VANCOUVER, British Columbia, Aug. 29, 2022 (GLOBE NEWSWIRE) — Aequus Pharmaceuticals Inc. (TSX-V: AQS, OTCQB: AQSZF) (“Aequus” or the “Company”), a specialty pharmaceutical company focused on developing , advancing and promoting differentiated products, hired Rabin Ramanjooloo as Chief Operating Officer and today announced financial results for the three months ended June 30, 2022 (“Second Quarter 2022”) and related developments of the Company . Unless otherwise indicated, all figures are in Canadian currency.
“We are delighted to welcome Rabin Ramanjooloo to the management team,” said Grant Larsen, chief commercial officer of Aequus. “Mr. Ramanjooloo holds an MBA from Athabasca University, international experience in pharmaceutical sales, marketing and training, and most recently in specialty eye care in Canada. His proven sales background and launching with Canadian Eye Care Professionals will be important to the success of the business as we prepare to launch new products in the coming months and early 2023. seek to attract corporate partners in other areas of specialty.
Financial Report Highlights
Aequus reported $346,494 in promotional services and product sales revenue during the second quarter of 2022, compared to revenue of $651,516 generated during the same period in 2021. generated during the six months ended June 30 2021 (“YTD 2021”) – a decrease of $494,563, or 43%. “The decline in second quarter revenue is the result of Sandoz paying a lower profit sharing rate on sales of tacrolimus,” Doug Janzen said. approval of Zimed and work to expand collaboration with Sandoz to achieve significant revenue growth.
“Our investments in people, training and new products will most certainly generate additional revenue in 2023 and beyond. We are optimistic that the preparations, pending the contract renewals and organizational changes we have made in recent months, will bring value to our partners and renew the growth of the organization for years to come,” adds Grant Larsen. , commercial director.
Net losses increased 61% in the second quarter of 2022 compared to the same period last year, with a net loss of $772,110 in the second quarter of 2022 compared to a loss of $479,041 in the three months ended 30 June 2021 (“Second Quarter 2021”). The loss for YTD 2022 was $1,688,996, 53% higher than the loss of $1,100,700 YTD 2021, mainly due to R&D investments related to Zimed and increased sales and marketing activities . General administrative expenses were 8% lower in the second quarter of 2022 and 11% lower in fiscal 2022 compared to the same periods last year.
Highlights of the quarter are as follows:
Sales and marketing expenses for the second quarter of 2022 were $663,082 compared to $523,929 in the second quarter of 2021, an increase of $139,153 or 27%. This surge is mainly due to an increase in sales force activities and new product marketing initiatives.
The Company incurred research and development (“R&D”) expenses of $7,945 in the second quarter of 2022, compared to $106,395 in the second quarter of 2021. The Company incurred R&D expenses of $254,052 during the fiscal 2022, compared to $194,293 in fiscal 2021. The increase of $59,759 in fiscal 2022 was mainly attributable to Health Canada authorization requests for the product Zimed.
General and administrative (“G&A”) expenses amounted to $457,177 in the second quarter of 2022, compared to $497,393 in the second quarter of 2021, a decrease of $40,216. General and administrative expenses were $933,005 in fiscal 2022 compared to $1,044,509 in fiscal 2021, a decrease of $111,504. The decrease is primarily due to lower costs related to accretion and interest expense related to the Company’s borrowings.
ABOUT AEQUUS PHARMACEUTICALS INC.
Aequus Pharmaceuticals Inc. (TSX-V: AQLOTCQB: AQSZF) is a growing specialty pharmaceutical company focused on the development and commercialization of high quality, differentiated products. Aequus has expanded its sales and marketing efforts to include several commercial products in ophthalmology and transplantation. Aequus plans to build on its Canadian business platform by launching additional products that are either created in-house or imported through acquisition or licensing; while remaining focused on highly specialized therapeutic areas. For more information, please visit www.aequuspharma.ca.
DISCLAIMER OF FORWARD-LOOKING STATEMENTS
This release may contain forward-looking statements or information under applicable Canadian securities laws that may not be based on historical facts, including, without limitation, statements containing the words “believe”, “may”, “plan”, “will”, “estimate”, “continue”, “anticipate”, “intend”, “expect”, “potential” and similar expressions. Forward-looking statements are necessarily based on estimates and assumptions made by us in light of our experience and perception of historical trends, current conditions and expected future developments, and factors we believe to be appropriate. Forward-looking statements include, but are not limited to, statements relating to: the implementation of our business model and strategic plans; future revenue growth trends; anticipated schedule for product launches; the expected revenues of the Company; regulatory approval of its products; the Company’s ability to attract international partners; and ongoing discussions with and the Company’s ability to find potential partners to further develop our product portfolio. These statements reflect our current views regarding future events and are subject to risks and uncertainties and are necessarily based on a number of estimates and assumptions which, while considered reasonable by Aequus, are inherently subject to change. important business, economic, competitive, political changes and social uncertainties and hazards. Many factors could cause our actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements. In making the forward-looking statements included in this release, the Company has made various important assumptions, including, but not limited to: obtaining regulatory approvals; general commercial and economic conditions; the Company’s ability to successfully license or sell its current products and to license and develop new products; the assumption that the Company’s current good relationships with third parties will be maintained; the availability of financing on reasonable terms; the Company’s ability to attract and retain qualified personnel; market competition; the products and technology offered by the Company’s competitors; the impact of the coronavirus (COVID-19) on the Company’s operations; and the Company’s ability to protect patents and proprietary rights. In evaluating forward-looking statements, current and potential shareholders should specifically consider various factors set forth herein and under the heading “Risk Factors” in the Company’s Annual Information Form dated June 30, 2022, a copy of which is available on Aequus’ profile on the SEDAR Website at www.sedar.com, and as otherwise disclosed from time to time on Aequus’ SEDAR profile. Should one or more of these risks or uncertainties, or a risk not currently known to us, materialize, or should the assumptions underlying these forward-looking statements prove incorrect, actual results may differ materially from those described in present. These forward-looking statements are made as of the date of this release and we do not intend, and undertake no obligation, to update these forward-looking statements except as required by applicable securities laws. Investors are cautioned that forward-looking statements are not guarantees of future performance and are inherently uncertain. Accordingly, investors are cautioned not to place undue reliance on forward-looking statements.
Vistitan™: Trademark owned or used under license by Sandoz Canada Inc.
Aequus Investor Relations