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ABI Accelerates Next-Gen Sequencer Launch; Fiscal Q4 Sales Rise 7 Percent

NEW YORK (GenomeWeb News) — Applied Biosystems today said that it is accelerating by at least three months the formal launch of its SOLiD next-generation DNA sequencer.
 
The company also said that fiscal fourth-quarter revenues rose 7 percent as R&D spending surged 15.6 percent and profit grew 14.5 percent.  
 
Tony White, CEO of ABI parent Applera, said that “based on positive [early-access] customer feedback and progress in our manufacturing process” of the SOLiD system “we are accelerating plans to expand production and commence a full commercial release in October.”
 
The company had originally planned to launch the tool early next year.
 
Total receipts for the three months ended June 30 increased to $557 million from $523 million year over year.
 
Revenue from the company’s DNA-sequencing segment ticked up around 1 percent to $139 million; real-time PCR and applied genomics sales rose 13 percent to $193 million; mass spectrometry revenue increased 9 percent to $146 million; core PCR and DNA-synthesis sales slipped 7 percent to $48 million; while “other” sales grew 9 percent to $32 million.  
  
R&D spending rose to $53.5 million from $46.3 million in the year-ago period. That increase was due to investments made in developing the SOLiD instrument, the company said.  
 
ABI’s profit for the fourth quarter increased to $87.8 million from $76.7 million.
  
ABI said it expects “mid- to high-single-digit growth” overall for fiscal 2008, with increased revenue for both products and consumables.

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