For its six months to September, Blis revenues were up almost 60%, from $721,000 a year ago to $1.14 million, but the after-tax loss also increased, from $764,000 to $808,000.
At its annual shareholder meeting in Dunedin in late-July, chief executive Barry Richardson said then he hoped Blis would become ''near break-even'' for the full financial year.
Yesterday, he reiterated in a statement Blis remained on target to achieve a doubling of revenues for the current financial year, but said a full-year loss comparable to last year's $1.54 million loss was forecast.
''The company does not now expect to move to profitable operation in the immediate future,'' Dr Richardson said.
Blis manufactures pro-biotics for oral health which are added to lozenges, powders and dairy products.
Blis has spent more than $30 million during the past 13 years in research and development.
Blis shares plunged more than 20% on the news, trading around 2c.
A major shareholder is Chinese pharmaceutical giant Sinopharm, with more than 800 pharmacies across China, of which 600 are trialling Blis products.
Craigs Investment Partners broker Peter McIntyre said there were two immediate issues for Blis investors to consider: when does it become profitable and what does its ''cash burn'' of almost $1 million every six months mean for investors.
''They [management] are working hard, but for every positive step there seems to be a negative,'' Mr McIntyre said.
Dr Richardson highlighted several positives, including export approval for its Dunedin production facilities, extension of the Sinopharm test market launch, successful clinical trials and product launches in Italy, US market access issues resolved and the launch of new products.
''Other than Japan, where the company is starting to receive a steady order flow, sales in Asia and China have yet to reach any meaningful level,'' Dr Richardson said, noting increased US and European sales were not yet delivering to expectations.
He said relocation of the manufacturing facility from University of Otago premises had taken longer than expected, production facility set-up and gaining of export approvals had increased costs, and product launches by key customers had taken longer than expected.
The company's last capital-raising garnered a healthy $3.65 million, but costs of $965,000 during the past six months whittled that figure down to just over $2.6 million.
''With cash burn of close to $1 million every six months, they may possibly have to go back to investors at some point with a fresh capital-raising,'' Mr McIntyre said.
Dr Richardson said expenses of $1.95 million were $466,000 higher than a year earlier, of which the largest portion of $263,000 was due to increased travel and marketing in support of sales.
There were costs associated with bringing lozenge and nutritional formula production in-house, plus increased governance costs with directors' fees increase, and the appointment of another director.
As at September 30, Blis had working capital of $2.97 million, which Dr Richardson said was a ''sufficient'' capital base to support its business development strategies.
