The company reported revenues of US$50 million, a 27 per cent decrease from $68.3 million during the same period last year. A net profit of $3.2 million, however, compares favourably to a net loss of $7.5 million during the second quarter of fiscal 2011.
Chief financial officer Peter Dans said the overall forecast for fiscal 2012 remains the same, although unplanned supply interruptions that happened as a result of the reactor shutdown can’t be recaptured later on in the year.
Revenues decreased in all three of the company's streams - targeted therapies (down six per cent year-over-year), sterilization technologies (down 41 per cent) and medical isotopes (down 25 per cent).
Because of delayed shipments of cobalt-60 – its sterilization technologies product – that would have otherwise been included in this quarter’s results, third-quarter shipments will be greater than the entire first half of the fiscal year, Mr. Dans said, which will help to increase revenues.
Nordion remains optimistic about the company’s financial future.
“We made some good progress in some of our core areas in terms of signing up long-term customers,” said Mr. Dans in an interview with OBJ.
The company has been focusing on its sterilization technologies business, he said, and succeeded in securing key customers in Asia this quarter.
"Nordion's operations and financials remain sound," said Nordion CEO Steve West in a statement. "During the quarter, we strengthened our long-term cobalt-60 supply relationships and worked with TheraSphere users, globally, to improve the ease of use and adoption of this important liver cancer therapy."
TheraSphere revenues were up by 11 per cent, or $1.2 million, year-over-year, and Nordion enrolled its first patient into its TheraSphere EPOCH Phase III clinical trial program in May after gaining approval from the U.S. Food and Drug Administration last year.
Last quarter, Nordion also reported “lower than expected” financial results, with a loss of $887,000. Overall, Nordion expects fiscal 2012's revenue and gross margins to be lower than 2011, Mr. Dans said.
Nordion is the country's largest producer and seller of medical isotopes, used for the treatment, diagnosis and prevention of disease. Founded in 1946 with headquarters in Kanata, Nordion has 450 local employees.