NEW YORK (GenomeWeb News) – Genomic Health reported after the close of the market on Wednesday that its third-quarter revenues rose 77 percent due to increased sales of its Oncotype DX breast cancer assay.
The Redwood City, Calif.-based firm brought in revenues of $28.1 million for the three-month period ended Sept. 30, compared to revenues of $15.9 million for the third quarter of 2007. Nearly all of the revenues for the most recent quarter came from Oncotype DX sales, as contract revenues represented only $51,000 of the total compared with contract revenues of $120,000 in the comparable period a year ago.
Genomic Health cut its year-over-year net loss by more than half. For the quarter, it's loss was $3 million, or $.11 per share, compared to a loss of $7.3 million, or $.26 per share, for the comparable quarter of 2007.
Its R&D spending increased 23 percent to $6.9 million from $5.6 million, and its SG&A spending rose 24 percent to $17.3 million from $14 million.
“This quarter, we again increased the value of Oncotype DX by the inclusion of quantitative HER2 scores, while continuing to invest in our commercial organization here and abroad,” Genomic Health Chairman and CEO Randy Scott said in a statement.
The firm also noted that during the quarter it delivered more than 10,220 test results to customers, an increase of 72 percent year over year. It also gained Oncotype DX reimbursement coverage for 7.9 million lives and now has coverage for around 89 percent of insured lives, the firm said.
Genomic Health finished the quarter with $9.5 million in cash and cash equivalents.