(TheNewswire)
Edmonton, Alberta – TheNewswire - 21 May 2024 – Innovotech Inc. (“the Company”,TSX-V: IOT) has recorded a first quarter loss of $102,201. Revenuesof $313,976 were up 22.79% over Q1-2023 with strong growth in contractresearch fees from new and existing clients. Innovotech is carryingincreased G&A expenses of $315,516, versus $220,381 in Q1-2023,contributing to the Q1-2024 loss. Innovotech’s higher G&Aexpenses reflect the addition of technical staff and expandedlaboratory capacity to meet anticipated demand for laboratoryservices.
R&D costs are partially offset by a new,non-repayable contribution awarded from NRC-IRAP. The grant funds$75,000, paid as a reimbursement for technical personnel salaries withdistributions beginning in January 2024 and lasting until 31 March2025 for dedicated projects.
“We are investing in growth to support ourindustry-leading antimicrobial testing services and products.”, saysCraig Milne, CEO. “We are a trusted partner for several globalmedical device companies, and we continue capitalizing on our 20-yearhistory and deep industry expertise as we grow our service and productsales.”
Period | Q1-2024 | Q1-2023 | % change |
Contract research fees | 268,745 | 182,269 | +47.44% |
Product Sales | 45,231 | 73,423 | -38.40% |
Gross revenue | 313,976 | 255,692 | +22.79% |
Cost of sales | 93,819 | 87,888 | +6.75% |
Gross profit | 220,157 | 167,804 | +31.20% |
Gross profit (%) | 70.12% | 65.63% | +6.84% |
General & administrative | 315,516 | 220,381 | +43.17% |
Sales & marketing | 7,242 | 7,622 | -4.99% |
Research & development | 21,186 | 23,951 | -11.54% |
Grants | (15,171) | - | |
Operating Expenses | 328,773 | 251,954 | +30.49% |
Fair value adjustment on financial instrument | 4,412 | - | |
Interest expense | - | (445) | |
Interest income | 2,003 | 1,590 | 25.97% |
Net Income (Loss) | (102,201) | (83,005) | +23.13% |
About Innovotech Inc:
Innovotech is a Canadian biotechnology company owningproprietary intellectual property, conducting contract research, andowning and providing proprietary devices for testing in multipleapplications in microbiology and can be found online at www.innovotech.ca .
Craig Milne, CEO Innovotech Inc.
+1-604-239-1819 craig.milne@innovotech.ca
This document may containforward-looking statements that are predictive in nature and subjectto risks and uncertainties that cannot be predicted or quantified;consequently, actual results may differ materially from past resultsand those expressed or implied by any forward-looking statements.Factors that could cause or contribute to such risks or uncertaintiesinclude, but are not limited to: the regulatory environment includingthe difficulty of predicting regulatory outcomes; changes in the valueof the Canadian dollar; the Company’s reliance on a small number ofcustomers including government organizations; fluctuations inoperating results; government policies or actions; progress and costof clinical trials; reliance on key strategic relationships;uncertainty related to intellectual property protection and potentialcosts associated with its defense; the Company’s exposure tolawsuits and other mattersbeyond the control of management. Should known or unknown risks oruncertainties materialize, or should management’s assumptions proveinaccurate, actual results could vary materially from thoseanticipated. The Company undertakes no obligation to publicly make orupdate any forward- looking statements, except as required byapplicable law.
Neither the TSX Venture Exchange nor its RegulationServices Provider (as that term is defined in the policies of the TSXVenture Exchange) accepts responsibility for the adequacy or accuracyof this release.
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