Total revenues for the three months ending June dipped by nearly 40 percent to reach $622,000, compared to $1.1m in the corresponding quarter last year.
This translated into a net loss for the period of $699,000, compared to a net loss of $171,000 for the corresponding period last year.
Economy ways results down
“Economic factors weighed heavily on our results for the second quarter of 2008,” the company said in an official statement.
“We unfortunately experienced a decline in sales from several of our existing customers due to their loss of retail sales in the first half of 2008,” the statement added.
However, on a six month basis the results looked much stronger, with sales increasing by $261,000 to $2,182,000, representing an increase of 14 per cent compared to the same period in 2007.
Debt increases
This resulted in a net loss of $659,000 for the first six month of the financial year, 2008 compared to a net loss of $582,000 for the comparable period in 2007, which meant losses increased by13 percent
The company said that the figure was impacted by the cost of higher stock based compensation expenses, compounded by a 5 percent increase in the cost of research and development.
Although the company now wants to focus its activities on the pharmaceutical arena, it still conducts a significant amount of its business in the cosmetics and personal care arena.
Its leading product is Novasome-microvescular delivery technology, which contributes to the efficacy of cosmetics, skin care products and a variety of dermatological formulations.