This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Burcon Reports Fiscal 2013 Third Quarter Results

VANCOUVER, British Columbia, Feb. 14, 2013 (GLOBE NEWSWIRE) -- Burcon NutraScience Corporation (TSX:BU) (Nasdaq:BUR) ("Burcon") today reported financial results for the three and nine months ended December 31, 2012. All amounts are stated in Canadian dollars unless otherwise noted.

Selected highlights of the third quarter and period subsequent to quarter-end:

  • Completed equity offering of $5.75 million, with net proceeds of $5.0 million;
  • Announced first commercial sale of CLARISOY soy protein by ADM;
  • Commenced the building of Peazazz pea protein semi-works production facility; and
  • Filed several patent applications over novel or alternative processes for the production and functional applications of its plant-based proteins.

Financial Review

In December 2012, ADM notified Burcon of the first bona fide arm's length sale of CLARISOY soy protein. Under the License and Production agreement with ADM, the initial license fee payments cease at the end of the quarter that immediately precedes the quarter in which the first bona fide arm's length sale of CLARISOY occurs; therefore, Burcon was not entitled to the fixed quarterly payment from ADM for the quarter ended December 31, 2012. Burcon recorded royalty revenue of about $7,000, comprising royalty revenue from CLARISOY sales and about $4,000 of initial license fee payments that were previously deferred.

General and administrative expenses decreased by about $274,000 over the same quarter last year. Included in salaries and benefits is stock-based compensation expense of approximately $513,000 (2011 –$722,000). Burcon recorded about $481,000 of stock-based compensation expense for options granted to directors this quarter that vested. Similarly, Burcon recorded about $540,000 in stock-based compensation expenses for options granted to directors in the comparative quarter that also vested immediately. 

Patent legal fees and expenses account for a significant portion of Burcon's professional fees. Burcon's patent strategy is to aggressively seek protection for new technologies as well as further protecting current technologies. During the quarter, Burcon expensed about $266,000 (2011 - $181,000, net of $179,000 capitalized to deferred development costs) of patent costs. Total patent legal fees and expenditures (before capitalization) decreased by about $94,000 over the prior period. More than one-half of the decrease is attributable to more patents that entered national phase in this quarter last year, which generated significant filing fees in various countries. The balance of the decrease is due to lower patent maintenance costs this quarter as Burcon is deferring annuity payments for certain non-core patents and applications. From inception, Burcon has expended approximately $8.4 million on patent legal fees and disbursements to strengthen its patent portfolio in various countries of the world and for filing patent applications for new inventions.

1 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs