Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Pacific Edge widens annual loss as sales start trickling in

Pacific Edge widens annual loss as sales start trickling in

By Suze Metherell

May 28 (BusinessDesk) - Pacific Edge widened its annual net loss by 35 percent after the bladder cancer test developer turned its first revenue from its primary US market.

The Dunedin-based company made a loss of $9.95 million, or 3.2 cents per share, in the 12 months ended March 31, compared to a loss of $6.92 million, or 2.5 cents, a year earlier, it said in a statement. Sales rose 63 percent to $838,000, while trading revenue more than doubled to $523,000. The company is targeting $100 million in gross revenue from the US market in the next five years.

The company has signed four deals with US national network healthcare managers to supply its diagnostic test to providers covering about 130.6 million people. The non-invasive bladder cancer test was adopted by New Zealand district health boards earlier this year.

"Whilst the New Zealand and Australian markets are important to us from a product development and commercialisation process perspective, it is the scale and accessibility of the American market that is paramount to the success of the company," said chairman Chris Swann. "Evaluating hematuria (blood in urine) in American patients for bladder cancer is a significant market of scale and could be worth up to $100 million in gross revenue for our company in five years' time."

Coinciding with the first announcements of the US deals the company raised $20 million from shareholders to fund its push into the world's biggest economy. Pacific Edge held cash and equivalents of $20.4 million as at March 31, up from $10.7 million the year earlier and is debt free.

The shares last traded at 97 cents, having soared 150 percent last year on news of its US deals. Since its mid-March debut on the NZX 50 Index the shares have dropped 58 percent amid a global sell off of growth-orientated tech stocks. No dividend for the stock will be paid this year.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Land & Water Forum: Fourth Report On Water Management

The Land and Water Forum (LWF) today published its fourth report, outlining 60 new consensus recommendations for how New Zealand should improve its management of fresh water and calling on the Government to urgently adopt all of its recommendations from earlier reports. More>>



Welcome Home: Record High Migration Stokes 41-Year High Population Growth

New Zealand annual net migration hit a new high in October as more people arrived from than departed for Australia for the first time in more than 20 years. More>>


Citizens' Advice Bureau: Report Shows Desperate Housing Situation Throughout NZ

CAB's in-depth analysis of over 2000 client enquiries about emergency accommodation shows vulnerable families, pregnant women and children living in cars and garages, even after seeking assistance from the Ministry of Social Development and Housing New Zealand. More>>


Speaking For The Bees: Greens Call For Neonicotinoid Pesticide Ban

The National Government should ban the use of controversial pesticides called neonicotinoids after evidence has revealed that even at low doses they cause harm to bee populations, the Green Party said today. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news