financial results, which included a modest increase in revenue, steps towards becoming cash flow positive and a loss of $0.03 per share.\nCovalon continues to have a strong balance sheet with no debt and $5,470,623 million in cash, cash equivalents and short term investments as of March 31, 2010.\nFor the six months ended March 31, 2010, Covalon had product sales and licensing revenues of $1,623,195, up 49% compared to $1,086,775 for the same period in the previous fiscal year.\nThe amount of cash consumed by the Company in the three-month period ended March 31, 2010 was $458,119 an improvement of $1,320,511 compared to the second quarter of the previous fiscal year and $149,765 less cash consumed than Q1 of the current fiscal year.\nFor the first half of the current fiscal year, the Company incurred a net loss of $2,536,292 or $0.034 per share (which included the $1,700,350 non-cash charge) compared to a net loss of $2,829,122 ($0.037 per share) for the first half of the previous fiscal year. The loss per share for the second quarter this year was $0.028 per share compared with $0.018 for the second quarter of the previous year. Excluding the one-time charge, the loss for the quarter would have been $392,584 ($0.005 per share); an improvement over the previous year's second quarter loss of $1,481,658 ($0.018 per share)....