International Stem Cell Corp (OTCMKTS:ISCO) a California-based biotechnology firm working on biomedical products and novel stem cell-based therapies provided a business update and reported FY2014 financial results..
The Court of Justice of the EU ruled in favor of the International Stem EU patent applications, paving the way to the issuance of the company’s core technology patents in the European Union in 2015 and extensively strengthening the existing intellectual property estate. The company received clearance from the U.S. FDA, in a significant ruling, for International Stem’s human parthenogenetic stem cell line for trial clinical use. The FDA approved the use of ‘parthenogenetic stem cells’ as a beginning component for the advancement of human cellular therapeutics
The company presented results from its preclinical trials of ISC-hpNSC which is a leading product of International Stem. It was awarded the title of one of the U.S. fastest growing firms as mentioned in Deloitte’s 2014 ‘Technology Fast 500™’ list. In January, 2015, the Company stated that it intends to commence a phase 1/2a clinical trial of its ISC-hpNSC in Parkinson’s disease in Australia.
The financial performance
International Stem reported $7.02 million in revenue for FY2014, up 14% from revenue recorded in FY2013. The sales of Lifeline Skin Care surged 9% whereas sales of Lifeline Cell Technology jumped 19%. The gross margins came stable at 73%. The company reported operating income from Lifeline Cell Technology and Lifeline Skin Care subsidiaries were up 55% to $1.02 million in FY2014 compared with $0.65 million in FY2013.
The management view
Andrey Semechkin, Ph.D., the CEO of International Stem, said that the company achieved some very major milestones in the last quarter of FY2014 including a successful finish to patent applications with the CJEU. The company obtained clearance for the clinical use of stem cell lines from FDA. The accomplishments add further strength to both Parkinson’s program and the business development measures.