TSXV: NTB - NASDAQ: NEPT
Basic Shares: 48.2 million
Fully diluted: 53.9 million
First quarter results for both Neptune and its 60%-owned subsidiary, Acasti Pharma, showed the effects of some new economic wrinkles.
For instance, most of Neptune's revenue comes in U.S. dollars so the slide in its value, compared to the Loonie, had a negative impact. So did the mandatory change in accounting standards to the International Financial Reporting Standards or IFRS.
Nevertheless, Neptune's consolidated revenue for the first quarter ending May 31, 2011 increased 3.1% over the same period last year to reach $4.2 million.
Had that revenue been measured in constant dollars (the same Canadian/American currency exchange that existed in the first quarter last year) the increased year-over-year revenue would have been around 10%.
But because of the hard-knock school of fluctuating currencies - and despite the revenue increase - net earnings sank to $1.2 million, or a per share loss of $0.028 compared to last year's first quarter net income of $494 thousand or per share earnings of $0.01.
To read Neptune's full first quarter release, please click here.
Given that Acasti Pharma is engaged in a Phase II clinical trial of its drug candidate, CaPre, research and development costs nearly doubled in its first quarter to come in at $461 thousand.
Net loss for Acasti's first quarter - after limited revenues of $83 thousand - was just over $1 million, compared to $542 thousand in the first quarter last year when there was no revenue.
Nevertheless, Acasti has well over $1 million sitting in the bank from its first financing and could reap about $8 million from the current rights offering.
Acasti also has two commercial products it is working on while the clinical trial proceeds.
To view Acasti's full first quarter results, please click here.
In addition, The Howard Group, was reengaged for another year to provide investor relation services for Neptune and was contracted for the first time to provide investor relation services to Acasti.