Verenium reports third-quarter net loss

By Bryan Sims | November 03, 2008
Web exclusive posted Nov. 17, 2008 at 11:25 a.m. CST

Cambridge, Mass.-based cellulosic ethanol producer and specialty enzyme company Verenium Corp. posted a net loss of $133,242 in its third-quarter earnings report, up from a net loss of $20,493 it posted during the same quarter a year ago.

Total revenues for Verenium for the quarter and nine months ending Sept. 30 totaled $16.4 million and $49.9 million, respectively, versus $10.9 million and $33.3 million during the same quarter last year. The increase in total revenue was attributed to "solid growth in produce revenue, partially offset by a decrease in collaborative and grant revenue," according to the company's earnings statement.

"I am very pleased with our performance against key 2008 business objectives, despite an ever challenging macro environment these last several months," said Carlos A. Riva, president and chief executive officer of Verenium. "Both of our core businesses have demonstrated important progress, and we expect further advancement in the coming months."

As of September 30, the company said that it had cash, cash equivalents and short-term investments in hand totaling $22.1 million, excluding approximately $10 million in restricted cash.

Earlier this year, Verenium announced a corporate partnership with British Petroleum to advance the development of its cellulosic ethanol technology. The collaboration is expected to generate $90 million in non-dilutive capital over 18 months, $24.5 million of which was received in August.

In addition, Verenium and BP are also focusing on phase two of a collaboration surrounding commercial development and deployment of commercial-scale cellulosic ethanol plants. Both companies intend to address the progress of this collaborative effort in the coming months.

Verenium currently owns and operates a 1.4 MMgy cellulosic ethanol facility in Jennings, La., using sugarcane bagasse and energy cane.