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Sequenom Says $3M Charge to Shutter Swedish Space Hurt Net Loss

NEW YORK, July 31 - Sequenom today said that the cost of shuttering a facility in Sweden amidst modest revenue growth caused net loss to nearly double.

 

The company said total revenue for the period ended was $9.2 million compared with $7.4 million in the same period one year ago. The increase was supported across all three of the company's revenue streams: sales increased by about $700,000 to $5.7 million; services jumped to $3.4 million from $2.3 million; and research receipts swelled to $9.2 million from $7.4 million, all year over year for the second quarter, the company reported.

 

Total expenses for the second quarter 2002 surged to $24.7 million from $17.6 million one year ago, led by a jump in R&D spending to $8.1 million from $6.8 million in the year-ago period. Sequenom also said it took a $3 million charge in the quarter for closing a facility in Uppsala in September as part of its acquisition of Gemini Genomics that month.

 

As a result, net loss for the period ballooned to $14.5 million, or $.39 per share, from $8.7 million, or $.36 per share, in the year-ago quarter. Without the $3 million charge Sequenom said the net loss in the current second quarter would be $11.5 million, or $.31 per share.

 

The company said it had about $114 million in cash, cash equivalents, short-term investments, and restricted cash as of June 30.

 

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