Shares of the Vancouver-based medical devices company, Neovasc Inc. (NASDAQ:NVCN) (TSX:NVCN) dropped by nearly 20% on Friday.
This drop in share value could be due to the company’s recent release of its first-quarter earnings report.
Total revenue of Neovasc Inc. decreased by 77% compared with the results of the first quarter of 2017, falling from nearly $1.5 million USD to $339,922.
According to the company’s CEO, Fred Colen has said that Neovasc is “encouraged by our improved financial position through the receipt of $12.3 million in proceeds from investor-initiated exercises of Series C warrants that were issued during our November 2017 public offering.”
Part of the proceeds are expected to go into the company’s clinical treatment and studies of Tiara and will help to support clinical and operating expenses and activities into early 2019. Tiara is a type of valve replacement for patients with Mitral Regurgitation (MR), a disease that affects the heart’s valves.
The European Tiara-II clinical study is currently in progress and the company now has five clinical sites in Germany, three in Italy and two in the UK. Neovasc hopes to also add clinical sites in Spain, the Netherlands and Israel.
Colen has said that a total of 34 patients have been implanted with Tiara, compared to 21 patients at the end of 2017.
Although revenue fell by a significant amount, total expenses were reduced by nearly 20%, from $8.5 million during the first quarter of 2017 to approximately $6.8 million for this quarter.
Neovasc Inc. share value closed at approximately $0.039, after reaching a low of $0.037 and a high of $0.043, on Friday.
Comparatively, the company closed at a value of $0.050 on Thursday.
The company regained a minimum market capitalization of over $35 million, for 20 trading days in a row, in order to comply with Nasdaq standards, but have still yet to reach the $1.00 minimum bid price listing rule.
Featured Image: Twitter