Edmonton, Alberta, May 25th, 2021 - TheNewswire – Innovotech Inc. (TSXV:IOT) (“Innovotech” or “the Company”), is pleased to report significantly improved financial results in Q1 of 2021 compared with the prior year’s pandemic affected results. Revenue increased by 144% to $308,575 compared with $126,387 in Q1 of the prior year. Net income of $22,235 improved by $137,533 from a loss of $115,298 in Q1 of 2020.
The first quarter generated cash flow of $25,516, which, combined with positive net changes to working capital of $5,298 offset by $3,556 of capital expenditures, combined to increase cash by $27,888 to $558,032. Working capital increased to $617,233 versus $595,623 at our December 31st, 2020 yearend.
Acquisition of the $150,000 CanBiocin Inc. 8% convertible debenture closed in the first quarter and its acquisition added further to shareholder’s equity which increased from $644,978 at our December 31st yearend to $785,963 as of March 31st.
Innovotech expects the rising trend of revenues achieved since 2018 will continue and may accelerate through 2021. Accordingly, subsequent to the end of the quarter, the Company leased another laboratory contiguous to our existing facilities, acquired new equipment in connection with the expanded space, and increased staff by two microbiologists.
About Innovotech Inc.
Innovotech is a Canadian biotechnology company owning proprietary intellectual property, conducting
contract research, and owning and providing proprietary devices for testing in multiple applications in
microbiology and can be found online at www.innovotech.ca.
Alan C. Savage
Director & CFO,
This document may contain forward-looking statements that are predictive in nature and subject to risks and uncertainties that cannot be predicted or quantified; consequently, actual results may differ materially from past results and those expressed or implied by any forward-looking statements. Factors that could cause or contribute to such risks or uncertainties include, but are not limited to: the regulatory environment including the difficulty of predicting regulatory outcomes; changes in the value of the Canadian dollar; the Company’s reliance on a small number of customers including government organizations; fluctuations in operating results; government policies or actions; progress and cost of clinical trials; reliance on key strategic relationships; uncertainty related to intellectual property protection and potential costs associated with its defense; the Company’s exposure to lawsuits and other matters beyond the control of management. Should known or unknown risks or uncertainties materialize, or should management’s assumptions prove inaccurate, actual results could vary materially from those anticipated. The Company undertakes no obligation to publicly make or update any forward-looking statements, except as required by applicable law.
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