NEW YORK (GenomeWeb News) – After the close of the market yesterday, Strategic Diagnostics reported a 4 percent increase in fourth-quarter revenues, while its net income dropped 66.2 percent for the three months ended Dec. 31.
The Newark, Del.-based firm brought in revenue of $7.3 million in the fourth quarter compared to $7 million in the comparable quarter of 2006. The increase was driven by antibody revenues, which grew 28 percent year over year to $3.8 million; food pathogen revenues, which climbed 21 percent to $1.4 million; and water and environmental products revenue, which increased 10 percent to $1.3 million.
These gains were offset by a 64 percent decline in sales for the firm’s Ag-GMO analysis products. The company’s revenue base has been shifting from its Ag-GMO business to its antibody business, which now accounts for 53 percent of its total revenues.
Strategic Diagnostics sells antibodies and immunoassay kits containing antibodies based on its Genomic Antibody Technology platform. The antibodies are used in proteomic research and drug and biomarker discovery.
“We reported our sixth consecutive quarter of double-digit year-over-year revenue growth in antibody-related revenue and this part of our business is becoming an increasingly important component of our overall revenue and profitability,” Matthew Knight, president and CEO of Strategic Diagnostics, said in a statement.
Strategic Diagnostics posted net income of $166,000, or $.01 per share, compared with a profit of $491,000, or $.02 per share, in the fourth quarter of 2006.
Its R&D spending rose 12.4 percent to $754,000 from $671,000 year over year, while its SG&A spending increased 22.2 percent to $3.3 million from $2.7 million.
For full-year 2007, Strategic Diagnostics reported revenues of $27.2 million compared with $25.5 million in 2006. Its net income for the year was $860,000, or $.04 per share, compared with $684,000, or $.03 per share, in 2006.
The firm’s R&D expenses for full-year 2007 climbed to $2.9 million from $2.6 million, while SG&A costs rose to $12 million from $10.6 million.
Strategic Diagnostics finished the year with $13 million in cash and cash equivalents.