2011 Financial Results
MBI generated net income of $1,530,192 ($0.02 per share) for 2011 compared to a loss of $2,870,549 (loss per share - $0.04) for 2010.
During 2011, MBI, pursuant to its commercialization partnership with Precision Therapeutics, Inc., received licensing payments of $2,292,589 and, pursuant to its research collaboration with the University Health Network, paid a sublicense royalty fee of $222,816. As a result, MBI received in 2011 net licensing revenue of $2,069,733.
Research and Development
Research and development expenses were $94,519 for 2011 compared to $652,724 for 2010, representing a decrease of 86%.
General and Administrative
General and administrative expenses were $732,284 for 2011 compared to $2,102,588 for 2010, representing a decrease of 65%.
Liquidity and Capital Resources
At December 31, 2011, MBI had cash and equivalents totalling $685,170 and working capital of $556,446, compared to cash and equivalents of $126,797 and a working capital deficiency of $1,570,261 at December 31, 2010.
Cash provided by operating activities was $252,586 for 2011 compared to cash used in operating activities of $1,799,331 for 2010. The cash provided by operating activities consisted mainly of licensing revenue less salaries and related employee costs, payments to third parties and company operating costs.
Cash provided by investing activities was $64,499 for 2011 compared to $nil in 2010. The cash provided by investing activities consisted of proceeds from the disposal of capital assets.
Cash provided by financing activities was $212,930 for 2011 compared to $460,631 for 2010. The cash provided by financing activities consisted of proceeds of a private placement completed in 2011. During 2010, the Company received $95,040 from the exercise of warrants.
Results from Annual General Meeting
On April 2, 2012, MBI announced that the annual meeting of MBI shareholders scheduled for, and convened on March 30, 2012, was adjourned due to the lack of requisite quorum. The meeting reconvened on April 10, 2012 at which time the shareholders represented in person or by proxy at the meeting constituted quorum.
All resolutions put to MBI shareholders at the meeting as proposed by the MBI board of directors were approved.
About Med BioGene
MBI is a life science company focused on the development and commercialization of genomic-based personalized clinical laboratory diagnostic tests. MBI is committed to advancing personalized medicine by commercializing tests that provide clinically relevant information to improve patient treatment and reduce health care costs. MBI and Precision Therapeutics have partnered to commercialize MBI's flagship test, LungExpress Dx. For more information on MBI, please visit www.medbiogene.com. For more information on Precision Therapeutics, please visit www.precisiontherapeutics.com.
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