Skip to main content
Premium Trial:

Request an Annual Quote

Orchid Posts Decline in Q3 Service Revenue as Total Receipts Remain Flat and Losses Surge

Click here for an updated version of this article.

NEW YORK, Oct. 27 (GenomeWeb News) - Orchid Cellmark today reported flat third-quarter revenues amid declining R&D spending and surging net losses.


Total receipts for the three months ended Sept. 30 were flat at $16.4 million, the company said. Revenue from services declined to $16.3 million from $16.4 million in the year-ago period. Other revenue increased to $156,000 from $93,000 year over year.


Orchid CEO Paul Kelly said he was "disappointed" by the performance of the USforensic business, but said he was "encouraged" with growth in other areas of the business.


During the quarter, he said, the company "experienced a slowdown in forensic casework production from implementation of new software and processes designed to further automate our casework sample analyses." He called this development "temporary" and said the company is "addressing" it as it wraps up implementing the new processes and hiring additional DNA analysts.


Kelly also said "there are many positive developments" that support growth in the US forensic DNA testing market, including "major legislative initiatives in support of increased forensic DNA testing, enhanced use of DNA by law enforcement to solve more crimes such as burglary, and Congressional approval of significantly expanded federal funding."


He added: "While we are frustrated by the continued bureaucratic delays in the award of NIJ funds by the states and localities, we believe Orchid Cellmark's potential for continued strong growth in its U.S.forensic DNA testing business remains unchanged."


Orchid said R&D spending for the third quarter declined to $376,000 from $426,000 year over year.


Net losses surged to $3.8 million, or $.15 per basic share, from $395,000, or $.02 per basic share, in the same period last year.


Orchid said it had around $18.4 million in cash and equivalents and $6 million in short-term investments as of Sept. 30.

The Scan

Interfering With Invasive Mussels

The Chicago Tribune reports that researchers are studying whether RNA interference- or CRISPR-based approaches can combat invasive freshwater mussels.

Participation Analysis

A new study finds that women tend to participate less at scientific meetings but that some changes can lead to increased involvement, the Guardian reports.

Right Whales' Decline

A research study plans to use genetic analysis to gain insight into population decline among North American right whales, according to CBC.

Science Papers Tie Rare Mutations to Short Stature, Immunodeficiency; Present Single-Cell Transcriptomics Map

In Science this week: pair of mutations in one gene uncovered in brothers with short stature and immunodeficiency, and more.