Cyanotech losses Cyanotech Corp. lost $413,000 in its first quarter, a jump of 1,800 percent from the loss of $22,000 it had in the first quarter of last year. But sales were higher, the Kona-based manufacturer of medical and nutritional products from pond-grown algae said today.
rise in quarter
But the Big Island biotech
company says sales are increasingBy Russ Lynch
rlynch@starbulletin.com
Sales for the three months through June 30 were $2.3 million, up 6.8 percent from $2.2 million in the year-earlier quarter, Cyanotech said.
The bigger loss was due to expenses in conducting clinical studies to determine the health benefits of the company's BioAstin product, a natural supplement that is a powerful antioxidant.
Cyanotech is having professional laboratories test its effectiveness in reducing "bad" cholesterol and increasing "good" cholesterol, as well as its potential in inhibiting sunburn and muscle soreness.
As well as BioAstin, Cyanotech makes a food additive called NatuRose, which deepens the pink color of farm-raised salmon and also goes into animal feeds, and Spirulina Pacifica, a nutrient-rich diet supplement. It also produces fluorescent pigments used in diagnostics.
The company also had higher expenses for advertising, promotions and marketing, said Gerald R. Cysewski, chairman, president and chief executive officer.
"We are beginning to realize a return on such investment, as sales of packaged consumer products rose 62 percent in the first quarter compared to the prior-year period," Cysewski said.
The stock rose 2 cents to close at $1.22 today on the Nasdaq Stock Market.