SAN DIEGO (GenomeWeb News) — Invitrogen, hoping to reverse a $130-million third-quarter loss, will make changes to its sales force leadership and restructure its commission policy, CEO Greg Luciersaid yesterday.
Speaking to investors at the JP Morgan Healthcare Conference in San Francisco yesterday, Lucier said Invitrogen will also consolidate its antibody manufacturing process, putting more focus on productivity, Lucier said.
The company is also continuing to review the effectiveness of its sales force, and ways to expand its gross margin.
Notably absent from Lucier’s remarks was talk of planned acquisitions, which the company typically mentions before audiences of investors and equity analysts. Lucier made no mention during the presentation of any upcoming M&A activity, suggesting that after going on a buying spree during the past few years Invitrogen may be taking a more conservative approach on potential acquisitions.
During the past 3-and-a-half years, Invitrogen has acquired 15 companies, which averages out to a little less than five buys a year, Lucier said.
The company has described difficulties integrating past acquisitions such as Zymed, Biosource, and Caltag, and has identified these units as key reasons for its flagging financials over the past few quarters.
“In 2006, with any company that did as much as we’ve done in the last 3-and-a-half years, we clearly stumbled,” Lucier said. “We also did a number of integrations with all those companies that we acquired over the last few years. In 2006, the real crunch in terms of heavy lifting of closing plants, moving production lines, and consolidating them into a few of the remaining campuses took place.”