Intercell, the Austrian vaccine company, says that its net loss for the first quarter narrowed 19.3% to 7.1 million euros, and that all its development projects are on track.

Revenues reached 1.5 million euros, compared with 300,000 euros in the first quarter of 2006, due to higher grant income and funding from existing partnerships and licensing agreements with pharmaceutical companies, such as Novartis, Merck & Co, Wyeth and Kirin. The company also added that R&D expenses increased 8.8% to 7.4 million euros and it ended the quarter with liquid funds of 86.3 million euros.

Intercell noted that the US launch of its Japanese encephalitis vaccine remains on track for early 2008 and will be brought to market in Europe at the end of next year. It added that IC31, which is used as adjuvant in a tuberculosis vaccine partnered with SSI, has delivered “an outstanding profile in a Phase I study” which “encourage broad and commercial use of Intercell’s proprietary technology platform in a variety of prophylactic and therapeutic vaccines”.