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Orgenesis (NASDAQ:ORGS) has reported its financial results and a business update for the fiscal Q2 ended May 31, 2018. As quoted in the press release: Fiscal Q2 2018 financial highlights include: Revenue increases 73% to $4.0 million as compared to $2.3 million for the corresponding quarter last year; Generates gross profit of $1.8 million and …
Orgenesis (NASDAQ:ORGS) has reported its financial results and a business update for the fiscal Q2 ended May 31, 2018.
As quoted in the press release:
Fiscal Q2 2018 financial highlights include:
- Revenue increases 73% to $4.0 million as compared to $2.3 million for the corresponding quarter last year;
- Generates gross profit of $1.8 million and achieves gross margin of 45%;
- CDMO segment records operating profit of $1.2 million;
- Ends quarter with $4.5 million of cash and approximately $26 million of shareholders’ equity.
Vered Caplan, CEO of Orgenesis, commented, “I am pleased to report that we not only achieved a 73% increase in sales compared to the same quarter last year, but we generated a 51% sequential increase compared to the first quarter of fiscal 2018. We attribute this growth to the continued addition of new customers and expansion of services among our existing customers, especially as it relates to manufacturing of CAR T-cell therapies. In addition, gross profit increased to $1.8 million and we achieved gross margin of 45% for the second quarter of fiscal 2018. Importantly, our CDMO segment achieved an operating profit of $1.2 million for the second quarter. At the same time, we have maintained a solid balance sheet and ended the quarter with over $4 million of cash, positive working capital and approximately $26 million of shareholders’ equity.”
“Given our growth and market demand for our services, we recently formed a strategic partnership with a leading health care investment firm, Great Point Partners, LLC, which will both advise and invest up to $25 million into our Masthercell Global subsidiary in order to strengthen and expand our contract development and manufacturing organization (CDMO) business. This partnership and investment will allow us to expand our services as well as enter the U.S. market. At the same time, we announced the acquisitions of our CDMO partners, Atvio Biotech Ltd. in Israel and Curecell Co. Ltd. in South Korea, which will further enhance our global footprint within the Middle East and Asia.”