GBS Inc. (GBS) stock prices were up by 2.30% as of the market closing on August 11th, 2021. This brought the price per share up to USD$3.12 at the end of the trading day. Subsequent premarket fluctuations saw the stock fall by 7.05%, bringing it down to USD$2.90.
GBS Stock Financial Stability
The second quarter of fiscal 2021 saw GBS stock report USD$4.7 million in Medical Products Priority Grant funding. The grant came from the Australian government and is designed to fund a high-tech manufacturing facility. This facility has been identified as one of six National Manufacturing Priorities. The company’s recent IPO further consolidated the companies financial stability by generating USD$21.6 million in gross proceeds. GBS stock also secured an option to acquire a North American license for Glucose Testing. This option agreement would see the company acquire 100% of the glucose license in North America for USD$5 million.
GBS Stock Network of Partners
GBS stock partnered up with Johns Hopkins University in a Sponsored Research Agreement for glucose and Covid-19 testing. This has further accelerated the development of next-gen saliva-based biagnostic test candidates. The company also partnered up with Precision Medicine Architects, who will serve as advisors for clinical strategy. The partners will primarily advise in support of regulatory, commercial, and marketing services measures.
Strong Liquidity Position
The company reported cash, cash equivalents, and marketable securities in the amount of almost USD$12.7 million as of June 30th, 2021. This is compared to the USD$0.43 million reported as of June 30th, 2020. This year-over-year difference was largely driven by the company’s IPO in December 2020. The IPO generated roughly USD$19.7 million in net cash proceeds.
Net Loss Reports
GBS stock reported a year to date preliminary net loss of USD$8.5 million, representing a net loss of USD$0.68 per share. This is compared to a net loss of USD$3.3 million in the same time period of the prior year. The prior-year period representing a net loss of USD$0.37 per share. The year-over-year difference was largely driven by the acceleration of the development and commercialization expenditures.
Future Outlook for GBS Stock
The company reported promising financial reports for the most recent quarter and is keen to continue its trajectory of success. GBS stock is poised to capitalize on the opportunities afforded to it as it enters the second half of fiscal 2021. Current and potential investors are hopeful that management will be able to adequately leverage the resources at their disposal. This is hoped to facilitate significant and sustained increases in shareholder value.
