Thanks to $733,000 in contract research revenue...

Thanks to $733,000 in contract research revenue from its stockholder and licensee Nycomed, Molecular Biosystems reported an 88% increase in revenue, to $1,184,046, for the first quarter ended June 30.

Molecular Biosystems, which is developing an ultrasound imaging agent called Albunex and a line of medical diagnostic kits, posted an operating loss but turned a net profit for the quarter of $231,242 because of $351,578 in interest income. The results contrasted with a loss of $39,302 on revenue of $628,609 for the same three months a year ago.

The company also disclosed that it is talking to Japanese drug companies and expects, before the end of the year, to sign a stock and licensing deal with one similar to an $18-million package signed last November with Nycomed, a pharmaceutical company based in Oslo, Norway.

Chairman Kenneth Widder told shareholders at the annual meeting this week that such an agreement would give the Japanese firm rights to manufacture and market Albunex in Asian markets.

Nycomed’s deal, which included getting a 6.5% interest in Molecular Biosystems, gave it the right to sell Albunex in Europe and Africa. Molecular Biosystems will retain marketing and manufacturing rights for the U.S. market

Albunex is a product consisting of microscopic bubbles for use as a contrast agent in cardiac ultrasound imaging, or echocardiography. Assuming the product passes advanced clinical tests beginning later this year, Albunex could reach the market by 1990.

Because Albunex would be the first contrast agent to show blood coursing through blood vessels on both sides of the heart, management and some stock analysts see a multimillion-dollar market for the product. Widder said Albunex could be used in 40% to 70% of the 4 million cardiac ultrasound procedures performed each year.