Life sciences company SQI Diagnostics Inc (TSX-V:SQD) (OTCQB:SQIDF) stated on Tuesday that it recorded a net loss of USD7.437m (USD0.06 net loss per share) for the fiscal year ended 30 September 2018.

The marks a drop in earnings when compared with a lower net loss of USD5.93m (USD0.06 net loss per share) for the year ended September 30, 2017. The increase in net loss is due to increased product commercialisation and development costs and the increased marketing costs associated with the shift to a more sales-focused company.

Revenues of USD1.335m were generated for the year ended 30 September 2018, up 40% over revenues of USD968,000 for the year ended 30 September 2017, which is driven by significant commercial progress achieved with its customers.

Research and development (R&D) costs of USD3.72m were recorded for the year ending 30 September 2018, a rise versus USD3.03m for the year ending 30 September 2017. The R&D costs were higher for fiscal 2018 compared to fiscal 2017 due to consumables bought at a higher than normal level to ensure critical projects were completed in order to deliver finished products to customers for validation. Other factors were commercial kit sales and higher personnel costs.