Applied DNA revenue up 102% in Q3 of FY 2019

August 14, 2019 - United States Of America

Revenues of Applied DNA Sciences increased 102 per cent for Q3 of FY 2019 to $2.1 million, ending June 30, 2019, compared to $1 million for Q2 of FY 2018, and increased 164 per cent from $778 thousand for Q2 of FY 2019. Revenues for first 9 months of FY 2019 totalled $3.7 million, up 37 per cent from $2.7 million from same period in prior fiscal year.

The increase in revenues was due to an increase in service revenues of $1.4 million, or 92 per cent, offset by a decrease in product revenues of $344 thousand, or 28 per cent, said the company in a press release.

"Our fiscal third quarter performance reflects our continuing abilities to monetise our molecular tagging technology and our diagnostic and therapeutic platforms while also realigning our cost structure and reorienting our sales and business development efforts to support new opportunities," said Dr James A Hayward, chairman, president and CEO of Applied DNA. "Revenues increased over 100 per cent this quarter over the same period last fiscal year and increased 164 per cent quarter over quarter, supplemented by the receipt of a $1 million cash payment under the terms of our exclusive licensing agreement with TheraCann International Benchmark Corporation.”

"As we projected last quarter, our growth is coming from cannabis, textiles and biotherapeutics. Looking ahead, we remain focused on growth supported by these business verticals. TheraCann’s Etchtm BioTrace solution powered by our tagging platform is attracting the attention of large cannabis players. We will soon launch our CertainTâ brand into the cotton apparel market. Initial product from our recently completed tagging program for Egyptian cotton is being used to build demand among brands and manufacturers. Our LineaRx subsidiary is increasingly being viewed within the biotech industry as a cleaner, higher-performing alternative to plasmid DNA production that is converting to increased order-flow.  We have a burgeoning pipeline and growing scientific and intellectual property assets following the recent acquisition by LineaRx of the assets and IP of Vitatex, that further broaden our platform's applicability in the potentially high-reward cancer diagnostic and therapeutic spaces. Just last week we submitted to the NIH our application for a 3-year, approximately $4 million SBIR Phase IIb grant to be matched with funding being sought from commercial 3rd parties, that, if granted, will fund the full commercialisation of the Vitatex platform for early detection of non-hematologic cancers," concluded Dr. Hayward.

Applied DNA is a provider of molecular technologies that enable supply chain security, anti-counterfeiting and anti-theft technology, product genotyping and DNA mass production for diagnostics and therapeutics. (PC)