Immucell reports Q1 revenue $3.45M vs. $6M last year

Actual sales during the first quarter of 2023 slightly exceeded the previously projected range of $3.2M to $3.4M. Sales were significantly below prior periods because a production slowdown was implemented during the first quarter of 2023 in response to previously disclosed contamination events impacting the Company’s manufacturing process. As of March 31, 2023, the backlog of orders was equal to approximately $7.5M, representing a significant increase from approximately $2.5M as of December 31. "During the production slowdown, we implemented significant process improvements and performed a deep sanitization of our production facilities and equipment. We also extended our production cycle to provide time for the complete analysis of all standard quality control test data before work-in-process inventory is progressed to the next stage of production. No product that tests below specification moves to the next stage of production," commented Michael F. Brigham, President and CEO of ImmuCell. "Since the production slowdown, the first quality control test of incoming milk batches has passed approximately 82% of the time and failed approximately 13% of the time with the remaining approximately 5% pending final testing and disposition. While there is still room for needed improvement, the trend is in the right direction. Further, we have seen a 100% success rate with the two subsequent standard quality control tests later in the production process. This has given us the confidence needed to begin ramping up production as we head into the second quarter." "We continue to work to achieve FDA approval to commercialize Re-Tain ," Mr. Brigham concluded. "As disclosed in our most recent Annual Report on Form 10-K for the year ended December 31 , we expect to make our third submission of the CMC Technical Section around the end of April . When made, this submission will be subject to a six-month review by the FDA."