Scotia Awaits Approvals As Losses Soar In 1995

Pretax losses at UK biotechnology company Scotia soared in 1995 as the firm increased its spending on product development. Losses were L11.7 million ($17.8 million), compared with losses of L3.6 million in 1994. The loss per share was 16.7 pence, compared with a loss of 5.7 pence per share in 1994.

Total expenditure rose 29.4% in 1995 to L24.6 million. R&D spending was L16 million, up 37.9%. Selling and distribution costs and administration expenses rose 8% and 21.8% to L3.6 million and L5 million respectively.

Total revenues were L21 million, down 7.4% from the previous year. Sales and royalties from pharmaceuticals were L7.8 million, up 8.4%, and were helped by the acquisition of the Swedish company LipidTeknik. The nutritional business had a disappointing year, with sales down 8.6% to L7.8 million. Michael Lawther, Scotia's finance director, said that the firm has taken steps to address this by setting up a new management structure.