NovaBay reports positive cash flow in Q1

EMERYVILLE, Calif. A biopharmaceutical company that develops drugs for preventing and treating infections reported positive cash flow during first quarter 2009 thanks to a milestone and initial payments made under agreements with two other drug makers.

NovaBay Pharmaceuticals reported revenues from licenses and collaborations of $2.6 million, compared with $1.5 million for first quarter 2008, mostly from agreements with Alcon and Galderma. Net loss for the quarter was $300,000, compared with $270,000 during first quarter 2008, leaving the company with cash, cash equivalents and short-term investments of $12.9 million, compared with $12.1 million as of Dec. 31.

“We believe the first quarter of 2009 was one of continued accomplishment for NovaBay as we achieved business development and clinical progress in advancing our first-in-class Aganocide compounds that are designed to mimic the human body’s natural defense against infection without developing resistance,” NovaBay chairman and CEO Ron Najafi said.