$IPA ImmunoPrecise Reports Financial Results and Recent Business Highlights for Full Fiscal Year 2023
https://www.businesswire.com/news/home/20230707007529/en/
The Company achieved revenue of $20.7 million during the year ended April 30, 2023, a 6.7% increase from the year ended April 30, 2022. YoY growth increases to 9.0% when adjusting for the effects of currency translation.
The Company recorded total revenue of $5.6 million during the three months ended April 30, 2023, the highest quarterly revenue total the Company has recorded.
Financial Results
Revenue
The Company achieved record revenue of $20.7 million during the year ended April 30, 2023, a 6.7% increase from the year ended April 30, 2022. Revenue growth from the prior year was 9.0% when adjusting for the effect of currency translations. The increase in revenue was primarily driven by growth in the Company’s B cell Select® platform and protein manufacturing services.
Research and development
During the year ended April 30, 2023, research and development expenses increased to $12.3 million from $7.7 million during the year ended April 30, 2022. Expenditures on research activities totaled $10.8 million during the year ended April 30, 2023 (2022 - $6.7 million), including $8.3 million on Talem’s PolyTope® antibody combination therapy. Additional expenditures include compensation expense of $1.2 million (2022 - $0.7 million), and depreciation of $0.2 million (2022 - $0.2 million).
Sales and marketing
Sales and marketing expenses totaled $3.6 million during the year ended April 30, 2023, compared to $2.7 million during the year ended April 30, 2022. Expenditures during the year ended April 30, 2023, include $2.5 million in compensation expense (2022 - $2.1 million), $0.7 million in advertising costs (2022 - $0.5 million), and $0.2 million in travel costs (2022 - $0.03 million).
General and administrative
During the year ended April 30, 2023, general and administrative expenses totaled $19.8 million, an increase of $4.4 million compared to the year ended April 30, 2022. Salaries and benefits increased $2.1 million due primarily to the addition of staff at BioStrand and routine pay increases. The Company recorded an impairment charge of $2.5 million related to the BioStrand cash-generating unit. Professional fees decreased $0.2 million, driven primarily by a decrease in legal costs. Management fees increased $1.3 million due to contracted general managers at the BioStrand site. Share-based payment expenses decreased by $1.0 million.
Other Income / Expense
The Company recorded other income of $0.8 during the year ended April 30, 2023, compared to other income of $0.9 million during the year ended April 30, 2022. The most noteworthy variance is the decrease in unrealized foreign exchange gain of $0.4 million compared to the year ended April 30, 2022, a result of currency revaluations at the current quarter-end exchange rate. Grant income increased $0.3 million compared to the year prior, as the Company recorded the first round of grant funding from VLAIO (Flanders Innovation & Entrepreneurship), the research fund of the Flemish regional government in Belgium.
Net Loss
The Company recorded a net loss of $26.6 million during the year ended April 30, 2023, compared to a net loss of $16.7 million during the year ended April 30, 2022. The increased net loss is the result of an increase in gross profit of $0.6 million, offset by an increase in research and development expenses of $4.6 million, an increase in sales and marketing expenses of $0.9 million, an increase in general and administrative expenses of $4.4 million.
Liquidity and Capital Resources
As of April 30, 2023, the Company had cash on hand of $8.4 million compared to $30.0 million as of April 30, 2022, and had working capital of $11.1 million (April 30, 2022 - $28.2 million). During the year ended April 30, 2023, the cash used in operating activities was $19.8 million. As part of investing activities, the Company made equipment purchases of $1.5 million, and paid deferred acquisition payments of $0.6 million. As part of financing activities, the Company received $0.7 million from issuing common shares, and incurred lease repayments of $1.3 million.
Conference Call:
Event Date: July 07, 2023
Event Time: 10:30 ET
Participant Details:
Conference ID: 9236374
Participant Toll-Free Dial-In Number: 1 (888) 550-5658
Participant Toll Dial-In Number: 1 (646) 960-0289
Attendee URL: https://events.q4inc.com/attendee/109374701
https://www.businesswire.com/news/home/20230707007529/en/
The Company achieved revenue of $20.7 million during the year ended April 30, 2023, a 6.7% increase from the year ended April 30, 2022. YoY growth increases to 9.0% when adjusting for the effects of currency translation.
The Company recorded total revenue of $5.6 million during the three months ended April 30, 2023, the highest quarterly revenue total the Company has recorded.
Financial Results
Revenue
The Company achieved record revenue of $20.7 million during the year ended April 30, 2023, a 6.7% increase from the year ended April 30, 2022. Revenue growth from the prior year was 9.0% when adjusting for the effect of currency translations. The increase in revenue was primarily driven by growth in the Company’s B cell Select® platform and protein manufacturing services.
Research and development
During the year ended April 30, 2023, research and development expenses increased to $12.3 million from $7.7 million during the year ended April 30, 2022. Expenditures on research activities totaled $10.8 million during the year ended April 30, 2023 (2022 - $6.7 million), including $8.3 million on Talem’s PolyTope® antibody combination therapy. Additional expenditures include compensation expense of $1.2 million (2022 - $0.7 million), and depreciation of $0.2 million (2022 - $0.2 million).
Sales and marketing
Sales and marketing expenses totaled $3.6 million during the year ended April 30, 2023, compared to $2.7 million during the year ended April 30, 2022. Expenditures during the year ended April 30, 2023, include $2.5 million in compensation expense (2022 - $2.1 million), $0.7 million in advertising costs (2022 - $0.5 million), and $0.2 million in travel costs (2022 - $0.03 million).
General and administrative
During the year ended April 30, 2023, general and administrative expenses totaled $19.8 million, an increase of $4.4 million compared to the year ended April 30, 2022. Salaries and benefits increased $2.1 million due primarily to the addition of staff at BioStrand and routine pay increases. The Company recorded an impairment charge of $2.5 million related to the BioStrand cash-generating unit. Professional fees decreased $0.2 million, driven primarily by a decrease in legal costs. Management fees increased $1.3 million due to contracted general managers at the BioStrand site. Share-based payment expenses decreased by $1.0 million.
Other Income / Expense
The Company recorded other income of $0.8 during the year ended April 30, 2023, compared to other income of $0.9 million during the year ended April 30, 2022. The most noteworthy variance is the decrease in unrealized foreign exchange gain of $0.4 million compared to the year ended April 30, 2022, a result of currency revaluations at the current quarter-end exchange rate. Grant income increased $0.3 million compared to the year prior, as the Company recorded the first round of grant funding from VLAIO (Flanders Innovation & Entrepreneurship), the research fund of the Flemish regional government in Belgium.
Net Loss
The Company recorded a net loss of $26.6 million during the year ended April 30, 2023, compared to a net loss of $16.7 million during the year ended April 30, 2022. The increased net loss is the result of an increase in gross profit of $0.6 million, offset by an increase in research and development expenses of $4.6 million, an increase in sales and marketing expenses of $0.9 million, an increase in general and administrative expenses of $4.4 million.
Liquidity and Capital Resources
As of April 30, 2023, the Company had cash on hand of $8.4 million compared to $30.0 million as of April 30, 2022, and had working capital of $11.1 million (April 30, 2022 - $28.2 million). During the year ended April 30, 2023, the cash used in operating activities was $19.8 million. As part of investing activities, the Company made equipment purchases of $1.5 million, and paid deferred acquisition payments of $0.6 million. As part of financing activities, the Company received $0.7 million from issuing common shares, and incurred lease repayments of $1.3 million.
Conference Call:
Event Date: July 07, 2023
Event Time: 10:30 ET
Participant Details:
Conference ID: 9236374
Participant Toll-Free Dial-In Number: 1 (888) 550-5658
Participant Toll Dial-In Number: 1 (646) 960-0289
Attendee URL: https://events.q4inc.com/attendee/109374701
