Q1 2017 Financial and Operational Highlights:
- Increased revenue by 26% from $992,682 to $1,252,297, driven by growth in sales of the Company’s flagship LivRelief products;
- Completed a licensing agreement with Dosecann Inc. and ARA-Avanti RX Analytics to develop a unique suite of standardized cannabis-based products for medical cannabis research, development, and commercialization markets;
- Advanced product development for the Company’s pharmaceutical portfolio; and
- Expanded the Company’s patent portfolio to 8 pending patents highlighting the broad applicability of the Company’s proprietary delivery system;
- Increased operating efficiencies and reduced the number of employees, resulting in annual savings of approximately $750,000, while achieving record revenues for a quarter.
“We delivered a record quarter, increasing sales while significantly reducing our costs. These results reflect strong demand for our suite of consumer products and executing on our strategy of building a portfolio of consumer and prescription products using our platform technology,” said Dr. Joseph Gabriele, CEO of Delivra Corp. “Our near-term priority continues to be growing our revenue and generating licensing revenue. Specifically, we will continue to focus on growing our Canadian retail business and developing our pharmaceutical products which include the roll-out of a novel suite of medical cannabis and hemp products.”
Selected Financial Summary
(except earnings per share and percentages)
|For the three
March 31, 2017
|For the three
March 31, 2016
|Gross profit margin||69%||68%|
|Net loss per share – basic||0.01||0.02|
Delivra’s unaudited condensed interim consolidated financial statements and management’s discussion & analysis (“MD&A”), for the three months ended March 31, 2017, are available via Delivra’s website at www.delivracorp.com and on SEDAR at www.sedar.com.
ABOUT DELIVRA CORP.
Delivra Corp. is a specialty biotechnology company that has a proprietary transdermal delivery system platform that can shuttle pharmaceutical and natural molecules, through the skin, in a targeted specific manner. Delivra manufactures and sells a growing line of natural topical creams with the proprietary transdermal delivery system platform under the LivReliefTM brand, for conditions such as joint and muscle pain, nerve pain, varicose veins, wound healing, and under the LivSportTM brand for sports performance. LivReliefTM products are available in pharmacies, grocery chains, and independent health food stores across Canada, and on-line at www.livrelief.com. LivReliefTM pain and nerve pain products are also available in the United States on Amazon and at www.livrelief.com/us. In parallel with its Canada and US consumer products business, Delivra also has a mandate to license its over-the-counter products in other countries and its patent-pending proprietary transdermal delivery technology platform to pharmaceutical companies for the repurposing of pharmaceutical molecules in the treatment of a broad range of conditions. Delivra is headquartered in Burlington, Ontario and has a research and development laboratory in Charlottetown, PEI.
Cautionary Note Regarding Forward-Looking Statements
This news release includes certain information and statements about management’s view of future events, expectations, plans and prospects that constitute “forward-looking statements”, which are not comprised of historical facts. Forward-looking statements may be identified by such terms as “believes”, “anticipates”, “intends”, “expects”, “estimates”, “may”, “could”, “would”, “will”, or “plan”, and similar expressions. Specifically, forward-looking statements in this news release include, without limitation, statements regarding: the Company’s revenues and financial performance; the Company’s drug research and development plans; the timing of operations; and estimates of market conditions. These statements involve known and unknown risks, uncertainties, and other factors that may cause actual results or events, performance, or achievements of Delivra to differ materially from those anticipated or implied in such forward-looking statements. The Company believes that the expectations reflected in these forward-looking statements are reasonable, but there can be no assurance that actual results will meet management’s expectations. In formulating the forward-looking statements contained herein, management has assumed that business and economic conditions affecting Delivra will continue substantially in the ordinary course and will be favourable to Delivra; that the Company will continue to complete orders with existing customers and control product pricing and expenses; that clinical testing results will justify commercialization of the Company’s drug candidates; that Delivra will be able to obtain all requisite regulatory approvals to commercialize its drug candidates, that such approvals will be received on a timely basis, and that Delivra will be able to find suitable partners for development and commercialization of its products and intellectual property on favourable terms. Although these assumptions were considered reasonable by management at the time of preparation, they may prove to be incorrect. Factors that may cause actual results to differ materially from those anticipated by these forward-looking statements include: the ability to maintain existing product sales with current customers at existing product pricing and expenses; uncertainties associated with obtaining regulatory approval to perform clinical trials and market products; the need to establish additional corporate collaborations, distribution or licensing arrangements; the ability of the Company to generate sales and profits; the Company’s ability to raise additional capital if and when necessary; intellectual property disputes; increased competition from pharmaceutical and biotechnology companies; changes in equity markets, inflation, and changes in exchange rates; and other factors as described in detail in Delivra’s public filings, all of which may be viewed on SEDAR (www.sedar.com). Given these risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements and information, which are qualified in their entirety by this cautionary statement. Except as required by law, Delivra disclaims any intention and assumes no obligation to update or revise any forward-looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking statements or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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