Irvine Contraceptive Firm Reports $1.8-Million Loss

VLI Corp., an Irvine manufacturer of contraceptive sponges, reported a net loss of $1.8 million in its second quarter, contrasted with a $386,965 loss last year. Second quarter sales were $4.2 million, compared to $4 million last year.

For the first six months of the fiscal year ended June 30 the company posted a net loss of $2.6 million on revenues of $8.4 million, compared to a net loss of $746,590 on revenues of $9 million last year.

The loss is attributed by VLI to a $5-million advertising campaign promoting the company’s Today Vaginal Contraceptive Sponge, which has been on the market since 1983.

Robert Hobbs, senior vice president of finance, said the year is “going as planned . . . it’s business as usual for us.” He said the ad campaign “seems to be going well (and) our product is moving off the shelves.”

Hobbs said he expects to see an improvement in the second half of the year when the company receives regulatory approval to sell its product in the international market.