Cleveland BioLabs lost $1.4 million during the final three months of last year, but executives at the Buffalo drug development company said the firm has built “significant momentum” toward bringing its drugs to market.
Cleveland BioLabs’ loss equaled 13 cents per share, compared with a profit of $11.3 million, or $3.95 per share, when the company booked a $14.2 million gain from its Incuron cancer drug development joint venture. Without that gain, Cleveland BioLabs lost $1.02 per share a year ago, when the company had about 70 percent fewer shares in circulation.
The company, which had been months away from running out of cash early last year, has solidified its financial position by selling a majority stake to a Russian investor for $25 million and securing $15.8 million in federal funding to help pay for studies to measure the effectiveness of the Buffalo drug development company’s anti-radiation sickness drug.
Cleveland BioLabs now says it has enough cash to fund its operations for more than a year.
Cleveland BioLabs executives believe the company’s Entolimod drug can be an effective treatment for people who have been exposed to potentially lethal doses of radiation, possibly due to a nuclear power plant accident or a terrorist attack. The drug can reduce deaths from potentially lethal exposure to radiation by as much as 40 percent to 60 percent, according to the results of company-funded studies published in September.
The company is seeking approval from the Food and Drug Administration so that Entolimod can be stockpiled for use in an emergency. It also is working to develop several cancer drugs, but those drugs are in the mid-to-early stages of development.