Dietary supplement maker reports cash reserves up, loss reduced, R&D on schedule.(Abstract)

2002 OCT 10 - (NewsRx.com & NewsRx.net) -- Pharmaceutical company Novogen, Ltd., (NVGN) and its entities have ended the 2002 financial year with record cash reserves.

As of June 30, 2002, the Novogen Group had $22 million in cash reserves compared with $17 million for the previous corresponding period.

This was coupled with a 33% reduction of the net loss for the 12 months to $8.0 million, down from $11.9 million for the year ended June 30, 2001.

Directors said the cash boost to the group was achieved through a stringent cost-control program and the successful listing and financing in May 2002, of U.S. incorporated subsidiary Marshall Edwards, Inc., on the London Stock Exchange's Alternative Investment Market (MSH).

The U.K. listing raised $10 million from European and U.S. private investors and institutions.

Novogen's strategy is to focus on research and development expenses in its drug programs, where it has maintained investment, while reducing marketing expenses of its consumer products business worldwide.

Reduced marketing expenditure and a more difficult economic climate during 2001-2002, particularly in the U.S., reduced revenues to $13.4 million from $16.6 million for the financial year.