Bioniche FY12 loss doubles to $24m

Bioniche (ASX:BNC) said its net loss for FY12 nearly doubled to C$24.1 million ($23.6 million), even as revenue from its animal health division grew by over 10%.

The Canadian dual-listed company reported animal health revenue for the year of C$29.8 million, from C$27.3 million in FY11.

However, total revenue declined to C$31.8 million from C$34.6 million, because last year's results included a $4 million milestone payment. This payment was part of the licensing agreement for its Urocidin human bladder cancer treatment with Endo Health Solutions.

The treatment candidate is currently at the phase III trial stage, with Endo agreeing to pay for the external costs of clinical activities.

Cash used in operations grew to $14.7 million in FY12 from $12.9 million, although, excepting the effects of the milestone payment, cash outflow would have fallen.

Bioniche has human health, animal health and food safety operations, with its Australian subsidiary focusing on animal health.

With animal health remaining the company's chief revenue spinner, Bioniche is pushing to expand its range of product offerings. The company last month licensed the rights to sell an equine probiotic from Imagilin Technology, and six animal health products from Med-Pharmex.

In-house, Bioniche recently received regulatory approval to sell a canine cancer product in the US and Canada, launched a paste to treat inflammatory conditions in horses in the US and revealed it is in the early stages of developing an rFSH bovine fertility product.

Announcing its results for the year, Bioniche CEO Graeme McRae painted the picture of a company on the eve of substantial growth.

“Many of our R&D projects are nearing the end of their development cycle and approaching the marketplace,” he said. “The next five years will be particularly important in this respect, as several significant technologies become commercialized globally.”

Bioniche (ASX:BNC) shares were trading unchanged at $0.520 as of around 3pm on Thursday.