Biopharmaceutical company Cardax Inc. said its first-quarter revenue fell nearly 27% primarily due to its largest customer closing stores amid a bankruptcy reorganization and the COVID-19 pandemic affecting store sales.

The Honolulu-based company said in its financial report released Friday that revenue fell to $104,574 from $142,813 in the year-earlier period.

General Nutrition Corp., which filed for Chapter 11 reorganization in June, reduced sales orders as it closed at least 800 stores — including six on Oahu — and consequently sold fewer bottles of Cardax’s anti-inflammatory dietary supplement ZanthoSyn. The pandemic also curtailed GNC’s store sales, Cardax said.

Cardax finished the quarter with a loss of $1.4 million, compared with a loss of $1 million in the year-earlier period.

The company continues to pursue funding opportunities and during the first quarter raised $661,359, through notes and convertible notes, compared with $770,000 in the year-earlier quarter. The proceeds were used for general corporate purposes, issuance costs and debt servicing.

Cardax said it received $500,000 in late April from the Small Business Administration’s Economic Injury Disaster Loan program, with repayment amortized at an interest rate of 3.75% over 30 years and first payment due in October 2022.

“We continue to seek financing to advance our business strategy and are pleased that discussions with multiple funding sources are progressing based on our strong scientific fundamentals,” Cardax CEO David G. Watumull said in a statement.

Cardax’s stock fell 25 cents, or $12.5%, to $1.75 Monday on the over-the-counter market.

FIRST-QUARTER LOSS

$1.4 million

YEAR-EARLIER LOSS

$1 million