LONDON (Alliance News) - TyraTech Inc said Monday that the launch of its head lice treatment Vamousse in the UK should position it to meet its full-year revenue targets, as higher costs led it to post a widened loss in its first half.
The life sciences company posted a pretax loss of USD3.1 million in the half year to end-June, widened from USD2.8 million a year before, despite seeing revenue improve to USD1.3 million from USD765,000, due to higher businesses and development costs and a USD450,000 warrant expense.
Revenue growth was driven by the launch of Vamousse in the US with Walmart stores, and online retailers amazon.com and drugstore.com The company has since launched the product in the UK, and sales from this launch will boost the company's second half, it said.
TyraTech expects to see its full-year costs increase as it ups marketing spend and working capital to support the UK launch. It has secured product listings with UK pharmaceuticals and supermarkets for launch.
Although it saw some production delays, it launched its two Guardian mosquito and tick personal repellent products in the US via amazon.com after the year end, although at the end of the mosquito and tick season. It hopes the accelerated launch of Vamousse in the UK will offset the delays to these product launches.
TyraTech launched eight products during the half year with US retailers and through its partnership with Novartis Animal Health.
It secured GBP3.3 million in a fund-raising in July, which it said will help it continue to commercialise its intellectual property.
Looking forward, TyraTech said it is making progress in the distribution and marketing of its products in the US and UK, and actively preparing for an extended distribution network for 2015 to help it reach a higher market share.
Shares in TyraTech are untraded Monday at 7.88 pence.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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