Toronto-based biomed company Medifocus (
TSX:V.MFS,
Stock Forum) promised revenue growth earlier in the year, and their
latest results show that promise to have been an accurate one.
Medifocus Q2 figures show a rise in revenue of 294% in Q2 fiscal 2014 numbers, based largely out of growth in their Prolieve Thermodilatation System for Benign Prostatic Hyperplasia (BPH).
Shares rose 17% on the news in early trading.
From a company news release posted Wednesday, “Revenue for the second quarter of fiscal 2014 ending September 30, 2013 was CN$1.23M compared to revenue of CN$313,281 in the second quarter of fiscal 2013 […] Revenue for the six months ending September 30, 2013 reached a record CN$2.55M, representing a 40% increase over total revenue in fiscal year 2013 of CN$1.81M.”
Medifocus develops minimally invasive focused microwave heat systems for the treatment of cancerous and benign tumors and enlarged prostates.
The company registered a net loss of $1.47 million for the quarter, based largely on increases in general and administrative costs associated with acquiring and commercializing the product, according to management.
Dr. Augustine Y. Cheung, President and CEO of Medifocus, commented, "Since acquiring Prolieve® in July of 2012, we have invested significantly in our sales force and infrastructure. In a little over a year, we have expanded our operations and streamlined our infrastructure, while successfully demonstrating the value of the Prolieve® system. We are pleased with our growth in both revenue and new account acquisition to date as they continue to reveal the growth opportunity for our thermotherapy treatments and we look forward to continued sales growth in the remainder of fiscal 2014."
A second product, focused on the rapid reduction of breast cancer tumors, is in active development.
Medifocus is one of the smallest market cap biotech companies in the hot Venture exchange bio-firm space, with a cap of $23.4 million.
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