Covalon Technologies Ltd. (COV.V) has released financial results for its first quarter ended Dec. 31, 2015.

For the three months ended Dec. 31, 2015, revenue was $2,440,633, operating expenses were $1,299,588 and net income was $267,310 or $0.02 per share on a fully diluted basis. These results compare to the prior year’s first quarter which saw revenue of $1,336,685, operating expenses of $1,063,393 and a net loss of $229,820 or $0.02 per share.

Revenue for the three months ended December 31, 2015 included $1,943,231 of product revenue, a 136% increase compared to the prior year’s first quarter. Operating expenses increased by $236,195 or 22%, which relates to two additional facilities, an increase in consulting services, and increased support for our global marketing initiatives.

Covalon’s President and CEO, Brian Pedlar, said,

“I am very pleased with Covalon’s financial and operational progress during the first quarter of our fiscal 2016, compared to the same quarter a year ago. Covalon’s product revenue continues to grow and has begun to reflect the addition of multiple products released in the prior year. We expect continued growth in product sales as we fulfil future successful tenders, expand the adoption of our newly released products with clinicians, and continue to achieve further regulatory clearance in new markets.

During the first quarter, Covalon announced United States Food and Drug Administration clearance of its new SilverCoat Silicone Foley Catheter, the establishment of a legal entity and office in Shanghai, China, and a licensing agreement with the University of Michigan for intellectual property that, when commercialized, could prevent or reduce the occurrence of Ventilator-Associated Pneumonia. We continue to make progress in building our distribution channels through participation in tenders, entrance into new geographies, and active marketing of our new products.

Covalon is off to an excellent start for the 2016 fiscal year in which we anticipate continued double-digit growth in our business. I look forward to updating our shareholders on our performance as fiscal 2016 continues.”