Ceapro Inc. Reports 2023 Second Quarter and Six-Month Financial Results and Provides Corporate Update
29 8월 2023 - 10:05PM
Ceapro Inc. (TSX-V: CZO; OTCQX: CRPOF)
(“Ceapro” or the “Company”), a growth-stage biotechnology
company focused on the development and commercialization of active
ingredients for healthcare and cosmetic industries, today announced
financial results and operational highlights for the second quarter
and six months ended June 30, 2023.
“While sales from the base business are trailing
by one quarter for the first half of 2023 as compared to the
previous all-time record period last year, we are very encouraged
by the significant advancements in new products and technologies
development. Further, over the past quarter we remained very active
with our activities related to strategic corporate initiatives. Our
business remains solid, and we believe we are positioned now for
the return of a more consistent re-ordering pattern from one of our
major customers. We are also very pleased with the recent signing
of an extended supply and distribution agreement reinforcing our
relationship with longtime partner Symrise while securing our base
business for the upcoming years,” stated Gilles Gagnon, M.Sc., MBA,
President and CEO.
Corporate and Operational
Highlights
Pipeline Development
The Company’s focus is on avenanthramides, beta
glucan from oat and yeast and new chemical complexes/delivery
systems.
Clinical Development:
Avenanthramides (AVS)
Formulation:
- Stability studies are ongoing for
the 30mg and 240mg pills formulation manufactured, packaged and
labeled by Corealis Inc. GMP Manufacturing Services.
Phase 1-2a Clinical Trial:
- Recruitment and enrollment of
healthy subjects for Phase 1 is planned for mid-November 2023 upon
the complete development of a bioassay for the “live” analytical
measurement of avenanthramides in blood and urine during the
hospital stay of healthy subjects. Testing AVS in urine has never
been done before and this newly developed test requires
standardized stability data.
Pre-Clinical Development:
Avenanthramides & Oat Beta Glucan
Wound Healing-Tissue
Regeneration:
- Announced
positive results from animal studies conducted by the Angiogenesis
Foundation. Studies showed statistically significant results
characterizing the bioactivity of both Ceapro’s oat-derived
bioactive products on wound healing and tissue regeneration. Tissue
treated with Avenanthramides (“AV”) and oat beta glucan (“BG”)
bioactives at concentration as low as 1% healed to become more like
normal skin as compared to untreated scar tissue. These
unprecedented results will not only support additional claims for
commercially available formulations using Ceapro’s oat-based
products but should also trigger interest from medical supply
companies.
- Subsequent to
the quarter, announced next steps with new studies with the
Angiogenesis Foundation to focus on speed of healing and molecular
profiling of tissue regeneration induced by oat-derived bioactive
products.
Yeast Beta Glucan (YBG) - Potential
Inhalo-Therapeutic
- Announced
encouraging results from research collaboration study with McMaster
University evaluating PGX-processed YBG (PGX-YBG) for interstitial
lung diseases. Data presented in May 2023 at two major
international conferences (American Thoracic Society in Washington
and at the Pharmaceutical Science annual symposium in Toronto)
demonstrated that PGX-YBG is respirable and able to safely and
reliably reprogram macrophages in the lungs in pre-clinical mouse
models.
- Following discussions with experts,
while it is desirable to immediately initiate the design of the
protocol for a Phase 1 trial, a required next step is to conduct
toxicological studies with a contract research organization before
presenting a file to Health Authorities for a Phase 1 clinical
study to assess PGX-YBG microparticles as a potential much-needed
therapeutic option for a broad spectrum of fibrotic lung
diseases.
Immune/energy booster:
- Completed specifications for YBG as a natural health
product.
- Achieved batch to batch consistency at demo level.
- Ongoing studies for testing and standardization of loading
capacity of CoQ10 by YBG which is a requirement for dose selection
when assessing safety and efficacy.
Yeast beta glucan is the product that will be used for the PGX
scale-up project at pilot scale levels of 50L and 100L vessels.
Technology
Malted Technology
(Avenanthramides)
- Successfully achieved the malting
procedure for a first batch at small commercial scale level.
Obtention of batch-to-batch consistency should allow for the offer
of enriched formulations with high concentration of avenanthramides
to serve some nutraceutical markets.
Pressurized Gas eXpanded Technology
(PGX)
- Fully reassessed the pilot scale-up
project. Instead of doing it sequentially from demo scale 10L to
pilot 50L and 100L, the pilot scale-up project is now designed to
be conducted in parallel in two different locations. The 50 Liters
will be installed and tested in Edmonton while the 100 Liters will
be developed and tested within the facility of a European based
global leader in design, construction and commissioning of
high-pressure supercritical processing plants. This approach should
save time and money. The 50L should be installed by year-end and
commissioned during the first quarter of 2024 while the 100L should
be ready during Q3, 2024. Yeast beta glucan will be used for the
pilot testing at all levels. Successful results from these
experiments would pave the way for commercialization of YBG as an
immune booster and as a basis for the construction of a large
commercial scale unit in Canada.
Corporate
- Appointed Mr. Michel Regnier as
Senior Vice President, Technical Operations. Mr. Regnier is an
experienced and respected Operations Executive and Professional
Engineer with 20+ years of progressive technical and leadership
experience in the medical device, pharmaceutical and aerospace
materials manufacturing industries.
- Continued to assess possible
corporate strategies to support the accelerated growth of the
Company along with stated objective of uplisting to Nasdaq.
Subsequent to the Quarter
- Signed an extended supply and
distribution agreement reinforcing vote of confidence and
relationship with long time partner, Symrise.
Financial Highlights for the Second Quarter and the
Six-Month Period Ended June 30, 2022
- Sales of $1,869,000 for the second
quarter of 2023 and $5,364,000 for the first six months of 2023
compared to $5,500,000 and $11,672,000 for the comparative periods
in 2022. The decrease in sales revenue for the first 6 months was
primarily driven by an overall decrease in sales volume of 61%
mainly due to a one-time stocking campaign by one major customer in
2022.
- Net loss after tax of $1,154,000
for the second quarter of 2023 and $1,539,000 for the first six
months of 2023 compared to an after-tax net profit of $1,805,000
and $3,618,000 for the comparative periods in 2022.
- Cash used in operations of
$2,213,000 for the first six months of 2023 vs cash generated from
operations of $3,958,000 in 2022.
- Positive working capital balance of
$17,425,000 as of June 30, 2023.
- Cash on hand of $11,306,000 as of
June 30, 2023. ($11,368,000 in 2022)
“Despite a slower start to the year, our
business remains solid, and we expect the reordering pattern from
one major customer to resume shortly. Given our healthy balance
sheet and the re-affirmed vote of confidence from our longtime
partner Symrise, we will continue to leverage on our base business
to enable the development of new products and technologies like the
planned Phase 1-2a clinical trial with avenanthramides, the
scale-up of the PGX Technology for the development of YBG as an
immune modulator and the commercial scale-up of a malting
technology to enable the production and selling of enriched oat
flour with high concentration of avenanthramides to serve important
nutraceutical market segments. The Company expects to complete
these projects using cash on hand in 2023 while continuing to
assess different, strategic market initiatives to unlock value,”
concluded Mr. Gagnon.
CEAPRO
INC. |
|
|
Condensed
Interim Consolidated Balance Sheets |
|
|
Unaudited |
|
|
|
|
|
|
June
30, |
December
31, |
|
2023 |
2022 |
|
$ |
$ |
|
|
|
ASSETS |
|
|
Current
Assets |
|
|
Cash and cash equivalents |
11,306,260 |
13,810,998 |
Trade receivables |
1,563,404 |
2,820,300 |
Other receivables |
77,132 |
64,808 |
Inventories (note 4) |
5,144,636 |
3,757,040 |
Prepaid expenses and deposits |
143,961 |
135,133 |
|
|
|
Total Current Assets |
18,235,393 |
20,588,279 |
|
|
|
Non-Current
Assets |
|
|
Investment tax credits receivable |
854,895 |
854,895 |
Deposits |
76,954 |
76,954 |
Licences (note 5) |
11,106 |
12,588 |
Property and equipment (note 6) |
15,304,089 |
16,201,755 |
|
|
|
Total Non-Current Assets |
16,247,044 |
17,146,192 |
|
|
|
TOTAL ASSETS |
34,482,437 |
37,734,471 |
|
|
|
LIABILITIES
AND EQUITY |
|
|
Current
Liabilities |
|
|
Accounts payable and accrued liabilities |
424,283 |
1,730,377 |
Current portion of lease liabilities (note 7) |
386,316 |
370,460 |
|
|
|
Total Current Liabilities |
810,599 |
2,100,837 |
|
|
|
Non-Current
Liabilities |
|
|
Long-term lease liabilities (note 7) |
2,052,972 |
2,248,577 |
Deferred tax liabilities |
674,772 |
1,095,968 |
|
|
|
Total Non-Current Liabilities |
2,727,744 |
3,344,545 |
|
|
|
TOTAL LIABILITIES |
3,538,343 |
5,445,382 |
|
|
|
Equity |
|
|
Share capital (note 8 (b)) |
16,697,712 |
16,694,625 |
Contributed surplus (note 8 (e)) |
4,905,808 |
4,714,404 |
Retained earnings |
9,340,574 |
10,880,060 |
|
|
|
Total Equity |
30,944,094 |
32,289,089 |
|
|
|
TOTAL LIABILITIES AND EQUITY |
34,482,437 |
37,734,471 |
|
|
|
CEAPRO
INC. |
|
|
|
|
Condensed Interim Consolidated Statements of Net (Loss) Income and
Comprehensive (Loss) Income |
Unaudited |
|
|
|
|
|
|
|
|
Three Months Ended
June 30, |
|
Six Months Ended June
30, |
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
|
|
|
Restated |
|
|
Restated |
|
|
|
(note
3) |
|
|
(note
3) |
|
|
$ |
$ |
|
$ |
|
$ |
|
|
|
|
|
|
Revenue
(note 14) |
1,868,758 |
|
5,500,399 |
|
5,363,569 |
|
11,672,023 |
|
Cost of goods sold |
798,488 |
|
1,674,091 |
|
2,687,461 |
|
4,131,193 |
|
|
|
|
|
|
Gross
margin |
1,070,270 |
|
3,826,308 |
|
2,676,108 |
|
7,540,830 |
|
|
|
|
|
|
Research and
product development |
926,775 |
|
543,924 |
|
1,500,462 |
|
899,205 |
|
General and
administration |
1,625,066 |
|
1,069,275 |
|
3,146,511 |
|
1,838,320 |
|
Sales and
marketing |
13,458 |
|
9,248 |
|
21,637 |
|
14,547 |
|
Finance costs (note 10) |
32,644 |
|
32,175 |
|
121,444 |
|
120,210 |
|
|
|
|
|
|
(Loss)
income from operations |
(1,527,673 |
) |
2,171,686 |
|
(2,113,946 |
) |
4,668,548 |
|
|
|
|
|
|
Other income (note 11) |
(57,389 |
) |
(191,841 |
) |
(153,264 |
) |
(68,803 |
) |
|
|
|
|
|
(Loss)
income before tax |
(1,470,284 |
) |
2,363,527 |
|
(1,960,682 |
) |
4,737,351 |
|
|
|
|
|
|
Deferred tax (benefit) expense |
(315,848 |
) |
558,461 |
|
(421,196 |
) |
1,119,356 |
|
|
|
|
|
|
Total net (loss) income and comprehensive (loss) income for the
period |
(1,154,436 |
) |
1,805,066 |
|
(1,539,486 |
) |
3,617,995 |
|
|
|
|
|
|
Net (loss)
income per common share (note 17): |
|
|
|
|
Basic |
(0.01 |
) |
0.02 |
|
(0.02 |
) |
0.05 |
|
Diluted |
(0.01 |
) |
0.02 |
|
(0.02 |
) |
0.05 |
|
|
|
|
|
|
Weighted average number of common shares outstanding (note
17): |
|
|
|
|
Basic |
78,253,177 |
|
77,734,865 |
|
78,252,514 |
|
77,710,854 |
|
Diluted |
78,253,177 |
|
78,474,139 |
|
78,252,514 |
|
78,405,883 |
|
|
|
|
|
|
CEAPRO
INC. |
|
|
Condensed
Interim Consolidated Statements of Cash Flows |
|
|
Unaudited |
|
|
|
|
|
|
2023 |
|
2022 |
|
|
|
Restated |
|
|
|
(note
3) |
|
Six Months Ended June 30, |
$ |
|
$ |
|
OPERATING
ACTIVITIES |
|
|
Net (loss) income for the period |
(1,539,486 |
) |
3,617,995 |
|
Adjustments for items not involving cash |
|
|
Finance costs |
66,444 |
|
65,210 |
|
Depreciation and amortization |
971,183 |
|
939,191 |
|
Deferred income tax (benefit) expense |
(421,196 |
) |
1,119,356 |
|
Share-based payments |
192,491 |
|
39,924 |
|
|
(730,564 |
) |
5,781,676 |
|
CHANGES IN
NON-CASH WORKING CAPITAL ITEMS |
|
|
Trade receivables |
1,256,896 |
|
(1,267,909 |
) |
Other receivables |
(12,324 |
) |
(44,873 |
) |
Inventories |
(1,387,596 |
) |
(418,152 |
) |
Prepaid expenses and deposits |
35,116 |
|
(7,059 |
) |
Accounts payable and accrued liabilities relating to operating
activities |
(1,307,917 |
) |
(20,582 |
) |
|
(1,415,825 |
) |
(1,758,575 |
) |
Net (loss) income for the period adjusted for non-cash and working
capital items |
(2,146,389 |
) |
4,023,101 |
|
Interest paid |
(66,444 |
) |
(65,210 |
) |
CASH (USED IN) GENERATED FROM OPERATIONS |
(2,212,833 |
) |
3,957,891 |
|
INVESTING
ACTIVITIES |
|
|
Purchase of property and equipment |
(72,035 |
) |
(239,995 |
) |
Deposits relating to the purchase of equipment |
(43,944 |
) |
- |
|
Accounts payable and accrued liabilities relating to investing
activities |
1,823 |
|
(47,754 |
) |
CASH USED IN INVESTING ACTIVITIES |
(114,156 |
) |
(287,749 |
) |
FINANCING
ACTIVITIES |
|
|
Stock options exercised |
2,000 |
|
60,160 |
|
Repayment of lease liabilities |
(179,749 |
) |
(143,294 |
) |
CASH USED IN FINANCING ACTIVITIES |
(177,749 |
) |
(83,134 |
) |
(Decrease)
increase in cash and cash equivalents |
(2,504,738 |
) |
3,587,008 |
|
|
|
|
Cash and cash equivalents at beginning of the period |
13,810,998 |
|
7,780,989 |
|
|
|
|
Cash and cash equivalents at end of the period |
11,306,260 |
|
11,367,997 |
|
|
|
|
The complete financial statements are available
for review on SEDAR at https://sedar.com/Ceapro and on the
Company’s website at www.ceapro.com.
About Ceapro Inc.
Ceapro Inc. is a Canadian biotechnology company
involved in the development of proprietary extraction technology
and the application of this technology to the production of
extracts and “active ingredients” from oats and other renewable
plant resources. Ceapro adds further value to its extracts by
supporting their use in cosmeceutical, nutraceutical, and
therapeutics products for humans and animals. The Company has a
broad range of expertise in natural product chemistry,
microbiology, biochemistry, immunology and process engineering.
These skills merge in the fields of active ingredients,
biopharmaceuticals and drug-delivery solutions. For more
information on Ceapro, please visit the Company’s website at
www.ceapro.com.
For more information contact:
Jenene ThomasJTC Team, LLCInvestor Relations and Corporate
Communications AdvisorT (US): +1 (833) 475-8247E: czo@jtcir.com
Issuer:Gilles R. Gagnon, M.Sc., MBAPresident & CEOT:
780-421-4555
Neither 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
Ceapro (TSXV:CZO)
과거 데이터 주식 차트
부터 4월(4) 2024 으로 5월(5) 2024
Ceapro (TSXV:CZO)
과거 데이터 주식 차트
부터 5월(5) 2023 으로 5월(5) 2024