4th Mar 2016 09:44
LONDON (Alliance News) - Oxford Pharmascience Group PLC Friday reported a wider pretax loss for 2015, as it accelerated research and development spending, and said it was well funded for the year ahead after having issued new shares in 2015.
The company reported a pretax loss of GBP3.9 million for 2015, wider than the GBP3.5 million loss it reported in 2014, as it increased research and development spending as it had planned, mainly on clinical trials for two of its pain relief and anti-inflammatory drugs.
In 2015, Oxford Pharmascience completed two proof-of-concept clinical trials, one for its OXPzero Ibuprofen drug, and the other for its OXPNaproxen drug, and said it has accumulated clinical data showing its own drugs offered meaningful differentiation from regular ibuprofen and naxproxen. Currently, these drugs can cause side effects like erosions, ulcers and bleeding.
As a results of the extra R&D work, Oxford Pharmascience said its administrative expenses for 2015 totalled GBP4.1 million versus GBP3.7 million in 2014.
Revenue grew to GBP749,000 in 2015 from GBP705,000 in 2014, as sales in its calcium supplement business were up. Oxford Pharmascience's cash and cash equivalents balance at the year-end stood at GBP23.1 million, up from GBP6.7 million at the end of 2014. This was after it issued new shares during the year, raising GBP19.4 million.
Oxford Pharmascience said this cash "allows the group the flexibility it requires to deliver its research and development programme and to retain the ability to take a selected product through to registration if deemed more likely to create greater shareholder value".
Oxford Pharmascience added it will continue to work on its OXPzero Ibuprofen and OXPNaproxen programs as it enters commercial discussions focused on enabling registration and approval of selected lead applications.
"We are encouraged by the strong level of interest from major global players in this space, and remain well funded and continue to operate in a prudent manner with cost control central to our operating model," said Chief Executive Marcelo Bravo.
Shares in Oxford Pharmascience were up 3.2% at 4.90 pence.
By Hannah Boland; [email protected]; @Hannaheboland
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