- Biotechnology company, Ceapro Inc (TSXV:CZO) has released its financial results for the first quarter of 2020
- The company posted C$1.13 million in net profit, up from 2019’s first quarter net loss of $637,000
- Due to a lack of patients available for clinical trials, research and development costs dropped from $801,000 in 2019, to $503,000
- The company also announced a research project with McMaster University to see if its processed yeast beta glucan is useful as a treatment for COVID-19 patients
- Ceapro (CZO) is up 20 per cent and is trading at $0.36 per share, with a market cap of $27 million
Biotechnology company, Ceapro Inc (TSXV:CZO) has announced its financial results for the first quarter of 2020.
The company has posted net profit of C$1.13 million, up from a net loss of $637,000 in 2019’s first quarter.
Sales revenues for the quarter grew by 34 per cent, and the company has maintained production during the coronavirus crisis.
The company also pumped money into research and development efforts, primarily focusing on its delivery systems.
The company is experimenting arabic gum as a delivery system for its beta glucan treatment.
The research and development line cost for the quarter was $503,000 versus $801,000 in 2019. The slowdown was due to a lack of patients being recruited for beta glucan trials.
During the quarter Ceapro received the tick off from Health Canada to amend its beta glucan clinical trial to evaluate subjects with hyperlipidemic. The company hopes this will advance the treatment and expand its potential patient base.
The company also announced a research project with McMaster University to see if its processed yeast beta glucan is useful as a treatment for COVID-19 patients.
Giles Gagnon, CEO and President of Ceapro, said he was very pleased with the progress the company made during the first quarter, despite the challenges the coronavirus pandemic has posed.
“While our first quarter financial results were very strong, our focus remains on the health and safety of our associates during these unprecedented times, followed by business continuity.
“These solid results are a clear testament to the dedication and hard work of everyone of our employees during these challenging times and we are very proud of their commitment to support our customers heightened demand by delivering high quality products.
“Importantly, these results also reflect the sound foundation and the strength of our base business deliberately built over the last few years,” he said.
Ceapro Inc (CZO) is up 20 per cent and is trading at $0.36 per share at 11:06 am EDT.