OncoSec Medical Inc (OTCMKTS:ONCS) recorded a net loss of $8.7 million in the first two quarters that ended January 31, 2015. The loss widened compared to net loss of $4.7 million recorded in the first two quarters of last year. It was a zero revenue period for the company.
The R&D expenses
OncoSec said that R&D expenses in the first two quarters surged to $5.4 million from $2.2 million in the same period, a year ago. The increase in expenses can be attributed to higher costs related to outside service, higher expenses on lab supplies and increased salaries. The company has been working on its next-gen electroporation equipments and electroporation technologies.
The other costs
OncoSec reported that the G&A expenses jumped to $3.3 million from $2.4 million in the first six months of fiscal. The rise in salary expenses resulting from higher headcount and increased conference fees attributed in increased G&A expenses. OncoSec recruited more number of people during this period. The increased costs were partially offset by savings in professional services fees. The company reported $30.7 million in cash/cash equivalents that came lower than cash/cash equivalent of $37.9 million recorded in same period, a year ago. However, the cash balance is adequate enough to fulfill the business needs for next one year.
OncoSec Medical is one of the popular names in the market of biopharmaceuticals. It has been working on cancer immunotherapy. The core technology of company improves the efficiency of the local delivery and use of immune-targeting agents. It conducted several clinical trials of ImmunoPulse that resulted in a satisfactory safety and efficacy data and initial confirmation of anti-tumor activity in the treatment of skin cancers. The technology has the potential to result in a systemic immune reaction that confines the systemic toxicities related with other treatments.