NEW YORK (GenomeWeb News) – CombiMatrix reported after the close of the market yesterday that its first-quarter revenues increased around 80 percent and its net loss climbed nearly 62 percent year over year.
The Mukilteo, Wash.-based microarray maker brought in revenues of $2 million for the three-month period ended March 31, compared to revenues of $1.1 million in the first quarter of 2007. Revenues from government contracts doubled to $1.1 million from $549,000, while product revenues increased to $555,000 from $440,000, and service revenues climbed to $303,000 from $85,000.
CombiMatrix’s net loss shot up to $3.4 million, or $.56 per share, from $2.1 million a year ago. There is no per-share comparison because CombiMatrix was part of Acacia Research before it was spun off in August.
CombiMatrix’s R&D expenses declined 27.8 percent to $1.3 million from $1.8 million, while SG&A costs fell 16 percent to $2.1 million from $2.5 million.
The firm had $5.5 million in cash, cash equivalents, and available-for-sale investments as of the end of the quarter.
CombiMatrix said in a statement that in order for the firm to continue operating as a going concern beyond September, “we will be required to obtain capital from external sources, increase revenues and reduce operating costs.” It added that it is “evaluating a number of opportunities to increase our cash reserves.”
CombiMatrix is awaiting a final judgment in a lawsuit that it won in February against an insurance company. The court overseeing the case recently awarded CombiMatrix attorneys’ fees and litigation costs related to the suit, bringing the total amount owed to the firm to $35.7 million.
In early Thursday trade on the Nasdaq, shares of CombiMatrix were up 1.8 percent at $10.33.