Business
Microbix Cash-Flow Position Improves Markedly in 1st Quarter; Expects Strong 2nd Quarter & Second Half 2010
Microbix Cash-Flow Position Improves Markedly in 1st Quarter; Expects Strong 2nd Quarter & Second...
About this update from Microbix Biosystems Inc.
[{"type":"text","content":"\n\n\n\nFeb. 16, 2010 (Canada NewsWire Group) -- TORONTO, Feb. 16 /CNW/ -- Microbix Biosystems Inc. (MBX:TSX), a biotechnology company focused on virology and biological technologies, improved its cash flow by $2 million in the first quarter of fiscal 2010, moving from a negative cash flow of $2.4 million in the first quarter of fiscal 2009 to a negative $467,388 in the most recent quarter.The improvement was due to two major developments: First, a decrease in funds to support the company's new manufacturing facility, which is now fully operational; and second, lower costs to advance its pipeline products whose final development and commercialization will be supported by the company's business partners.\"Due to the timing of sales and additional partnership revenue, we expect a stronger second quarter and second half of the year. We remain on track to meet our sales projections and expect to move to a positive cash-flow position later this year,\" said William J. Gastle, Microbix CEO.\"Our three major near-term pipeline products are all approaching value milestones where their final steps to market will be supported by our business partners. We expect these innovative products will have a significant impact on our financial performance in 2010 and beyond,\" Gastle added.First Quarter Highlights------------------------Microbix expects its business development activities will lead to monetary milestones for all three of its near-term-pipeline products. Following are the first-quarter steps Microbix took to move its pipeline businesses closer to market:- After signing the financing agreement for the new influenza vaccineplant in China, Microbix has initiated the process leading to theformation of the Joint Venture Company including selection of the keysenior management team and acquiring the necessary business licensethat will enable Microbix' foreign investment into China.- Microbix is in licensing discussions with several biopharmaceuticalcompanies on Urokinase, the blood-clot busting therapy Microbix hasbranded as Kinlytic(TM). There is growing interest in brandedbiological products because of the accelerating loss of marketexclusivity for many branded drugs in the next few years.- Partnership discussions were held with respect to Lumisort(TM),Microbix' new proprietary instrument for semen sexing technology(SST). The company con...