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Molecular Devices Says Poor Q2 Imaging Sales Turns Profit Into Loss Despite Overall Revenue Gains

NEW YORK (GenomeWeb News) - Molecular Devices yesterday said slumping sales of its imaging products helped turn a profit into a loss during the second quarter despite overall revenue growth.

Revenues for the quarter ended June 30 grew 6.5 percent to $47.4 million from $44.5 million the same period last year.

The company reported a loss of $460,000 for the quarter, or $.03 loss per share, compared to a profit last year of $3.7 million, or $.22 per share.

 
Although Molecular Devices said its SpectraMax and Meta life sciences imaging product lines did well for the quarter and newly acquired Laser Capture Microdissection business met expectations, drug discovery imaging and genomics product lines declined.
 
The company is now "more cautious" about drug discovery as a result of the weakness in imaging, president and CEO Joseph Keegan said in a statement.
 
Research and development costs declined slightly to $5.9 million from $6.3 million.
 
The company revised its guidance downward for the full year 2006, anticipating revenues of $190 to $198 million. Last quarter, the guidance was between $198 million and $206 million for the full year.
 
Molecular Devices had $17.7 million in cash and cash equivalents as of June 30.
 
Investment bank Robert Baird today cut Molecular Devices Corp price target to $30. The shares closed at $29.04 yesterday.

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