NEW YORK, April 30 - Driven by four new subscriptions to its GeneExpress database, Gene Logic reported a 54 percent increase in first quarter 2001 revenues to $8.2 million, compared with $5.3 million in the year ago quarter.
"The company's progress on all fronts is consistent with our goal of aggressively driving the business towards profitability and successful commercialization of our information products," Philip Rohrer, Gene Logic's chief financial officer, said in a statement. "Our pipeline of prospective customers continues to expand while we devote our resources to increasing
our database content and capabilities."
The company signed on two Japanese companies, Sumitomo Pharmaceuticals and Sankyo as subscribers to the full GeneExpress suite and added IDEC Pharmaceuticals and Genentech as subscribers to its database subsets. This brings the total number of GeneExpress subscribers to 16, the company said.
During the quarter the company's expenses also rose to $20.9 million, up from $12.3 million for the year-ago quarter. R&D expenses from the expansion of the company's databases, which rose to $15.7 million from $8.5 million, accounted for the bulk of this increase. Sales, general, and administrative expenses rose modestly to $4.8 million from $3.4 million in the first quarter of 2000. Amortization of goodwill remained flat at $381,000.
Gene Logic's losses widened during the quarter to $10.6 million, or 40 cents per share, from $6 million or 20 cents per share for the first quarter of 2000. These losses beat Wall Street's expectations of 41 cents per share by a penny, according to a poll of brokers conducted by FirstCall/Thomson Financial.
Gene Logic plans to continue to expand its databases during the remainder of the year, Rohrer said.
As of March 31, the company reported $213.8 million in cash and cash equivalents.