Pressure BioSciences Inc (OTCMKTS:PBIO) posted fourth-quarter results Thursday which showed a surge in revenue from its new biopharma services and accelerated development of its Ultra Shear Technology platform.
For the quarter ended December 2018, the South Easton, Massachusetts-based company clocked a 37% jump in revenue to $686,558 from $502,708 in the same period a year ago.
The increase was driven by double-digit growth in products and services and in grant revenues, the company said in a statement.
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Products and services revenue grew 18% to $535,860 for the fourth quarter from $455,767 in the same period a year ago. Similarly, sales of instruments increased to $388,356 in the fourth quarter compared to $317,498 in the same period a year ago. The company also received $150,698 from grants and $52,935 from the sale of consumables.
"This past year was filled with multiple significant financial, operational and technological accomplishments,” Pressure BioSciences CEO Richard T Schumacher said in a statement.
Operating loss for the fourth quarter was $1,514,730 compared to $1,318,384 for the corresponding period a year ago.
Jump in 2018 revenue
Total revenue for 2018 grew 10% to $2,457,871 compared to $2,240,498 for the previous year. The increase was driven by a growth in products and services and a steady trickle of funding from grants.
In fact, products and services revenue expanded 7% to $2,200,539 for the year ended December 31, 2018 from $2,065,891 in the previous year.
Notably, the company decreased operating losses for the year to $4,477,083 compared to $4,647,048 in the previous year, thanks to a jump in total revenue.
Pressure Cycling Technology
"We are pleased with the overall performance of the company in 2018, especially in the fourth quarter when total revenue reached a record, all-time high for quarterly revenue,” said Dr Bradford Young, chief commercial officer at Pressure BioSciences. “In addition to recording significantly increased sales of our core, Pressure Cycling Technology (PCT) platform in 2018, we also recorded the first revenue from our newly launched biopharma services business. Our biopharma services business helps us not only monetize the BaroFold assets we acquired in December 2017 for improved manufacturing of protein therapeutics, but also supports sales of our Barocycler PCT platform."
Dr Young said the company’s PCT and BaroFold platform technologies can help companies produce new and improved therapeutic products, a market that is expected to reach $240 billion dollars by 2023.
A major cancer research center maintains that Pressure BioSciences’ patented Pressure Cycling Technology platform can play a big role in improving cancer diagnosis and treatment.
Ultra Shear Technology
“In addition, the new, cutting-edge Ultra Shear Technology (UST) platform we are developing for the production of high-quality nanoemulsion mixtures of oil and water can provide an enhanced way to deliver therapeutics or drugs,” said Young. “Our UST platform has the potential to provide a superior method to develop and deliver drug formulations with improved bio-absorption and faster uptake."
Pressure BioSciences already holds two patents for Ultra Sheer Technology, which applies high-pressure levels greater than 20,000 pounds per square inch. The advanced technology allows companies to extend the life of milk, and healthier drinks and juices, by reducing heat exposure in the preservation process through a combined application of elevated pressure and controlled times and temperatures.
Ultra Sheer Technology also utilizes high pressure to create intense, momentary liquid shearing forces at controlled temperatures that result in affordable and scalable homogenization of liquids, creams and gels. The technology creates nano-scale emulsion mixtures of otherwise immiscible fluids like oils in water that results in stable homogenized products called nanoemulsions. As a result, the technology has wide potential uses in the pharmaceutical, industrial ink, retail and cosmetics industry.
Pressure BioSciences enjoys a strategic collaboration with Ohio State's College of Food, Agriculture, and Environmental Sciences, and was awarded $318,000 through a USDA grant to build the first prototype of the UST instrument.
Notably, the company converted $13.6 million of debt into equity, significantly reducing total liabilities.
Contact Uttara Choudhury at [email protected]